How Did Yunus Develop the Concept of Microfinance?
In the 1970s, while teaching at Chittagong University in Bangladesh, Yunus took a field trip to a poor village where he met a woman making bamboo stools. Despite her hard work, she could not escape poverty due to the high-interest loans she had to take from local moneylenders. This encounter inspired Yunus to lend small amounts of money from his own pocket to the villagers, which led to the creation of the Grameen Bank in 1983. The bank's success demonstrated that even the poorest individuals are creditworthy and can repay loans when given the chance.