ECONOMIC IMPACT OF MICROFINANCE IN NEPAL

Abstract

The objectives and they are to analyze the relationship of occupational status, income level, consumption expenditure, capital expenditure and saving habit to the micro credit supply and to examine the impact of occupational status, income level, consumption expenditure, capital expenditure and saving habit to the micro credit supply. Causal comparative research designs has employed in this study. The population under consideration for this research comprises all (72) microfinance. Only five of them used as sample in this investigation. In this study the questionnaire is used a tools for the collection of data and the sample size is 450 respondent based on convenience sampling methods. In the present study, primary data are utilized, sourced from responses to a questionnaire survey conducted among microfinance service receiver. Descriptive, correlation and regression analysis are conducted on the result for achievement of the objective and found that the occupational status, income level, consumption expenditure and capital expenditure have significant relationship to the micro credit supply. The saving habit has not significant relationship to the micro credit supply. The impact of occupational status, consumption expenditure, capital expenditure and saving habit have significant to the micro credit supply. The income level has not significant impact to the micro credit supply.