What is Microfinance?

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Accepted Answer

Microfinance is a financial service that provides small loans and other financial services to low-income individuals or groups.

Microfinance helps to alleviate poverty by providing access to financial services to those who are traditionally excluded from the formal banking sector.
It typically involves small loans, savings accounts, and insurance products.
Microfinance institutions (MFIs) are the organizations that provide these services, and they often work with groups of borrowers to provide support and build community.
Examples of microfinance institutions include Grameen Bank in Bangladesh and FINCA International.
Microfinance has been successful in helping to lift people out of poverty and improve their economic prospects.

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