Community development and international aid

Textbook (chapter)


Brown, Malcolm D.. 2014. "Community development and international aid." Chamberlain, Susanna, Foxwell-Norton, Kerrie and Anderson, Heather (ed.) Generation next: becoming socially enterprising. South Melbourne, Australia. Oxford University Press. pp. 188-202
Chapter Title

Community development and international aid

Book Chapter CategoryTextbook (chapter)
ERA Publisher ID2850
2851
Book TitleGeneration next: becoming socially enterprising
Authors
AuthorBrown, Malcolm D.
EditorsChamberlain, Susanna, Foxwell-Norton, Kerrie and Anderson, Heather
Page Range188-202
Chapter Number13
Number of Pages15
Year2014
PublisherOxford University Press
Oxford University Press Australia and New Zealand
Place of PublicationSouth Melbourne, Australia
ISBN9780195527896
Abstract

Introduction:
Not only is social enterprise something that can be applied to the developing world - it also has some of its roots there. The Bangladeshi economist Muhammad Yunus won the
Nobel Peace Prize in 2006 for his pioneering work on microcredit. During a famine in 1974, he famously lent a total of US$27 of his own money to forty-two poor people who were being kept in poverty by exorbitant interest rates and unfavourable conditions imposed by moneylenders; this small amount of money was enough to begin the process of getting them out of debt and out of extreme poverty. Overturning the conventional wisdom that poor people were not creditworthy, this act was also the seed from which the Grameen Bank and the larger Grameen family of organisations would grow. Grameen Bank has an exceptionally high repayment rate of over 98 per cent (which is higher than many commercial banks in Western countries), and many of their microloans are used to help poor people become
financially self-sufficient, by making and selling bamboo products, opening food stalls, buying mobile phones that can be used by other villagers for a small fee, and so on (Yunus 2007). Many of these projects have been replicated and adapted elsewhere: for example, RUMA, which is discussed in the case study 'Pt Rekan Usaha Mikro Anda (PT RUMA): A Successful Story of an Indonesian Social Enterprise' following this chapter; has adapted the mobile
phone project to low-income communities in Indonesia.

Keywordscommunity development; international aid; Muhammad Yunus; microcredit; Grameen Bank
ANZSRC Field of Research 2020440101. Anthropology of development
440499. Development studies not elsewhere classified
440703. Economic development policy
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Byline AffiliationsSchool of Arts and Communication
Institution of OriginUniversity of Southern Queensland
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