Micro-loans are meant to spur entrepreneurship and are mostly used to start or run a micro-enterprise like livestock rearing, tailoring, grocery store etc. These income generating activities enable poor households to become self reliant and hence gets them out of poverty. Often these small loans are also used for one time payments like education expenses, medical bills, or lifecycle events such as weddings and funerals.
Modified on: Wed, 27 Aug, 2014 at 11:32 AM
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