Assessing the Contribution of Microfinance to Women’s Economic Empowerment in Rural Bangladesh Author Details

Abstract

Microfinance has been shown to contribute significantly to self-employment and wage employment, with female participation yielding particularly strong effects. This study examines how microfinance contributes to women’s economic empowerment and economic gains in rural Bangladesh. Using a structured questionnaire and purposive sampling, data were collected from 376 women who had borrowed from microfinance institutions for at least two years. The findings indicate that many women experience moderate to high levels of economic empowerment, especially through income generation and improved market access, although benefits are not evenly distributed. Outcomes are influenced by factors such as loan size, entrepreneurial skills, market conditions, and household support. Overall, microfinance serves as a valuable tool for enhancing women’s economic status, but additional measures including government and NGO support, skill development programs, and non-exploitative loan restructuring which are necessary to ensure sustainable and equitable benefits for all women.