Impact of microfinance of IBBL on the rural poor's livelihood in Bangladesh: an empirical study

Abstract

Purpose – This paper describes a scheme which aims to alleviate rural poverty by providing small and microinvestment to the agricultural and rural sector for generating employment and to raise the income of the rural poor.Design/methodology/approach – To assess the impact of rural development schemes on rural poor's livelihood, primary data were collected from 1,020 clients working across the country. Multistage random sampling method was followed to select the clients. Tabular, graphical, and econometrical methods were followed to analyze the data.Findings – Results show that household income, productivity of crops and livestock, expenditure, and employment had increased significantly due to the influence of invested money. Results of the Logit‐model showed that clients' socio‐economic factors like age, number of family members in farming, total land size and clients' ethics and morals had a positive and significant influence on household income.Practical implications – Client's opined that the microinve...