Today around 2.5 billion people remain unbanked or underbanked, meaning they lack access to basic services such as checking accounts and loans. In addition, social entrepreneurs desperately need...Show moreToday around 2.5 billion people remain unbanked or underbanked, meaning they lack access to basic services such as checking accounts and loans. In addition, social entrepreneurs desperately need sustainable financial vehicles to stimulate economic growth from the bottom-up in underdeveloped countries. How to bring financial services to the doorstep of the poor has hence always been a question at the forefront of the global development industry. Since its inception in the 1970’s, the modern concept of microfinance has consequently drawn much attention to itself. At times, its pioneer father Muhammad Yunus has even been hailed as having invented the solution which would ultimately end global poverty. This thesis first examines microfinance in Kenya and evaluates its respective effectiveness in stimulating social entrepreneurship. It then includes social venture capital as a possible alternative to traditional impact investment tools and ultimately hints at a new combined direction in financing Africa.Show less
