2. Muhammad Yunus observed the famine of 1974 and
became involved in poverty education.
He established a rural economic programme as a
research project.
He developed a new era three share farm which the
government adopted as a Packaged Input Programme.
His associates and proposed the village government to
make his project more effective.
3. In 1976 he visited very poor households in the village
of Jobra.
There he found that small loans would make a
difference for a poor person.
He lent money to 42 women and gained profit.
With this idea he borrowed money from different banks
to lend to the poor.
The Grameen Bank formed from his project.
4. His idea of microfinance idea spread to developing
countries and even developing countries.
