THE EFFICACY OF MICROFINANCE.PART 11

Various forms of microlending have certainly evolved worldwide from India to China, South East Asia to Latin America,have absolutely taking their grassroot and the world by storm.The Microcredit Campaign Summit 2015 report noted that by 2013 about 3,078 M.F.Is had touched over 211million people worldwide and about half of that figure were classified under extreme poverty bracket.The Asian Pacific region and India is expected to strengthen this growth.The market for microfinance investments ranging from micro,small and medium loans was envisaged to grow by 15percent.Now,many economists submit,it has a powerful force to alleviate or contract mass poverty,despite overwhelming odds by western pundits to the contrary.Despite the devastating tales of failure in some countries where it has plunged many households deeper into poverty due to inability to repay small loans,tremendous growth has been recorded elsewhere.This case of random failure cannot be exonerated from the inherent punitive or penalinterest charged.