A financial system (within the scope of finance) is an arrangement that permits the exchange of funds between lenders, borrowers and investors. Financial systems operate at firm-specific, national and global levels. They comprise adaptable, closely related services, markets, and institutions designed to provide well-organized and regular linkage between investors and depositors. Banks are the part of financial system and their primary function is to lend money to generate revenue. …

  Micro-financing is one of most attention grabbing occurrence of recent years and leading progressive agenda worldwide. It gained much importance especially in under developing countries during last few decades. The concept of micro-financing is not new but during present era, its workable explanation and successful implementation is resultant of hectic efforts of Dr. Muhammad Yunus through Grameen Bank of Bangladesh. He took far-reaching steps and successfully realized practical terms …