Microcredit programs and Reproductive Behavior

Microcredit programs of group-based lending provide an innovative mechanism for delivery of credit to the poor who lack collateral. These programs affect the behavior of the beneficiaries by altering economic incentives through the provision of credit and by providing social development inputs intended to influence a variety of behavior including fertility. The existing literature indicates that microcredit programs reduce poverty and help increase income and employment opportunities for the beneficiaries. Literature on the impact of social development inputs of microcredit programs is inconsistent. This book, therefore, assesses the impacts of the social development inputs of ACSI on rural women''s reproductive behavior (contraceptive use). Data were collected from 409 randomly selected currently married women of reproductive ages participating in the credit program. Descriptive, bivariate, and multivariate techniques were used for analysis. The results revealed that contraceptive use is significantly and positively related with duration of using microcredit services. Thus, integrating family planning issues with the institution''s social development programs is suggested.