Human capital formation through microfinance: An impact assessment

Abstract

In 1974, Dr Yunus disburse microloans to empower Bangladeshi women. The poor women paid back the loan amount with interest from income generated from small scale initiatives. The word 'capital' refers to the “reproductive power of producer goods, both natural and man-made ”, in other words, “capital is the accumulated goods devoted to the production of other goods ”. The author revealed that self-esteem, self-respect, self-confidence, trust and attitude positively affected by microfinance activities. Maldonado (2002) Signify the positive association between wealth level and demandfor education (human capital).