The Climb to Empowerment

Abstract

Microcredit has been praised and criticized for its reputation as the solution to global poverty—helping the poor help themselves. The economists have focused on the impossibility of a sustainable microfinance system, whereas other scholars have commended the social advancements that MFIs have supported, especially in relation to gender inequality. This conceptual thesis specifically studies the effects of microfinance institutions on women’s empowerment—first defining ‘empowerment’ and then observing it in various case studies. My research supports the conclusion that microfinance is a useful economic aid and more importantly it spearheads the fight for women’s rights.