SMART JOURNAL OF BUSINESS MANAGEMENT STUDIES VOL. 6 NO. 1 PAPER 3
 
MICRO-FINANCE AND MICRO ENTERPRISES THE SIAMESE TWINS OF ECONOMIC WELFARE
 
R. Dayanandan
Associate Professor, Dept. of NREM, Mekelle University, Ethiopia
 
The promotion of micro enterprises requires multi-faceted intervention which presupposes deeper understanding of the structure and composition of he micro enterprise sector and flow of finance. It is argued that micro-finance interventions and other financial services help low income people to improve household and enterprise management, increase productivity, smooth income flows and meet their consumption costs, enlarge and diversify their business as well as increase their incomes. Against this background, an attempt has been made to assess whether micro finance and micro enterprises have any influence on economic welfare of the target group or not. Also the study explored the credit gap, repayment behavior of borrowers as well as the problems faced by micro enterprises
 
KEYWORDS: Micro Finance, Micro Enterprises, Economic Welfare JEL CLASSIFICATIONS: L31, H32 FULL TEXT