Impact of micro credit on household income: evidence from customers of selected rural banks in awutu senya east distict

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The study's primary goal is to assess the impact of microcredit on household income of customers of selected rural banks in the Awutu Senya East District. The study adopts the quantitative research approach, descriptive method and the survey strategy. The study employs the simple random sampling to select respondents. The sample size is 398. Primary data are employed which are obtained using the structured research questionnaires. The data are analyzed using descriptive techniques and inferential techniques (specifically the chi square analysis). The study finds that there is no significant association between the gender of a customer and access to obtaining microcredit from the rural banks. The study reveals that the most dominant reasons for obtaining microcredit include starting/expanding of business, for agricultural/farming activities, and for acquisition of assets. The study also reveals that accessibility to microcredit has improved the household income of the participants. Again, the study reveals that some of the most common challenges confronting access to microcredit include lower credit below expectation, high interest rate, and breach of previous terms. The study concludes that indeed microcredit helps to empower households by enhancing their households. Hence, there is the need to work at mitigating the challenges the confront customers in accessing credit to enhance accessibility to make it more appealing to people to help reduce poverty among people.
A thesis submitted to the department of accounting and finance, school of business, kwame nkrumah universityof science and technology in partial fulfilment of the requirements for the award of the degree of master of science in accounting and finance