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Impact of micro-credit programmes on poverty alleviation in Bangladesh

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  • Khatun, Mst Asma
  • Islam, Mohammad Amirul
  • Majumder, Shankar

Abstract

This present study examines the impact of micro-credit programmes of six government organisations (GO), non-government organisations (NGO) and micro-finance institutes (MFI) on poverty alleviation in Bangladesh using a purposive sample of 406 credit receivers. Alongside respondent’s perceived change in poverty situation this study devised an alternative measure of poverty change based on the change in household wealth and education of a household. Two-level binary logistic regression and multinomial logistic regression analyses suggest that amount of loan, different GO /NGOs/MFIs, satisfaction level, taken loan before and micro-credit as main means of asset change were the determinants of change in poverty situation. Significant community level variation was found in this analysis which indicates that the respondents from different communities with same set of characteristics will exhibit different influences on the change in poverty situation. Further research should be carried out to identify the sources of such variation to optimise the effect of micro-credit.

Suggested Citation

  • Khatun, Mst Asma & Islam, Mohammad Amirul & Majumder, Shankar, 2012. "Impact of micro-credit programmes on poverty alleviation in Bangladesh," Bangladesh Journal of Agricultural Economics, Bangladesh Agricultural University, vol. 35(1-2).
    • Handle: RePEc:ags:bdbjaf:196767
    DOI: 10.22004/ag.econ.196767
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    Cited by:

    1. M. J. Hossain & A. K. M. Abdullah Al-Amin, 2019. "Non-farm Income and Consumption Expenditures in Rural Bangladesh: Empirical Evidence from Multilevel Regression Modelling," Journal of Quantitative Economics, Springer;The Indian Econometric Society (TIES), vol. 17(2), pages 377-396, June.
    2. Mst. Asma Khatun & Farjana Misu & Mohammad Amirul Islam & Sheikh Mohammad Sayem, 2022. "Relationship between Poverty and Food Security: Empirical Evidence from the Enclave Area of Rural Bangladesh," Indian Journal of Human Development, , vol. 16(3), pages 448-467, December.
    3. M.K.J. Bhuiyan, & M.J. Hossain & M.A. Islam & M.A. Quddus, 2019. "Determinants Of Nutritional Status Among Under-Five Children In Rural Bangladesh: A Quantitative Analysis Using Multilevel Approach," Bangladesh Journal of Agricultural Economics, Bangladesh Agricultural University, vol. 39(1&2), December.
    4. Farjana Misu & Mst. Asma Khatun & Mohammad Amirul Islam, 2021. "Are the Enclaves on the Same Boat? An Investigation on the Development Indicators of Dahagram–Angarpota of Bangladesh," South Asian Survey, , vol. 28(2), pages 318-340, September.

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