The granting of fast loans or microcredits not only supposes a financial path for millions of people with lack of liquidity at any given time, but also favors entrepreneurship among the most disadvantaged and in areas without resources.
Offering small amounts of money to lower social areas
So much so, that this concept emerged in Bangladesh with the objective of offering small amounts of money to lower social areas or classes in exchange for small interests and a contribution to the general population. That is, over time they have been an aid to economic, financial and social development to promote the development of local trade, improve the quality of life of people and boost the flow of trade in its beginnings.
Nowadays it is still the case but now they have also moved to the more developed countries where crisis situations and economic needs also prevail, so the essence has not changed, its purpose is still to offer a financial alternative to unemployed, small merchants , entrepreneurs, large family members, etc.
In this way they contribute to the development of work and society itself in a situation where banks do not grant loans easily and even less to those who have fewer resources and are the ones who need it most. However, we must not forget that these companies, although they were conceived without profit, in the capitalist society in which we live do obtain economic benefits from this microcredit concession. However, they help improve society and energize it, so its presence among us qualifies as very positive.
Microcredits is a fundamental part in society development
And it is that the provision of microcredits is a fundamental part in the development of society because both business and family projects always need at some point some source of financing. When this process is interrupted, investment, growth and economic prosperity may be affected. In fact, we have the best evidence in the countries with the most developed credit markets with the highest growth rates.