Grameen Bank

Dr. Muhammad Yunus, Professor of Economics at the University of Chittagong in Bangladesh founded the Grameen Bank. This began, when he could not reconcile the fact that people create enormous wealth working hard so that their employers could keep the fruits of their labor. In fact, this situation occurs in developing countries where people are exploited and have nobody that puts a stop on this. These unfortunate people are not allowed to invest, get loans, or get credit, because they cannot provide collateral.

Dr. Yunus found out that people did not succeed, because there are no resources or aid for the poor. They do not have possibilities to achieve their dreams. Most of these people are literate, and have a lot of potential to pursue a good job; yet, the lack of employment discourages them, and unconsciously they start believing that there is not solution to poverty getting easily discourage.

The fact of poverty in today's world is hopeless; however, Dr. Yunus came up with an idea. He wanted to be an intermediate of a bank; meaning that he would get loans from the bank, and then lend it to the needy. The results were positive. The amount of money borrowed by the people was paid on time. Therefore, he applied this idea in other towns and villages, and in all of them people was responsible, and paid the loan borrowed on time. With this proof, he went to several banks attempting to get loans directly to the needy, but again failed. With this unfortunate result, he decided to open a bank on his own. The result of this new bank "Grameen Bank,"was extremely positive, and gave new hope for the unfortunate ones, especially for women that are discriminated