noun
- Small loans, typically of a few hundred dollars or less, provided to entrepreneurs and small businesses, especially in developing countries, to help them start or expand their operations.
Usage: Usually plural; often associated with microfinance and poverty alleviation programs
Examples
- The nonprofit organization provides microloans to women entrepreneurs in rural areas.
- Many developing nations have benefited from microloans that help small business owners get started.
- She received a microloan of $500 to purchase equipment for her tailoring business.
- Microloans often have lower interest rates than traditional bank loans for small borrowers.
- The bank expanded its microloan program to reach more underserved communities.
- Microloans have proven effective in reducing poverty and creating economic opportunities.