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Title: microfinance

Essay Details:

Subject: Business
Author: Rita A
Date: July 31, 2013
Level: University
Grade: A
Length: 21 / 6065

Essay text:

Since social ties are often the principal source of wealth for the very poor, these institutions try to reinforce these links, in particular by creating solidarity groups which help to secure their loans. However, there is a price to pay for the development of social ties and their cost is not accounted for in traditional indicators of financial performance. Caught between the need to generate revenues in order to become independent of international public aid which is becoming increasingly scarce, and the desire not to betray their initial objective, namely the fight against poverty, microfinance has to make a choice between these two goals...

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