scholarly journals Micro Finance Schemes : An Insight into the Impact on Standard of Living and Level of Awareness Amongst Target Social Groups.astudy of Bhopal District

2018 ◽  
Vol 12 (01) ◽  
Author(s):  
Shumayela Mohsin Hasan ◽  
S. D. Sharma
Keyword(s):  
Financial Services ◽  
Standard Of Living ◽  
Microfinance Institutions ◽  
Poverty Eradication ◽  
Grameen Bank ◽  
Poverty Level ◽  
Additional Support ◽  
The Impact ◽  
Careful Investigation ◽  
Insight Into

Today if you look at the financial system around the globe, more than half the population in the world- around three billion – do not qualify to take out a loan from a bank (Muhammad Yunus).This reason turned out to be the actual driving force behind the birth of the microfinance movement stating from Grameen Bank in Bangladesh in 1983 to Grameen America movement today. Microfinance has received increasing attention as an effective strategy to alleviate poverty by providing financial services to the poor who have little or no access to capital and formal financial services, as well as providing additional support services such as training on education, healthcare and other basic needs. Yet the increasing attention and reputation that microfinance institutions (MFIs) have achieved, their contribution to poverty alleviation on a global level remains limited. The research paper aims to take an insight into the impact of microfinance schemes on the standard of living of the beneficiaries who have availed the advantage of such schemes in the district of Bhopal. The study aims to reveal the experience of these beneficiaries through careful investigation and analysis. The Microfinance schemes propose to aim at poverty eradication among the society. The objective of this study thus brings under its purview the examination of how these schemes have impacted greatly on asset acquisition and savings of the beneficiaries tocurb down their poverty level. A total of 720 beneficiaries of State Bank of India in Bhopal were selected as the study sample who had alreadyavailed the benefits of these Microfinance schemes. A primary questionnaire was formulated to record the experiences of these beneficiaries and thus the results were analyzed. Furthermore, the paper also examines the level of awareness about the microfinance schemes amongst the target social groups for whom these schemes have been devised.

scholarly journals The impact of social media on the performance of microfinance institutions in developing countries: a quantitative approach

2020 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Ahmad Daowd ◽  
Muhammad Mustafa Kamal ◽  
Tillal Eldabi ◽  
Ruaa Hasan ◽  
Farouk Missi ◽  
...  
Keyword(s):  
Social Media ◽  
Developing Countries ◽  
Performance Indicators ◽  
Financial Services ◽  
Microfinance Institutions ◽  
Poverty Level ◽  
Content Type ◽  
Media Platform ◽  
Media Applications ◽  
The Impact

PurposeOver the last few decades, microfinance industry is argued to have played a constructive role in alleviating poverty level and providing the underprivileged with access to financial services. Statistics from the World Bank reveal that, currently, only 4% of the underprivileged have been served out of the 3 billion+ potential clients. Such results are due to several claims, particularly the operational and financial challenges faced by microfinance institutions (MFIs) in the constant flux inviting more attentions towards its performance. While explicit attention is given by many researchers towards mobile banking and information and communication technology (ICT) in improving the MFIs’ performance, the study on how social media, as a rapidly growing online phenomenon, can impact on the MFIs’ performance remains scarce. As such, this study aims to investigate this impact based on four dimensional performance indicators: efficiency, financial sustainability, portfolio quality and outreach.Design/methodology/approachA model is proposed and tested to ascertain the relationship between social media applications and organisational performance. In so doing, web-based questionnaires have been used to collect data from MFI employees in developing countries. Results reveal a significant influence of the social media over the MFIs’ performance, offering valuable insights into both researchers and practitioners in the domain of microfinance, as well as social media—conforming that the adoption of social media as marketing, advertising and communication tools may significantly improve the MFIs’ performance.FindingsThe results demonstrate that there is a positive and significant impact of social media use within microfinance on the key indicators of MFIs. They also show that the highest impact of social media usage within the microfinance is on the portfolio quality. In addition, it was found that marketing and advertising; communication and sales and distribution are the main areas where social media is able to support while social networking websites are the most popular platforms employed in MFIs.Originality/valueThis study adds to the existing literature few theoretical and practical aspects. First, this study developed a model for assessing the value of social media as a new phenomenon within this type of organisation. Second, it offers microfinance sponsors, managers and policy makers with a frame of reference to understand what social media platform can be deployed for each purpose. Third, with the identification of the main MFIs’ performance indicators, this research provided a reference of performance measurement guide for microfinance industry when assessing different technological employment.

scholarly journals Impact of Microfinance on Poverty: Qualitative Analysis for Grameen Bank Borrowers

