THE EFFECT OF MICROFINANCE BANK ON POVERTY ALLEVIATION, A SURVEY OF SELECTED MICROFINANCE BANK IN OSUN STATE

Authors:
Shittu Saheed Akande, Gbolagade Adekola Sikirulahi & Eunice Afolake

Abstract:
Microfinance schemes are seen as a means for poor households to gain access to much-needed credit services that are appropriate for their needs. Therefore, this study examined the effect of microfinance bank on poverty alleviation in Osun State. The study adopted a descriptive design using a structured questionnaire as the main instrument for data collection. Regression analysis technique was used to test hypotheses. The study indicated that there is a positive significant relationship between Microfinance operations and poverty alleviation. It was also discovered that Micro-credit has a positive influence on poverty reduction and there is a significant relationship between the deposit of microfinance bank and poverty alleviation. Therefore, the study recommended that Government at all levels should give more support to microfinance bank in order to improve their performance. This will promote people economic capacity and bring sustainable development.

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