Nobel Peace Prize winner Muhammad Yunus was an economics professor in Bangladesh when he launched the Grameen Bank in 1983. Since then, the innovative bank has made small loans to almost 7 million of the poorest people in one of the world's poorest countries.
Grameen's "micro" loans, usually totaling less than $100, go to people with no collateral. Borrowers (almost all are women) use the money to start small village businesses, which often catapult them from squalor to self-respect.
Grameen, which is profitable, has a repayment rate of nearly 99%. Unlike wealthy borrowers, the poor know that if they default on one loan, they'll never get another, Yunus says. The micro credit concept has spread to more than 100 countries, including the USA. Now, Yunus, 66, seeks to rally support for eradicating poverty in this century. Last week, USA TODAY's David J. Lynch interviewed him in Washington.
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