Who is Muhammad Yunus? Man behind Grameen Bank likely to head interim govt of Bangladesh

Amidst the ongoing political unrest in Bangladesh the leaders of the Students Against Discrimination expressed their intention to appoint Nobel laureate Mohammad Yunus as the head of Bangladesh's interim government.

This announcement comes just a day after Prime Minister Sheikh Hasina resigned and left the country amid widespread protests against her administration.

In a video statement shared on social media early Tuesday morning, Nahid Islam, a prominent movement coordinator, revealed that they had already consulted with the 84-year-old Yunus, who has agreed to assume the role in a move to stabilise the nation.

"We have decided that the interim government will be formed under the leadership of internationally renowned Nobel Laureate Dr. Mohammad Yunus, who commands broad acceptance," Nahid stated, flanked by two fellow coordinators. 

But how did Yunus get here?

Muhammad Yunus, a Nobel Peace Prize-winning economist and social entrepreneur, has become a symbol of resilience in the face of political adversity in Bangladesh.

Best known for his pioneering work with the Grameen Bank, which revolutionised microfinance and earned him the Nobel Peace Prize in 2006, Yunus has faced a rollercoaster relationship with Prime Minister Sheikh Hasina's government since she took power in 2008.

Grameen Banks Model by Yunus

Yunus' journey began in the 1970s when he envisioned a banking system that could lift the impoverished population of Bangladesh out of poverty. His establishment of the Grameen Bank in 1983 offered small loans to those in need, particularly women, without requiring collateral.

This innovative model not only transformed the lives of millions but also inspired similar initiatives across continents, showcasing the potential of microfinance as a tool for economic empowerment.

Legal troubles for Yunus

However, Yunus's success has not shielded him from political strife. Following Hasina's return to power, tensions mounted between the government and Yunus, culminating in investigations into his activities.

In 2011, Bangladesh authorities reviewed the Grameen Bank's operations, leading to Yunus' dismissal as its founding managing director on charges of violating retirement regulations. This marked the beginning of a protracted legal battle, with Yunus facing dozens of cases that many observers believe were politically motivated.

The situation escalated in January 2024 when Yunus was sentenced to six months in jail for alleged violations of labour laws. His legal troubles have drawn widespread condemnation from human rights advocates and international observers, who argue that the charges are an attempt to silence a prominent government critic.

All the way into politics

The roots of the conflict between Yunus and Hasina can be traced back to 2007 when Yunus announced his intention to form a political party when a military-backed government imprisoned Hasina.

Although he ultimately abandoned his political ambitions, his criticism of Bangladeshi politicians for their perceived greed and corruption did not sit well with Hasina, leading to a strained relationship that has persisted for over a decade.

He has been vocal in criticising Hasina, accusing her of undermining the legacy of her father, Sheikh Mujibur Rahman, the founder of Bangladesh.