Microfinancing Allows Those With Low Incomes or No Access to Traditional Banking Services To Receive Small Loans. When It Comes to Starting or Expanding a Small Business, Many People Worry About Their Ability to Get a Loan, But Thanks to Microfinance, They May Do So In a Safe, Responsible Manner.Governments Play an Active Role In Microfinance Setting Policy For the Microfinance Industry (Most Frequently Vis-À-Vis Interest Rates), Providing Lump Sum Grants to Ngos or Other Microfinance Institutions (Mfis), or Lending Directly to the Poor.Women's Access to Microfinance As a Tool to Alleviate Poverty and Boost Their Economic Standing Has Gained Widespread Attention. In the Last Five Years, There Has Been Growing Scepticism That Microcredit Is the Best Way to Help the Poor, and Especially Women, Improve Their Financial Standing. It Is Commonly Held By Development Professionals In India and Other Developing Nations That the State and Public Institutions Have Failed to Meet the . Financing As a Solution For the Poor.