Accounting and Program Audit Team
Log # 1
By: Daniel Crean
In high school, I had a vague and unsubstantiated understanding of
micro finance. I saw references to it in books and articles, but
never gave it sufficient attention or consideration. Over the past
year, that has begun to change. My roommate is a former GLOBE
manager, and we spoke a lot about both the academic and practical
aspects of the course. As we discussed concepts and loans my
interest in microfinance increased. However, my understanding was
still rather limited. I was intrigued by the subject, but had still
not devoted enough time to truly understand the intricacies of the
class. At this point, I had not considered joining GLOBE since I
did not have a business background and did not believe it was an
option.
The event that elevated my interest from mere intellectual
curiosity was attending a Microfinance Club of New York meeting.
The event in question featured a speaker, Mr. Vijay Mahajan, the
founder and chairman of BASIX Group, an Indian MFI who offers micro
lending packages including micro insurance in conjunction with
business training programs. Initially, I was apprehensive about
going to the event because being a mathematics major I did not
think I would have the finance background necessary to understand
the presentation. However, this feeling went away after the event
began as it became clear that, at its core, microfinance is about
people and social responsibility, which is something easily
accessible to anyone.
Mr. Mahajan spoke a lot about how his business works and there were
technical parts of the discussion, however the backdrop of all his
words followed the basic premise that microfinance helps those
living in poverty. Working to give the economically desperate
access to capital is not merely an exercise in financial theory.
The work that he did, and the stories that he told were about
helping people rise above the circumstances that force them into
poverty. In my eyes, his presentation was an appeal to human
compassion. There are billions of people living in poverty every
day, and microfinance is a potential solution to this problem.
However, for microfinance to succeed it requires that social
entrepreneurs buy into its mission. After hearing this
presentation, I immediately became interested in taking a more
active role in learning about microfinance, and it ultimately led
me to apply for GLOBE.
Using the power of capitalism to defeat poverty was an idea that
greatly appealed to me. However, there is more to microfinance than
its message, and actually implementing a micro lending program
requires a strong academic foundation in the subject. This fact,
combined with positive feedback from previous GLOBE managers, is
what led me to enroll in this class. I look forward to both
learning and implementing these concepts.
For anyone reading this who is interested in viewing the
aforementioned presentation, the video is available online at
http://mfcny.org/content/livelihood-microfinance-basix-india-chairman-vijay-mahajan.
It is fairly lengthy, and the video ends before his presentation
concluded. However, it is very interesting and I strongly encourage
anyone interested in microfinance to watch it.
Finance and Risk Assessment Team
Log # 1
By: Nattalia Balkaran
Absolutely one the greatest decisions I have ever made. GLOBE is
exciting; it is one of a kind and is tremendously in favor of being
a vehicle to providing an opportunity to those offered none.
The aspect of engaging in microfinance has allowed me to open my
eyes to a real setting, where there are real people, who are very
much in need of real help. The most popular example of
microfinance taking place in the world, such as Muhammad Yunus’
Grameen Bank, has illustrated the type of work that we as students
can partake in, be successful and make a difference. The
Grameen Bank is our particular example that serves as a driving
force and motivation to remain confident in the ability to make a
change in someone else’s life.
When I initially speak to people about microfinance and the
wonderful things GLOBE is doing, they are very impressed. The
concept to which microfinance lends itself to entrepreneurs is one
that appeals to the masses. The Grameen Bank witnessed how
appealing it can be; Mr. Yunus won the Nobel Peace Prize! I
learned very quickly how interested people were in this model
during the activities fair when I was able to actually reach out to
students and give them a quick education on what GLOBE was about
and what exactly it entailed. Many students were more than happy to
give their information as they were pleased with what we were
doing. Creating awareness for changes we can make in the
international community through such a small setting or venue made
me realize- what if we had a larger venue? Would that mean larger
fundraisers, with people who are willing to donate a larger
quantity of money? It then dawned on me, it is not about the
type of venue, and it’s about the attitude. The attitude of those
who are marketing GLOBE, the type of people we want involved in
society and in the class, along with the donors- who will use every
opportunity to give a good word about what we are doing. We
are not seeking to profit from this but are literally trying to
help by using the perspective of a social business to raise the
disenfranchised out of poverty- something, which I think speaks to
a lot of people.
