An Empirical Study on Microfinance and its impact on Human Development indicators using the instance of Kerala's Kudumbashree Model

Human development refers to enhancing the richness of human lives to ensure that they enjoy healthier, longer, and more meaningful lives. This paper examined how MFIs (Microfinance Institutions) influenced the Human Development Index (HDI) using the Kudumbashree model in Kerala, India. This report critically analyzed the impact of MFIs on the three primary human development variables - income, education, and women empowerment. This critical analysis enabled the researcher to conclude, using the instance of the Kudumbashree model, that MFIs positively influence human development indicators, and apart from increasing income and savings levels, it has also enabled its female members to become empowered and also ensured that they have access to adequate educational programs and skill-training schemes.