A study on role effectiveness of micro finance in india: with special reference to poverty eradication

Abstract

Introduction: Microfinance serves as a means of providing financial assistance to individuals with low incomes, including impoverished rural residents, low-income people, and small company owners with inadequate capital. In this system, microfinance gives those who struggle to get funding the financial support they need to expand their businesses. They offer a range of financial services, including insurance, money transfers, savings accounts, deposits, loans, and more. Microfinance has gained widespread recognition as an effective approach to reduce poverty in developing economies like India.Methods: The goal of the study is to critically evaluate the arguments made for and against microfinance as a strategy for reducing poverty on a global scale. In developing nations like India, where the bulk of the population lives in rural regions without access to traditional banking services, microfinance is the most efficient means of empowering the impoverished economically. The current study is to examine how microfinance institutions contribute to client satisfaction by offering high-quality services and raising client awareness. Cross sectional table analysis used in this study. Secondary sources of data has been used to accomplishment of this study. Results: This paper was to examine how beneficial microfinance is in India in relation to the fight against poverty. This paper aims to provide an understanding of the models, main obstacles, and impact of microfinance in India on the reduction of poverty. The purpose of microfinance is to help the underprivileged and those residing in impoverished areas become self-sufficient. It is specifically designed for these individuals. Conclusions: The study came to the conclusion that financial institutions that offer these services can satisfy their customers and raise their awareness levels. The study indicates that in order to maintain the quality of their services and develop their businesses, these institutions must continue to innovate through the use of new programs and policies