Microfinance refers to financial services designed for those who can't access traditional banking, here are some things to know about it.
1
Microfinance offers banking services to people with low income who wouldn't qualify for traditional loans.
2
While microloans are famous, microfinance can also include savings accounts, money transfers, and insurance.
3
The goal is to equip people with the necessary tools to become self-sufficient through financial independence.
4
Microloans are typically small amounts, ranging from Rs 50 to under Rs 50,000, but can make a big difference.
5
Many microfinance programs target women, who often face greater challenges in accessing financial services.
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Microfinance is prevalent in developing countries but aims to foster financial inclusion worldwide.
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Over 1.7 billion adults globally lack access to formal financial services, and microfinance aims to bridge this gap.