Microfinance Participation and Women's Decision-Making Power in the Household in Bangladesh

ABSTRACT

This study draws from bargaining theory to examine whether microfinance, a range of financial instruments such as micro-loans to support micro-enterprises, affects women's participation in household decision-making operationalized by whether women play a role in household decisions about large purchases, small purchases, going out to meet friends and family, and health care among a nationally representative sample of 6,150 women between the ages of 15 and 49 years in Bangladesh. Bargaining theory suggests that decision-making in households is conflictual but conflict can be mitigated through bargaining. Central to bargaining power of women is control over resources, assuming that household decision-making involves making economic decisions. Logistic regression analysis was used to test the interaction effect of microfinance and control over resources on decision-making power in the household utilizing the nationally representative Bangladesh Demographic and Health Survey 2011. Results revealed that microfinance participants with control over resources reported higher odds of decision-making power (OR = 4.3, p < 0.05) when compared to microfinance participants without control over resources (OR = 1.22, p < 0.05) but less than women who did not participate in microfinance but had control over resources (OR = 5.2; p < 0.05). In conclusion, control over resources play an important role in bargaining that increases odds of having decision-making power in the household, even for women who do not participate in microfinance. The study findings contribute to both social work practice and research on low-income populations as it allows an understanding of the importance financial access and financial know-how while it sheds light on how precarious women's lives can be as they navigate income-generating financial systems that interfere with gender norms, which may have negative consequences. These findings are particularly important for practitioners working in the area of women's empowerment who would do well to emphasize the need for building financial capability so that women are able to garner control over their own and familial resources, whether or not they participate in empowerment programs like microfinance, which in turn gives women voice and agency. Meanwhile, future researchers are well positioned to examine the kinds of specific skills that best predict increases in women's decision-making power in the household as well how gender dynamics play into the decision-making process.     

Microfinance Participation and Women's Empowerment: Evidence from a Nationally Representative Sample of Women in Bangladesh

ABSTRACT

More than 30 million married women in Bangladesh access microfinance, an empowering anti-poverty tool, amidst mixed responses from scholars about microfinance's empowering effect. The present study evaluates whether microfinance participation empowers women using a culturally suitable conceptualization of empowerment constituting autonomy, decision-making power in the household, and justification of partner violence. This study utilizes data from a representative probability sub-sample of 6,150 married women aged between 15 and 49 years from the Bangladesh Demographic and Health Survey 2011 to assess the difference in empowerment between microfinance participants and a control group using propensity score matching techniques. Findings revealed that women who participated in microfinance were not statistically different at the 0.05 level from women who did not participate in microfinance in terms of empowerment when groups were matched on socio-demographic variables ensuring that treatment and comparison groups had equal propensity to participate in microfinance, casting doubt on the assertion that microfinance participation positively affects women's empowerment. Future research needs to focus on what empowerment may mean in relation to the outside world; we need to move beyond a familial understanding of empowerment to examine the individual in terms of her individual identity in the socio-political world in which she resides.     

Microfinance, the Labour Market and Social Inclusion: A Tale of Three Cities

Great hopes have been held out for microfinance and other community development finance institutions (CDFIs) in industrialized countries as an instrument of “financially sustainable welfare provision”, following on from their success in many developing countries. Using interview data drawn from an exploratory sample of 45 clients, this paper examines the social and economic impact of three microfinance institutions in Glasgow, Sheffield and Belfast. The tentative conclusion is that most loans we examined do hit the target of the “financially excluded but bankable”, and exert an impact on poverty and social exclusion through the labour market and through helping to build social networks which reduce interpersonal risk. Our initial estimate is that each loan studied here was responsible for about 0.67 exits from unemployment over the two years 2000–2. If this ratio holds good outside the sample (and we emphasize the limitations of small sample size), this could mean that in the absence of microfinance services, the national unemployment total would be higher by some 2.4 per cent (or 22,000 individuals). The loans we have examined also save about £0.4 million on what would otherwise have been social security payments; grossed up again to all microfinance organizations, this implies an annual saving of about £250 million (1.4 per cent) on the total social security budget. However, to achieve this optimal impact microfinance institutions need to diversify their product: for example by switching from business loans into consumption loans, micro‐insurance, and equity, particularly in the rehabilitation of run‐down council estates.     

