Low-income Borrowers Claim Harassment by Microfinance Companies in Asia

Low-income Borrowers Claim Harassment by Microfinance Companies in Asia

Protests happen staged in many states over so-called coercive measures to recover re re payments.

Kolkata — Tensions are simmering in Asia’s microfinance sector as borrowers stage protests, claiming they’ve been being harassed over loan re payments.

Microfinance organizations offer little, collateral-free loans to ladies in low-income teams who possess trouble accessing formal services that are financial. Microfinance financing is usually a delicate governmental problem in Asia. Within the past, governmental leaders used financial obligation waivers as an easy way of wooing voters.

In September, nearly 100 females borrowers staged a sit-in at Patiala when you look at the north state of Punjab, alleging coercive recovery means of loan payments. Then, in October, a huge selection of feamales in the eastern state of Assam staged a protest that is similar. Read more of this post