The purpose of microfinance is for the microfinance financial institution to become very profitable by investing in high gross profit entrepreneurs.

Question

Quizplus · Accepted Answer

The purpose of microfinance is to provide financial services, such as small loans and savings accounts, to low-income individuals who typically do not have access to traditional banking services. While microfinance institutions may aim to be sustainable and earn revenue, the primary goal is to empower and uplift underserved communities. The profitability of the institution is not the main purpose of microfinance.

The Purpose of Microfinance Is for the Microfinance Financial Institution