Economic crisis can be ended Through Farz Methodology
Before I come to the point that I want to make today, I have a little story to narrate. About four years ago, I stumbled on to the microfinance sector by a sheer stroke of chance. Before that I had always dreamt of doing something for the teeming millions suffering in the ruthless clutches of poverty. Microfinance, as you all know, was supposed to be one important tool in fighting the menace of poverty. I began my new assignment in this sector with all sincerity. Soon I was awakened to the fact that conventional microfinance, in most cases, was producing the results directly opposite of the stated aims. I cannot doubt the intentions of the donors, but in the intermediary layers there was a rampant abuse, which, in fact, was further plunging the poor into a bottomless pit of misery. That was the point when I began to reflect on the causes of the setbacks in the sector. During the same period the news of failures in the worldwide conventional microfinance sector began pouring in. this also coincided with the worst recession since the great depression of the 1930s. By the way it began with the sub-prime loan crisis and sooner, rather than later, it took over the whole developed world. Even today the world is still reeling under this crisis with no end in sight so far. The most striking realisation which I had during the period I was working with conventional microfinance, was the nature of the relationship between the client and the facilitating agency. It was a cold, business-like, kind of matter of fact type relationship. I was surprised to see the utter disregard of the facilitators towards the clientsÕ education, skills, abilities and plight. Here was the root cause of the set backs which led to […]