Summary of Pennies a Day - Full Video

00:00:00 - 00:10:00

The video discusses how access to financial services through microcredit can empower people to work their way out of poverty. It highlights the story of Grameen Bank in Bangladesh, founded by economist Muhammad Yunus, which provided small loans, often of just pennies a day, to those who were previously unable to access financial services, giving them the opportunity to start businesses and earn a living for themselves and their families. The system, called microcredit, provided loans without collateral or legal contracts, with 96% of loans made to women. Through peer pressure and individual pride, the system thrived and brought people together in Center Meetings to pay installments and discuss common problems, leading to the creation of successful, healthy businesses and social connections among the rural poor in Bangladesh. Grameen Bank has helped 56% of families move out of poverty, and with a 99% payback rate, microcredit has become a global phenomenon, driving hopes that the country can soon become a poverty-free nation.

• 00:00:00 In this section, the video explores the potential for individuals around the world to improve their lives given the right tools and opportunities, highlighting the example of Bangladesh where, in 1971, over 70% of its people were living on less than a dollar a day. Through the story of Minara Begum and Dinislam Hussain, who grew up in a world of poverty and lack of opportunity, the video shows how economist Muhammad Yunus came to realize that the missing piece was providing access to financial services, which would empower people to work their way out of poverty. This led to the founding of Grameen Bank, which provided small loans, often of just pennies a day, to those who were previously unable to access financial services, giving them the opportunity to start businesses and earn a living for themselves and their families.
• 00:05:00 In this section, Muhammad Yunus found a way to provide life-changing loans to forty two people who needed small amounts of money to start their own businesses in rural villages, which led to the growth of the Grameen Bank. His system, called microcredit, provided loans without collateral or legal contracts, with ninety six percent of loans made to women, despite traditional Muslim views of women's participation in the marketplace. Through peer pressure and individual pride, the system thrived and brought people together in Center Meetings to pay installments and discuss common problems, leading to the creation of successful, healthy businesses and social connections among the rural poor in Bangladesh.
• 00:10:00 In this section, we learn about the impact of second loans provided by the Grameen bank to borrowers such as Minara and Dinislam to enhance their creativity and improve their living conditions in Bangladesh. While loans are still small, averaging $85, the payback rate is a staggering 99%. With access to money, women are empowered to make decisions and have even brought about a shift in tradition. The loans have proved to be effective, with 56% of families under the Grameen Bank moving out of poverty. The success of micro-credit in Bangladesh has become a global phenomenon, driving hopes that the country can soon become a poverty-free nation.