The Problem and Its Setting: North Eastern Mindanao State University

Republic of the Philippines
North Eastern Mindanao State University

formerly SURIGAO DEL SUR STATE UNIVERSTIY
Tandag City, Surigao del Sur
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Chapter I
THE PROBLEM AND ITS SETTING
Introduction
Due to poverty, Brgy.Maticdum of Tandag City Surigaodel Sur , tend to lend
money on lending with higher interest rates such as arawan,5-6 which may lead to
higher financial risk if the borrowed amount will not be managed accordingly.
Microfinance has long been a partner of the Philippine government in its programs
addressing poverty in the country. Microfinance had been a tool not only in the
Philippines but also on the numerous countries like, Ghana, Bangladesh and many
more, Thus, this study aims to help Brgy. Maticdum residents on poverty alleviation.
The study will be focusing on addressing the poverty issues through microfinance.
According to Carr & Zhong, 2019, financial services intervention has been
received with enthusiasm by governments, foundations, community development
groups, non-governmental organizations and even for-profit private firms. The
developed country (i.e., USA) also learnt from a developing country (i.e., Bangladesh)
about microfinance. Magner (2018) observes that from previous studies and research, it
is clear that microfinance and other financial services is importantly a catalyst for the
alleviation of poverty.
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This study recognized the impact of microfinance to unemployed people, lack of
education and people living in remote areas. Moreover, to address the impact, the
researchers must conducted a study to reduce poverty applying efficient micro-finance
services and development of financial markets and system. Therefore, this study was
conducted only to those people who are unemployed, have not finished school due to
poverty and also those people living in remote areas.
The study aimed to know the value of providing microfinance and different
financial services in less opportunity families and how it can help their daily lives and to
also address positive effects. This research study will also serve as a guide or a
reference for further studies especially to other cities experiencing difficulties in life and
less fortunate people.
Theoretical Framework
According to Abdulai and Shamshiry The theory of Cumulative and Cyclical
Interdepencies, the theory of Cumulative and Cyclical Interdepencies is also called the
Cyclical Theory of Poverty. This kind of poverty occurs when individuals or households
are suddenly unable to provide for their necessities due to unforeseen circumstances,
like natural disasters. The cyclical explanation clearly looks at individual situations and
community resources as mutually dependent, with faltering economy, for example,
creating individuals who lack resources to participate in the economy which makes
economic even harder for the community since people pay fewer taxes (Bradshaw.
2020). He continues to explain that inadequate employment leads to inadequate income
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causing inadequate spending, consumption, and savings. This presupposes that
individuals cannot invest in training, businesses or start their own businesses; which
further means that there will be no expansion, market will dwindle, people will disinvest,
leading to lack of opportunities in the community.
Figure 1 shows the conceptual framework illustrating the variables involved in
the study and how the researchers gathered the needed data. The first box shows the
independent variable of the study which includes the demographic profile of the
participants namely the age, sex, civil status, education and occupation. These
variables were manipulated to determine or interpret the value of the dependent
variable on the next box.
The second box shows the dependent variable of the study which is the
perception of respondents on the impact microfinance to poverty alleviation in
Brgy.Maticdum Tandag City. This variable varies depending upon the response of the
respondents.
Lastly, the third box shows the proposed intervention to be made based on the
result of this study. This will be the output of conducting this study.
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Conceptual Framework
Demographic profile of The impact of

the respondent in terms microfinance on poverty
of: alleviation in Maticdum
Tandag City in terms of:
2.1 Money Management

1.1 Age
2.1.1 Budgeting
1.2 Sex
1.3 Civil status 2.1.2 Debt

Management
1.4 Education Attainment
2.1.3 Saving
1.5 Occupation Proposed Intervention
1.6 Monthly Income 2.1.4 Investing
1.7 Micro finance service 2.2 Economic Status
availled 2.2.1 Health
2.2.2 Food and
Shelter
2.2.3 Education
Figure 1. Schematic Diagram of the Study
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Statement of the Problem
This study aims to know the impact of microfinance on poverty alleviation in Brgy.
