The world is digesting the news that the Nobel Peace Prize for 2006 has been awarded Bangladeshi Muhammad Yunus and Grameen Bank for their efforts to create economic and social development.
Grameen issues colateral-free loans to the poorest people. Grameen methodology is not based on assessing the material possession of a person, it is based on the potential of a person.
Grameen believes that all human beings, including the poorest, are endowed with endless potential.
According to an article on FT.com , personal wealth is distributed so unevenly across the world that the richest two per cent of adults own more than 50 per cent of the world’s assets while the poorest half hold only 1 per cent of wealth.
It appears that the free market by itself does not alleviate poverty. More social businesses such as the Grameen need to step up to help the poor to bring about their own development.