Nobel laureate talks microcredit

A blend of humility humanity and economic savvy" Nobel laureate Muhammad Yunus spoke to a capacity crowd Thursday on the value of business driven by compassion and a desire to make a difference in the world.

""If we redesign the system piece by piece" we can create a different world" Yunus said.

Yunus received the Nobel Peace Prize in 2006 for his work with the Grameen Bank on microfinance in Bangladesh. The bank specializes in giving small loans to the poor and has spread to multiple countries.

Dressed in neutral colors with a paternal smile on his face, Yunus didn't look the part of world-renowned bank chief executive, and throughout his lecture he emphasized the difference between Grameen and the traditional banking industry.

 We looked at the conventional banks and what they do and then did the exact opposite"" he said.

Traditional banks in Bangladesh loan to men, but 97 percent of Grameen loans are to women. Traditional banks require collateral and a credit check, but Grameen banks don't do those either.

We're not interested in the past of the person" we're interested in their future" Yunus said.

And Grameen's future might lie in North Carolina. While in the state, Yunus spoke to a group of financial institutions on implementing a system modeled after the Grameen Bank in the state.

We have 9 percent unemployment and 20 percent of North Carolina families live below the poverty level"" said Jim Blaine, president of the State Employees Credit Union, who spoke with Yunus earlier this week. There's a great need for this service here.""

In order for Grameen to come to the state" the banking commissioner will have to provide the company with a microfinance license" and Grameen will have to work with existing nonprofit systems in the state.

""What's unknown is if a model from Bangladesh will be successful" Blaine said. But it can be done at a low cost" and it is a very good opportunity to help a lot of needy individuals.""

It's a part of human nature to be selfish" but it is also equally human to be selfless Yunus said. Thus if people develop businesses on the basis of selflessness they will not be driven by profit but by desire to change the world" he said.

""Yunus embodies change and how that change can happen on a grassroots level and impact millions of people"" said Fahmida Azad, president of Aasha, a campus organization that helps alleviate poverty in Bangladesh.

Along with the Carolina Microfinance Initiative, the group was instrumental in bringing Yunus to UNC and generating interest in his speech.

It was unbelievable"" said the initiative's coordinator, Ryan Leatham. We're all equal in his mind. He's just done amazing things with the opportunities that he's been given.""



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