“We offer access to capital in a system of trust to women who would never receive financial aid,” said Jung. “They do not have a credit score or they have a poor credit score, and many are unbanked.”
Queens, Bangladesh Origins
Grameen America was launched in Queens in 2008 by Muhammad Yunus, who won the 2006 Nobel Peace Prize for the microlending model established in Bangladesh.
From Queens, the organization has expanded into Harlem, the Bronx and 12 other American cities as well as San Juan, Puerto Rico.
“We have made, in terms of interest income profit, nearly $2 billion in that original branch,” said Jung. “We have written off $1.2 million in 10 years on a billion dollars of nonrecourse loans to those who would absolutely be deemed non-creditworthy.”
Grameen America’s lending partners include the Calvert Foundation, PNC Bank, the San Francisco Foundation, Northern Trust, Foundation for the Carolinas, Wells Fargo and Capital One.
“Grameen America demonstrates the interest ESG has been generating more so recently,” said Jacklyn Griffo, marketing analyst with Greentech Capital Advisors, an asset management business launched three years ago. “The opportunity that investors have to be involved in impactful investments that have a substantial return profile with more of a guaranteed return is something that interests a number of investors.”
Grameen America boasts a repayment rate of 99% and average loan size of $2,300.
"These small loans enable women to start or grow their own businesses, which boosts local economies and is a significant force in revitalizing American communities,” Jung said.