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Microcredit News Stories
Excerpts of Key Microcredit News Stories in Major Media


Below are highly engaging excerpts of key news stories reported in the mainstream media on microcredit (also called microloans, microfinance or microlending). Links are provided to the original articles on their major media websites. If any link fails to function, read this webpage. These microcredit/microloan news stories are listed by date posted to this list. You can explore the same articles listed by order of importance or by article date. Microcredit is powerfully transforming our world!


Note: This comprehensive list of microloans and microcredit news stories is usually updated once a week. Explore our full index to revealing excerpts of key major media news stories on several dozen engaging topics. And don't miss amazing excerpts from 20 of the most revealing news articles ever published.


Microcredit pioneers win Nobel Peace Prize
2006-10-13, USA Today/Associated Press
Posted: 2006-11-29 15:17:38
http://www.usatoday.com/news/world/2006-10-13-norway-nobel_x.htm

Bangladeshi economist Muhammad Yunus and his Grameen Bank won the Nobel Peace Prize on Friday for their pioneering use of tiny, seemingly insignificant loans — microcredit — to lift millions out of poverty. "Lasting peace cannot be achieved unless large population groups find ways in which to break out of poverty," the Nobel Committee said in its citation. "Microcredit is one such means. Development from below also serves to advance democracy and human rights." Grameen Bank was the first lender to hand out microcredit, giving very small loans to poor Bangladeshis who did not qualify for loans from conventional banks. No collateral is needed and repayment is based on an honor system. Anyone can qualify for a loan — the average is about $200 — but recipients are put in groups of five. Once two members of the group have borrowed money, the other three must wait for the funds to be repaid before they get a loan. The method encourages social responsibility. The results are hard to argue with — the bank says it has a 99% repayment rate. Since Yunus gave out his first loans in 1974, microcredit schemes have spread throughout the developing world and are now considered a key to alleviating poverty and spurring development. Worldwide, microcredit financing is estimated to have helped some 17 million people. "Yunus and Grameen Bank have shown that even the poorest of the poor can work to bring about their own development," the Nobel citation said. Today, the bank claims to have 6.6 million borrowers, 97% of whom are women, and provides services in more than 70,000 villages in Bangladesh. Its model of micro-financing has inspired similar efforts around the world.

Note: Why not reduce involvement in the stock market and invest instead in ending poverty? You still get a return on your investment while knowing that your money is helping to pull entire families out of poverty. To make a real difference in helping to reduce poverty in a dramatic way, see our empowering microcredit summary, which describes how you can easily participate this inspiring worldwide movement.


The world champ of poverty fighters
2005-07-01, Ode Magazine, July 2005 Issue
Posted: 2006-11-22 18:23:13
http://www.odemagazine.com/article.php?aID=4126

Poverty can be solved, declares Muhammad Yunus. A former economics professor, who holds honorary doctorates from 22 universities in 11 countries, Yunus has seen for himself what works and what doesn’t work in Bangladesh, just about the poorest country in the world. "Charity is not the way to help people in need. If you want to solve poverty, you have to put people in a position to build their own life. Unfortunately, this is not how the aid industry works. Western governments and development organizations think they need to offer permanent charity. As a result, they keep entire economies in poverty and families in an inhuman situation." As founder of the Grameen Bank, he is the creator of a concept that now represents an emerging force in the financial world: microcredit, small loans for poor people. Grameen has become a model for banks in nearly 100 countries. "I still think we can cut poverty in half within 10 years and can eradicate it within a human lifetime. Credit is one of the barriers we must eliminate so that the poor can clamber out of poverty. Thanks to the mobile telephone, farmers in Bangladesh can negotiate directly with their customers. Via internet, farmers find out the actual market value of their goods, enabling them to strengthen their negotiating position. They are no longer forced to rely on the clever middleman who kept the farmers in ignorance and took off with their money." Yunus has demonstrated that combating poverty starts with action. And that these actions can sometimes even make a profit.

Note: Yunus was awarded the 2006 Nobel Peace Prize for his empowering work. For lots more on this inspiring movement and what you can do to help pull families out of poverty, click here.


