scholarly journals Microfinance Institutions in Yemen “Hurdles and Remedies”

2017 ◽  
Vol 4 (1) ◽  
pp. 10 ◽  
Author(s):  
Ali Saleh Alshebami ◽  
V. Rengarajan
Keyword(s):  
Rural Areas ◽  
Primary Data ◽  
Poor People ◽  
Remedial Measures ◽  
Microfinance Institutions ◽  
Secondary Sources ◽  
The Poor ◽  
Physical Infrastructure ◽  
Banking Institutions

The objective of this paper is to investigate the different types of hurdles limiting the growth and development of microfinance institutions operating in Yemen, and to suggest relevant recommendations that be used as a backup in the process of taking remedial measures. The study is both descriptive and analytical in nature. The data collected is based on both primary and secondary sources. The primary data was collected during the field study of ongoing PhD research study on the role of microfinance in mitigating poverty and unemployment in Yemen conducted in October 2015 by Mr. Ali Alshebami. Only a sample of nine MFIs was selected from The MFIs operating in the market, as the remaining MFIs could not be easily reached due to the prevailing persistent internal war situation. A few of these hurdles include but not limited the existence of insufficient funds necessary for financial business and the availability of poor physical infrastructure in the rural areas. In addition, the shortage of qualified human resources, the poor diversification of products and services, the political instability of the country, the wrong perception about lending to the poor and many others. Among other remedial measures, investible funds and designing of integrated financial products with the inclusion of micro insurance are essential, these two vital ones along with including the financial linkages between MFIs and formal banking institutions should be adopted for more enhancement. The study confirms that there are several difficulties and challenges, which hinder the MFIs from progressing and achieving their mission in terms of outreach to the poor people.

scholarly journals Securitization: An Alternative Funding Mechanism for the Microfinance Institutions

2018 ◽  
Vol 3 (2) ◽  
pp. 1
Author(s):  
Shahadat Hossain ◽  
Rubaiyet Hasan Khan
Keyword(s):  
Developing Countries ◽  
Financial Services ◽  
Poor People ◽  
Microfinance Institutions ◽  
Cross Border ◽  
Alternative Funding ◽  
Funding Mechanism ◽  
The Poor

Despite microfinance has been widely appreciated as an informal financial mechanism to provide financial services to the poor people in developing countries, this sector is still lacking behind in fulfilling the demand gap due to the dearth of adequate funds. Securitization opens a new horizon that overcomes the funding barriers of microfinance through which the top tier Microfinance Institutions (MFIs) can accumulate funds to enlarge their portfolio without issuing any debt or equity. This paper is a desk study that synthesizes how securitization can be used in the funding of the MFI portfolio and what are the benefits and risks associated with securitization of microfinance portfolio. As a case study, we use the two examples of cross-border securitizations in the microfinance industry to diagnose the role of securitization in microfinance.

scholarly journals Significance of Microfinance Institutions in Rural Development of India

2014 ◽  
Vol 21 ◽  
pp. 84-90 ◽  
Author(s):  
Rajesh K. Yadav
Keyword(s):  
Rural Development ◽  
Rural Areas ◽  
Vital Role ◽  
Poor People ◽  
Microfinance Institutions ◽  
Economic Activities ◽  
Productive Activities ◽  
Standard Manner ◽  
Small Change

Micro finance is to supply micro credit to people living in utter poverty and has no reach to the conservative and formal financial products. It is an aid to engage them in productive activities and grow their tiny businesses. Micro finance focused on availing the credit in a standard manner. Micro financial schemes plays vital role in increasing women‟s participation in economic activities and decision making. In this research paper an effort is made to investigate the role of microfinance in rural development especially through Micro financial schemes. This study is an empirical study which aims to find out the role and responsibilities of microfinance in rural development. Our experience while doing this study suggests that microfinance provides key lessons for development in terms of what mechanism and best practices should be adopted and how to make small change that creates a big difference. It is concluded that poor people in rural areas especially in under developing countries, are in immense need of credits so microfinance programs must make available this credit needs and motivate the poor people to increase their standard of living.

scholarly journals The Pro-poor Policy of Microfinance in Indonesia

2009 ◽  
Vol 11 (3) ◽  
pp. 317 ◽  
Author(s):  
Agus Eko Nugroho
Keyword(s):  
Commercial Banks ◽  
Small Scale ◽  
Poor People ◽  
Microfinance Institutions ◽  
Financial Systems ◽  
Policy Issues ◽  
The Poor ◽  
Credit Associations ◽  
Parallel Direction

