Vol. 3, Issue 1, Part D (2017)

Abstract
Micro finance is a financial innovation that is commonly considered to offer financial services to low income people including consumers and self-employed who traditionally lack access to formal banking and other related services. Herein the present study demonstrates the role of microfinance in generating employment. The employment status of both the beneficiaries and non-beneficiaries are discussed thoroughly on the basis of field survey. The study showed that microfinance programme has increased the income of the programme beneficiaries and more number of programme beneficiaries are engaged in income generating activities as compared to the non-beneficiaries. Mature group beneficiaries are better-off in terms of their employment and income as compared to the young group beneficiaries. The employment regression also shows that the group maturity in significantly contributing in increasing the employment.