International Journal of Social Science & Economic Research
Submit Paper

Title:
Microfinance as Alternative to Rural Credit Market in India

Authors:
Dr. Kakali Barua

|| ||

Dr. Kakali Barua
Department of Economics, Lady Shri Ram College for Women, New Delhi -110024

MLA 8
Barua, Dr. Kakali. "Microfinance as Alternative to Rural Credit Market in India." Int. j. of Social Science and Economic Research, vol. 10, no. 1, Jan. 2025, pp. 1-12, doi.org/10.46609/IJSSER.2025.v10i01.001. Accessed Jan. 2025.
APA 6
Barua, D. (2025, January). Microfinance as Alternative to Rural Credit Market in India. Int. j. of Social Science and Economic Research, 10(1), 1-12. Retrieved from https://doi.org/10.46609/IJSSER.2025.v10i01.001
Chicago
Barua, Dr. Kakali. "Microfinance as Alternative to Rural Credit Market in India." Int. j. of Social Science and Economic Research 10, no. 1 (January 2025), 1-12. Accessed January, 2025. https://doi.org/10.46609/IJSSER.2025.v10i01.001.

References

[1] . All India Debt and Investment Survey NSS 77th Round (January- December, 2019)
[2] . Anis Chowdhury ( 2009), Microfinance as a Poverty Reduction Tool—A Critical Assessment. DESA Working Paper No. 89ST/ESA/2009/DWP/8 December.
[3] . Bateman, M. and Chang, H.-J. 2012, Microfinance and the illusion of development: from hubris to nemesis in thirty years, World Economic Review, vol. 1, 13–36.
[4] . Burgess, R and R Pande (2002), Do Rural Banks Matter? Evidence from the Indian Social Banking Experiment.
[5] . Chavan, P. and Ramakumar(2002) , Micro-Credit and Rural Poverty An Analysis of Empirical Evidence Rural Credit in 20th Century India. EPW. March 9, 2002.
[6] . Chavan, P. and B. Bhaskar (2009), Micro Finance and Financial Inclusion of Women: An Evaluation. RBI Occasional Papers, Volume 30. Number 2.
[7] . Ghosh, J (2013) , Microfinance and the challenge of financial inclusion for development. Cambridge Journal of Economics 2013, 37, 1203–1219.
[8] . Jayaram, B(2002), Micro finance retrospect and prospect. NABARD Occasional paper 20.
[9] . Karnani, A (2011), Fighting Poverty Together: Rethinking Strategies for Business, Governments, and Civil Society to Reduce Poverty. New York: Palgrave MacMillan.
[10] . Mosely, P and Hulme, D (1998), ‘Microenterprise Finance: Is There a Conflict Between Growth and Poverty Alleviation?’, World Development, 26(5) 783-790.
[11] . NABARD. Various, Status of Microfinance in India.
[12] . Puhazhendi, V and K C Badatya (2002), SHG-Bank Linkage Programme for Rural Poor – An Impact Assessment, NABARD.
[13] . Puhazhendi, V and K J S Satyasai (2000), Microfinance for Rural People – An Impact Study, NABARD.
[14] . Shah, M. et al. (2007), Rural Credit in the 20th century India, Overview of History and Perspectives . EPW, April 14.
[15] . SIDBI (2008), Assessing development impact of microfinance programmes.
[16] . Srinivasan, N (2010), Microfinance India: State of the Sector Report 2010. London: Sage Publications.
[17] . Swaminathan, M (2007), ‘The Micro-credit Alternative?’, Economic and Political Weekly, Vol XLII, No 13.
[18] . Taylor, M. (2011), Freedom from poverty is not for free: rural development and the microfinance crisis in Andhra Pradesh, India, Journal of Agrarian Change, vol. 11, no. 4, 484–504.

ABSTRACT:
Formal credit institutions face the problem of lenders risk in the absence of any collateral, problems of targeting, screening, monitoring and ensuring productive usage of loans along with high transaction cost. Hence, a large section of the rural poor has to remain outside the purview of formal sector lending. It is forced to depend upon non-institutional sources of credit like moneylenders, landlords, employers, friends and relatives, who often charge exorbitant interest rates. Thus, large scale indebtedness and poverty among rural people often stems from this rising dependence on informal lending institutions. Hence, microfinance can play an important role as there is a crucial need to make credit an integral part of poverty alleviation programme.

IJSSER is Member of