searching After on the internet, I found that microcredit is the extension of extremely small loans to the unemployed, poverty stricken people. This takes place mainly in developing countries, but has more recently sparked developed nations attention such as the United States. Banks are not willing to lend money to these poor people because there is a very small chance they will be able to repay and thus, traditional banks consider them "unbankable." This idea of microcredit was first introduced by Dr. Akhtar Hameed Khan as the founder of East Pakistan (now Bangladesh) Academy for Rural Development. Inspired by Dr. Khan's idea, organizations such as ACCION International and Grameen Bank were initiated. Grameen Bank was an "actionresearch project" conducted by Mahammad Yunus, a Bangladeshi banker, economist, and former professor of economics. He made this idea possible and successful against most beliefs of this concept not actually being feasible. He discovered when these people are given the opportunity to gain capitol; it could make a huge difference in their survival. Mahammad Yunus also found that women were more likely to repay the loans, first revealed in a small village in Bangladesh where he experimented with women making bamboo furniture. Thus, almost 96 percent of Grameen loans have gone to women because of their devotion to serving the needs of their and family saving, and Grameen was established as a registered bank. Today, "The World Bank estimates that there are now more than 7,000 microfinance institutions, serving some 16 million poor people in developing countries." Bringing this movement close to home, Brigham Young University is the proud sponsor of Grameen Bank's first student chapter. The BYU Grameen support group's goal is to educate the public about microcredit and the impact it can have on society. They try to motivate the community in efforts to raise funds and make a difference in these people's lives. In October of 2006, Mahammad Yunus, who had recently received the Nobel Peace Prize, came to Brigham Young University for a conference meeting with faculty and students.
He was shocked at our community's interest and intrigued by our dedication to this great cause. Today, Mahammad Yunus continues his success with microcredit promoting the concept all around the globe. He has received over sixty prestigious awards including the 2006 Nobel Peace Prize (previously mentioned) presented to him by our former President Bill Clinton. He is known world-wide and inspires many to join the cause and make a difference in the world's continuing struggle of poverty. Personally, learning about microcredit has ignited my interest and motivates me to get more involved in service and helping those really in need.