Impact of Microcredit Loan on Poverty Alleviation at Jhenaidah District in Bangladesh: A District based cross- sectional study.

Abstract

This article talked about the impact of microcredit loan on poverty minimizing from the perspective of Bangladeshi rural villages. This study is a district based cross- sectional study. This paper shows the impact of microcredit loans on financial improvement. The purpose of this paper is to evaluate the proper use of microcredit loan money in rural areas, after taking this loan can they improve their economic condition or not and what are the positive or negative impacts of microcredit loan in their life. Survey of this paper was conducted by interviewing the targeted population. My sample size was 250 and the type of questionnaire was semi-structured. This is quantitative research and followed by snowball sampling methods. The Findings of this paper shows that most of the microcredit loan borrowers did not use the money productively. As a result, this paper found more negative impact of microcredit loans in their economy than positive impact. This paper mentioned some of the loan giver organizations do not follow proper policy of microcredit loan and they only think of their own profit. Microcredit loan cannot fulfill its own purpose because of mismanagement of this program where both microcredit loan giver and borrower are equally responsible.