Local view for "http://purl.org/linkedpolitics/eu/plenary/2015-12-15-Speech-2-829-500"
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"en.20151215.52.2-829-500"2
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"I voted in favour of this report. The microcredits as alternatives to traditional bank loans which include high transaction costs and extensive bureaucracy, have proven to be an efficient tool in developing countries. This enables the local population to start their own businesses and develop local entrepreneurship, despite of scarce resources.
Since 2013, also in the EU, the Progress Microfinance Facility has made available EUR 205 million to boost development of small businesses. True, the facility does not directly finance micro-enterprises. It rather enables and encourages participating microcredit providers, the intermediaries, to extend and increase their lending capacity, thanks to improved guarantees based on refinancing under the facility.
This tool, aimed to encourage emergence of micro-enterprises and self-employment, in particular among people hit by unemployment, carries the valuable message of helping people to help themselves. As a rule, these people would not be able to qualify for traditional banking loans; therefore providing such microcredit options is a must. In order to involve a wider range of people who need microcredits, the rules have to be clear and simple, avoiding as much as possible unnecessary bureaucracy. This applies both for the intermediaries, as well as for the applying micro-businesses and self-employed people."@et1
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