A microgrant is a small sum of money distributed to an individual living on less than $1/day, extreme poverty, for the purpose of creating a sustainable livelihood or microenterprise[1]. While microfinance and other financial services are intended to serve the poor, many of the poorest are either too risk-averse to seek out a loan, or do not qualify for a microloan or other form of microcredit.
It can also refer to a grant that is low in value[2].