Combating Poverty Through Micro Finance: A Sociological Analysis of SAWFCO in District Matyari

Abstract

Pakistani society is confronted with so many social, economic and political problems. Most of which are associated with poverty. It will be right to say that poverty is the mother of all social evils. There are so many socio-economic, psychological and even natural causes of poverty in Pakistan. To combat poverty, among others, poverty alleviation through micro finance appears to be the most credible as well as an effective method. The poor do not have access to conventional banks but commercial banks and NGOs provide them credit, savings, trainings, insurance and other financial services at door step. So, micro finance institutions (MFIs) and micro finance banks (MFBs) are important tools to fight with poverty. This research is based on personal experience in the field attained at the Sindh Agricultural and Forestry Workers Coordinating Organization (SAFWCO) Credit and Enterprise Development sector (CED) sector from 15 April 2006 to 30 Oct 2006 in District Matyari. This article is an analysis and evaluation of strategy of micro finance vis-à-vis poverty alleviation.