MICROCAPITAL BRIEF: Bangladesh Probe Clears Dr Yunus of Misappropriation of Norwegian Aid Money

A recent probe by the government of Bangladesh has cleared Dr Muhammad Yunus, founder of Grameen Bank, of misusing Norwegian aid money. The Norwegian government previously cleared Dr Yunus of any allegations of mishandling funds following the release of a Norwegian documentary in 2010 that accused Dr Yunus of diverting approximately USD 96 million of aid money from Grameen Bank to Grameen Kalyan, a sister company of Grameen Bank that offers affordable health insurance to Grameen members.

Commenting on the fact that no evidence of ‘wrongdoing’ by Dr Yunus was found, AMA Muhith, the finance minister of Bangladesh was quoted as saying, “The probe has accepted that (the Norwegian government’s decision) was final. There is nothing to do about it.” [1].

By Medha Ravi, Research Associate

About Grameen Bank:
Grameen Bank is a Bangladeshi microfinance institution that provides loans to poor entrepreneurs in rural areas. It was founded in the late 1970’s by Muhammad Yunus, who, along with Grameen Bank, won the 2006 Nobel Peace Prize for his work in developing the concept of microfinance. As of February 2010, Grameen reports 8 million borrowers, 97 percent of whom are women. With 2,563 branches, Grameen Bank provides services in 81,343 villages. Grameen Bank has the equivalent of USD 1.4 billion in assets as of 2009 as indicated by the Microfinance

Source and Resources:

Times of India news article, “Bangladesh probe clears Yunus of misusing aid”, http://articles.timesofindia.indiatimes.com/2011-04-25/south-asia/29470821_1_nobel-laureate-muhammad-yunus-ama-muhith-loans

MicroCapital.org story, December 14, 2010, “MICROCAPITAL BRIEF: Dr Muhammad Yunus, Founder of Grameen Bank and Winner of Nobel Peace Prize for Work in Microfinance, Cleared of Allegations of Illegal Money Transfer to Grameen Kalyan”, https://www.microcapital.org/microcapital-brief-dr-muhammad-yunus-founder-of-grameen-bank-and-winner-of-nobel-peace-prize-for-work-in-microfinance-cleared-of-allegations-of-illegal-money-transfer-to-grameen-kalyan/

MicroCapital.org story, December 3, 2010, “MICROCAPITAL BRIEF: Dr Muhammed Yunnus, Winner of Nobel Prize for Work in Microfinance, Accused of Improperly Transferring $100m from Grameen Bank to Insurer Grameen Kalyan”, https://www.microcapital.org/microcapital-brief-dr-muhammed-yunus-winner-of-nobel-prize-for-work-in-microfinance-accused-of-improperly-transferring-100m-from-grameen-bank-to-insurer-grameen-kalyan/

MicroCapital Microfinance Universe Profile: Grameen Bank, https://www.microcapital.org/microfinanceuniverse/tiki-index.php?page=The+Microinsurance+Centre

Browse the MicroCapital Universe and add your entry to the wiki at: https://www.microcapital.org/microfinanceuniverse/

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