Micro Credit to Micro Finance institutions
Independent thesis Advanced level (degree of Master (One Year))Student thesis
Fighting poverty is one of the core objectives of the Millennium Development Goals (MDG).Micro Finance is the best way to eradicate poverty and to empower people. Micro finance is the newly emerging financial industry. It has the target market of more than 1.8 billion people in the whole world. The emphasis of this study is to analyze the prospects of micro finance industry in Pakistan. Our research stresses the need of the diverse micro financial services in order to make the micro finance banks sustainable and profitable while serving the diverse needs of the poor. MFI’s should be distinguished from the NGOs as they are not just charity organizations. The diverse products will mitigate the risk and at the same time gives a variety of services and choices to the clients. Today the reason of the loss of the most of the micro finance institutions is that they offer very few products dominantly micro credit. The study has reviewed the success factors of Kashf, a successful MFI in Pakistan and has developed its recommendations on the basis of this analysis that can be implemented on the other MFI’s. There is a demand for diverse micro financial services in Pakistan and just by meeting a very small group, Kashf has become profitable. So, if there are more innovations in the product development, this sector can become sustainable. Future of micro finance is bright in Pakistan.
Place, publisher, year, edition, pages
2008. , 67 p.
Micro Finance, economically active poor, Pakistan, financial system approach, Poverty lending approach
IdentifiersURN: urn:nbn:se:bth-1241Local ID: oai:bth.se:arkivexC138F91BFE2A6805C12574E30039BC46OAI: oai:DiVA.org:bth-1241DiVA: diva2:828404
UppsokSocial and Behavioural Science, Law