Bankers for poor win peace Nobel
2006-10-13, CNN News/Associated Press
Posted: 2006-11-11 00:00:00
http://www.cnn.com/2006/WORLD/europe/10/13/nobel.peace.ap

Bangladeshi microcredit pioneer Muhammad Yunus and his Grameen Bank were awarded the Nobel Peace Prize on Friday for their work in advancing economic and social opportunities for the poor, particularly women. The economist and the bank he founded will share the prize. They were cited for their efforts to help "create economic and social development from below" ... by using innovative economic programs such as microcredit lending. Grameen Bank has been instrumental in helping millions of poor ... improve their standard of living by letting them borrow small sums to start businesses. Loans go toward buying items such as cows to start a dairy, chickens for an egg business, or mobile phones to start businesses where villagers who have no access to phones pay a small fee to make calls. "Every single individual on earth has both the potential and the right to live a decent life. Across cultures and civilizations, Yunus and Grameen Bank have shown that even the poorest of the poor can work to bring about their own development," the Nobel Committee said in its citation. Microcredit is the extension of small loans, typically US$50 to US$100, to entrepreneurs too poor to qualify for traditional bank loans. The bank claims to have 6.6 million borrowers, 97 percent of whom are women, and provides services in more than 70,000 villages in Bangladesh.

Note: If the above CNN link does not work, click here. To make a real difference in the world and to help reduce poverty in a dramatic way, see our empowering summary of this inspiring worldwide movement.


A new way to do well by doing good
2006-01-05, Wall Street Journal/Pittsburgh Post-Gazette
Posted: 2006-11-11 00:00:00
http://www.post-gazette.com/pg/06005/633114.stm

Making tiny loans to poor entrepreneurs in developing countries has long been a popular charitable cause, but it is now gaining traction as an investment. Microfinance, as these loans are known, is aimed at lifting some of the world's most destitute people out of poverty by providing seed money for small businesses. Funding for the loans traditionally has come from charities and government-aid organizations. Now, an increasing number of private funds are steering capital to microfinance. Many of the new investment instruments have been launched by nonprofit organizations long involved in the industry, including Grameen Foundation USA, the Foundation for International Community Assistance, both in Washington. Microfinance investing got a boost this fall when eBay Inc. founder Pierre Omidyar and his wife, Pamela, gave $100 million to Tufts University to create a fund that invests in microfinance vehicles. Microfinance investment funds...lend money for small-scale businesses, such as vending fruit, weaving shawls or operating small farms in poor countries around the world. Calvert Foundation offers Community Investment Notes, which require a minimum $1,000 investment, and can be earmarked to invest in developing countries or other initiatives, including post-Katrina recovery on the Gulf Coast.

Note: Microfinance is one of the most empowering movements in the world. When we let go of our fears around finances and put our money where our heart is, we invite major transformation into both our personal lives and our world. For how to get involved, see http://www.WantToKnow.info/051023microcredit


Breaking Cycle of Poverty with Microloans Yields Nobel Peace Prize
2005-10-23, New York Times/Wall Street Journal/BusinessWeek/The Economist
Posted: 2006-11-11 00:00:00
http://www.WantToKnow.info/051023microcredit

Several major media articles have sung the praises of microcredit, also known as microfinance and microlending: New York Times: Tiny Loans Make a Big Difference in Lives of Poor; Wall Street Journal: A new way to do well by doing good; BusinessWeek: Microfinance funds lift poor entrepreneurs—and benefit investors; The Economist: Microcredit in India, High finance benefits the poor; Excellent general article in Time magazine titled "The End of Poverty" CNN/Associated Press: Bankers for poor win peace Nobel. Without donating a penny, you can help to break the cycle poverty in a very real way. Microcredit investments are not donations or charity. Like other investments, the money is always yours. You even earn a small amount of interest. Yet for every $1,000 you invest, several entire families in the developing world can be pulled out of poverty every year. That is part of the reason why the United Nations declared 2005 to be the International Year of Microcredit and why the individual and group who originated the microcredit concept were awarded the Nobel Peace Prize in 2006. To download a free 24-page guide to microcredit and community investing, click here.  And note that these investments are not influenced at all by market fluctuations.

Note: For more detailed information on this incredibly inspiring means of decimating poverty, click here.


Important Note: Explore our full index to revealing excerpts of key major media news stories on several dozen engaging topics. And don't miss amazing excerpts from 20 of the most revealing news articles ever published.