Muhammad Yunus

from The Philadelphia City Paper

by E. James Beale

Muhammad Yunus and his organization, the Grameen Bank, won the 2006 Nobel Peace Prize for its revolutionary "microcredit" approach to addressing poverty, involving giving small loans to poor people so they can launch small businesses. In town last month to discuss his work and sign copies of his new book, Creating a World Without Poverty (PublicAffairs), City Paper caught up with Yunus to learn whether his ideas could create a Philadelphia without poverty.

City Paper: In your book, you define poverty at $1 a day. How can the principles of microfinance put in place by the Grameen Bank work in a place like Philadelphia?

Muhammad Yunus: It depends on where you live ... [and] what you are missing. In Bangladesh, we have 10 indicators to determine whether the families are in poverty. They are a leaky roof, one room, no furniture, no drinking water, no sanitation. In the USA, there would probably be different indicators. One way to start would be to ask, "Are you on welfare?" If you are on welfare, you have something missing. "Are you covered with health insurance?" would be another. You have to tailor your program to those you want to help.

CP: You talked about how business schools are concerned with teaching ways to find new gimmicks that make the most money. At the same time, several professors had their books signed by you today and are teaching your work in their schools.

MY: Not just business schools, all schools. I'm suggesting that you can have another orientation: how to do good.

CP: Do you think that the success of Grameen Bank is going to make it a mainstream business model?

MY: I hope so. If it makes sense to you, and it makes sense to me, why not? It is all about making sense to us, it is our life. There is only one life to live.

CP: Favorite in our presidential elections? I know both Clintons have spoken highly of you.

MY: (Laughing) No, I don't think I should get involved in the politics.