How can Microcredit make a difference?
Microcredit provides the much needed financial stability that is needed by many low income households in Indian villages, semi urban and urban areas. It gives them the opportunity to access finance at reasonable rates of interest and provides a healthy and sustainable alternative to the local money lender. For instance: Lakshmi in Doddahalli requires a loan of Rs 5000 in order to buy a second hand refrigerator. Lakshmi runs a small vegetable shop and will use the refrigerator to store her left over vegetables and sell them the next day. This is the beginning of financial independence for Lakshmi. Like Lakshmi, there are tens of thousands of people across India who want to make a beginning towards financial independence. And microcredit provides the means to achieve this independence.
