CHAPTER ONE

INTRODUCTION

1.0 GENERAL INTRODUCTION

Robust economic growth cannot be achieved without putting in place well focused programmes to reduce poverty through empowering the people by increasing their assets to factors of production, especially through credit facilities.

The latent capacity of the poor for entrepreneurship would be significantly enhanced through the provision of microfinance services to enable them engage in economic activities and be more self-reliant; increase employment opportunities, enhance household income, and create wealth.

Microfinance is about providing financial services to the poor who are traditionally not served by the conventional financial institutions. Three features distinguish microfinance from other formal financial products.