Micro loan- a small loan given to individuals who might not have access t typical banking services, usually to start o expand small, self-sufficient businesses.
Who gives out micro-loans?
one of the best- known leaders is kiva.org
- kiva has made 10.6 loans
- kiva's current payment rate for all is its partners is 99.01%
Who receives micro-loans?
- micro-entrepreneurs who are trying to start a small business
- villagers needing to fund a clinic, hospital or other health care facility.
- teachers trying to run a school
- students wanting to further their education
Problems with micro-loans
- High interest rates- sometimes as high as 23%
- The cost of providing banking services to those living in poverty is high. being the company to process one $500,000 loan, or or five hundred thousand $1000 loans.
Micro-loans are a help, not a cure
- banking services are often unavailable to poor people
Challenges
- there are many kinds of challenges faced by developing nations
- some can be alleviated through micro-loans
- poor health care
Malaria
- its a mosquito-borne infectious disease
- humans and animals can be infected through the bite of a female mosquito
- no vaccine exists
- it kills around 665,000 people a year, many of them children in Africa
- mosquito nets can be effective
Philanthropy- is the generous donation of money to good causes, and Bill and Melinda Gates are the second greatest philanthropists in history (28 billion 1/3 of their wealth).
they support research and development for a vaccine, diagnosis, and mosquito-control measures- like mosquito nets.
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