This paper discusses and proposes the policy issues associated with the development of microfinance industry in Indonesia. Despite its capability of financing small-scale businesses, the development of the microfinance industry is far behind that of commercial banks. The policy focus on developing sound financial practices of microbanks has ignored the role of semi-formal and informal microfinance institutions (MFIs) in serving poor people. Compliance with the sound banking practices could inevitably drive microbanks away from serving the poor. Regarding the capability of informal and semi-formal MFIs of outreaching the poor, the challenges to microfinance policy in Indonesia is to develop inclusive financial systems through which the progress of microbanks goes in a parallel direction with the developments of semi-formal and informal MFIs, such as cooperatives and rotating saving and credit associations (ROSCAs).

scholarly journals Reflection on Rural Development: Village Fund, Village Tour, and the Covid-19 Pandemic

2021 ◽  
Author(s):  
Fajar Sidik
Keyword(s):  
Rural Development ◽  
Rural Areas ◽  
Poverty Alleviation ◽  
Central Government ◽  
Qualitative Approach ◽  
Poor People ◽  
The Poor ◽  
Physical Infrastructure ◽  
Tourist Village ◽  
The Village

In 2015 the central government implemented the Village Fund program for all villages in Indonesia. The objective of this program was to accelerate poverty alleviation and promote village independence. One of the development priorities in rural areas is to achieve village independence by developing tourism villages with village funds. Meanwhile, at the end of 2019, the Covid-19 pandemic that broke out in Indonesia led to an increase in poverty in rural areas. This increased the need for assistance from village funds to help improve the welfare of the poor. In this study, the Giri Manik Village was examined because it was one of the national pilot villages in developing a tourist village using village funds. The research was conducted using a qualitative approach. Data were collected through interviews, observations, and documentation analysis. Based on the results, it can be concluded that developing the physical infrastructure of tourist villages does increase the income of the poor through cash-intensive labour. However, the benefits of tourist villages are largely enjoyed by the village elite. Keywords: village funds, tourist village, village elite, poor people, the Covid-19 pandemic

scholarly journals ROLE OF NATIONAL RURAL LIVELIHOOD MISSION (NRLM) ON COST OF LIVING STANDARD OF THE SCHEDULED CASTE COMMUNITIES AT DHEMAJI AND LAKHIMPUR DISTRICT OF ASSAM

2020 ◽  
Vol 8 (4) ◽  
pp. 119-126
Author(s):  
Dr. Diganta Kumar Das
Keyword(s):  
Rural Areas ◽  
Secondary Data ◽  
Poverty Line ◽  
Vulnerable Groups ◽  
Primary Data ◽  
Living Standard ◽  
Cost Of Living ◽  
The Poor ◽  
The People

Motivation/Background: The financial aspects are considered as an integral part for development of rural areas in every nation. Small financial helps can defiantly improve the living standard of the poor. Here the role of microfinance is crucial. Through microfinance the poor and needy people can fulfil their day to day and small economic and financial requirements upto certain extend. In India it is seen that most of the people lives in the rural areas are below the poverty line and finance to these group is very much essential. Moreover, the vulnerable groups are more deprived of their basics needs particularly the SCs and the STs.  Thus, an effort has been made by the researcher to study the pros and cons of NRLM and its impact on economic condition of poor SC people living in the rural areas at Dhemaji and Lakhimpur district of Assam through this paper. Method: For that purpose, both the primary and secondary data have been used. For collecting the primary data, a total number of 140 (7 X 10 X 2=140) respondents from 70 SHGs had randomly selected comprising of 10 SHGs from the seven Development Blocks and from each sample SHGs 2 members were selected. Results and Conclusions: Study revealed that inspite of facing the problems like marketing, transportation, flood and proper management and training of the group, the SHGs are functioning well in terms of improvement of food security and cost of living standard of the SC member’s household in the area under study.

An Empirical Study of the Financial Mismanagement of Internally Generated Revenue in Ife South Local Government of Osun State, Nigeria

Think India ◽  
2016 ◽  
Vol 19 (2) ◽  
pp. 29-38
Author(s):  
Adeola Ajayi
Keyword(s):  
Local Government ◽  
Financial Management ◽  
Town Planning ◽  
Primary Data ◽  
Revenue Generation ◽  
Secondary Sources ◽  
The Poor ◽  
Local Government Level ◽  
Government Level ◽  
Descriptive Statistical Analysis

