Abstract:
Purpose
The main objective ofthis study is to assess how well microfinance contributes to eradicating
poverty while accounting for all relevant factors, including the satisfaction of basic
a small-scale
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requirements, living standards, and self-employment. Microfmance places
emphasis on economic development. Microfmance is used to lower the level ofpoverty in the
economy. The purpose of this study is to find out how Sindh's efforts to reduce low-income
poverty have performed. This study aimed to examine how income and loans affected the level
of poverty among respondents from Sindh. There were 232 respondents in this survey who
were customers ofMFIs and microfmance institutions in the Sindh region. With the help ofthe
SPSS v.21 software, the data were examined. For this survey-based study, primary data
collected using a customized questionnaire that covered various aspects of microfmance &
poverty reduction, including meeting basic requirements, living standard, & self-employment.
were
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Methodology & Design
;
. Basic Need
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Microfinance > Poverty Living Standard !
Self-employment ;
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Findings
The association between microfmance, basic requirements, living standards, and self employment is examined using correlation analysis and linear regression models, as well as
the effect of microfinance on poverty. The research reveals that microfinance has an
advantageous effect on lowering poverty since there is a substantial association between the
independent variable, microfmance (MF), and the dependent variables, fulfilment of basic needs (BN), living standard (LS), and self-employment. According to the study's findings,
■which is a key component in alleviating poverty among the respondents in
Sindh has a strong relationship with the study variables.
microfinanci
Limitations
Data availability issues brought on by inadequate disclosure of necessary information are the
study's mam limitation. Companies are apprehensive about sharing precise client information.
Since neither the government nor the commercial sector has a dedicated department for data
recording, statistical data were incorrectly maintained. Another difficulty encountered during
the research phase was time constraints. In order to gather data on the goods and services
provided, customer satisfaction, and information required to understand the issues faced by
borrowers, the researchers were unable to visit clients. Another barrier to performing fruitful
research is the lack ofresources.
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Recommendations
• To accommodate the needs ofthe clients, the loan amount should be raised.
• People should be given more chances to improve their borrowing.
• Bank personnel must be given the proper information about their clients in order to
make the best use of borrowed money.
• Interest rates should be lowered to enable more clients to access new lending services.
• To teach people how to interact with customers efficiently, training program-mes
should be developed for them.
• On the department's steps, debt services ought to be offered.
