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The Dark Side of Microfinance: An Industry Where the Poor Play 'Cameo Roles'
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Hugh Sinclair is the author of a new book titled, Confessions of a Microfinance Heretic: How Microlending Lost Its Way and Betrayed the Poor, in which he debunks the image of microfinance as a do-good industry committed to helping poor people create sustainable businesses. Instead, he documents corruption, extortionist interest rates and a lack of transparency that he says characterize much of the microfinance industry today. Sinclair spoke with Knowledge@Wharton about his book, the problems microfinance continues to face, and some solutions for moving forward. (Podcast with transcript)
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