I am very excited to see how our finance team will meet the
objectives set forth for the semester and I am more than confident
that we will do our very best to achieve our goals. The class
provides all the information necessary to make wise decisions
regarding giving loans and managing those already in place.
Utilizing all the tools available to us, we will definitely be able
to continue upon the already established GLOBE’s history and leave
our own legacy for future students to extend upon.
Marketing and Fundraising Team
Log # 1
By: Nurus Salam
First day of the class, Dr. Sama asked, “What is poverty?” When I
heard the question, it reminded me of my native country,
Bangladesh. I remembered the little children that I used to see on
the streets of Dhaka. Little children who were searching for food
in garbage cans, or desperately extending their hands to office
goers, who are impatiently waiting in traffic, for money. Most of
these kids were underage, barely old enough to be out on the
crowded streets of Dhaka, the capital city of Bangladesh, by
themselves. Though I was only a little child, I was still old
enough to understand their suffering and their struggle for
survival. When they should have been in school to build a bright
future for themselves they were on the streets of Dhaka risking
their lives to search for their next meal.
This is what came to my mind when I heard the word “poverty”, the
suffering of the poor people in Bangladesh, a country where a large
number of people are still living below the poverty line. It would
always make me wonder if there is ever going to be an end to this
cycle. As I was reading more and more about the poverty in
Bangladesh in my 8th Grade English textbook, I read a story about
Dr. Yunus and Grameen Bank, a bank that he founded decades earlier
to provide micro-loan to people who are living in poverty. He has
trusted the poor people in remote villages in Bangladesh, when the
conventional banks refused to lend money to those poor people since
they lacked adequate credit history.
What fascinated me the most was Grameen Bank’s focus on women, a
demographic that had largely been ignored in a man dominated
society. Women, who had mostly relied on men for financial support
in Bangladesh, finally were able to break this cycle of dependency
with the help of micro-loan institutions and through their
entrepreneurial skills.
This gives me a hope of a better tomorrow. A better tomorrow that
ensures the fundamental rights of education for every child, no
matter how rich or poor their parents are. I strongly believe that,
through micro-loan, one day, we will be able to solve the problem
of poverty. As Dr. Muhammad Yunus said, “Poverty does not belong in
civilized human society. Its proper place is in a museum. That's
where it will be.”
Technology and Communications Team
Log # 1
By: Elaine Vasquez
For as long as I can remember, I have chased knowledge on topics
that interest me like a predator chasing pray. I become obsessive
in this quest, usually sitting for hours reading and learning until
I feel somewhat knowledgeable in the subject. The topic that struck
my interest late at night last Spring: social businesses. I read
pages and pages of web results and at that moment decided I had to
do whatever it takes, and apply as many times as it took, to be
part of the GLOBE program.
Bringing opportunities for budding entrepreneurs is meaningful to
me, because much like the women and families we’ve seen pictures of
and read stories about, my mother and I were one of them. Before
immigrating to the United States, my mother struggled to find a
bank that will supply her with a loan to open up her business: a
bakery. Most people called her crazy for even taking such a risk,
but through her hard work, long hours, and a bit of luck she was
able to build her business from the ground up. This bakery provided
her with enough money to support us as a single parent and even
allowed her to send me to a private school, since my education was
her top priority. My aunt who uses the income to support her family
is now running this large entrepreneurial risk that my mother took
almost 20 years ago.
What I’ve learned from the service I’ve done in the United States,
Panama and the Dominican Republic, is that charity is not the
solution to poverty. Charity only perpetuates poverty and leaves
the “poor” in the same never-ending cycle of poverty by robbing
them of the opportunity to be self-sufficient. The way to lift
people out of poverty is by taking the time to help them help
themselves. I intend to do just that by implementing my goal of
creating a social business in the Dominican Republic that will
provide help fund my dream of creating an orphanage that sets up
children to succeed rather than to fail.