2019 ◽  
Vol 11 (1) ◽  
pp. 49
Author(s):  
Mohammad Aslam ◽  
Senthil Kumar ◽  
Shahryar Sorooshian
Keyword(s):  
Qualitative Analysis ◽  
Positive Impact ◽  
Moral Issue ◽  
Microfinance Institutions ◽  
Grameen Bank ◽  
Poverty Level ◽  
The World ◽  
The Government ◽  
The Impact ◽  
Qualitative Changes

Poverty is economic, social, political and even moral issue all over the world. Microfinance has been designed to eliminate poverty and may help marginal people to materialize their dreams. Microfinance has been formalized primarily in Bangladesh with this concept. Grameen Bank (GB) has been serving large number of people below poverty level here. Initially, microfinance institutions have been supported by the Government or Donor assuming its positive impact on borrowers. However, ambiguous impacts have been reported in several studies that make microfinance questionable. Therefore, this study intent to measure the impact of microfinance on GB borrowers through the process of qualitative changes in borrowers lives. The process has been measured by some case studies for participant and non-participant borrowers using Modified Household Economic Portfolio Model (M - HEPM). Our qualitative analysis shows that microfinance makes positive changes in the process of borrowers lives observed through financial and activity diaries of the borrowers.

scholarly journals A Study on the Sustainability of Microfinance Institutions in Serving the Low-Income Group in Malaysia

2021 ◽  
Vol 8 (Special Issue) ◽  
pp. 339-353
Author(s):  
Nur Harena Redzuan ◽  
Amir Abidin Bashir
Keyword(s):  
Low Income ◽  
Income Group ◽  
Small Scale ◽  
Microfinance Institutions ◽  
Poverty Eradication ◽  
The People ◽  
Start Up ◽  
Low Income Groups ◽  
The Government ◽  
The Impact

A microfinance scheme was introduced in Malaysia in the year 1987 as one of the alternatives to poverty eradication strategies in the country by the government. Since then, several institutions have created to carry out the agenda of providing small loans to the low-income group to start up their small-scale business to generate more sources of income to support their household consumption. However, for a certain reason, the people still do not find microfinance an important tool to uplift their economic positions. Most of the low-income groups are still unaware of this golden opportunity tailored for them. Besides, the sustainability of these subsidized microfinance systems implemented by Malaysia had not been appropriately studied. This study explores the attractiveness of the products offered by microfinance institutions and emphasizes the option that the participants must start utilizing the product. This research also explores microfinance facilities that contain conventional finance element which is prohibited in Islamic trade. The study also discusses the measures and actions taken by microfinance institutions in serving the low-income group in Malaysia. This paper employs a qualitative method through interviews and content analysis. The report, journal publications, and other related documents were also analyzed in achieving the objectives. The study provides the impact that it may pave the way to an indistinct understanding of how Islamic microfinance institutions sustain their operations.

scholarly journals The impact of microfinance on microenterprises

2017 ◽  
Vol 14 (3) ◽  
pp. 82-92 ◽  
Author(s):  
Sanya Olugbenga ◽  
Polly Mashigo
Keyword(s):  
South Africa ◽  
Financial Services ◽  
Mixed Method Research ◽  
Microfinance Institutions ◽  
Gauteng Province ◽  
Development Activity ◽  
Study Approach ◽  
Wide Range ◽  
Conventional Banks ◽  
The Impact

The provision of and access to financial services, particularly credit, can contribute greatly to the development of microenterprises in South Africa. Such provision has been an issue ignored by conventional banks or formal financial institutions. The problem associated with this ignorance includes high transaction and operation costs, lack of collateral, and the inability to obtain information about microenterprises resulting in difficulties to extend such credit. Microfinance therefore becomes an alternative to conventional banking and a mainstream and sustainable development activity for extending credit to microenterprises. However, the benefits of microfinance, which include, among others, the ability to provide the much-needed financial support for microenterprises, have not been fully harnessed in South Africa. The objective of this article is to evaluate the impact of microfinance on microenterprises in a typical South African township and to propose specialized financial mechanisms to support and improve the provision of credit to microenterprises. The article draws on the findings of a study undertaken in the Ga-Rankuwa township located in the Tshwane Metropolitan area in the Gauteng province of South Africa. It further draws on a wide range of extensive review of literature that documents the impact of microfinance on microenterprises. A case study approach is adopted and mixed method research paradigm (qualitative and quantitative) is used to gather information. Structured questionnaires and interviews were used to solicit information from the randomly selected microfinance institutions and microenterprises in the Ga-Rankuwa township.

scholarly journals Evaluating the Impact of Microfinance for Women in Albania

2016 ◽  
Vol 4 (2) ◽  
pp. 233
Author(s):  
Oltiana Muharremi ◽  
Filloreta Madani ◽  
Erald Pelari
Keyword(s):  
Social Influence ◽  
Low Income ◽  
Financial Services ◽  
Poverty Alleviation ◽  
Empirical Investigation ◽  
Social Value ◽  
Microfinance Institutions ◽  
The Poor ◽  
The Impact ◽  
Micro Enterprises

