|
Do not misuse term microcredit: Muhammad Yunus |
|
|
Published: Saturday, Feb 19, 2011, 23:16 IST
By Priyanka Golikeri | Place: Mumbai | Agency: DNA
“People with a motive of making profits should not use the term
microcredit to describe their activities,” thundered Prof Muhammad
Yunus, often hailed as the father of microfinance.
The 2006 Nobel Peace Prize winner was reacting to questions by
journalists on the commercialisation of microfinance. The Bangladeshi
economist said he was dismayed by the commercialisation of the concept
he pioneered, whose sole aim is to benefit the poor.
“When we started the concept of microcredit, we didn’t go there to make
money. If you want to commercialise this activity, then choose another
term to describe yourself. Don’t call yourself a microcredit player,”
said Yunus. who started the concept of giving micro-loans to the poor
and eventually established the Grameen Bank to give microcredit to the
needy.
Asked what he thought about Vikram Akula, founder of SKS Microfinance,
Yunus said he was a great person who had started with Grameen, but later
he went the money-making way.
“Both our countries need a regulatory authority which can help financial
services reach the poorest. The interests of the receivers of
microfinance should be protected,” said Yunus, adding that he is
optimistic about the Malegam report which has capped interest rates at
24%.
Source: http://www.dnaindia.com/mumbai/report_do-not-misuse-term-microcredit-muhammad-yunus_1510377
|
