Microfinance as a Catalyst for Poverty Reduction: Assessing Credit Access, Entrepreneurship, and Income Resilience in Marginalized Rural Economies

Muhammad Mujahid Iqbal, Manzoor Ahmed, Fayaz Hassan Khoso, Hesan Zahid · 2025 · Review Journal of Social Psychology & Social Works

Summary. Microfinance institutions provide crucial financial access to low-income rural households in marginalized areas. This study of 400 microfinance participants in southern Punjab, Pakistan shows that credit access directly improves entrepreneurial performance and financial stability. The effect strengthens significantly when combined with financial skills training and social network support. Microfinance enables business creation, income resilience, and poverty reduction at scale, with policy recommendations for sustaining long-term program benefits.

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@article{iqbal-2025-microfinance-catalyst-poverty-reduction-assessing,
  title   = {Microfinance as a Catalyst for Poverty Reduction: Assessing Credit Access, Entrepreneurship, and Income Resilience in Marginalized Rural Economies},
  author  = {Muhammad Mujahid Iqbal and Manzoor Ahmed and Fayaz Hassan Khoso and Hesan Zahid},
  journal = {Review Journal of Social Psychology & Social Works},
  year    = {2025},
  doi     = {10.71145/rjsp.v3i2.193},
  url     = {https://doi.org/10.71145/rjsp.v3i2.193}
}

TY  - JOUR
TI  - Microfinance as a Catalyst for Poverty Reduction: Assessing Credit Access, Entrepreneurship, and Income Resilience in Marginalized Rural Economies
AU  - Muhammad Mujahid Iqbal
AU  - Manzoor Ahmed
AU  - Fayaz Hassan Khoso
AU  - Hesan Zahid
JO  - Review Journal of Social Psychology & Social Works
PY  - 2025
DO  - 10.71145/rjsp.v3i2.193
UR  - https://doi.org/10.71145/rjsp.v3i2.193
ER  - 

Details

DOI

10.71145/rjsp.v3i2.193

Countries

Pakistan

Regions

Asia

Categories

funding, entrepreneurship, policy, general-innovation

Added

2026-04-29