Microloan: meaning, definitions and examples

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microloan

 

[ ˈmaɪkroʊloʊn ]

Noun
Context #1 | Noun

financial assistance

A microloan is a small loan typically given to entrepreneurs or small businesses that may not qualify for conventional bank loans. These loans are often provided by non-profit organizations or community banks to empower individuals in underserved communities. Microloans can help start or expand a business, covering costs like inventory or equipment.

Synonyms

microcredit, mini loan, small loan

Examples of usage

  • She secured a microloan to start her bakery.
  • Microloans have been crucial in helping small farmers thrive.
  • Many women in developing countries benefit from microloans.
  • The organization provides microloans to impoverished communities.
  • He used a microloan to buy a laptop for his startup.

Translations

Translations of the word "microloan" in other languages:

🇵🇹 microcrédito

🇮🇳 सूक्ष्म ऋण

🇩🇪 Mikrokredit

🇮🇩 mikrokredit

🇺🇦 мікрокредит

🇵🇱 mikrokredyt

🇯🇵 マイクロローン

🇫🇷 microcrédit

🇪🇸 microcrédito

🇹🇷 mikrokredi

🇰🇷 마이크로론

🇸🇦 قرض صغير

🇨🇿 mikrokredit

🇸🇰 mikrokredit

🇨🇳 小额贷款

🇸🇮 mikrokredit

🇮🇸 smá lán

🇰🇿 микрокредит

🇬🇪 მიკროსესხი

🇦🇿 mikrokredit

🇲🇽 microcrédito

Etymology

The term 'microloan' originated in the context of microfinance, which emerged as a movement in the 1970s. The concept was popularized by Muhammad Yunus, a Bangladeshi social entrepreneur, who established the Grameen Bank in 1983. The Grameen Bank aimed to provide small loans to the rural poor without requiring collateral, emphasizing the belief that access to capital could empower individuals and foster entrepreneurship. As the microfinance movement grew globally, the term 'microloan' became widely used to describe small lending products designed to support low-income individuals and communities. Today, microloans are seen as a critical tool for poverty alleviation and economic development, especially in developing countries.