Informal traders at Cape Town ‘s Grand Parade. Survival businesses that are here today and gone tomorrow cannot further long term devemlopment.
After 1994 the microcredit movement helped plunge large numbers of black South Africans into heavy debt and poverty while enriching a few white elites who provided the loans.
Muhammad Yunus, founder of the Grameen Bank. The micro credit revolution he started has not been a panacea for poverty.
Microcredit, which was viewed as a perfect market-affirming solution to poverty in developing countries, has collapsed. In 30 years it's gone from Zorro to Zombie.
Small business owners, such as this vendor in Cape Town, need access to affordable micro loans.
A strong case needs to be made for the survival of community-based financial organisations. While not perfect, the sense of ownership is high.
Multiple approaches to alleviating poverty help cater for different contexts and groups of people.
There is no one perfect package for alleviating poverty, but there is agreement on what the elements should be. Combination and sequence of interventions varies, depending on context and beneficiaries.