Ensuring the Role and Impact: Reaching the Poorest While Alleviating the Poverty by Micro Finance in Dera Ismail Khan KPK Pakistan

Abstract

Micro Finance is used as one of the tools for poverty alleviation.  Micro Financial Institutions provide small loans to poor people, farmers and small enterprises. It is the best solution of removing poverty. This research study provides an overview on Micro finance and poverty alleviation at D.I.Khan district KPK Pakistan.This study is based on both quantitative and qualitative methodologies in order to find out the feasible solution of thisresearch question:what are improvements achieved in the reduction of poverty in the fields of income, employment, education, communication, health care, children’s education and housing etc? Stratified random sampling techniques were used to get a total of 96 respondents. Data were collected through close ended questionnaires, semi structured interviews, observations and documentary reviews. Data analysis was based on descriptive statistics using various statistical tools like regression, correlation, t- test and ANNOVA with the help of tables. The Study findings show thatprovision of Micro-finance is very useful in poverty reduction. The result of the study also show that microfinance helps in poverty alleviation of different categories of poor people and has the positive significant impact on the dependent variable i.e. Poverty Reduction.

Key words: Micro finance, poverty, MFIs, income, employment and education.