This study focused on financial mismanagement of Internally Generated Revenue (IGR) in Ife South Local Government. It also identified viable sources of revenue in the local government and examined problems militating against effective collection of revenue. This study was necessitated by the need to ensure increased revenue generation in Ife South local government of Osun State, Nigeria. Primary and secondary sources of data were utilized for the study. The primary data were collected through structured questionnaires. Respondents were selected from career officers in GL. 03-16 in departments and units of finance and supplies, administration, primary healthcare, agriculture, town planning and estate valuation of the local government, thus 180 respondents were sampled representing 29.31% of 614 staff strength of these departments and units of the local government. The questionnaires were administered using descriptive statistical analysis such as frequency and percentage value. The study revealed that there are many viable and non-viable sources of revenue in Ife South local government, the myriad of problems militating against effective collection of the revenue and the poor financial management of internally generated revenue which aptly explains why the local government could not be developed. The study concluded that the share of local government from the statutory allocation be increased, routine auditing and post-auditing from the supervising ministry should be encouraged at the local government level and that the local government should also intensify her effort on increase revenue generation in order to withstand the challenges posed by the current global economic crisis.

scholarly journals Information Asymmetry and Trust: A Framework for Studying Microfinance in India

2005 ◽  
Vol 30 (4) ◽  
pp. 77-86 ◽  
Author(s):  
M S Sriram
Keyword(s):  
Social Networks ◽  
Transaction Costs ◽  
Rural Areas ◽  
Financial Services ◽  
Imperfect Information ◽  
Informal Networks ◽  
The Poor ◽  
The People ◽  
Financial Transactions

In recent times, microfinance has emerged as a major innovation in the rural financial marketplace. Microfinance largely addresses the issue of access to financial services. In trying to understand the innovation of microfinance and how it has proved to be effective, the author looks at certain design features of microfinance. He first starts by identifying the need for financial service institutions which is basically to bridge the gap between the need for financial services across time, geographies, and risk profiles. In providing services that bridge this gap, formal institutions have limited access to authentic information both in terms of transaction history and expected behaviour and, therefore, resort to seeking excessive information thereby adding to the transaction costs. The innovation in microfinance has been largely to bridge this gap through a series of trustbased surrogates that take the transaction-related risks to the people who have the information — the community through measures of social collateral. In this paper, the author attempts to examine the trajectory of institutional intermediation in the rural areas, particularly with the poor and how it has evolved over a period of time. It identifies a systematic breach of trust as one of the major problems with the institutional interventions in the area of providing financial services to the poor and argues that microfinance uses trust as an effective mechanism to address one of the issues of imperfect information in financial transactions. The paper also distinguishes between the different models of microfinance and identifies which of these models use trust in a positivist frame and as a coercive mechanism. The specific objectives of the paper are to: Superimpose the role of trust in various types of exchanges and see how it impacts the effectiveness of repeated transactions. While greater access to information fosters trust and thus helps social networks to reduce transaction costs, there could be limits to which exchanges could solely depend on networks and trust. Look at the frontiers where mutual trust cannot work as a surrogate for lower appraisal costs. Use an example in the Canadian context and see how an entity that started on the basis of social networks and trust had to morph into using the techniques used by other formal nonneighbourhood institutions as it grew in size and went beyond a threshold. Using the Canadian example, the author argues that as the transactions get sophisticated, it is possible to achieve what informal networks have achieved through the creative use of information technology. While we find that the role of trust both in the positivist and the coercive frame does provide some interesting insights into how exchanges with the poor could be managed, there still could be breaches in the assumptions. This paper identifies the conditions under which the breaches could possibly happen and also speculates on the effect of such breaches.

scholarly journals MEMAKNAI KEMISKINAN BERDASARKAN PANDANGAN ORANG MISKIN PEDESAAN

Edulib ◽  
2014 ◽  
Vol 4 (1) ◽  
Author(s):  
Tine Silvana ◽  
Pawit M Yusup ◽  
Priyo Subekti
Keyword(s):  
Rural Areas ◽  
Rural Poverty ◽  
Social Condition ◽  
Poor People ◽  
Rural Poor ◽  
Access To Information ◽  
Trial And Error ◽  
Study Approach ◽  
The Poor ◽  
Education Psychology

