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Creative Trends in the Area of Micro-Finance

Micro financial schemes play a vital role in increasing people’s participation in economic activities and decision making. In this research paper an effort is made to investigate various causes of people empowerment especially through micro-financial schemes. Microfinance or micro-credit, both used interchangeably, is an importunate tool for the growth of the economy of our country. Micro-finance lending has some noticeable characteristics that differentiate them from lending of prevalent banks. There has been enormous growth of organizations, known as Micro-finance Institutions (MFIs) in this field to deal with the Micro financial activities. The present paper will focus on the creative trends of micro-financial activities in rural areas of our country. The motto of this paper is also to test the role of micro-finance in the empowerment of downtrodden people and the realization of financial inclusion in rural India. With increasing demand for rural finance, and the shortages of formal sources, the MFIs have tremendous emerging trends and opportunities in the field of micro-finance in India. Studies have shown that it has had a positive impact on improving social and financial condition of the stated people.