Maticdum,Tandag City, Surigao Del Sur. Moreover, this study is expected to answer the
following questions:
1. What is the demographic profile of the respondents in terms of:
1.1 Age
1.2 Sex
1.3 Civil status
1.4 Education Attainment
1.5 Occupation
1.6 Monthly Income
1.7 Micro Finance Services Availed
2. What is the impact of microfinance on poverty alleviation in Maticdum Tandag City in
terms of:
2.1 Money Management

2.1.1 Budgeting
2.1.2 Debt Management
2.1.3 Savings
2.1.4 Investing
2.2 Economic Status
2.2.1 Health
2.2.2 Food and Shelter
2.2.3 Education
3. Is there a significant relationship between the respondents’ profile and the impact of
microfinance to the poverty alleviation.
4. Based on the findings of the study, what intervention may be proposed.?
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Null hypothesis
Ho1: There is no significant relationship between the respondents’ profile and the
impact of microfinance to the poverty alleviation.
Significance of the Study
The result of this study is expected to add more knowledge about the impact of
the credit and financial services to poverty alleviation and will be of big help to the
following beneficiaries:
Businesses. This study will guide businesses on how to manage well the
financing obtained from microfinance institutions.
Community. This study will help the people in managing their financial resources
as to budgeting, saving, managing debt and investing to be able to rise from poverty.
Financial Institutions. This study will help them asses and improve the
microfinance services they offered to address poverty issues and contribute to the
success of their organization.
Future Researchers. This study can be utilized as a source or reference in
conducting future researches.
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Scope and Limitation of the Study
This study is intended to determine the impact of microfinance on poverty
alleviation in Brgy.Maticdum, Tandag City, Surigao Del Sur. The survey questionnaire
was given to the selected individual who availed microfinance services. It was
conducted within Brgy. Maticdum, Tandag City this 2 nd semester of A.Y. 2022-2023.
Definition of Terms
The terms stated below are defined to give a clearer vision on the matters
reflected in this study.
Budgeting. The process of creating a plan to spend your money.
Business. This is what people can do to earn and provide for their daily needs.
Debt Management. A way to keep up with your bills and payables especially if
they have seemingly gotten out of control
Economic Status. A way of describing people based on hierarchically ordered
classes.
Economy. Refers to the wealth and resources of a country and how it is carefully
managed.
Financial services. encompasses arrange of services involving the investment,
lending, savings and management of money and other assets.
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Investing. An activity that may lead to higher farm and nonfarm productivity,
employment and income opportunities, and increased availability of wage goods,
thereby reducing poverty by raising mean income and consumption.
Microfinance. Provide services to low-income household to establish their
income and save for future needs.
Money Management. Refers to the process of tracking planning and individual
or group use of capital.
Poverty Alleviation. A process /activity that improve the quality of life for those
people currently living in poverty
Savings. An activity wherein a person has left over after deducting the spending
for the income earned over a given time.
Unemployment. A state when a person is in a situation of not having a job that
provides money.
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CHAPTER II
REVIEW OF RELATED LITERATURE AND STUDY
This chapter discusses the review of related literature and study that relevant in
this study.
Related Literature
Foreign
Microfinance is currently considered one of the most important tools for
international development and poverty alleviation. Despite numerous empirical inquiries,
however, the actual effects of microfinance on economic and gender variables relative
to poverty remain unclear, and a number of critiques have challenged the efficacy of
microfinance at promoting women's empowerment and alleviating poverty. (P. Mader,
2019).
Microfinance initiatives can indirectly support education by providing families with
income stability, enabling them to afford schooling. Financially secure households are
better equipped to keep children in school than are their financially unstable
counterparts. (Reinsch, M., 2020).
In addition, based on the study of the team Gocardless, 2021, when directed to
small businesses and entrepreneurs, microfinance can be a powerful tool for growth. It
can even provide a long-term solution to those living in poverty, breaking the cycle for
future generations.
