It is therefore necessary to examine microfinance and the ngo model in a larger context, as well as the connections between the financialization of global capitalism and the neoliberal reforms that actually created the space for the microfinance boom. Officials from a microfinance company interacting with borrowers in the village of vadod, some 35 km from ahmedabad, in gujarat in january 2011 photo: sam panthaky/afp the book provides a sharp and convincing analysis of indian microfinance self-help groups. 2 1 introduction impact assessment of the microfinance programmes started to be a concern since late 1980s (mayoux, 2001) assessments were of different types, commissioned by different agencies.
The world bank’s microfinance-focused consultative group to assist the poor (cgap) revealed in 2008, during the recession, that the assets of the world’s top ten microfinance investment groups grew by over 30%, rendering ‘the promise of poor women’, a lucrative private asset class. The book provides a sharp and convincing analysis of indian microfinance self-help groups k kalpana’s study on the social and political fabric of indian self-help group (shg) microfinance is a most welcome contribution to what has long been a highly polarised debate, which has all too often been torn between microfinance “advocates” and “detractors” and disconnected from ground realities. Commentary 10 october 23, 2010 vol xlv no 43 epw economic & political weekly microfinance: a fairy tale turns into a nightmare m s sriram it was inevitable that the commercial model of microfinance in india, with its.
Muhammad yunus, the microfinance pioneer, speaks at a news conference via video link photograph: chip somodevilla/getty images the complicated twists and turns in bangladesh over the position of muhammed yunus , the nobel prize winner, continue. Microfinance in africa microfinance, which is the provision of a variety of financial services to poor, low-income people and micro iv swot analysis of the african microfinance sector 37. The microfinance illusion milford bateman university of juraj dobrila pula, croatia and ha-joon chang university of cambridge, uk summary – in both developing and transition economies, microfinance has increasingly been positioned as one of the most important poverty reduction and local economic and social development policies. Due to the article ¨is microfinance a neoliberal fairytale¨ (bunting, march, 9 th, 2011), microfinance has gone from being a unique aid reserved for poor people to be a common aid for all kinds of people and organizations since its creation has expanded worldwide with incredible speed.
Microfinance programs actually accomplishing what they promise, in the context of neoliberalism in microfinance these research questions, along with the thesis objectives, are explained in detail in chapter 2 in this way, the research project takes on a small examination of the microprocesses of one ngo within the context of neoliberalism. Based on the philosophy of yunus—founder of the grameen bank model and nobel prize laureate—microfinance has been globally upheld as a neoliberal panacea for addressing poverty and income disparities. Microfinance schemes to improve their programmes (tandrup, 2002 and hulme, 1997) they are mainly initiated within the programme with an intention of the assisting microfinance providers in improving their services.
2 microfinance has always maintained that it is self financing apart from the initial start-up costs but what the last few months have revealed is that unless there is a big injection of government or aid funds, microfinance institutions have to charge very high interest rates. Microfinance model in that it is an income-generation suggestion based on the premise that the fight against poverty should be carried out within the context of social rights and inequality.
Microfinance supporters would say that at its core it is an alternative economic system, one that is not built on the ideas of neoliberalism, but became a neoliberal tool with time. Microfinance in neoliberal times: the experience of an egyptian ngo by sarah a tobin a thesis submitted in partial fulfillment of the requirements for the degree of master of arts department of anthropology college of arts and sciences university of south florida major professor: kevin a yelvington, phd nancy romero-daza, phd.