Enhancing Livelihood of Below Poverty Line Women-Understanding the Role of Microfinance Institutions Mansurali A*, Swamynathan R** *Assistant Professor, PSG Institute of Management, PSG College of Technology, Coimbatore, Tamil Nadu, India **Assistant Professor, PSG Institute of Management, PSG College of Technology, Coimbatore, Tamil Nadu, India Online published on 5 April, 2016. Abstract Microfinance is an amazingly simple approach that has been proven to empower very poor people and bring in development throughout the world (Grameen Foundation, 2001). It is the provision of financial services, such as loans, savings, insurance, money transfers, and payments facilities to low income groups. Being Poverty is a ‘normal state' of the world and it is perceived as a valuable concern of all nations around the globe. Stakeholders/Micro credit institutions are aimed at achieving the goal of “freedom from poverty”; not merely alleviating those below poverty line, but also enhancing their livelihoods and well-being. The theory behind the business of microfinance is that ‘the poor are creditworthy' which is now becoming as ‘poor are worthy to credit'. The article draws on basic research carried out in Southern India, Tamil Nadu the second largest state in India in terms of micro-financing activities (Religare, 2015) which tries to explore the purposeful endeavor of microfinance institutions in improving and enhancing the lives of the poor women. Samples were drawn from four districts in which two districts represents the most developed micro-funded while the other two were most under-developed in terms of micro finance intervention. This study established the fact that the below poverty line women participation in micro credit programs have increased their level of income. The study highlights that the consumption pattern upon food and non-food items (other consumables) is in an improvement phase compared to the non-members or non-borrowers from Micro Finance Institutions. Top Keywords Microfinance, below poverty line, livelihood, consumption, poverty, microcredit, household. Top |