INTEREST RATE OF MICRO CREDIT IN BANGLADESH
- Impact of Microfinance in Poverty Alleviation -MFIs are successful at reaching the wealthier poor; not to the extremely poor and destitute groups.
- For poor with previous indebtedness, MFPs are not effective .Effective only for economically active poor.
- MFI interest rates are much higher in terms of borrowers’ graduation.
- Charging high interest to poor is unfair, and unrealistic.
- Only economically active women could uplift their empowerment status. Majority of MFI members remained or demoted into ‘low level of empowerment’.
- Non-members improved or at least sustained their empowerment status.
- Inelastic demand for Islamic MFPs exists in the study areas.
- Islamic MFPs have the potential to alleviate rural poverty.
- In a nutshell, MFIs are not doing exactly what they are publicly claiming. Microfinance is a good business for the MFIs; but, unfortunately, not so for its borrowers. Ironically, many poor borrowers, in fact, get deeper into debt and poverty in the process. Therefore, a modified, comprehensive, and specialized approach is needed to address the diverse needs of the poor and alleviation of poverty.
- Special care should be given to the extremely poor and destitute.
- Sufficient amount of loan should be given-Upon ensuring skill development training, in kind, at a reasonable lower interest rate, to enterprises selected upon consultation with MFIs.
- loan re-payment instalment should be fortnightly or monthly.
- Regular monitoring, follow-up support and services should be ensured.
- Steps should be taken for liquidation of members’ indebtedness with moneylenders.
- Institutional supply of raw materials can benefit the borrowers and enhance institutional sustainability. Marketing facilities for the members should be given to ensure fare products price.
- PLS SEE DETAILS IN
- https://www.slideshare.net/sayeed786/the-microfinance-initiatives-for-poverty-alleviation-rhetoric-and-reality-in-bangladesh
Is Bangladesh sustainable with this population?
let's do some math.
Bangladesh population is 163,831,408
The country has a population density of 1,115.62 people per square kilometre,(2,889.45/square mile), which ranks 10th in the world. The surface area in Bangladesh is currently at 147,570 km² (or 56,977 square miles).
Bangladesh is expected to reach a population of 170 million by 2020, and 186 million by 2030. the current UN projections have Bangladesh's population growing until 2053 when it will hold an estimated 202.7 million people. Dhaka is 3rd most densely populated city in the world.more than one million refugees from Myanmar staying in Bangladesh as well. On the rise of NRC and CAB in India, people fear that Muslim in neighbouring states of India will influx to Bangladesh as well, today or tomorrow.so the question is Is Bangladesh sustainable with this population. The answer is yes if there is proper planning for the next 50 years from now. the government should study the matter seriously, make a detailed plan and programme to counter possible complications and adverse effects which will be created by the vast population. every district and metropolis should have their own plan and programme for health, infrastructure, transport, food security, education system etc for the next 50 yrs. Also, strong diplomatic measures should take to prevent influx of people from India. otherwise, Bangladesh will fail to meet the challenges of the 4th industrial revolution.
BANGLADESH, WHAT ARE THE MAIN PROBLEMS?
Society of Bangladesh is deeply divided from inside. politicians made it and they want to keep it as well because of financial gain.
To be true, political structures and institutions are now not functioning, and the politicians don't want to see it functioning.
we speak the same language, eat almost the same food, culture is also almost the same. But some people only focusing on differences
and aiding to divide society for their own financial and other gains. In the long run, this division will weaken national strength and it will be a failed state. So what to do? In these circumstances, all intellectuals should raise their voice in a peaceful manner. Everyone should tell white as white and black as black. Who is in power or who will come in power in future is no big deal. The big deal is making the proper institutions which can run independently and make the right decision without bias. many men many minds.its the beauty of democracy. once Voltaire said, I might disagree with your opinion but I am willing to give my life for your right to express it. Realizing this by heart will be the first step to come out of this division otherwise some neighbour and some insiders will use this division for their gain. I am not a supporter of martial law. politics and ideologies should be counter with politics and ideologies.one party system or martial law will not work in Bangladesh.polticians and public should understand it clearly. the early we will realize, the early we can recover.
