How does micro bank work?

Micro banks operate by providing financial services to underserved populations, often in developing regions, where traditional banking is inaccessible. They offer small loans, savings accounts, and other financial products to help individuals and small businesses grow and improve their economic stability. By utilizing community-based models and often relying on peer support or group lending, micro banks aim to promote financial inclusion and empower clients. Additionally, they may provide financial literacy training to help borrowers manage their finances effectively.