Social Impact Assessment of Microfinance Programmes - weman

elow. While we examined the traditional forms of Social Impact – in terms of
empowerment, improvement and use of social sector facilities on account of
microfinance, better indicators of health and education, etc – we also examined the
income effects of microfinance, impacts on employment, impact on economic activity,
and these factors having an impact on the community (apart from what are considered
‘Social’ impacts). Much of our analysis is based on estimating the nature, and where
possible, extent, of the economic impact of microfinance interventions.
Secondly, we also looked at the need for and possibility of other microfinance services, in
particular Savings. Most studies show that the poor need Savings support and institutions
perhaps more than simply credit facilities, but for numerous reasons, MFIs are not able to
support such endeavours. In order to have a good microcredit programme, often Savings
facilities become equally important.
There are numerous assumptions which have been made about what microfinance can do
and has done. However, there is insufficient empirical evidence to support most of the
claims. This is the first Study of its kind in Pakistan which attempts to quantify and
demonstrate some of the outcomes from microfinance interventions. Moreover, it also
looks at how communities around MFIs and around borrowers, react to an MFI
intervention – this has not been done in the past. We also examine the institutional form
of the MFIs who agreed to be part of the programme, examining how they work in the
community and in the larger environment.
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