Cuts to U.S. Microloan Program Threatened

The Bush administration’s proposed budget would eliminate the Microloan program, which provides money to local nonprofit lenders that in turn give loans to small businesses and individuals, reports The Wall Street Journal.

The administration says there are more efficient ways to help needy people, but the program’s supporters say people who receive microloans would not qualify for other types of loans.

The Senate has passed an amendment to rescue the program, but it remains unclear whether the House of Representatives will do the same. (A paid subscription is required to view this article.)