The organizations which provide micro credit:
In Bangladesh there are several types of organizations provide micro credit. All of theorganizations are non governmental organizations (NGO). These organizations play animportant role for the economic development of Bangladesh. Grameen bank ,Bangladeshrural advancement committee ( BRAC), Association for social advancement (ASA),PROSIKA are the important micro credit providing organizations in Bangladesh.
1. Grameen bank
:Grameen bank is one of the largest non governmentalorganization in Bangladesh. The founder of this bank was thefamous economist Dr. Mohammad Yunus. Grameen bank wasfirst introduced the micro credit to the rural people. This bank always prefer women rather then men to provide micro credit.Because it is found that women are more conscious then menabout the savings children’s diet, family health and nuitrition.However the most important objective of the bank is to provide loan to the poorest first.Women represent the group which is the poorest of the poor. Grameen bank has somesocial commitment. The bank encourages all of its borrowers to save 5 percent of the loanamount plus one taka per week. As soon as a borrower accumulates sufficient saving,she buys one (and only one) share in the Bank, which costs $3.Only the borrowers of thebank can buy the share. One of the important strategy of the bank is that after taking theinterest from the borrowers it make a modest profit and then it gives the profit to theshare holder as dividend. The current rate of interest on workink capitais 20 percent and on home loan is 8 percent. Last year the bank has made a profit of US$680,000. In a developing country such type of organization plays an important role.
Source: All the data has been taken from the HOME PAGE of the Grameen bank.
2. Bangladesh rural advancement committee ( BRAC ) :
.BRAC was introduced after the liberation war in Bangladesh. Itwas started its work to provide relief to the war effected people.After some years this organization has taken some important