Irony of Micro-Finance Business: Appearance of Loan Sharks
The poor are easily abused. In India dozens of poor people, who have found themselves trapped by micro-loans, have committed suicide. How ironic! The micro-loan-idea that earned Mr. Yunus of Bangladesh his Nobel Peace prize, are being abused by loan sharks.
Poor, ignorant people are offered loans upon loans, that they are not able to pay back. It seems like there are always those who see an opportunity for wrong and take it. It is not that the idea of micro-finance is bad, but that people are bad.
The poor need a hand from us, the wealthy of the world. But, I think this shows again that if you give people money or rice, but don’t give them a new way of living or hope, what is the point?
There are reasons why people are trapped in poverty. Sometimes it is lack of knowledge and bad choices. Sometimes it is lack of confidence. Sometimes it is an unjust and corrupt system that keeps the poor in poverty. Sometimes it is abuse, wars, natural disasters and the list goes on.
This is why the Biblical message of everyone’s equal value in the eyes of God is crucial. If you know you are loved and every wrong you ever did and do is forgiven, it changes everything. If you know there is a God who is inherently Good, it gives you hope. But also the Bible is a very practical and realistic book giving wise advice on living (don’t take loans you cannot repay, don’t speak behind people’s backs because they will find out) and tells the history of Israelis with all their failures and shortcomings. And learning all of this will change the way you look at yourself, your neighbor and your situation. You will have hope, which helps you to keep going through the tough times and you will have wisdom to make good choices. And this can bring about true change.