Micro lending is a way through which micro finance institutions (MFIs) provide micro credit to support entrepreneurship in rural areas. According to a Wall Street Journal report, experts have come up with ways that would make micro lending more effective. Instead of providing loans solely for investment purposes, MFIs could also lend for personal expenses if the borrower has the ability to pay back the loan with interest. Also, lenders should employ research to measure the success of the financial programs, making sure that the client not only returns the debt but does so while making a profit and not by selling his assets. Another way to make micro lending effective is to take up a holistic perspective. Quoting Iskenderian “Micro lending will be more effective if there are other safety-net and asset-building products in place—like insurance, savings and pensions—so that families can be secure and repay that loan.” Last but not the least is to make use technology for money transfer and big data analysis of mobile phone usage thereby easing out the whole process and saving time. Read more at: http://online.wsj.com/ad/article/mlf-5-ideas-to-make-microlending-more-effective

Big data gives governments tools to discover more effective and innovative ideas on how to decrease poverty across the world. Proper application of big data and technology advancement can improve the circumstance of people currently impoverished. Before, collecting reliable data from all corners of a country can pose as a hindrance in the complete elimination of poverty but now this problem is solved by the advances in mobile technology. Reportedly, more than 85% people in the world have access to mobile phones, even if some of them are the poorest people which lead to greater data collection on the poor and availability of big data acts as a catalyst to help the poor people prosper. Data collected from cell phone call data records and an individual's bill payment history banks and other financial institutions can effectively evaluate a person's ability to pay back loans and determine their risk attitude. This helps the institutions to give credit to the required people through micro financing. Read more at:

http://www.bigdata-startups.com/5-applications-big-data-in-government/