ABSTRACT
This chapter begins by outlining the linear progression development paradigm, which depicts socioeconomic development as following predetermined stages, and conceptualises underdevelopment as being the result of marginalisation and detachment from the ‘modern’ world. This is followed by an analysis of how microcredit programmes have been envisioned as facilitating de-marginalisation and local development based on this paradigm. The chapter then examines how the microcredit programmes have been perceived as facilitating urban to rural transfers of technology, knowledge, and financial capital; creating new linkages between rural and urban areas; and promoting livelihood diversification. The chapter concludes by observing that microcredit has been successful in contributing to certain types of de-marginalisation based on the linear progression development paradigm, but that these apparent benefits have not been equally distributed.
