Grameen-Model Microcredit in a Developed Country: Spain

Abstract

The Foundation ICO Microcredit Pilot Project is a Spanish microcredit institution based on the Grameen model. The purpose of this project is to alleviate social exclusion and financial exclusion, and to enhance social inclusion through the microcredit program. Before the banks offering loans merged, this project functioned quite well. This indicates that the Grameen model can be successfully replicated by microfinance institutions in Spain and address the needs of Spanish people. After the bank mergers, this project lost support from the banks that offered new loans to the project members, causing the project to struggle with continuing its rate of success.