Grameen Bank of Bangladesh
Grameen Bank is a pioneering microfinance institution established in Bangladesh by Professor Muhammad Yunus in the 1970s. The bank aims to provide financial services primarily to the rural poor who traditionally lack access to conventional banking facilities. The concept of Grameen Bank revolves around granting small loans, or microloans, without requiring collateral, thereby empowering borrowers, especially women, to engage in income-generating activities.
The bank aims to combat poverty and promote entrepreneurship through easy access to credit, enabling borrowers to start or expand small businesses. By 2018, Grameen Bank had expanded its reach to over 9 million members across about 81,600 villages. The success of Grameen Bank has demonstrated that even the poorest sections of society can be reliable borrowers, effectively contributing to their households' income and overall community development. The model advocates for the self-reliance and economic independence of women, further proving significant impacts on gender equality in Bangladesh.