ROLE OF MICROFINANCE IN POVERTY ERADICATION IN UTTAR PRADESH

Abstract

Microfinance is very important for helping people with low incomes, especially those who live in rural areas or operate small businesses who don't have enough money. The goal of microfinance is to give people in underserved areas access to loans and other financial services, which will give them more power and help them become more financially included. Microfinance is getting a lot of attention and is helping to lower poverty in developing countries like India.
The main goals of this research are to look into how microfinance can help end poverty and to find out what problems and chances come with microfinance policies and practices. The study uses a descriptive research methodology and qualitative methodologies to look at secondary data from academic journals, government reports, institutional publications, and trustworthy web sources. The results show that microfinance has helped the impoverished by increasing their income-generating activities, encouraging them to start their own businesses, and helping them become financially independent. The report does, however, point out a number of problems, including as excessive interest rates, weak regulatory systems, and a lack of outreach in distant areas. The report ends by suggesting changes to policies and strategies that could make microfinance a more successful and long-lasting way to help people get out of poverty in Uttar Pradesh.