Poverty is everywhere and it is considered a major concern for the international developmental agencies. According to the United Nations reports in 2006, over half of the world 's population is poor. This large number of poverty in the world causes it to become a global concern for the entire world. That is when global politics plays an important role in dealing with varies global problems caused by poverty. The easy access to information connects everything and everyone. In return, this free access to information forces the world to oppose to this situation and to seek for ways to end poverty. The global concern about poverty reaches to many organization for help. As a result, a desire to make poverty something belongs to the past raises from
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These organizations come up with different strategies to find solutions to end this unending problem. Some of the most popular solutions that are suggested are: to better educate people, to offer people more access to health care, to resolve sanitation issues in these areas, and to increase the people 's economic security. One of the many ways that many of the big international organizations or the World Bank chose to promote in order to reduce poverty is the neoliberal project. The success of the neoliberal idea could give answers to many problems that the people living in poverty are facing. We know that social structures and economic inequalities play important role on a population 's wealth. Author Mustapha Kamala Pasha points out ideas, he gets from many other authors, about their thinking on the number of factors that are causing poverty. First, Mrs. Pasha mentions a country 's geography and population growth can act as a factor that can tolerate poverty. Second, He cites factors like cultural factors, economic inequality, and social structure (page 323). In addition, the author mentions three classification of poverty: extreme poverty, moderate poverty, and relative poverty (page 323). Extreme poverty, he simply describes it as a situation when a person is private from the basic needs he needs to survive. The lack of foods, shelter, sanitation, and education are the most obvious …show more content…
India is one of the most successful counties where microfinance project has been somewhat successful. Because of the nature of microfinance itself, it is almost impossible to say that this project truly helps people getting out of poverty. True, microfinancing provide the ability to have a more stable source of income. However, it is debt that has to be paid back. The mechanism used to get the loan to borrowers depends on capital provided by the government, NGO’s, and private organizations. Then, Local banks and credit union carrier out the loans request. In addition, payments are accompanied with a percentage rate interest. Even though the interest rate is quite low, the loan still can lead to a road of infinite debt. Let’s say that the worst happened, the beneficiate of the loan starts a small business and he or she is unlucky and the business is not successful. Does this person can afford to lose money that he or she does not have? According to the mix market website, around 8 billion dollar as form of small loans is already giving to the Indian population. Remember, the main goal of microfinancing is to first encourage financial suitability. The promise that microfinance could reduce poverty, can be misleading. First, we don’t know how long it will take for the borrowers to reimburse their loans. Second, women are mostly the main recipients of these small loans. By
These organizations come up with different strategies to find solutions to end this unending problem. Some of the most popular solutions that are suggested are: to better educate people, to offer people more access to health care, to resolve sanitation issues in these areas, and to increase the people 's economic security. One of the many ways that many of the big international organizations or the World Bank chose to promote in order to reduce poverty is the neoliberal project. The success of the neoliberal idea could give answers to many problems that the people living in poverty are facing. We know that social structures and economic inequalities play important role on a population 's wealth. Author Mustapha Kamala Pasha points out ideas, he gets from many other authors, about their thinking on the number of factors that are causing poverty. First, Mrs. Pasha mentions a country 's geography and population growth can act as a factor that can tolerate poverty. Second, He cites factors like cultural factors, economic inequality, and social structure (page 323). In addition, the author mentions three classification of poverty: extreme poverty, moderate poverty, and relative poverty (page 323). Extreme poverty, he simply describes it as a situation when a person is private from the basic needs he needs to survive. The lack of foods, shelter, sanitation, and education are the most obvious …show more content…
India is one of the most successful counties where microfinance project has been somewhat successful. Because of the nature of microfinance itself, it is almost impossible to say that this project truly helps people getting out of poverty. True, microfinancing provide the ability to have a more stable source of income. However, it is debt that has to be paid back. The mechanism used to get the loan to borrowers depends on capital provided by the government, NGO’s, and private organizations. Then, Local banks and credit union carrier out the loans request. In addition, payments are accompanied with a percentage rate interest. Even though the interest rate is quite low, the loan still can lead to a road of infinite debt. Let’s say that the worst happened, the beneficiate of the loan starts a small business and he or she is unlucky and the business is not successful. Does this person can afford to lose money that he or she does not have? According to the mix market website, around 8 billion dollar as form of small loans is already giving to the Indian population. Remember, the main goal of microfinancing is to first encourage financial suitability. The promise that microfinance could reduce poverty, can be misleading. First, we don’t know how long it will take for the borrowers to reimburse their loans. Second, women are mostly the main recipients of these small loans. By