Child labour is hardly a new phenomenon. Some countries have attempted to address and curb this prevailing issue and yet, the number of children engaged in child labour continues to persist and climb. According to the United Nations Children’s Fund (UNICEF), there are reportedly 246 million children trapped in child labour in the world, out of which approximately 70% of them toil long, hard hours under exploitative and perilous conditions.
The concept of microfinance has gained popularity recently through stories of grand success and its promise as a panacea for global poverty. Microfinance institutes provide financial services to low-income people who would otherwise be rejected by more commercial banking institutions. Microfinance includes products such as savings, insurance and loans. Microcredit is a specific name for the loans given through microfinance, and is generally the main focal point of discussion.