Mainstreaming microfinance: how lending to the poor began, grew, and came of age in Bolivia

Drawing on participant interviews, Beth Rhyne details how Bolivia's special breed of social entrepreneurs found the keys to unlock the huge unmet demand of informal clients. She explores how the beliefs of these social activists shaped the character of the variety of institutions that now dominate Bolivia's microfinance sector, and traces how these institutions proved that lending to microenterprises could become a commercial business. Rhyne investigates the transformation of NGOs into formal financial institutions, led by the creation of BancoSol, and closely examines microfinance under the conditions of commercialization and competition that have altered the dynamics of the new industry.