Poverty Alleviation
POVERTY ALLEVIATION THROUGH MICROFINANCE
At the most basic level, the key to ending extreme poverty is to enable the poorest of the poor to get their foot on the ladder of development. ~ Jeffrey D. Sachs
Creating self employment opportunities is one way of attacking poverty and solving the problems of unemployment. The Scheme of Micro-finance has been found as an effective instrument for lifting the poor above the level of poverty by providing them increased self-employment opportunities and making them credit worthy. There is a need for designing financially sustainable models and increase outreach and scale up operations for poor in India. The impact of micro finance on poverty alleviation has been measured in terms of several dimensions such as : 1) improved income 2) employment 3) household expenditure 4) reduced vulnerability to economic and social crises. Micro finance organizations should provide the social space and the political power for the poor to advance entrepreneurial endeavors and providing them with the right financial tools and knowledge to start a microenterprise, which will help them in the long-term and allow them to become self-sustaining in the process. It helps create investment options which the poor can choose from. The deeper the poverty — social, economic and political — the less effective is credit as a trigger for livelihood. , utilizing microloans Kathryn Imboden (2005) indicates in her research that there is a growing number of literature that can support the positive relationship between financial sector development and poverty alleviation. .Success, self-respect and dignity are basic ingredients in overcoming the conviction that poor people and their children are born losers, born to fail” (van Maanen, 2004, pp. 27-28). The challenges involved in measuring the impact of Micro Finance are :
1) Obtaining a reliable data for market analysis through the development and use of
At the most basic level, the key to ending extreme poverty is to enable the poorest of the poor to get their foot on the ladder of development. ~ Jeffrey D. Sachs
Creating self employment opportunities is one way of attacking poverty and solving the problems of unemployment. The Scheme of Micro-finance has been found as an effective instrument for lifting the poor above the level of poverty by providing them increased self-employment opportunities and making them credit worthy. There is a need for designing financially sustainable models and increase outreach and scale up operations for poor in India. The impact of micro finance on poverty alleviation has been measured in terms of several dimensions such as : 1) improved income 2) employment 3) household expenditure 4) reduced vulnerability to economic and social crises. Micro finance organizations should provide the social space and the political power for the poor to advance entrepreneurial endeavors and providing them with the right financial tools and knowledge to start a microenterprise, which will help them in the long-term and allow them to become self-sustaining in the process. It helps create investment options which the poor can choose from. The deeper the poverty — social, economic and political — the less effective is credit as a trigger for livelihood. , utilizing microloans Kathryn Imboden (2005) indicates in her research that there is a growing number of literature that can support the positive relationship between financial sector development and poverty alleviation. .Success, self-respect and dignity are basic ingredients in overcoming the conviction that poor people and their children are born losers, born to fail” (van Maanen, 2004, pp. 27-28). The challenges involved in measuring the impact of Micro Finance are :
1) Obtaining a reliable data for market analysis through the development and use of