AbstractRural poverty can be understood as a social condition of a person, or a group of people who were associated with aspects of economic and non-economic aspects. Scientific aspects such as social, cultural, health, education, psychology, the environment, law, anthropology, and art, was often associated with poverty. Nevertheless, the notion of poor and rural poverty is, in general, is still viewed by researcher's perspective, rather than emic, ie see something from the perspective of the participant. This study took part of the effort to comprehensively understand the meaning of poor and poverty in the eyes of the poor, especially in rural areas, roomates point is on how to map view of rural poor people in hopes of interpreting experience of livelihood as poor in underlying survival living. By using a qualitative study approach, especially the tradition of phenomenology of Schutz, obtained a description of the results, that the meaning of poor and poverty, in phenomenology, containing context, such as: context ownership; contexts effort and trial and error; contexts powerlessness; contexts outside assistance; independence in the context of compulsion; contexts unattainable expectations; context of the struggle; context of limited access to information; contexts low curiosity; contexts simplicity needs; problems humiliation context; and context sensitivity in social communication.Keywords: Meaning poor, Poverty, Rural AbstrakKemiskinan di pedesaan dapat dipahami sebagai suatu kondisi sosial seseorang, atau sekelompok orang yang terkait dengan aspek-aspek ekonomi dan non-ekonomi. Aspek ilmiah seperti sosial, budaya, kesehatan, pendidikan, psikologi, lingkungan, hukum, antropologi, dan seni, yang sering dikaitkan dengan kemiskinan. Namun demikian, gagasan tentang kemiskinan dan pedesaan, secara umum, masih dilihat dari perspektif peneliti, bukan emik, yaitu melihat sesuatu dari perspektif partisipan. Penelitian ini mengambil bagian dari upaya untuk secara komprehensif memahami makna miskin dan kemiskinan di mata masyarakat miskin, terutama di daerah pedesaan, which titik adalah bagaimana memetakan pandangan masyarakat miskin pedesaan dengan harapan pengalaman yang menafsirkan mata pencaharian sebagai masyarakat miskin untuk bertahan hidup. Dengan menggunakan pendekatan studi kualitatif, khususnya tradisi fenomenologi Schutz, diperoleh gambaran hasil, bahwa makna miskin dan kemiskinan, dalam fenomenologi, mengandung konteks, seperti: kepemilikan konteks; Upaya konteks dan trial and error; Ketidakberdayaan konteks; konteks di luar bantuan; kemerdekaan dalam konteks paksaan; konteks harapan tercapai; konteks perjuangan; konteks terbatasnya akses terhadap informasi; konteks rasa ingin tahu yang rendah; kesederhanaan konteks kebutuhan; konteks masalah penghinaan; dan sensitivitas konteks komunikasi sosial.Kata Kunci : Makna kemiskinan, Kemiskinan, Desa

scholarly journals The Role of a Modern Organization Supporting Business Based on the Recommendation on the Example of the BNI Poland Group

2018 ◽  
Vol 3 (3) ◽  
pp. 206
Author(s):  
Magdalena Jarczok-Guzy
Keyword(s):  
Support Group ◽  
Primary Data ◽  
Academic Literature ◽  
Secondary Sources ◽  
Scientific Analysis ◽  
Business Support ◽  
The Usa

<em>The aim of the study is to analyze the functioning of the BNI Poland Group as an organization operating on the principle of networking and to show the role of recommendation in contemporary competitive conditions. The method of analyzing the academic literature, secondary sources, internal documents of the studied group as well as primary data in the form of a questionnaire have been used in the article. The article shows that a membership in a business support group based on the recommendation principle in the era of increased competition helps to remain on the market and raise the number of clients. This work can be used as a source of knowledge for every entrepreneur who is open to business contacts kept according to a strictly defined structure and procedures. The issue of the business support group on the basis of recommendation is quite a recent matter in Poland. The BNI Poland Group was established in 2010, while in the USA it has been functioning since 1985. Due to these dates, you can direct more attention to this form of marketing. This paper is not a commercial but scientific analysis of an organization which could be an instrument of competiveness at market.</em>

Role of Micro-Finance in Socio-Economic Development of Kathmandu, Nepal

Patan Pragya ◽  
2019 ◽  
Vol 5 (1) ◽  
pp. 1-10
Author(s):  
Dipak Bahadur Adhikari
Keyword(s):  
Economic Development ◽  
Small Business ◽  
Economic Status ◽  
Poor People ◽  
Socio Economic Status ◽  
The Poor ◽  
Socio Economic Development

The focus of this paper is to analyze the role of micro-finance in socio-economic development of Kathmandu. Microfinance is a simple but effective credit tool that enables the most poor to pull themselves out of poverty. The socio-economic status of loanees has improved consequently than when they started small business with loan in the earlier days. Moreover, it was found that their socio-economic status was higher than that of non-loanees. Microcredit is an effective tool for raising the socio-economic status of the poor people, particularly the women.

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