Micro‐pensions in India: Issues and challenges

This article aims to fill a gap in the social security literature on India by examining the role of micro‐pensions. The analysis suggests that because of the heterogeneity of the target population, micro‐pension products — with microfinance institutions (MFIs) as the main, but not only sponsors — should be voluntary and portable and permit experimentation in their design and in the delivery of services. Accordingly, decentralized micro‐pension schemes that operate within an appropriate regulatory framework and according to sound governance practices are deemed more fitting for the Indian context than centralized schemes with limited flexibility. The article discusses two case studies of recently‐initiated micro‐pension schemes in India, which reveal the need for rigorous analytical research on the micro‐pension sector, particularly concerning the structuring of pay‐out options and innovative delivery mechanisms. The article concludes that micro‐pensions have the potential to be one of the most useful components in India's multi‐tiered social security system, and should be encouraged.     

Women's Empowerment or Disempowerment through Microfinance: Evidence from Bangladesh

Women's empowerment has been one of the declared goals of Bangladesh's national development program, and microfinance is playing a leading role in bringing about the realization of this program. Since one of the intended goals of microfinance is to empower women, this concept paper attempts to investigate the success rate — does microfinance truly empower or is it a case of disempowering through “empowerment”? The effectiveness of microfinance today has been a debatable subject in the economic and social work realms, in which it is considered a viable tool for women's empowerment. Although there are scores of studies that demonstrate that microfinance has a significant impact on livelihood and improves the living standards of women by reducing poverty, this paper contests those claims.     

“Working with COW”: Social Work Supporting Older Women Living in the Community

ABSTRACT

Australia, like all developed Western countries, is experiencing a demographic shift resulting in an increasing proportion of the population being over the age of 65 years. Contrary to stereotypes, the vast majority of older people live independently in communities. This article explores the potential of social work practice informed by community development principles to enable socially disadvantaged older women to live in vibrant and supportive communities, in which they feel safe and are able to access the support services they need. It argues that participation in social action not only builds older women’s well-being but also enables them to become (or continue to be) agents for social change in local communities. Adopting a community-based research methodology, this article draws on a decade of community development practice with the Concerned Older Women’s (COW) Group. This data suggests that community development practice based on participation, empowerment, and social action founded on respectful relationships may accrue significant benefits to individuals and the broader community. This social work practice creates the social conditions to facilitate older women’s capacity to work collectively to achieve social change, challenging ageist stereotypes.     

Alleviating poverty through microfinance: Village banking outcomes in Central America

Our research reports on Brigham Young University (BYU) field studies carried out in Central America to assess the impacts of village banking on indigenous families. We first introduce the growing movement of microfinance institutions (MFIs), organizations that provide small loans as start-up capital for the unemployed poor in Central America. We briefly describe the native nongovernmental organizations (NGOs) that allocate their financial resources. Our methods are described and the survey instrument we created is analyzed, as well as the process of data collection. Finally, we report our findings and interpret their conclusions and implications, as well as suggest further studies on poverty alleviation.     

Culturally Competent Approaches for Counseling Urban Appalachian Clients: An Exploratory Case Study

ABSTRACT

The authors examine the application of a strengths-based empowerment approach to working with an urban Appalachian woman and her family. The purpose of this article is to start the research process by utilizing the lessons learned to assist health and human service practitioners. Key points are identified in developing awareness and intervention skills when working with clients who have an Appalachian cultural heritage. This case study utilizes a culturally competent framework for assessing and intervening with Appalachian clients that emphasizes the strengths and empowerment literature. As the foundation for further research, this case study provides a rationale for starting evidence-based practice incorporating a strengths-based empowerment theme. Case study research is limited by its focus on one individual within a specific span of time and cultural context; findings cannot always be generalized to a similar population. Suggestions for further research in this area are provided.     

The Development of Self-Efficacy Beliefs of Widowed and Abandoned Women Through Microcredit Self-Help Groups: The Case of Rural South India

ABSTRACT

Widowed or abandoned women are among the poorest and marginalized people in Indian society. In an effort to empower these women to achieve a sustainable livelihood and overcome discrimination related to marital status and caste, a local nongovernmental organization, Kalangarai, organized widows and abandoned women into microcredit self-help groups (SHGs) along the Southeast coast of India. This mixed-methods study examines the effects of microcredit SHG training and facilitation on the perceived self-efficacy of widowed or abandoned women in the groups (N = 64). Data were collected on SHG training, facilitation, self-efficacy, well-being, and caste discrimination. Regression results indicate that participation in SHG trainings and having more intensive staff facilitation significantly impacted the women's perception of self-efficacy. These findings suggest that the microcredit SHG structure can be utilized to spark a transformative process for women to collectively gain power and political voice. Further implications for advocacy, scholarship, and program design are discussed.     

