Abstract

 The paper looks at the growth and transformation of microfinance institution in India with different features in providing services. The structure of microfinance institutions has been discussed and in order to penetrate into the poverty and downtrodden segment for their alleviation. Micro finance is an emerging reality in contemporary development discourse and has come to occupy a significant place in financial intermediation in India. Micro­finance, by providing small loans and savings facilities to those who are excluded from commercial financial services has been developed as a key strategy for reducing poverty throughout the world. This working paper examines the evolution of the Microfinance revolution in India as a powerful tool for poverty alleviation. Recent events in India have brought a fresh focus upon the problem of regulation in the field of micro finance. The paper argues for mainstreaming impact assessment in evaluation of programs of micro finance for realizing the full potential in achievement of Millennium Development Goals (MDGs) and also to explore the positive and the other side of micro finance programs running in India.

Key Words: Micro Finance, Poverty Alleviation, Microfinance Institutions, MDGs.