ROLE OF MICROFINANCE IN RURAL DEVELOPMENT-A CASE STUDY (original) (raw)
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Microfinance is not a new development but started in 1976, by Muhammad Yunus. Whos vision was to come up and have succeeded in reaching the poorest of the poor and improvement of their living stander. To understand the phenomena in this study researchers have focused to understand the impact of MFIs in living stander of rural people. Researchers have used primary as well as secondary data in their study. Sample based on the random sampling technique, from five districts of east Uttar Pradesh. Researchers have interviewed the respondents who are already involved in microfinance activities. From the analysis of data, researchers found that microfinance has the positive impact on the standard of living of the poor people and on their life style. Microfinance has not only helped the poor people to come over the poverty line, but has also helped them to empower themselves. Researchers have developed a theoretical model to understand the impact of MFIs.
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Micro finance has become a tool of empowering the underprivileged people in the society. It plays a prominent role in the developing countries of Asia. These countries are having lots of success stories where the poor and backward people could manage to have sustainable source of revenue for themselves through microfinance. It is observed that in maximum cases women are plying a vital role in the use of micro finance through the self help groups (SHGs). This paper tries to see the impact of micro finance on the rural women of Assam-a state which is very near to Bangladesh, the country where microfinance has got tremendous response from the women folk. Through the research it was tried to see the impact of microfinance from the socio economic perspective of the North East India. The paper is based on primary data collected from the women respondents of rural area who have experience of working with the SHGs. The paper concluded that the micro finance has contributed to the empowerment of women in rural Assam and hence micro finance has a great future in this part of India.