The Role of Microfinance in Women Empowerment: A Study on the SHG Bank Linkage Program in Hyderabad (Andhra Pradesh)


  • Dr.M.Aruna Faculty Member in Economics, Icfai Business School IFHE deemed University, Hyderabad, India.
  • Ms.Rema Jyothirmayi Lecturer In Economics, S.P Jain Degree College Banglore, India.


Microfinance, Women empowerment, SHG bank linkage program (SBLP)


Micro finance programs are treated as a key strategy in addressing development issues across nations since the last three decades. This study attempts to explore on the much debated question of the role of microfinance as a financial intermediary for enhancing women empowerment A primary survey has been carried out to capture the realistic experiences and observation from the beneficiaries of Micro sate branch of Hyderabad, a unique initiative of Indian Bank for microfinance operations intended to improve the status of women. The empirical findings of the study suggests that microfinance   has a profound influence on the economic status, decision making power, knowledge and self worthiness of women participants of self help group linkage program in Hyderabad.  The microfinance related loan availement and its productive utilization found to be causing significant differences in women empowerment levels, measured through women empowerment index (WEI), of the loan availed participants as compared to the non- loan availed.  The study confirms that as an anti poverty tool, microfinance has its own limitations to reach the bottom of the poor. However, it is found effective in graduating the poor, not the poorest, and lower middle class to a higher standard of living. Though different studies at various places and points of time differ in their conclusion, the present study acknowledge that despite of bottlenecks, microfinance is capable of graduating struggling poor from their shackles and helps to upscale them to a better living and playing significantly positive role in upgrading women empowerment.


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How to Cite

Dr.M.Aruna, & Ms.Rema Jyothirmayi. (2011). The Role of Microfinance in Women Empowerment: A Study on the SHG Bank Linkage Program in Hyderabad (Andhra Pradesh). Indian Journal of Commerce and Management Studies, 2(4), 78–95. Retrieved from