<p class="Default"><em>Microfinance is defined as any activity involving the offering of financial services such as loans, savings and insurance to individuals with low income.</em><em> </em><em>Creating social value includes reducing poverty and having a better impact to improve living conditions through capital for micro-enterprises; insurance and savings deposits for reducing risk and boosting consumption. Worldwide microfinance actors promote access to basic financial services by developing new tools, a variety of products and the adoption of an integrated banking access.</em></p><p class="Default"><em>Initially, microfinance was largely gender neutral: it sought to provide credit to the poor who had no assets to pledge as collateral. It quickly emerged, however, that women invested their business profits in ways that would have a longer-lasting impact on their families and communities. Consequently women became fundamental to the success of the microfinance model as a poverty alleviation tool. The purpose of this article is to examine the impact of microfinance loans in improving the lives of women borrowers, as well as in strengthening their social influence and the microcredit impact in promoting savings. This study is based on an empirical investigation of 384 structured questionnaires and surveys directed at microfinance institutions and their clients in the regions of Vlore and Fier, Albania.</em></p>

scholarly journals The Islamic Microfinance System And Its Ultimate Impact On The Poor In Bauchi Metropolis In The Context Of Socio-Economic Challenges

2021 ◽  
Vol 5 (1) ◽  
pp. 95-101
Author(s):  
Hashim Sabo Bello ◽  
Shamsuddeen Abubakar ◽  
Sunusi Abdulkadir Fateh
Keyword(s):  
Social Services ◽  
Low Income ◽  
Financial Services ◽  
Poor People ◽  
Microfinance Institutions ◽  
Islamic Microfinance ◽  
And Gender ◽  
High Level ◽  
Financial Transactions ◽  
The Impact

One of the conditions for providing social services to the population, reducing the differentiation of their incomes, as well as reducing poverty is to provide equal access to financial services for all segments of the population. Despite high unemployment and a significant number of poor people, only about a few thousand Nigerians today use Islamic microfinance services. The main purpose of this study is to study the impact of the Islamic microfinance system on the financial situation of the population. The study is based on the principles of the theory of positivism. Methods of deduction, statistical analysis, and survey served as methodological tools. The authors of the article developed a structured questionnaire, the analysis of which allowed to analyze the attitude of citizens to Islamic microfinance services. A representative sample of citizens of the metropolis Bauchi with different levels of wealth, age and gender was selected for the study. According to the results of the survey, the development of special microcredit programs for low-income people allowed to finance the start of their own business, thus providing their own and household members’ employment. The main factors hindering the development of microfinance in Muslim countries are the high level of non-repayment of borrowed funds, imperfect infrastructure, the presence of Sharia bans on certain types of financial transactions. The results of the study showed the need for an active information campaign aimed at explaining the benefits of using macro-financial services and their accessibility for low-income citizens, as well as expanding the network of microfinance institutions throughout the metropolis. These measures will create conditions for the development of small business in the country, and as a consequence reduce poverty and reduce the number of unemployed in the country.

scholarly journals Going 'Beyond Microfinance': Enhancing Islamic Microfinance Programmes in Bangladesh

ICR Journal ◽  
2014 ◽  
Vol 5 (1) ◽  
pp. 111-121
Author(s):  
Tawfique Al-Mubarak
Keyword(s):  
High Rate ◽  
Poverty Eradication ◽  
Grameen Bank ◽  
Poverty Level ◽  
Banking Services ◽  
Governmental Organizations ◽  
Non Governmental Organizations ◽  
Long Run ◽  
Islamic Microfinance

Microfinance programmes have been operating in Bangladesh since the early seventies. With the Bangladesh Rural Advancement Committee (BRAC) and the Grameen Bank (GB) as the pioneers, many other Non Governmental Organizations (NGOs) and Microfinance Institutes (MFIs) have grown up to provide banking services to the ‘bankless’ poor of the society. Most of these MFIs disburse cash loans, and in most cases at a high rate of interest. Of course, interest as riba is among the gravest of prohibitions in Islam. Besides, a majority of the clients who take such microfinance loans often live below the poverty level, and have their own priorities to meet before investing the loan in a profit-bearing investment. As a result, the loans turn out to be consumption loans without resulting in any profit to pay the interest therefrom. In the long run, the clients fall into the ‘debt-trap’ and get poorer. This paper suggests that if instead of disbursing cash facilities, the clients were provided with employment under specific projects of which some portions could also be sold to them after the project has recovered its capital, poverty eradication ought to become an easier task. This then goes ‘beyond microfinance’ facilities.  

