We consider an Overlapping-generations economy where the aggregative production process uses physical capital and human capital. The human capital level of each individual is determined by the direct investment in education and some random "ability".

This paper reports on the microfinance program of Hatton National Bank Limited (HNB), the largest private commercial bank in Sri Lanka. It reviews the experience of HNB, which has initiated a program offering financial services to the poor while continuing its traditional business operations.

Education, as an integral part of the international system of exchange values is mainly achieved through the education system and professional training. Education should solve partially certain problems that are currently being faced by our society, aspect that requires both improving the...