• AKSHAY ASHIT LUGUN

The essence of rural development lies in its commitment to meet the needs of economically disadvantaged communities in rural settings, emphasising the importance of sustainable economic advancement. In Dumka district, alleviating rural poverty depends on recognising feasible income-generating prospects and cultivating employment to enhance socio-economic progress. The rural poor necessitate not just subsidised credit but also straightforward access to financial services like loans, savings, and micro-insurance to boost agricultural productivity, create small-scale enterprises, and foster entrepreneurship. Microfinance significantly enhances rural employment by facilitating the establishment of new business initiatives, promoting self-employment, and fostering Self-Help Groups (SHGs), which in turn mitigates migration and aids in comprehensive rural development. This study seeks to explore the adoption and use of microfinance services by rural households in Dumka, as well as to evaluate the extent to which microfinance plays a crucial role in fostering rural development and alleviating poverty. A sample of 73 respondents from diverse villages in Dumka district was chosen to examine the socio-economic effects of microfinance. The study further examines how external factors—social, economic, and political—impact the effectiveness of microfinance. The results highlight the critical importance of microfinance in promoting financial inclusion, especially within an agricultural economy such as India. This study seeks to underscore the significance of microfinance in enhancing the capabilities of rural communities and fostering sustainable livelihoods in the Dumka district.

Microfinance, Poverty Alleviation, Rural Development, Financial Inclusion, Rural Employment.

"ROLE OF MICROFINANCE IN POVERTY ALLEVIATION: A STUDY IN DUMKA DISTRICT", International Journal of Emerging Technologies and Innovative Research (www.jetir.org), ISSN:2349-5162, Vol.4, Issue 3, page no.841-848, March-2017, Available :http://www.jetir.org/papers/JETIR1703140.pdf

"ROLE OF MICROFINANCE IN POVERTY ALLEVIATION: A STUDY IN DUMKA DISTRICT", International Journal of Emerging Technologies and Innovative Research (www.jetir.org | UGC and issn Approved), ISSN:2349-5162, Vol.4, Issue 3, page no. pp841-848, March-2017, Available at : http://www.jetir.org/papers/JETIR1703140.pdf