The impact of micro finance on poverty alleviation and women empowerment as entrepreneurs in Sri Lanka

Abstract

Microfinance has been identified in developing countries as a powerful tool for alleviating rural poverty and empowering women. The Samurdhi Program in Sri Lanka is the largest government sponsored micro finance program in the country. This study investigates the impact of Samurdhi microfinance services on empowering rural women as women entrepreneurs in Sri Lanka. The study used mixed methods to collect data from a sample of rural women who are direct beneficiaries of Samurdhi in the Southern Province of Sri Lanka. Findings clearly indicate that micro-credit programs increase women’s empowerment and participation in decision making in the house hold. The study provided a critical lens to identify the effectiveness of the Samurdhi program in developing women as empowered entrepreneur.