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Furthermore, (Farveen, 2019) in micro finance literature, the term,,sustainability
or self-sustainability" has been discussed and analyzed widely among the practitioners,
researchers and policy makers as an important development indicator of both MFls and
its clients. It is well known that only efficient institutions can low the high cost of
servicing small and irregular incomes on a sustainable basis. These lower costs can in
turn be passed on to the poor/hardcore poor in the form of low finance charges, which
leads to contribute their smooth income generating activities.
The relationship between financial development and poverty alleviation - a
subject that has grown increasingly important in the policy prescriptions of the IMF and
other international financial institutions in recent years. (P.Holden, Prokopenko Vassili
2020) Access to credit could contribute significantly to growth in income and
entrepreneurial development, increase in consumption expenditure, acquisition of
business assets and ability to educate children and should therefore be given all the
attention it deserves.
Local
However Microfinance has a positive and significant effect on income and
expenditure. However, the effect is regressive which implies that poorer households do
not feel as much the effects of the intervention as compared to the richer households.
This further indicates that among poorer borrowers, the cost of and availability of the
loans appears to be insufficient to prod them to select more productive activities to pay
for the cost of borrowing and to earn some revenues. (Orbeta, et,al , 2018).
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Chintamani Prasad Patnaik (March 2016) has examined that microfinance
seems to have generated a view that microfinance development could provide an
answer to the problems of rural financial market development. While the development
of microfinance is undoubtedly critical in improving access to finance for the unserved
and underserved poor and low-income households and their enterprises, it is
inadequate to address issues of rural financial market development. It is envisaged that
self-help groups will play a vital role in such strategy. But there is a need for structural
orientation of the groups to suit the requirements of new business. Microcredit
movement has to be viewed from a long-term perspective under SHG framework, which
underlines the need for a deliberate policy implication in favor of assurance in terms
of technology back-up, product market and human resource development.
However, Microfinance is one of the fastest-growing sectors in the finance
industry, and the Philippines is no stranger to it. In fact, it is central to the government’s
efforts to improve financial inclusion among Filipinos. It is a tool used to potentially
reduce poverty by providing financial services to members of the population who are
generally unqualified to take advantage of the typical products offered by formal
financial institutions such as banks. The inaccessibility of such services is due to
various reasons, including unemployment, lack of income instability, non-existent or
negative credit rating, and the absence of assets that can be used as down payment or
collateral. (Torres,M; 2021).
Poverty is dangerous, it deprives people of their right to education, their right to
good health, their right to freedom of speech, their right to democracy, their right to
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financial services and of course their right to knowledge enhancement, which are all
crucial to living a better life. We must therefore, provide services beyond, credits for the
poor. In this case, education should be included to each and every development agenda
for the poor since it is key to any positive change and sustainable development of
people. (Hadi, et.al 2019).
Crabb,P. (2017) has examined that the relationship between the success of
microfinance institutions and the degree of economic freedom in their host countries.
Many microfinance institutions are currently not self-sustaining and research
suggests that the economic environment in which the institution operates is an
important factor in the ability of the institution to reach this goal, furthering its mission
of outreach to the poor. The sustainability of the micro lending institutions is analyzed
here using a large cross-section of institutions and countries. The results show that
microfinance institutions operate primarily in countries with a relatively low degree of
overall economic freedom and that various economic policy factors are important to
sustainability.
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Related Studies
Foreign
While some have lauded microfinance as a way to end the cycle of poverty,
decrease unemployment, increase earning power, and aid the financially marginalized,
some experts say that it may not work as well as it should, even going so far as to say
it’s lost its mission. Others argue that microfinance simply makes poverty worse since
many borrowers use microloans to pay for basic necessities, or their businesses fail,
which only plunges them further into debt. For example, in South Africa, 94% of all
microfinance loans are used for consumption, meaning, the funds are used to pay for
basic necessities. This means borrowers aren’t generating new income with the initial
loan, which means they have to take out another loan to pay off that loan, and so forth.
