Four essential books by Nobel laureate and Bangladesh interim PM Muhammad Yunus
A glimpse into four must-read books by Muhammad Yunus that delve into the creation of microcredit, the rise of social business, and the quest for a more humane capitalism
Muhammad Yunus, the economist who is all set to take oath as Bangladesh interim Prime Minu, revolutionised the fight against poverty through his creation of the Grameen Bank and the concept of microcredit and microfinance, for which he was awarded the Nobel Peace Prize in 2006. His ideas have since evolved into a broader philosophy of social business, which aims to harness the power of entrepreneurship for the greater good. Yunus’s books offer a deep dive into these groundbreaking concepts, providing both inspiration and practical guidance for those looking to make a positive impact on the world. Here’s a look at four of his most influential works:
1. Banker to the Poor: The Story of the Grameen Bank (2007): Muhammad Yunus’s memoir, Banker to the Poor, provides us with an in-depth look at the creation of the Grameen Bank in Bangladesh, which revolutionised the concept of microcredit. While he started an experimental microcredit enterprise in 1977, the Grameen Bank was officially formed by 1983. The book details Yunus’s journey from an economics professor to a social entrepreneur, highlighting how a small $27 loan to 42 women transformed into a global movement. The Grameen Bank was established with a simple $17 loan, and the belief that even the poorest people, often overlooked by traditional banks, could lift themselves out of poverty with access to small loans (usually less than $300). Initially, to end the cycle of poverty that kept many poor women enslaved to high-interest loan sharks in Bangladesh, Yunus lent money to the 42 women so they could buy bamboo to make and sell stools. In a very short time, these women were able to repay the loans while continuing to support themselves and their families. With that initial eye-opening success, the seeds of the Grameen Bank, and the concept of microcredit, were planted. This system of microcredit, which benefits the poorest of the poor, has since been adopted in over 60 countries, becoming a vital tool in the fight against global poverty.
2. Creating a World Without Poverty: Social Business and the Future of Capitalism (2008): In Creating a World Without Poverty, Yunus expands on his microcredit success by introducing the concept of social business — a new business model that combines the power of free markets with the mission of addressing social issues like poverty and inequality. Yunus argues that traditional capitalism, focused solely on profit, cannot solve these problems. Instead, he advocates for a type of business that prioritises social goals over financial gain. The book explores how social businesses can provide sustainable solutions to global challenges, from feeding the poor to healing the sick, by leveraging the entrepreneurial spirit for the common good. Creating a World Without Poverty is both a blueprint for a new economic system and an inspiring call to action for businesses, policymakers, and individuals to contribute to a more equitable and humane world.
3. Building Social Business: The New Kind of Capitalism That Serves Humanity’s Most Pressing Needs (2011): Building Social Business is Yunus’s comprehensive guide to understanding and implementing the concept of social business. In this book, he elaborates on how social businesses can address humanity’s most pressing needs by creating self-sustaining enterprises that generate economic growth while fulfilling social missions. He provides practical insights into how businesses, entrepreneurs, and social activists can harness their entrepreneurial spirit to solve global issues such as poverty, hunger, and environmental destruction. Building Social Business offers a detailed roadmap for establishing social businesses, highlighting successful examples from around the world. It is an essential read for anyone interested in exploring how business can be a force for good in the world.
4. A World of Three Zeros: The New Economics of Zero Poverty, Zero Unemployment, and Zero Net Carbon Emissions (2018): In A World of Three Zeros, Yunus presents his vision for a new economic system that can address the most pressing challenges of our time: poverty, unemployment, and climate change. He argues that the current capitalist system, driven by profit maximisation, is unsustainable and leads to inequality, environmental degradation, and social unrest. Yunus proposes an alternative model that embraces social business and focuses on achieving ‘three zeros’ — zero poverty, zero unemployment, and zero net carbon emissions. Through real-world examples, Yunus demonstrates how social businesses are already making a significant impact, from bringing solar energy to millions in Bangladesh to supporting female entrepreneurs in the US.