3.2 MICROFINANCE IN ITALY
Despite a favourable economic environments and well-developed banking sector, microfinance is expanded significantly in Italy. Gradually, banks and public bodies are taking initiatives to start the microfinance services at the national and local level. But the progress in the microfinance sector in Italy is considered still limited even if its current economic situation requires a greater development in this area. The importance of microfinance in a country like Italy can be judged by analysing macroeconomic data: 69 percent population live in the urban area (World Bank, 2014), 28.3 percent of the people are at risk of poverty or social exclusion (Istat, 2014), 94.9 percent are microenterprises (Eurostat, 2012) and the rate of unemployment is 11.9 percent (Istat, 2016).
However, microfinance activities is entered into the Italian credit market over the years of 1960s. At the beginning, a non-profit mutual guarantee organization called “Confidi” was
…show more content…
Principally, there are 3 types of non-banking models in Italy that provide microloans to the low-income people:
I. Cooperatives or consortiums – these types of organizations generally collect money from their members and takes responsibility to manage and invest this money. In addition, cooperatives or consortiums serve as a guarantor for microloans supplied by the banks or other financial institutions.
II. Cassa Peote or small financial cooperatives – these micro-lenders usually provide very small loans to the needy people. They can offer only limited financial services, which are commonly fixed and monitored by Council of Credit Supervision.
III. Microfinance institutions and NGOs – there exist several microfinance institutions and NGOs in Italy such as Fondazione Risorsa Donna, PerMicro, Microbo, which are playing key social role in developing the economic condition of the needy
Italian Economy 1924-1936 Mussolini had inherited an Italy with limited resources. The industrialisation of the north and modernisation of agriculture left the south behind with its mass poverty and lack of education. Mussolini believed in will power as a driving force in society. The battle for the lira, grain and marshes were used to mobilise the Italian people who struggled to achieve these targets.
Third, the people's lives are extremely difficult, and a large number of poor people have fled to foreign countries to make a living. Therefore, Italy has a "poor imperialism," said. Italy and other imperialist countries, Italy is also
Palgo Holdings Pty Ltd carried on a business of making small secured loans. Each borrower would sign a two-part document. The first part of the document, titled “Secured Loan Agreement”, recorded the amount of the loan and the date on which the principal and interest was due. The second part of the document, titled “Bill of Sale/Goods Mortgage”, was made as a deed between the borrower as mortgagor and the lender as mortgagee. It also recorded that the terms of the bill of sale were set out in the schedule of terms attached.
The health care system in Italy compared to the health care system in America is completely different from one another. Italy and America take two completely different approaches to a health care system which is supported by income tax and the private health sector (Glauco). In America the public health system is restricted to Medicare and Medicaid, which in turn means the private health insurance is the main source of health coverage (Glauco). The citizens of Italy pay approximately 50% of their income tax in order to receive free health coverage (Glauco). To some, Italy’s health care system may seem more reasonable. However, the system can become tricky, since the free healthcare is limited to emergency services and general practitioner visits (Glauco). Any specialty doctor visit has a cost as well as some prescriptions
Italy has had over fifty governments since the end of the Second World War. That means almost one government every year. Politics in Italy has always been a touchy subject with the Italian community because of the unrest in their country. Dario Fo's play looks at this and in a comical, yet satirical manner exposes government tactics used. Fo's focus is mainly the issue of currency and its value. In Italy there was a time when the price of goods and services ran so high because of inflation that people were able to afford the most common things such as bread and sugar. These items became rare and cherished commodities because of their expensive nature. People struggled with merchants to negotiate prices, but to no avail, until finally the people thought it was time to rise up and say: We won't pay! We won't pay. Or at least this is what Fo describes the situation to be.
the way it was made up and what it consisted of. During the course of
Most of us have a mental picture or image of what a country is like.
Italy is not the same country today compared to when it first began to establish itself on the globe. Italy was under the rule of the Roman Empire for seven centuries before finally breaking out and being the cultural center of the western part of the world for three centuries. The annexation of Venetia in 1866 and of Papal Rome in 1870 marked the complete unification of the peninsula of Italy into one nation. Italy entered World War I on the side of the allies when Germany embarked upon an offensive war. When the war ended and the dust settled, Italy had obtained far less territory than they expected to. Italy, United States, France, and Canada, along with a few other countries, were the founding members of NATO, established in 1949. However, during Italy’s economic rebuild terrorist attacks
The lifestyle of people across the world is developing rapidly. As there is a growing concern for people about the lifestyle and way of living, the scope for the microfinance industry is also at a growing pace. A large number of people across the world prefer finance for the purpose of purchase of consumer durables as well as lifestyle products. As the credit card EMI options are more expensive, people prefer NBFCs for the purpose of consumer durable loans. The project done in bajaj finserv explains the role of NBFCs in the consumer durable loans and the procedure undertaken in order to disburse the consumer durable loans.
In most cases, shortage of money is not the sole problem. Rather, poverty is a mere term summarised by a sophisticated factors of corruption, lack of infrastructure, civil unrest, government failure, and many more. Especially, donated money are regularly spent to run campaigns, provide wages to staffs, and to run the charities, with a very few of the amount being invested directly to help the poor. This socio-political scepticism can be worse as some believe that charity is merely a band aid fix to the deeper underlying problem that is continuously causing the poverty, and it only becomes the basis for local communities to be dependent on
Thereby reviewing these articles on crowdfuding for SMEs, we could infer that Crowdfunding not just gives cash to associations; it likewise supports their labor as the swarm that subsidizes them additionally puts their institutional structures on a more extensive balance. From one perspective, non-benefit associations and altruistic activities typically brag a current system of supporters that they can actuate for different purposes, including raising money battles when both investors and entrepreneurs are legitimate.
Since its emergence, microcredit has been viewed as a very important tool for development. Many around the world believe microcredit is the antidote for global poverty. Although the Grameen Bank focuses only on people from Bangladesh, different microfinance institutions had been established around the world. Accion International is one example of these institutions in Latin America, which started providing loans in 1973 (The history of microfinance, 2005). These financial institutions started to grow rapidly due to high demands of small loans. Poor people around the world started to lose faith to their countries’ authorities to provide for their well being and started to tur...
The reformation of the Charity Organizations didn’t grant relief themselves however they served as a resource to simplify the transaction of relief to relief applicants by: maintaining relief applicant requests, records of the aid given to them, and referring those worthy or unworthy to the proper agencies (Trattner, 1999). Their goal was to eradicate fraud and duplicity of services while also maintaining efficiency and treating poverty. The charity organization movement intended to treat poverty by enacting “friendly visitors” to look into each case and define the cause of destitution while also watching for overlapping relief. These “friendly visitors” and their investigations were the cornerstone of the Charity Organization Society’s (C.O.S) treatment; granting aid without investigation was like giving medicine without diagnosis (Trattner, 1999).
Italy is beautiful and a wonderful place to visit with so many breathtaking scenes, including many ancient sites. It has a very interesting history, and very neat variety of cultures, religions, and languages. The food is amazing and has a good twist to it. Many challenges and issues remain unsolved and remain a problem. Despite the issues it is still a great place to visit.
The capital city of Italy is a very extraordinary place to visit. The population of Rome is well over two-million. The people there are very friendly and are extremely proud of their country. Rome is a beautiful bustling city that has a moderate cli mate. The temperature usually stays around eighty degrees. The main way of transportation is by bus.