Research Report On

THE EFFECT OF MICROCREDIT ON PAVERTY ALLEVIATION DISTRICT

PESHAWAR

By
HASEEBULLAH
BBA (Marketing and Finance)

PRESTON UNIVERSITY ISLAMABAD
2010-2015

Approved by
Chairperson of Supervisory committee




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Program
To offer Degree

Date



PRESTON UNIVERISTY ISLAMABAD
ABSTRACT
THE EFFECT OF MICROCREDIT ON PAVERTY ALLEVIATIONDISTRICT
PESHAWAR
By Haseebullah

Micro credit is petty credits, provides small loans to the needy ones who typically
verifiable credit history and steady employment. Also provides small loans to small
enterprises. It is an ultimate solution to avoid or remove poverty and make community
stable micro credit is a part of micro finance that is the provision of a wider range of
financial services to the poor.

In this research, I provided an over view about the role and performance of microcredit in
KPK Pakistan. The prime objective of research to know and show the performance of
micro financial institutions and to measure impact of its services (microcredit) on
different level of poverty.
The study is based on quantitative as well as qualitative methods with a reference to
answer the thesis questions. It is finding from the research that the micro credits helps the
needy and poverty alleviation of various levels of poor people and improving living
standards it is also found that there is a high administrative costs of micro financial
institutions therefore it charge high interest rate on microcredit. From this research, it is
discover that there are mainly three type of organization that provides services of micro
credit in Pakistan. Namely microfinance banks, Microfinance institutions and Rural
supports program (RSPs). As in 2014 the micro credit widely use and it is presented as
having enormous potential as a tool for poverty alleviation.
The government supporting the micro finance sector while charge interest and their main
initiative is micro finance ordinance 2001 in this modern era. A high improvement is
observed in the micro finance sector in term of active borrows investment personnel and
branches.



Acknowledgement
My profound gratitude goes to God Almighty, Most gracious most merciful who gives us
wisdom, knowledge and understanding to live our lives as human being.
I gratefully acknowledge the valuable guidance, suggestion and clarifications. The study
was conducted at the department of Management sciences Preston University. I would
like to special thankmy supervisor Miss Sehrish Khaliqhelping in my thesis. I am
thankful to the organization that provides microcredit for their significance support of
collecting date.

HASEEBULLAH