This translates into a lot more debt. However, other experts say that microfinance can
serve as a valuable tool for the financially underserved when used properly. They also
cite the industry’s high repayment rate as proof of its effectiveness. (Cautero, 2022)
The idea of enabling the poor to have access to credit and financial services is
based on recent empirical findings which indicate that basic financial services such as
savings, credit, money transfer and insurance can make a substantial positive
difference in improving poor people’s live (Dupas and Robinson 2019). The money that
the lender may lend if used in a proper way it can be useful and can be a signal for
poverty alleviation but again if it is used on the proper usage example are for education
or for capital to a small business enterprise, many country including ghana has a visible
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effect regarding to the lending institution that can help their poverty alleviation. And that
will be the focused of the study, to identify the things that can uplift the living of the
beneficiary and how we can maintain it. Furthermore, it just should be used on business
to have income, education and to any health related issues.
Several studies have analyzed the impact of microfinance on poverty
reduction. Soulama (2019) argues that microfinance is a unique development tool
that works toward reducing poverty and maintaining self-sustainability. Microfinance
not only supports the poor by providing them with capital but also helps increase
their business opportunities, which improves personal income and increases
personal investment in family health, nutrition, and education.
Dr.Ajit KumarBansal, Ms.AnuBansal (2021) Microfinance have received
extensive recognition as a strategy for poverty reduction and for economic
empowerment. Microfinance is a way for fighting poverty, particularly in rural areas,
where most of the world‟s poorest people live. Accessing small amounts of credit at
reasonable interest rates give poor people an opportunity to set up their own small
business. It shows that access and efficient provision of microcredit can enable the poor
to smooth their consumption, manage their risks better, gradually build their assets,
develop their micro enterprises, enhance their income earning capacity and enjoy an
improved quality of life.
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The study will be aligning on the study conducted in Vietnam, namely as,
Microfinance: The Impacts of a Poverty Reduction Approach and Financial Systems
Approach on Poor Rural Households in Vietnam, C. Le, 2018 The aim of his research is
to add to the existing literature by exploring the poverty reduction approach and
financial systems approach to microfinance and their implications on poor rural
households in Vietnam. Following this aim, the first objective was to conduct a
comprehensive assessment of microfinance in Vietnam. This has 24 been
accomplished by exploring the development of microfinance after Doi Moi (2019) and
after the reforms in 2010, when it was recognized under the law as a type of credit
institution.
Local
Microfinance is revisited under the ethical lenses of global responsibility for
alleviating poverty and developing community sustainability. Through a critical review of
the literature and case studies from the Philippines, the author suggests a value-based
Vincentian approach to integrate microfinance into community empowerment. According
to (Tavanti, 2018) We find that little over one in five households are multidimensional
poor, with non-client households being poorer than microfinance client households. Our
results show that microfinance has had a mildly positive impact on poverty reduction
with incomes and savings of microfinance client households being higher than those of
non-client households.
Based on the impact of microfinance on poverty reduction, we argue that it is
important that policymakers implement strategies for promoting and creating greater
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access to microfinance as this has the capacity to reduce poverty and improve the well-
being of the poor and marginalized in the Philippines (Agbola, Et.al 2016).
The role of microfinance in alleviating poverty and poor health is significant. Its
health programs have been shown to improve healthcare utilization and strengthen a
healthcare system. In the Philippines, microfinance's widespread presence is seen as
instrumental in achieving the objectives of Healthy Philippines 2022, particularly in
reducing poverty-driven healthcare costs.(Aranas, Et.al 2020).
This paper reports on the impact evaluation study of the Rural Microenterprise
Finance Project (RMFP) in the Philippines. RMFP aimed to support efforts of the
Government of the Philippines to strengthen rural financial institutions by assisting
organizations that employed the Grameen Bank Approach (GBA) in providing credit to
the poor. The project was implemented by the People’s Credit and Finance Corporation
(PCFC) and funded by the Asian Development Bank. The evaluation uses a quasi-
experimental design with incoming clients of randomly selected participating
microfinance institutions as the comparison group. An important innovation in the study
is the inclusion of the appropriate number of former clients among the treatment group.
Qualified nonparticipating households provide the control for area effects. (Toshio,
Kondo 2020).