A Study of Outcomes of the Poverty Alleviation Programme In Batticaloa District Of Sri Lanka

GIS Business ◽  
2019 ◽  
Vol 13 (4) ◽  
pp. 41-53
Author(s):  
V. Navirathan ◽  
A.M. M. Mustafa
Keyword(s):  
Poverty Alleviation ◽  
Research Question ◽  
Development Program ◽  
Lessons Learned ◽  
Standard Of Living ◽  
Primary Data ◽  
Poverty Level ◽  
Actual Impact ◽  
Future Economic Development ◽  
The Impact

The major aim of this thesis was to explore the impact of poverty alleviation programmes on poverty alleviation in Batticaloa district. The objective of this study is to examine whether the Poverty alleviation Programmes increase the income level of the beneficiaries in Batticaloa District and examinewhether the contribution of Poverty alleviation Programme to increasethe standard of living of the beneficiaries living in the Batticaloa District. The research question developed for this study was what are the outcomes of poverty alleviation programmes on poverty alleviation of Samurdhi beneficiaries in Batticaloa district? There are many poverty alleviation institutions and other institutions which are providing livelihood support to improve the standard of living and to alleviate the poverty level. But, the actual impact of those facilities on poverty alleviation was not known. To find the actual impact, the above research question was developed. Primary data were collected from people who were Samurdhi beneficiaries from Manmunai South Eruvil PattuDS Division, Koralaipattu South DS division and Manmunai South West DS Division in Batticaloa District. The proportionate random sampling method was used to obtain 200 responses from the population. Completed questionnaires were analyzed using SPSS-20 tool package and the collected data were used to test the model using univariate and multiple regression analysis. The coefficient of the constant was positive and statistically significant in the model. All independent variables such as Income, Saving, Wellbeing, Coping Strategies, Entrepreneurial Skill, Employment and Gender Balance of the respondent in the research had a positive and statistically significant coefficient at 5% level. This result revealed that the Poverty alleviation programme moderately impacts on poverty alleviation in Batticaloa district. In order to alleviate the poverty, the identification and formulation of the efficient Samurdhi Programme areessential. Therefore, the major purpose of this study is to analyze the outcomes of Poverty alleviation programme and lessons learned to future economic development program which could be implemented effectively, and economical.

Impact of Microfinance on Women Empowerment

2016 ◽  
Vol 5 (1) ◽  
Author(s):  
Jitendra S. Gandhi
Keyword(s):  
Literature Review ◽  
Financial Development ◽  
Financial Services ◽  
Human Life ◽  
Financial Inclusion ◽  
Quantitative Aspect ◽  
Women Empowerment ◽  
Poverty Eradication ◽  
Rural Finance ◽  
The Impact

Micro-finance has proved its importance in relation to poverty eradication, financial development, rural finance, banking and financial services in India. Though the India had philanthropic philosophy to help each other and grow together, micro-finance helped the same in a more institutional and organized manner. India is a diverse country in every aspect of human life which applies to its poverty too. Each region of India has its own language of poverty. Micro-finance also puts forward the movement of financial inclusion of women across the community. Micro-finance has come forward as a ray of hope for the women who are supposed to be equally participating in financial inclusion. The impact of micro-finance in the area of women empowerment in India is still neglected and less documented concept especially in the spectrum of research. The present article is an outcome of literature review which clearly indicates the impact of micro-finance movement in the process of women empowerment. The article has utilized qualitative as well as quantitative aspect to explore the impact of micro-finance in the process of women empowerment.

‘Never let a good crisis go to waste’ – The 2020 Business Information Review Survey: Part I

2021 ◽  
Vol 38 (1) ◽  
pp. 8-14
Author(s):  
Stephen Phillips
Keyword(s):  
Financial Services ◽  
Professional Services ◽  
Corporate Structure ◽  
Client Engagement ◽  
Business Information ◽  
The Uk ◽  
Impact Of Technology ◽  
High Level ◽  
The Impact ◽  
Insight Into

In its 30th year, the Business Information Review Survey captures insights from conversations with leading information managers in the UK and US. The participants include class leading information services leaders from a range of sectors, including financial services, law, professional services, manufacturing, mining and technology. The conversations took place in Q4 2020, covering corporate structure, staffing trends, the operating environment, the impact of technology, content delivery, vendor and client engagement. Respondents were also invited to share their strategic priorities for 2021, teeing up the 2021 survey which will invite the contributors to reflect on their achievements and the evolution of their services. Due to the quality and volume of information gathered, the survey is broken down into two parts. Part I introduces the survey, provides a detailed insight into the methodology, a high level summary of the participants, and detailed insights into the organisational structure and current staffing trends.

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