Micro Finance is referred to any financial service which is offered to the low income population. Poor people with very low incomes are the beneficiaries of micro finance. This method, which generally deals with money lending, it may be in the form of group lending or even pre loan savings environment has gained momentum only in the recent past, as it was almost a unknown process until a few years ago. The institutions which offer these services are known as micro finance institutions and they work hard to lend money to unsalaried people taking very little or altogether no security at all.

Grameen Bank founded by Muhammed Yunus in 1974 in Bangladesh is one of the pioneers in the field of Micro Finance. The bank has over six million customers, all of whom are from poor families and most of them are women. Having won the Nobel peace prize for his efforts, Muhammed Yusuf continues to carry on his efforts to make people rid of poverty and towards a better standard of living.