The impact estimation uses the difference-in-difference estimation technique
which effectively controls for the known sources of biases namely: nonrandom program
participation (sample selection), nonrandom program placement, and nonrandom drop-
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out. The results led the authors to recommend that for microfinance programs to be
effective as a poverty-alleviation tool there is a need to review and constantly monitor
the effectiveness of the targeting procedures. In addition, it was pointed out that there
may be a need to assist the poor in selecting appropriate projects that not only ensure
loan repayment but also generate ample profit as well. (Anieto Jr. C. Orbeta 2020).
Synthesis
The gathered data shows that with proper management the microfinance can
help for the poverty alleviation, this can also both help on business to have capital in
order to gain income and also in personal educational purposes and health care
services. Unlike, microcredit, microfinance focuses on wider range like individual
Business Loan, Agriculture Loan, Insurances, Saving Accounts and the entrepreneurs
are now adopting to the changes and insurance are becoming one of the services
offered.
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CHAPTER III
RESEARCH METHODOLOGY
This chapter presents the research design, research locale respondents, survey
instrument, data gathering procedure, and statistical treatment applied in the study.
Research Design
The researcher utilized the quantitative descriptive method of research focuses
on using adapted modified survey questionnaire as a main tool of gathering data.
Descriptive research obtained information concerning the current status of the
phenomena to describe “what exist” with respect to variables condition in a situation. Itl
described the characteristics of the population and variables under study.
Research Local
The study was conducted in Brgy. Maticdum, Tandag City, Surigao Del Sur. This
is one of the barangays that needs more attention for the various problems they
encountered especially those who are unemployed, who have not finished school due to
poverty and less fortunate families. We conducted an in-depth analysis of how they can
solve this issue through microfinance services.
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Figure 2. Map of Brgy.Maticdum
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Research Respondent
The respondents are the residents of Brgy. Maticdum, Tandag City, Surigao Del
Sur. The respondents was selected through random sampling. This sampling method
was use where each member of a population has a capacity to become part of the
sample.
The chosen respondents are consisted of two hundred forty four (244) residents
from the different purok of Barangay of Maticdum, from Purok Buwahan, Mangga,
Centro, RiverSide, Happy valley. Those Purok was chosen by the researchers because
it is suitable to the study.
Table 1
BARANGAY MATICDUM POPULATION AS OF JANUARY 2022

PUROK POPULATION SAMPLE SIZE
BUWAHAN 245 95
CENTRO 225 88
RIVERSIDE 156 61
TOTAL 626 244
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Data gathering procedure
The researchers have prepared the survey questionnaire in conducting study. It
was composed of two parts. Then, the proponents sent an approval letter to the Dean of
the College of Business Management. The questionnaires were launched. Retrieving of
the questionnaires and tallying and interpreting of followed.
Statistical Treatment
The respondent’s answers were tallied and organized according to the criteria in
the questionnaire which can be found in the statement of the problem. The statistical
treatment to be used are the following: frequency counting, percentage and weighted
mean.
Frequency Counting. This is a tabulation of how many times a certain variable
occurs within the calculation. This was used to determine the demographic profile of the
respondents.
Percentage. Is a number ratio expressed as a fraction of 100. It is often denoted
using the percentage sign (%) or the abbreviation, “pct.”. This was used to compute the.
percentage of the indicators in part 1, demographic profile of the respondents.
Weighted Mean. Is a parametric measure of central tendency appropriate for the
data with corresponding weight. This was used to determine the impact of microfinance
on poverty alleviation.
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CHAPTER IV
PRESENTATION, ANALYSIS AND INTERPRETATION OF DATA
This chapter displays the presentation, analysis and interpretation of data based
on the answer of the respondents.
Tabale 2
Impact of Microfinance on Poverty Alleviation in Brgy. Maticdum, Tandag City in
Terms of Money Management
Weighted Adjectival
Indicator
mean Rating
Budgeting
Microfinance helps you to meet your daily budget 4.67 Greatly Extent
Microfinance helps you to appoint budget to your
student 4.63 Greatly Extent
Microfinance helps you to allocate budget on daily
needs 4.49 Greatly Extent
Microfinance helps you to devote budget in starting a
business 4.45 Greatly Extent
Microfinance helps you to accord budget to the
institutions to insure funds for low-income borrowers 3.88 Mostly Extent
Total Mean 4.42 Greatly Extent
Table 2 present “The impact of microfinance on poverty alleviation in Brgy.
