The Microcredit Generation A Comparative Study of Grameen Bank�s

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The Microcredit Generation: A Comparative Study of Grameen Bank’s Impact on Bangladesh’s Youth Sabrina Talukder Mentor: Professor Inderpal Grewal Microcredit is a revolutionary new method for eradicating poverty, and is defined as “the extension of small loans to entrepreneurs (without any form of collateral) who are too poor to qualify for traditional bank loans.” Professor Mohammed Yunus is the creator of Microcredit, and was the first to formally practice it through his organization Grameen Bank (GB), which currently has 5.7 million borrowers in Bangladesh and has inspired over 137 Microcredit programs in 37 countries. GB and Professor Yunus have recently received the Noble Peace Prize, due to the profound affect Microcredit has had on the economic and social framework of rural Bangladesh. Although a significant number of studies have been done regarding the affect of GB’s policies on the bank members themselves, there is a lack of research concerning the relationship between GB policies and the children of the bank members, currently known as “The Microcredit Generation.” The primary purpose of this study is to determine this relationship by analyzing 18–24 year olds in three main focus groups: (1) “The Microcredit Generation” in the rural districts of Tangail and Gazipur, (2) uneducated young adults who live in the same rural districts (3) students of the same age group who can afford an education and reside in Dhaka, the capital of Bangladesh. Data for this study was collected over a two-week period in Bangladesh in an interview style format. The results of this study have demonstrated that GB has had a significant affect on the borrowers children in terms of their professional and personal goals.

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