What is Microfinance?
[[File:Community-based savings bank in Cambodia.jpg|thumb|Community-based savings bank in [[Cambodia]]]] '''Microfinance''' is the idea to provide services [[bank]]s and [[insurance company|insurance companies]] provide to those people who usually are not served by such businesses. It is an important form of [[development aid]]. Serving these people is usually very expensive for banks and insurance companies; that is why they usually do not do it. Speciaized [[NGO]]s like [[Oikocredit]] provide these services: *Banking and other services are based on a personal relationship, rather than commercial interests. *Very often, several people apply for a [[loan]] or insurance together. As an example, microfinance allows people in underdeveloped countries to start their own businesses for their family. {{stub}} [[Category:Finance]]