In Venezuela, going to the bank is getting easier for people who live in low-income neighborhoods.
The government is pushing financial institutions nationwide to open up in areas that historically lacked access to banking. Small loans are being given out in these areas, which are hotbeds of entrepreneurship.
The technique of microfinance, as it is known in development lingo, has for many years been practiced by government lending agencies such as the Banco de Desarrollo (the development bank known as BANDES) and Banco de la Mujer (the women’s bank, BANMUJER). Micro-lending has been an important part of Venezuela’s anti-poverty effort.
Venezuela continues to experience high rates of economic growth and consumer activity. Small businesses open up every day. Now, the poor may stand to benefit more as the private banks catch on and capture the market for financial services. Read more here.