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Ensuring impact: reaching the poorest while building financially self-sufficient institutions, and showing improvement in the lives of the poorest women and their families What role can donors and policy makers play in re-aligning the industry towards a greater focus on achieving positive impacts for very poor people? This paper describes the role of microfinance in the fight against poverty. Although it recognises that microfinance services cannot be the solution for all the problems, the paper points out that microfinance reach and impact millions of people and presents important contributions to the alleviation of poverty, particularly through the empowerment of poor women and the access to development services
The first section illustrates two case-studies, SHARE and CRECER, which give clear evidence for performance in poverty outreach and impact on income poverty and vulnerability. The second section discusses critically the different operational issues which determine the effectiveness of microfinance for the poorest. In conclusion, this paper provides practical suggestions for practioners and policy makers.
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