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Microfinance is a method by which small amounts are loaned to those living in poverty, especially women, who are ineligible for loans from general banking institutions. Microfinance loans do not require a guarantee, and support production and business activities while expediting the independence of individuals living in poverty. Microfinance became widely known to the general public when Muhammad Yunus, the founder of Grameen Bank in Bangladesh that pioneered microfinance, received the Nobel Peace Prize in 2006.