Micro-finance Adopts Guidelines
Micro-financing lenders are set to adopt guidelines. This is after Compartamos, a Mexican microfinancing bank went public in 2007 and sold its shares for $468. Instead of giving the money to the poor or other people who would usually benefit from such an institution, they decided to give the money to their share holders. Many were very upset about this. Compartamos’ defense was that this was to show investors that micro-lending could be profitable and in turn an attractive investment. “There was a lot of concern, and there still is, that it’s very difficult to differentiate finance from micro-finance because, look, everyone is coming in,” said Lynne Patterson, the founder of Pro-Mujer, a network of Latin American micro-lenders that signed the code.
Do you think it was reasonable for Compartamos to give its profits to shareholders?
To read more community-related news, please visit http://www.causecast.com/community
For more on micro-finance see: http://causecast.org/org/kiva
For the full story see: http://www.nytimes.com/2008/09/26/business/worldbusiness/26micro.html?scp=6&sq=nonprofit&st=cse
Photo: frankh/Flickr
Ben
- Posted by CauseNews
- |
- 09.29.08
- |
- Go to original article
Related Articles
-
Electric Touch Finds Its Power in Youth and America
Electric Touch found time for Causecast’s Brandon Deroche at the Mile High Festival to discuss th...
- 11.07.09
- |
- 01:26pm
-
No Drugs Down The Drain Week: Los Angeles Fights Pharmaceutical Pollution
In L.A., No Drugs Down The Drain Week kicks off November 9, reminding residents that flushing unu...
- 11.06.09
- |
- 04:25pm
-
Screw It, Let's Talk Politics And Religion
Peace Dot is put on by Stanford University and markets itself as an attempt to harness computing ...
- 11.06.09
- |
- 04:12pm
-
Hope Plus: Online Global Activism Portal To Launch In December
At the Copenhagen Conference, a new web portal will be unveiled. The site, Hope Plus, is targeted...
- 11.06.09
- |
- 03:22pm
-
House Leaders Expected To Finally Vote On Health Care Bill
The House is set to vote on the health care bill over the weekend - it isn't too late to make you...
- 11.06.09
- |
- 01:20pm