Maticdum, Tandag City” in Money Management. As seen in the table, category 1
“microfinance helps the respondents daily budget” with the highest weighted mean of
4.67 with adjectival rating of greatly extent. However, category 5 “microfinance helps
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you to accord budget to the institutions to insure funds for low-income borrowers”. As
the lowest weighted mean of 3.88 with adjectival rating of mostly extend in terms of
budgeting. As a total mean of 4.42 with adjectival rating of greatly extent.
It implies that money management in terms of budgeting has a huge impact on
poverty alleviation in Brgy, Maticdum Tandag City.
De waal (2018) states, Traditionally budgeting is considered to be one of the
most important management tools to steer the organization, evaluate its performance
and motivate its people.
Debt Management Weighted mean Adjectival Rating

Microfinance helps you in access to credit 4.45 Greatly Extent
Microfinance helps you to control budgeting and
finance your bank debt 4.39 Greatly Extent
Microfinance helps you in paying your debts on
time 4.37 Greatly Extent
Microfinance helps you in reducing your debts 4.37 Greatly Extent
Microfinance helps you to save your debt to
alleviate poverty 4.35 Greatly Extent
The table represent “The impact of microfinance on poverty alleviation in Brgy.
Maticdum, Tandag City in money Management in terms of debt Management. As seen
in the table, category 1 “microfinance helps you in access to credit” as the highest
weighted mean 4.45 with adjectival rating of greatly extent. However, category 5
“microfinance helps you to save your debt to alleviate poverty”. As the lowest weighted
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mean of 4.35 with adjectival rating of mostly extend in terms of debt management. As a
total mean of 4.39 with adjectival rating of greatly extent.
It implies that Debt Management in terms of Money Management has a huge
impact on Poverty alleviation in Brgy, Maticdum Tandag City.
According to Udaibir, (2010), debt management influences financial stability
through five channels – stock of debt, debt profile, investor base, debt market structure,
and institutional aspects. We contribute to this strand of literature by studying the policy
interactions in a data-rich environment while taking into consideration alternative debt
manager goals.
Savings Weighted mean Adjectival Rating

Microfinance helps you save a start-up capital 4.47 Greatly Extent
Microfinance helps you save for children’s
education 4.43 Greatly Extent
Microfinance helps you save for future needs 4.43 Greatly Extent
Microfinance helps you save for health 4.41 Greatly Extent
Microfinance helps you save to stabilize income
flows 4.41 Greatly Extent
The table represent “The Impact of microfinance on poverty alleviation in Brgy.
Maticdum, Tandag City in money Management In terms of savings, category 1
“microfinance helps you save a start-up capital”. As the highest weighted mean 4.47
with adjectival rating of greatly extent. However, category 5 “microfinance helps you to
save to stabilize income flows”. As the lowest weighted mean of 4.41 with adjectival
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rating of mostly extend in terms of debt management. As a total mean of 4.43 with
adjectival rating of greatly extent.
It implies that Savings in terms of Money Management has a huge impact on
Poverty alleviation in Brgy, Maticdum Tandag City.
Dean Karlan, Aishwarya Lakshmi Ratan(2013), etl. Mobilization is critical for
individual and societal welfare. At the individual level, savings help households smooth
consumption and finance productive investments in human and business capital. At the
macroeconomic level, savings rates are strongly predictive of future economic growth.
Weighted Adjectival
Investing mean Rating
Microfinance helps you in investing entrepreneurs to
start the business 4.69 Greatly Extent
Microfinance helps you in investing small businesses
to help diversify economies 4.51 Greatly Extent
Microfinance helps you in investing businesses and
save for your future needs 4.47 Greatly Extent
Microfinance helps you in investing operate savings
account without any average minimum balance
requirement 4.35 Greatly Extent
Microfinance helps you in investing small loans and
insurance for low income people who are economically
active 4.31 Greatly Extent
The table shows “The impact of microfinance on poverty alleviation in Brgy.
