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Banking and Finance — 2025, Undergraduate
This study investigated the influence of microcredit schemes on poverty reduction in rural communities in Nigeria. A survey research design was adopted with questionnaires administered to beneficiaries of microcredit programmes. Data were analysed using descriptive statistics and statistical tests of association. The findings revealed that microcredit supported income-generating activities, improved household consumption, and enhanced economic participation among poor households, with empowering effects on women borrowers. The study, however, found that loan size and repayment pressure limited long-term poverty impact. It recommends tailored credit products, financial literacy training, and complementary support services.
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