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1. The case of Lebanon
Empowering women through microfinance

2. The case of Lebanon
Empowering women through microfinance
EMPOWERING WOMEN

3. 1 Empowering women [through microfinance]: Why is it so important?
Empowerment: What it stands for?
Empowering women [through microfinance]: What are the limitations?
Empowering women through microfinance: The case of Lebanon
Table of Contents
2
3
Research methodology4
Research findings5
Summary6

4. 1 Empowering women [through microfinance]: Why is it so important?
Empowerment: What it stands for?
Empowering women [through microfinance]: What are the limitations?
Empowering women through microfinance: The case of Lebanon
Table of Contents
2
3
Research methodology4
Research findings5
Summary6
Theoretical part
=
Literature Review
Quant | Qual (Mixed)
Survey Questionnaire
Women entrepreneurs (Lebanese)

5. Empowering women through microfinance: The case of Lebanon
Empowering women [through microfinance]: Why is it so important?
What is
Microfinance?
Microcredit
[being only one aspect of microfinance]
Broad range of
financial services
Poor and deprived people
Lack of collateral | guarantee; steady
employment; clear credit history
The goal of microfinance is to give people with limited purchasing power parity
the chance to become self-sufficient —by providing them with a way to save
money, borrow money and get insurance.
Access to finance

6. Holds up MSMEs
Empowering women through microfinance: The case of Lebanon
Empowering women [through microfinance]: Why is it so important?
Microfinance:
The benefits
Boosts economic development
Invigorates economic growth
Poverty alleviation
Gender equality
Women empowerment
Creates job opportunities
Leads to more investment in children education
Better healthcare service
Better living conditions
And most importantly:

7. Higher unemployment rates
(relative to men)
Empowering women through microfinance: The case of Lebanon
Empowering women [through microfinance]: Why is it so important?
Microfinance:
Why targeting
women?
Small credit risk
Benefit the whole family
Over 70% of the most deprived
are women
Make up the biggest part of the
informal sector in any economy
Multiplier effect

8. Empowering women through microfinance: The case of Lebanon
Empowerment: What it stands for?
Empowerment of women is a prerequisite for
achieving political, social, economic, cultural
and environmental security among all people.
(Gita, 1999)
As per (Hashemi, 2006), for women to be
empowered, they need to have access to the
necessary material and resources to make
strategic choices in their lives. Furthermore,
they must be able to use these resources
and materials for a purpose of their choice.

9. Empowering women through microfinance: The case of Lebanon
Empowering women [through microfinance]: What are the limitations?
MFIs focusing on women…
…at the price of a lower financial performance?
…swerving from financial efficacy and sustainability goals?
…drawing their resources away from the core business?

10. Empowering women through microfinance: The case of Lebanon
Empowering women [through microfinance]: What are the limitations?
MFIs focusing on women…
…at the price of a lower financial performance?
…swerving from financial efficacy and sustainability goals?
…drawing their resources away from the core business?
There is no real evidence of that! It is simply the fact that some people perceive the promotion of women’s empowerment as an
inappropriate imposition of western values to non-western societies. Yet, as per (Cheston, 2002), given that the intended outcomes
and goals of empowerment are (normally) culturally relative, empowerment by itself cannot be, and is not in any way a western
concept.

11. Empowering women through microfinance: The case of Lebanon
Research methodology
Less than 25%
of Lebanon’s workforce
Very low
entrepreneurship rates
No formal
work history
Looking for a job for the
1st time?
To establish their own business is often seen as the best option!

12. Qualitative
Quantitative Survey
questionnaire
In-depth
interviews
Hypotheses:
1 Microfinance increases household well-being?!
2 Microfinance is a financial vehicle that helps the poor increase their income?!
3 Microfinance improves women’s empowerment?!
Empowering women through microfinance: The case of Lebanon
Research methodology
Emkan & Vitas
15 Lebanese women
entrepreneurs

13. Empowering women through microfinance: The case of Lebanon
Research methodology
27%
27%
33%
13%
Age
25-34 35-44 45-54 55-64
0%
5%
10%
15%
20%
Bsharre
Tripoli
Beirut
Aley
Batroun
ZghartaHasbaya
Rashaya
Zahle
Chouf
Baabda
Region
Demographics