Addressing Unmet Needs in Incarcerated Women With Co-occurring Disorders

ABSTRACT

This article will present findings related to critical needs in a group of 281 incarcerated women with co-occurring disorders. The women completed interviews while incarcerated and again at various time points after community reentry. Findings revealed that the number of basic needs increased over time, and a low level of social support was related to negative outcomes. Recommendations for this population include holistic evaluation assessments and integrated treatment plans that encourage staff to comprehensively assess clients at intake and link them to support services during and after incarceration. Implications of this female empowerment model will be discussed.     

A Comparative Discussion of the Gendered Implications of Cash-for-Care Schemes: Markets, Independence and Social Citizenship in Crisis?

There are moves across many countries away from state-led provision of services for disabled people towards cash-based systems, which have been welcomed by disabled people as increasing choice and control over services and support, and increasing independence and social participation. However, feminist scholars have long warned about the implications of commodifying care for women, and the possible consequences of substituting cash for services for social citizenship have remained underexplored, for both disabled people generally, disabled women and mothers more particularly, and for personal assistants/care workers. This article will attempt to address that gap by carrying out a comparative literature review and policy analysis of the role of policy development and outcomes in cash-for-care schemes, looking comparatively across policy developments in several countries, as well as developed welfare states beyond Europe to examine: (a) the impact of the tensions between various governance levels, particularly local and national government; (b) the gendered impact of such policies on (for example) gendered divisions of paid and unpaid work, citizenship and social participation; (c) the impact such policies have, or are likely to have, on different groups of men and women across the life course and across different social and economic groups; and (d) how such policies can contribute to the well-being and/or detriment of different groups of women (and men) within different social, political, economic and historical contexts.     

Framing microfinance in Australia – gender neutral or gender blind?

In Australia, microfinance is gaining visibility as a distinct poverty alleviation strategy. Within the Australian microfinance policy and program discourses, the microfinance sector is framed as targeting both men and women equally. Yet at the practice level, the majority of loan recipients are women. Such a gender neutral framing is in stark contrast to microfinance policy and practices developed elsewhere. This paper explores how gender is represented in microfinance policy and practice in Australia, drawing on an analysis of the policy and practice statements of Australian microfinance programs. It is argued that the robust feminist assessments of the relationship between microfinance and gender equality that have emerged in developing countries could usefully inform Australian developments in this area of social policy, but that this shift requires acknowledging gender in the framing of the problem Australian microfinance seeks to address.     

Social Workers' Implementation of Client Participation: What Factors Make the Difference?

ABSTRACT

Client participation is both a value and a strategy in social work, involving clients in decisions influencing their lives. Nevertheless, the factors encouraging its use by social workers in social services have received little research attention. This article reports on a study drawing on Goal Commitment Theory to examine, for the first time, four categories of variables that might predict its implementation: background variables (intervention method, age, experience, education, supervision); personal resources (self-esteem, mastery); organizational variables (superiors' support, organizational commitment); and situational factors (previous client participation, perception of client participation).

A sample of 661 Israeli social workers completed questionnaires. Hierarchical regression analysis and t-tests revealed that intervention method, mastery, superiors' support, and both situational variables contributed significantly to explaining the variance in client participation. Moreover, social workers valued client participation significantly more than they used it. The implications for researchers and professionals in social services are discussed. Proper training could increase social workers' awareness of client participation and provide tools for implementation. Policy makers should set standards for its use and evaluation, and require its inclusion in all interventions. Further research investigating clients and managers of social services could provide a broader picture of the factors impacting client participation.     

Cash-Flow and Savings Practices of Low-Income Households: Evidence From a Follow-Up Study of IDA Participants

ABSTRACT

Understanding how low-income households manage their finances is critical to designing effective antipoverty interventions. This study used data from a 2008 follow-up survey of 326 low-income households in Hawaii who participated in an Individual Development Account (IDA) intervention from 1999 to 2005. Self-reported cash flow (five items) and savings (four items) practices were explored using latent class analysis. Three latent classes were produced: Class 3 managed cash flows and saved (n = 166; 51%); Class 2 managed cash flows but did not save (n = 73; 22%); and Class 1 struggled to manage cash flows and save (n = 89; 27%). Using ordinal regression, psychological sense of mastery was positively and significantly (p < .01) related to being in a higher class membership (b = .14; OR = 1.15). IDA participation had no association with latent classification. The key finding is the heterogeneity among low-income financial management practices and the importance of providing individualized services. Future longitudinal research is needed to understand how IDA participation affects financial practices in the short term and long term.     

