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The policies associated with conventional banking system, indeed, accelerated the pace of coalescence of wealth in few hands. In such type of antagonistic and volatile environment, alternative microfinance would be a universal remedy for this prevailing evil. In fact, conventional microfinance approach has more or less same problems and challenges as those are faced by formal banking credit system. There is a need of alternative approach to overcome deficiencies of traditional and conventionalfatcat:ik74rwt3undi7hybbdzkzjj4su