The Impact of Micro Finance on Small Enterprises (A case of micro credit users in Khyber Pukhtunkhwa)

The concept of micro-finance is growing in Pakistan because of the positive impacts it has had on the life of the poor people locally as well as internationally up to some extent. Micro finance impact on the low-income people of Pakistan is to some extent because they do not have access to it. As this issue is of great importance that's why I am interested in this topic, and the researcher was keen to explore what the people having access to Micro finance have to say on it. For this purpose, small entrepreneurs were focused to find out the changes that micro-finance has brought in their lives. As the research is based on primary data, therefore, SME bank, other commercial banks and NGOs that give credit to low income people were contacted to have identification and access to the micro-finance borrowers. Through the help of employees of above mentioned institution access to micro finance borrower was made easy for the purpose of data collection. The small enterprises are like “back bone" in the developing of economy of any country. It has a necessary contribution towards GDP and employment opportunities. Micro enterprise Sector give opportunities to more than 80% of the work force in industrial sector, which helps in contribution of more than 30% of the manufacturing sector exports from Pakistan and accounts for nearly 1/3rd of the manufacturing sector's contribution to the Gross National Product. Moreover, the clients of these micro finance institutions remained highly cooperative in giving information about their business and loaning. In the end, it can be said that although, due to certain limitations, a lot cannot be done to further improve the study, but this definitely increased knowledge of the researcher on the subject and observed certain ground realities in the field. The researcher is also hope that it'll certainly give a good insight to the readers.