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Essay / Microfinance and microfranchises: a solution to poverty
With the sunrise, most of us wake up to a day of possibilities, but for those living in extreme poverty, the dawn does not brings only anxiety and despair as they try to survive with little means. to nothing. More than a billion people currently live in extreme poverty, unable to imagine a future without hunger, disease and oppression. Extreme poverty, defined as living on $1.25 a day or less, locks generations into a harsh existence with few opportunities to escape. Helping to eliminate extreme poverty means firstly understanding that it is possible to offer people a way out and that if this is possible, then we have a responsibility to do so. Millions of people die every year because of extreme poverty. While few would say we should avoid saving the lives of millions, many would say the situation is hopeless. Dispelling this myth is critical to making the public understand that we have the tools to end extreme poverty within the next 30 years. According to the 2010 Millennium Development Goals report, the percentage of people living in extreme poverty in East Asia increased from 60% in 1990 to a staggering 16% in 2005. This represents a remarkable achievement over such a short period and should serve as a reference. proof that with targeted efforts, we are capable of eliminating extreme poverty. The path to eliminating extreme poverty will not be easy, but through innovation, ingenuity and participation, we can achieve this goal. Participation should include both the community and, where possible, existing government agencies. Having a pre-established framework in place can speed up the process of stabilizing a community in crisis and lay the foundation for growth. Government agency ... middle of paper ...... opportunity to purchase the basic supplies needed to start their own business and begin their path to self-sufficiency. In the same spirit, there is the creation of franchise kiosks to provide missing but necessary services. Funding is provided to help poor people access franchising where they are business owners using pre-established protocols. Franchising helps minimize risk because advertising and supplies are provided along with the initial capital and business plan so that money is spent more efficiently. VisionSpring is a brilliant example of this idea. Community members purchase their own VisionSpring franchise and sell glasses to surrounding low-income communities who otherwise would have no source of corrective glasses. This provides the seller with a decent wage and the community with a valuable service..