An Evaluation of the Effectiveness of Microfinance in Alleviation of Poverty: A Case Study of Sindh, Pakistan
| Main Authors: | Muhammad Shaaban Jamro, Dr. Syed Noor Shah Bukhari, Dr. Syed Maqsood Zia |
|---|---|
| Format: | Article Journal |
| Bahasa: | eng |
| Terbitan: |
, 2020
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| Subjects: | |
| Online Access: |
https://zenodo.org/record/4902788 |
Daftar Isi:
- This research investigates An evaluation of the effectiveness of Micro Finance in alleviation of Poverty: A case study of Sindh Pakistan.The study was conducted in selected villages of these few districts like Mirpurkhas district data collected on microfinance beneficiaries. There were three major Microfinance Providers (MFPs) were included in the analysis and study sample was drawn from the clients of Khushhalibank Limited (KBL), First Microfinance Bank (FMFB) and National Rural Support Program (NRSP). The analysis includes 350 microfinance beneficiaries of Mirpurkhas. The study also examined the role of microfinance in rural businesses of rural poor in Sindh, by knowing the extent of access of credit over farm and non-farm activities and correlated the provision of microfinance with poverty alleviation and socioeconomic characteristics among the participants in the study area. The findings of the study show that despite of poor infrastructure MFPs have made successful access to remote areas where very limited life facilities are available to the population. Microfinance Institutions (MFIs) have maximized their access to poor people through group lending philosophy. There are very favorable lending policies for poor people that attract rural population to microfinance institutions and they are better alternate of the local money lenders who usually charge higher interest rates as compared to the microfinance industry. Microfinance has provided access to credit and other financial services to low income and poor people on a sustainable basis. Microfinance Providers generally offer three types of services to their clients in rural areas. These are small loans, smaller savings, and micro insurance. In rural areas, small farmers, landless tenants and micro entrepreneurs are the target market of microfinance Institutions and have got microfinance services from different MFPs.