14. Empowering women through microfinance: The case of Lebanon
Research methodology
Demographics
27%
40%
13%
7%
7%
7%
7%
27%
13%
27%
27%
US$1,000-US$2,000
US$2,001-US$3,000
US$3,001-US$4,000
US$4,001-US$5,000
US$5,001-US$6,000
> US$6,000
Personal | Household Income
Household Income Personal Income

15. Empowering women through microfinance: The case of Lebanon
Research findings
53%
Limited liability companies
(SARL)
60%
Established post 2005
$531,250
$554,650
$586,000
1
1.04
1.06
1
1.01
1.02
1.03
1.04
1.05
1.06
$500,000
$510,000
$520,000
$530,000
$540,000
$550,000
$560,000
$570,000
$580,000
$590,000
2014 2015 2016
Annual turnover | growth rate
Annual turnover Annual growth rate
Despite prevailing (critical) economic situation in the country, their businesses showed
potential —and registered positive figures in the past three years.
Taking year 2014 as a benchmark, on average, business grew of 4% between 2014 and
2015 —and of 6% between 2015 and 2016.
None of these businesses registered financial losses over the past three years, despite
sharp fluctuations in performance year-over-year.

16. Empowering women through microfinance: The case of Lebanon
Research findings
What about the source of funds?
0%
20%
40%
60%
80%
100%
Micro loan (MFI)
Regular loan (Bank)
Personal savings
Borrowed money from a friend, etc.

17. Empowering women through microfinance: The case of Lebanon
Research findings
Enhancing living standards & empowering women
87%
33%
20%
13%
13%
13%
7%
Increased income
Financial independency (From husband)
More opportunities for my children
Better education for my children
Better social life
Securing basic living needs
Better healthcare service
 87% of women affirmed that, through microfinance, they were able to increase their household
income, not to mention the fact that they became sort of financially independent (33%) which often
gives them a sense of power, authority and confidence;
 Also, 20% of women claimed that through microfinance they were able to provide better opportunities
for their children, mainly educational; and 13% advanced the fact that they were able to secure the
basic living needs of their families without the financial assistance or help of their husbands;
 Improved social life is another strong point for microfinance in favor of women entrepreneurs in
general.

18. T2B B2B
Through microfinance I became financially independent 93% 7%
Through microfinance I was able to provide my family with a health care plan 100% -
Through microfinance I was able to increase my personal income and that of my family 100% -
Through microfinance I was able to grow my business 100% -
Microfinance is an easy way to access money, especially for those who have no credit history 100% -
Through microfinance I was able to enroll my children in good schools | universities 73% 27%
Microfinance is a financial vehicle specifically tailored for poor people 73% 27%
Microfinance is a financial vehicle that favors women over men 33% 67%
Microfinance is a financial vehicle that empowers women 100% 0%
Microfinance is a good thing for the economy, as it encourages the establishment of SMEs 100% 0%
MFIs are in direct competition with banks 13% 87%
0%
20%
40%
60%
80%
100%
Better child education
Increase in income
Increase in expenditures
Better health care
Empowering women through microfinance: The case of Lebanon
Research findings
With regards to entrepreneurship attitudes:
 All the respondents advanced ‘budget and finance’ as the main impact of microfinance, allowing them to have
access to required funds to establish their own business, and so improve the quality of their lives;
 Contribute to improving the well-being of the society in its entirety; this is valid given the fact that most privately-
owned business in Lebanon are of a moderate size, small or medium..

19. Empowering women through microfinance: The case of Lebanon
Summary
Microfinance services lead to women’s
empowerment by positively influencing women’s
decision-making power and enhancing their overall
socio-economic status. Indeed, our study proved that
microfinance is helpful in empowering women
economically and socio-culturally.
Women’s empowerment through
microfinance is invaluable, as it is a means for
attaining fair, inclusive and sustainable
development.
Our study revealed that microfinance is a
powerful tool in enhancing women empowerment
for its all indicators like household economic
decision making, economic security, family
decision making, etc.
Our study opened the door to conduct similar
studies on the role of microfinance in
empowering Lebanese women, primarily to be
able to assess the impact of cultural diversity on
women empowerment.
THANK YOU!
QUESTIONS?