David Ackah (PhD)
This theoretical concept has been sold to the major financial organizations of the world that have pumped in billions to expand the reach of microfinance. Microfinance is now a major part of the poor economies right from Bolivia to Bosnia to Bangladesh. However, the reality of microfinance seems to be the exact opposite. Most of the studies that were full of praises for the concept of microfinance were commissioned by the companies that were pursuing the business of microfinance themselves. Needless to say that these studies had vested interests and wanted to make microfinance look better than it is. Therefore, when unbiased studies were conducted, a lot of issues with microfinance were discovered. It seemed like microfinance was, in fact, indebting the poor and making the companies rich and the whole win-win model was a hoax.
Keywords: Microfinance Government Bond, Bankrupting Future Generations, Indebting the Poorest