Microfinance Credit Scheme and Poverty Reduction among Low Income Workers in Nigeria

Abstract

The duty of industrial sociologists/social scientists is not limited to observing the morphology and social interactions in formal organizations; it include the critical assessment of government policies, programmes, schemes and how they affect workers welfare. This study therefore examines the effect of microfinance credit scheme on poverty alleviation among low-income workers in Nigeria. To
achieve this objective, the study elicited data through structured questionnaire from 540 purposively selected respondents. The participants were selected from nine (9) local government areas in Akwa Ibom State; 3 from each Senatorial District of the state. Data obtained was analyzed using Pearson product moment correlation. Findings reveals that, microfinance credit scheme increases lowincomes workers access to credit facilities and promote their engagement in small and medium enterprises as well as enhance their ability to savings. We recommended among others that government should make policies that promote the growth and sustenance of microfinance credit scheme in the country; and that government should intensify awareness among low-income workers to enable them take full advantage of the scheme.