What is an important criticism of microcredit institutions?

Question

Quizplus · Accepted Answer

Microcredit institutions may provide access to credit for individuals who previously did not have it, but they may not lead to broader socioeconomic change. Providing credit alone does not address the underlying issues of poverty, inequality, and lack of access to education and resources. Therefore, microcredit alone may not be sufficient in alleviating poverty in the long term.

What Is an Important Criticism of Microcredit Institutions