Microcredit: A Model of Empowerment for Women?

Abstract

Patriarchal cultures all over the world oppress women within their communities and their own homes. Microfinancing and microcredit show potential as ways to help women empower women. However, one must question if microfinancing and microcredit are as promising as they seem to be. This paper looks at case studies and analyzes different aspects of microcredit programs and concludes that microfinancing and microcredit are not the answer to women’s economic problems. Microcredit programs have some promising aspects. For example, they give individual women financial security and more respect within their communities and families. Overall, however, microcredit can do more harm for women than good, as it can lead to an increase in domestic violence, and in some instances, greater debt for certain women.