From Microcredit to Macro Impact: How Women Entrepreneurs Transform Developing Economies
Dr. Nitika Asawa
Abstract-
This research looks at the problems that women who start businesses face when trying to get small loans. It also means to identify the difficulties that Microfinance Institutions, or MFIs, experience when giving money to social businesses, especially those governed by women in underdeveloped nations. The research examines existing information from different studies and reviews important articles from academic journals that focus on developing nations. Women business owners encounter many issues when trying to get microfinance, like not having assets to back their loans, bias based on gender when loans are approved, and gaps in their understanding of finances. High-interest rates, costs of operation, and strict regulations make it even harder for them to get the money they need. Many of them also lack proper guidance, business support, and face challenges in building their credit history. Women living in rural areas face more obstacles, including the ability to pay loans back, limited skills with technology, and poor access to tech services. Social expectations, slow government processes, and changing policies also make it tough for them to get the financial help they need and grow their businesses. The results of this study shed light on the positive effects MFIs have had recently on improving the lives of underrepresented communities. They also help create plans to boost the future effectiveness of microfinance in empowering women in emerging countries. There is a big difference in having access to microfinance between male and female entrepreneurs. Microfinance hasplayed a role in reducing poverty, encouraging financial self-reliance, and enhancing living standards for many in developing countries. By working together with various partners like governments, organizations, and individuals, social enterprises aim to make a difference by helping marginalized and underserved people to improve their lives. Microfinance involves offering access to funds, little loans, as well as other business support services, such as training and mentoring for social entrepreneurs. Microfinance is a good fit for the social enterprise model since it provides innovative financial services to people without access to traditional banks.
Keywords: Women entrepreneurs, Gender-based barriers, Microfinance initiatives, Socio-economic empowerment
