Challenges Facing Micro-Finances

Feb 3rd, 2012
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Harvard University
Course: B.S
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This paper analyses the challenges faced by Micro financing institutions that hinder the growth of the sector. Micro-finance institutions provide financial services to low income earners. Although they contribute to the largest share of financial institutions that help people to move out of poverty, they are faced with many challenges. Firstly, lack of adequate risk management poses them to a threat of loss of their finances. Secondly, they are also faced with the problem of lack of regulation that hinders their growth**** The paper has an introduction, History of finance institutions, challenges faced by micro-finance institutions, recommendations and conclusion.

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