Microfinance and Poverty Reduction: The Case Study of Selected Institutions in the Greater Accra Region of Ghana

Research output: Chapter in Book/Report/Conference proceedingConference proceeding

Abstract

In spite of the popularity gain of microfinance in developing countries and the world at large, much remains to be learnt about its welfare impacts. Drawing upon data obtained in a survey of clients of five microfinance institutions, this paper extends the discussion on microfinance by examining the impact of microfinance on poverty in the Greater Accra Region of Ghana. The study examines the extent to which microfinance institutions reach the poor and investigates the factors influencing participation in microfinance programmes. In addition, the study employs a propensity score matching model (PSM) to ascertain the poverty-reducing effects of participation in microfinance programmes. The empirical results shows that microfinance institutions reach more of the less poor households than the very poor households. Again, socio-economic characteristics such as gender (i.e. being a female), literacy, child dependency ratio and landholdings were found to have significant influence on the likelihood of participating in microfinance programmes. In general, the results did not show significant effect microfinance on poverty reduction. However, if we consider the effects of microfinance on poverty across sub-groups under poverty groupings, significant poverty-reducing effect of microfinance was observed for the very poor households while for the less poor the effect was not statistically significant.
Original languageEnglish
Title of host publicationMicrofinance and the Millennium Development Goals: Achievements and Strategies for Post 2015
Chapter1
Pages1
Number of pages31
Edition8th
Publication statusPublished - 2015

Fingerprint

Microfinance
Poverty reduction
Ghana
Poverty
Microfinance institutions
Household
Participation
Propensity score matching
Socioeconomic characteristics
Literacy
Developing countries
Empirical results
Matching model
Grouping
Dependency ratio
Influencing factors

Cite this

Darko, F. (2015). Microfinance and Poverty Reduction: The Case Study of Selected Institutions in the Greater Accra Region of Ghana. In Microfinance and the Millennium Development Goals: Achievements and Strategies for Post 2015 (8th ed., pp. 1)

Microfinance and Poverty Reduction: The Case Study of Selected Institutions in the Greater Accra Region of Ghana. / Darko, Francis.

Microfinance and the Millennium Development Goals: Achievements and Strategies for Post 2015. 8th. ed. 2015. p. 1.

Research output: Chapter in Book/Report/Conference proceedingConference proceeding

Darko, F 2015, Microfinance and Poverty Reduction: The Case Study of Selected Institutions in the Greater Accra Region of Ghana. in Microfinance and the Millennium Development Goals: Achievements and Strategies for Post 2015. 8th edn, pp. 1.
Darko F. Microfinance and Poverty Reduction: The Case Study of Selected Institutions in the Greater Accra Region of Ghana. In Microfinance and the Millennium Development Goals: Achievements and Strategies for Post 2015. 8th ed. 2015. p. 1
Darko, Francis. / Microfinance and Poverty Reduction: The Case Study of Selected Institutions in the Greater Accra Region of Ghana. Microfinance and the Millennium Development Goals: Achievements and Strategies for Post 2015. 8th. ed. 2015. pp. 1
@inproceedings{6f6384435e9e41819521ea16db1812b2,
title = "Microfinance and Poverty Reduction: The Case Study of Selected Institutions in the Greater Accra Region of Ghana",
abstract = "In spite of the popularity gain of microfinance in developing countries and the world at large, much remains to be learnt about its welfare impacts. Drawing upon data obtained in a survey of clients of five microfinance institutions, this paper extends the discussion on microfinance by examining the impact of microfinance on poverty in the Greater Accra Region of Ghana. The study examines the extent to which microfinance institutions reach the poor and investigates the factors influencing participation in microfinance programmes. In addition, the study employs a propensity score matching model (PSM) to ascertain the poverty-reducing effects of participation in microfinance programmes. The empirical results shows that microfinance institutions reach more of the less poor households than the very poor households. Again, socio-economic characteristics such as gender (i.e. being a female), literacy, child dependency ratio and landholdings were found to have significant influence on the likelihood of participating in microfinance programmes. In general, the results did not show significant effect microfinance on poverty reduction. However, if we consider the effects of microfinance on poverty across sub-groups under poverty groupings, significant poverty-reducing effect of microfinance was observed for the very poor households while for the less poor the effect was not statistically significant.",
author = "Francis Darko",
year = "2015",
language = "English",
pages = "1",
booktitle = "Microfinance and the Millennium Development Goals: Achievements and Strategies for Post 2015",
edition = "8th",

}

TY - GEN

T1 - Microfinance and Poverty Reduction: The Case Study of Selected Institutions in the Greater Accra Region of Ghana

AU - Darko, Francis

PY - 2015

Y1 - 2015

N2 - In spite of the popularity gain of microfinance in developing countries and the world at large, much remains to be learnt about its welfare impacts. Drawing upon data obtained in a survey of clients of five microfinance institutions, this paper extends the discussion on microfinance by examining the impact of microfinance on poverty in the Greater Accra Region of Ghana. The study examines the extent to which microfinance institutions reach the poor and investigates the factors influencing participation in microfinance programmes. In addition, the study employs a propensity score matching model (PSM) to ascertain the poverty-reducing effects of participation in microfinance programmes. The empirical results shows that microfinance institutions reach more of the less poor households than the very poor households. Again, socio-economic characteristics such as gender (i.e. being a female), literacy, child dependency ratio and landholdings were found to have significant influence on the likelihood of participating in microfinance programmes. In general, the results did not show significant effect microfinance on poverty reduction. However, if we consider the effects of microfinance on poverty across sub-groups under poverty groupings, significant poverty-reducing effect of microfinance was observed for the very poor households while for the less poor the effect was not statistically significant.

AB - In spite of the popularity gain of microfinance in developing countries and the world at large, much remains to be learnt about its welfare impacts. Drawing upon data obtained in a survey of clients of five microfinance institutions, this paper extends the discussion on microfinance by examining the impact of microfinance on poverty in the Greater Accra Region of Ghana. The study examines the extent to which microfinance institutions reach the poor and investigates the factors influencing participation in microfinance programmes. In addition, the study employs a propensity score matching model (PSM) to ascertain the poverty-reducing effects of participation in microfinance programmes. The empirical results shows that microfinance institutions reach more of the less poor households than the very poor households. Again, socio-economic characteristics such as gender (i.e. being a female), literacy, child dependency ratio and landholdings were found to have significant influence on the likelihood of participating in microfinance programmes. In general, the results did not show significant effect microfinance on poverty reduction. However, if we consider the effects of microfinance on poverty across sub-groups under poverty groupings, significant poverty-reducing effect of microfinance was observed for the very poor households while for the less poor the effect was not statistically significant.

M3 - Conference proceeding

SP - 1

BT - Microfinance and the Millennium Development Goals: Achievements and Strategies for Post 2015

ER -