Microcredit: Empowerment and Disempowerment of Rural Women in Ghana

Abstract

Microcredit for women is a commonly used strategy for women empowerment. Based on longitudinal qualitative research with rural women who are involved in an NGO-run micro-lending program in Ghana, this paper examines the empowerment effects of rural women’s access to microcredit. We found that some women are empowered as a result of their access to credit; some have little control over the use of loans and are not better off; and some are subjected to harassment and are worse off due to their inability to repay loans in time. The implications of these findings for policy and practice are discussed.