Families receiving microfinancing are less likely to pull their children out of school for economic reasons.

Byco, a new microfinancing site, seems to address those concerns.

Any income generated is then reinvested for future microfinancing needs.

A common misconception is that microfinancing is meant to help the poorest of the poor.

The concept of microfinancing is nothing new.

This has helped to catalyze the growth of sustainable microfinancing to local women-owned enterprises.

By 2010 this number had grown to over 800 organizations that provide direct services to entrepreneurs-either microfinancing or business development services.

Microfinancing also presents cultural challenges.

Does Microfinancing Really Work?

Meanwhile, academic research continues to question the impact that microfinancing has on alleviating poverty rates - all of which appears to have driven off would-be investors.

Rise provides microfinancing and mentorship to entrepreneurs living with mental health and addiction challenges who are interested in pursuing self-employment.

A great deal of research on appropriate technologies and microfinancing refutes the notion that "ordinary people" do not have the capability to improve their circumstances through their own efforts.

It is therefore necessary to strengthen the various methods of supporting microfinancing for companies, and to secure the better coordination and interlinking of the individual programmes that already exist.

Microfinancing has shown that it actually works, it helps poor people to help themselves,' Johan Andresen, initiator, owner and chief executive of Ferd told Reuters.

His involvement in microfinancing began a little over two years ago, when a Swiss banker and friend, Melchior de Muralt, approached him about investing in BlueOrchard.

One of microfinancing's cardinal rules is that borrowers, though they may lack collateral, must be treated as serious business people, not charitable cases, so the Mindanao foundation charges 3 percent monthly interest.

The ratings reflect Danamon's strong profitability, improved and well-reserved NPLs and quite stable capital position, thanks to its rapidly growing and well-managed franchise in urban microfinancing.

Microfinancing in India has been in turmoil after a rush of lending and aggressive loan collectors in the state of Andhra Pradesh sparked a wave of suicides there.

But with advice from SWOT City, a pilot program run by foundation-backed small-business incubator TechTown Detroit, Ward has received microfinancing to solve his inventory problem.

This is one reason "real" banks are starting to get involved, and the reason an increasing number of governments and international organizations have realized that microfinancing provides a worthy form of renewable development capital.

On the nonprofit microfinancing site, Kiva, the Flying Spaghetti Monster group is in an ongoing competition to top all other "religious congregations" in the number of loans issued via their team.

AVAG is associated with the National Australia Bank, the Indian Bank and the ICICI Bank for the microfinancing and SHG loans.

Wedu's model envisages a limited number of scholarships; most students will receive microfinancing, requiring them to repay up to 10 percent of their future earnings over a 10-year period - with exemptions for those who take low-paying jobs with high social value.

The history of microfinancing can be traced back as far as the middle of the 1800s, when the theorist Lysander Spooner was writing about the benefits of small credits to entrepreneurs and farmers as a way of getting the people out of poverty.

The modern use of the expression "microfinancing" has roots in the 1970s when organizations, such as Grameen Bank of Bangladesh with the microfinance pioneer Muhammad Yunus, were starting and shaping the modern industry of microfinancing.