Participation in Income-Generating Activities and Help-Seeking for IPV in Bangladesh – Results from a National Survey of Women

Abstract

The present study examined whether there was an association between microfinance participation (i.e. microentrepreneurship) and help-seeking social networks and employment and help-seeking social networks of women who experienced intimate partner violence (IPV) in Bangladesh. The study is a secondary analysis of a subsample of 805 women (24.1% of the representative sample) who experienced IPV from the 2007 Bangladesh Demographic and Health Survey (BDHS) between the ages of 16 and 49?years. Results indicate that among the subsample of 805 respondents, 29.3% sought help for IPV. Multivariate logistic regression revealed that women who were employed all year round were significantly more likely and microfinance participants were marginally more to seek help for IPV than women who were not engaged in income-generating activities. Implications are discussed.     

Auspicious Experience in Social Work

Abstract

This personal narrative recounts the experiences of one psychodynamic practitioner as she grew over the course of her social work career. It follows the development of her therapeutic awareness as she first worked with adolescents in a wilderness therapy program, and later with low-income clients in several large urban areas. While discussing the role of her Masters and Doctoral education, it explores particularly the role supervision played in developing her therapeutic awareness and skills. Overall, it is directed toward explaining her professional growth as a psychodynamic practitioner and the components involved in that growth.     

The impact of tourism and finance on women empowerment

The Goal-5 of United Nations Development Agenda for gender equality and women empowerment through equalizing the ratio of girls and boys enrolment in primary education remains suffered in almost every part of the globalized world, which does not even violate the basic human rights while it is the mandatory foundation for global peace and prosperity. The contribution of international tourism development to empower women is the key initiative of the developed world to provide an equal opportunity to the women to sustain their livelihoods. This study focused on the role of international tourism development on women empowerment through mediating a number of financial factors in a panel of 24 selected European countries, over a period of 1990–2015. The results show that financial intermediaries act as a catalyst to empower women through international tourism. More specifically, tourism and financial factors promote (i) gender parity in tertiary enrollment, (ii) gender parity in primary and secondary school enrollment, (iii) female employment, and (iv) women’s share in non-agriculture wage employment, while the results further support the (i) growth-led tourism, (ii) finance-led growth, (iii) growth stimulate women empowerment, and (iv) tourism-induced women’s empowerment hypothesis across countries.     

Assessing the Effects of an Asset-Building Program in Resource-Constrained Households: The Case of Sub-Saharan Africa

ABSTRACT

Using a survey that was administered individually to respondents at set locations, this study examines the effects of participation in an asset-building program in resource-constrained households in rural Ghana (n = 120 in the experimental group and n = 120 in the comparison group). Results suggest the program is effective in reaching the most economically vulnerable households. We also learned that program participation was related to ownership of social assets, as well as psychosocial and financial well-being. Program characteristics, including trust among members and time spent on program-related activities, were related to enhanced social and financial assets, respectively. A number of implications emerge from this study. Given that the program, although effective in reaching the most economically vulnerable households, did not produce significant outcomes in such households, attention may be devoted to understanding ways to enhance the welfare of vulnerable program participants. A targeted approach may be a viable option. With respect to policy, consideration could be given to incorporating microfinance models in poverty alleviation strategies. Continued research using more rigorous design is needed to explore the relationship between microfinance and the welfare of vulnerable participants.     

Microcredit Self-Help Groups for Widowed and Abandoned Women in South India: Do They Help?

ABSTRACT

Results are presented from a study on a microcredit program with self-help groups implemented for widowed and abandoned women in Tamil Nadu shortly after the Indian Ocean Tsunami. Data were collected from 109 participants measuring the women's investment patterns, loan amounts, demographics, and overall well-being (psychological, economic, communal, and familial). Results indicate that loan amounts and investment patterns were not significantly related to the women's well-being. Length of group participation and having children were negatively related to the women's well-being. These findings are discussed in relation to social and cultural contexts. Suggestions for programs for this population of vulnerable women and other marginalized groups are proposed.