Students’ Research Symposium - Department of Finance (SRS-DFIN)
Permanent URI for this communityhttp://repository.kln.ac.lk/handle/123456789/12119
Browse
2 results
Search Results
Item Impact of Microloans on Poverty Alleviation Through Samurdhi Program: With Special Reference to Samurdhi Beneficiaries in Madamepella Gn Division in Gampaha District(Department of Finance, Faculty of Commerce and Management Studies University of Kelaniya Sri Lanka, 2024) Madhushani, K.A.D.; Kethmi, G.A.P.Introduction: The government of Sri Lanka established the "Samurdhi Programme" in 1995 as a national strategy to combat poverty in accordance with Act No. 30 of the Samurdhi Authority. Despite periodic changes in administration, the basic idea of the Samurdhi initiative has persisted, evolving under several names, and is still in use today. Microloans are widely recognized as a powerful tool for empowering individuals and promoting income-generating activities, ultimately contributing to poverty reduction. This study investigates the effectiveness of the Samurdhi Programme in alleviating poverty in Madamepella GN Division, Gampaha District, Sri Lanka. Methodology: Data is collected from a sample of 256 Samurdhi beneficiary families and the study employs correlation and multiple linear regression analyses to examine the relationships between microloan size, repayment period, and poverty alleviation and to examine the impact of microloan size, and repayment period on poverty alleviation using SPSS. Findings: Correlation analysis revealed significant positive correlations between each independent variable and poverty alleviation (r = 0.599 for loan size and r = 0.435 for repayment period), suggesting that larger loans contribute to greater income generation and poverty reduction. According to the regression model, both loan size and repayment period have a positive and statistically significant impact on poverty alleviation. The adjusted R-squared of the regression model is 0.566, indicating that microloan size and repayment period explain approximately 56% of the variance in poverty alleviation among Samurdhi beneficiaries. Conclusion: These findings suggest that microloans provided through the Samurdhi Program are effective tools for poverty reduction, particularly when combined with appropriate loan sizes and repayment periods. Policymakers and microfinance institutions should have been focusing on giving Samurdhi beneficiaries larger microloans with longer repayment periods. By lowering costs and increasing access to financial services, they should also support financial growth.Item Impact of Microloans on Poverty Alleviation Through the Samurdhi Program: With Special Reference to Samurdhi Beneficiaries in Katana Ds Division in Gampaha District(Department of Finance, Faculty of Commerce and Management Studies University of Kelaniya Sri Lanka, 2024) Madushani, S.A.D.N.; Kethmi, G.A.P.Introduction: Poverty is a global issue affecting children, the elderly, and ethnic minorities and Poverty alleviation aims to improve economic and human capacities and living standards through credit access. Microfinance Institutions (MFIs) offer financial and non-financial services to impoverished individuals, contributing economically to families and society. This study aimed to assess the impact of microloans on poverty alleviation through the Samurdhi program of the Samurdhi beneficiaries in the Katana DS Division in Gampaha District. Methodology: The dependent variable is poverty alleviation, while the independent variables are loan size and repayment period. Data is gathered by distributing questionnaires to a sample of 371 Samurdhi beneficiaries in the Katana DS Division of the Gampaha District. Descriptive analysis, Correlation analysis, Multiple linear regression analysis, Normality test, Validity tests, and Reliability tests are employed to analyze the collected data using SPSS. Findings: As per the results, strong positive linear relationship between loan size and poverty alleviation, with a Pearson correlation coefficient of +0.706 and repayment period also showed a positive linear relationship with poverty alleviation, with a correlation coefficient of +0.462. Furthermore, there is a significant impact of microloans on poverty alleviation through the Samurdhi program. Loan size has a positive and significant impact on poverty alleviation. The repayment period has a positive and significant impact on poverty alleviation. The model's adjusted R2 of 0.621 indicates that all aspects of that loan size and repayment period, independent variables, account for 62% of the variance in poverty alleviation. Conclusion: Based on the findings, the researcher can conclude that that the Samurdhi program's microloans are a better way to alleviate poverty in the Katana DS Division in Gampaha District. Samurdhi officials should enhance access to microloans for families in the Katana area of Gampaha district. They should select beneficiaries based on need and conduct investigations after granting loans. Financial education on managing loans and starting small businesses can reduce defaults and improve credit tiers.