Borrowers have actually accused NGOs of recharging unfairly high interest, demanding quick payback, and reporting debts to your authorities
The great majority of men and women taking out fully microfinance loans in Sierra Leone are ladies. Photograph: Kate Holt for The Guardian
Final modified on Thu 15 Oct 2020 14.19 BST
The world’s biggest NGO happens to be forced to conduct an interior summary of a scheme that is money-lending operates when it comes to bad in Sierra Leone after some borrowers amassed significant debts and had been reported to police if they couldn’t repay loans.
A Guardian investigation right into a microfinance programme run by Brac unearthed that the NGO’s staff were neglecting to fully explain the conditions associated with the loan to borrowers, or guarantee they are able to spend the money for high interest levels connected with such loans. Read More Microfinance loan providers in Sierra Leone accused of ‘payday loan’ interest rates