Question

The microfinance concept has been a blessing for many people in developing countries. Its success there is prompting some to wonder if it can spur growth in poor areas of developed nations, such as in some poverty-stricken city centers.

What, if any, cultural or commercial obstacles do you foresee derailing this concept in developed nations?

Answer 1

Answen— Given that The concept of Microfinance: - = in the recent days, the developing nations build part nenship with emerging Entrepreneurs who are in need of capital. 3 The apvernment in the developing nations provides some sort of finance to the entire preneurs. this kind of activity refers to Microfinan. Le * The obstacles for Microfinance :- - The concept is very much of Micro finnce helpful in the developing nations. This concept has become a great success in the developing nations due to its lean policies, young =). The entrepreneurs looking for a start up prefer Micro finen ce rather then other fieri ancial institutions.

- In the case of developed nations, the banks and other financial institutions affer loans to the entrepreneurs at the same rate as microfinance organizations popular => the concept of Microfinance is not in developed countries. 5. There are no cultural commercial baniers to Macao finance in developed countries. *). The awareness among the people is less in developed countries. U con clusion : as the concept in the present trend, of successfd. Micro finance is take steps in must =) The government fi non ce for fcamers providing micro who wish to enhance their business and their income.