The aim of Green Microfinance – as with microfinance – is to help financially excluded people, primarily in the Global South, to manage and reduce the insecurity of their income, including by empowering them to set up profitable micro-enterprises. Green Microfinance includes an additional focus, however: that of addressing environmental concerns while maintaining positive financial and social performance. This knowledge brief is based on a peer-reviewed article that reviews recent literature on the impacts of microfinance, and particularly Green Microfinance, on transformations to sustainability.
It is based on a paper by Huybrechs, F. et al. (2019). ‘Exploring the potential contribution of green microfinance in transformations to sustainability.’ Current Opinion in Environmental Sustainability 41: 85-92. doi: 10.1016/j.cosust.2019.11.001.