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EVALUATING THE DUAL OUTCOMES OF MICROFINANCE: WOMEN’S EMPOWERMENT AND POVERTY ALLEVIATION

📘 Volume 11 📄 Issue 8 📅 August 2026

👤 Authors

Shaik Khwajabi 1 , Dr P V Mohini 2 , Prof. P Arun Kumar 3
1. Part Time Research Scholar, TDR-HUB2023S19, Department of Commerce and Management Studies, Andhra University, Visakhapatnam, Andhra Pradesh
2. Research Supervisor, TDR-HUB2023S19, Department Management Studies, Gayatri Vidya Parishad College for Degree and PG Courses (A), Rushikonda, Visakhapatnam, Andhra pradesh
3. Professor, Department of Human Resource Management, Andhra University, Visakhapatnam, Andhra Pradesh

📄 Abstract

Microfinance is expected to advance two connected development outcomes: women’s empowerment and poverty alleviation. Yet access to a loan does not automatically create control over resources, and improvements in household income do not necessarily enlarge women’s decision-making power. This article develops a sequential five-construct framework in which access to microcredit, savings participation, and financial and enterprise capability support predict women’s economic empowerment, which in turn predicts household poverty alleviation. The supplied analytical summary reports excellent internal consistency for the five constructs (Cronbach’s α = .914–.940; overall α = .955). Average variance extracted ranges from .711 to .745, while composite reliability ranges from .69 to .82; the final value is marginal and, because it is lower than its paired AVE, requires verification from the original factor loadings. The reported confirmatory factor model indicates acceptable fit (χ²/df = 2.119, CFI = .938, TLI = .944, PNFI = .654, RMSEA = .063), and the structural model also shows acceptable fit (χ²/df = 2.432, CFI = .942, TLI = .955, PNFI = .737, RMSEA = .067). All four framed relationships were reported as supported at p < .001. Because the attachment contains neither respondent-level observations nor coefficient output, effect sizes, explained variance, indirect effects, and causal claims cannot be independently established and are not fabricated. The paper contributes a theoretically integrated dual-outcome model, a complete 25-item questionnaire, and reproducible regression and SEM syntax for final estimation. The results support a programme logic in which financial access must be usable, controlled, and reinforced by savings and capability development before it can plausibly translate into durable reductions in multidimensional poverty.

🏷️ Keywords

Microfinance; Women’s Economic Empowerment; Poverty Alleviation; Microcredit; Savings; Financial Capability; Structural Equation Modelling; Financial Inclusion

🔗 DOI

DOI - (https://doi.org/10.36713/epra31130)

📚 How to Cite:

Shaik Khwajabi, Dr P V Mohini, Prof. P Arun Kumar , EVALUATING THE DUAL OUTCOMES OF MICROFINANCE: WOMEN’S EMPOWERMENT AND POVERTY ALLEVIATION , Volume 11 , Issue 8, August 2026, EPRA International Journal of Research & Development (IJRD) , Pages: 1 - 13 , DOI: https://doi.org/10.36713/epra31130

🔗 PDF URL

https://cdn.eprapublishing.org/article/1785859531520-1.EPRA 31130.pdf

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