Maticdum, Tandag City in money Management In terms of savings, category 1
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“microfinance helps you in investing entrepreneurs to start the business”. As the highest
weighted mean 4.69 with adjectival rating of greatly extent. However, category 5
“microfinance helps you in investing small loans and insurance for low income people
who are economically active”. As the lowest weighted mean of 4.31 with adjectival
rating of mostly extend in terms of debt management. As a total mean of 4.47 with
It implies that Investing in terms of Money Management has a huge impact on
Poverty alleviation in Brgy, Maticdum Tandag City.
Tabassum Sultana and Pardhasaradhi (2016) carried out a survey on
factors influencing Indian individual equity investors’ decision-making and behaviour.
By performing FA, out of 40 attributes, they identified 10 factors which represent
investors’ decisions in common.. According to first preference and weighted mean
value of the ranks of multi-investor survey results, 42% of the investors’ stock
purchases were influenced by accounting information of the company while 37% of
them were influenced by personal and financial needs.
Table 3 - Summary of the impact of microfinance on poverty alleviation in Brgy.
Maticdum, Tandag City in terms of Money Management.
INDICATORS WEIGHTED MEAN DESCRIPTION
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Budgeting 4.42 Greatly Extent

Debt Management 4.39 Greatly Extent
Savings 4.43 Greatly Extent
Investing 4.47 Greatly Extent
Over-all Mean 4.43 Greatly Extent
In over-all, the impact of microfinance on poverty alleviation in Brgy. Maticdum,
Tandag City in Money Management. In terms of the indicator in budgeting with the
weighted mean of 4.42 with adjectival rating of greatly extent. However, in terms of Debt
Management with the weighted mean of 4.39 with the adjectival rating of Greatly extent.
Furthermore, in terms of savings with a weighted mean of 4.43 with adjectival rating of
Greatly extent. Moreover, in terms of investing with a weighted mean of 4.47 with the
adjectival rating of Greatly extent.
As to the impact of microfinance on poverty alleviation in Maticdum tandag city in
terms of money management respondents has an overall mean of 4.43 with adjectival
rating of Greatly extent, in other words there is high impact on poverty alleviation
particularly on money management in Brgy. Maticdum Tandag City.
Table 4
The impact of microfinance on poverty alleviation in Brgy. Maticdum, Tandag
City in terms of Economic Status
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Weighted Adjectival
Indicator
mean Rating
Health
Microfinance helps you offering health package to low
income and informal sectors 4.59 Greatly Extent
Microfinance helps you in supporting a healthcare agenda. 4.53 Greatly Extent
Microfinance helps you to organized and manage alternate
healthcare financing scheme 4.47 Greatly Extent
Microfinance helps you by bringing health services and
products closer to a group of the population in Barangay
Maticdum 4.47 Greatly Extent
Microfinance helps you to reduce poverty- driven healthcare
cost 4.37 Greatly Extent
Mean 4.49 Greatly Extent
The impact of microfinance on poverty alleviation in Brgy. Maticdum, Tandag City
in economic status. In terms of the indicator in health, microfinance helps you offering
health package to low income and informal sectors. As the highest weighted mean 4.67
with adjectival rating of greatly extent. However, indicator Microfinance helps you to
reduce poverty- driven healthcare cost. As the lowest weighted mean of 3.37 with
adjectival rating of mostly extend in terms of health. As a total mean of 4.49 with
Karlan and Morduch (2010) state in a recently published and broad review of
microfinance that the evidence so far indicates that finance interventions alone may not
be as powerful as ‘finance coupled with other interventions—training and healthcare’. A
small but growing number of studies that integrate microfinance with other non-financial
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services seem to support the argument that MFI financial services have positive impacts
beyond the direct financial benefit, such as women’s empowerment and decision health
outcomes, including use of contraceptives, higher child-survival rates, reduced family
violence and increased use of health services.
Weighted Adjectival
Food and Shelter
mean Rating
Microfinance helps you to contribute food and shelter
insecurity 4.49 Greatly Extent
Microfinance helps you by providing enough food and shelter
to the poor 4.47 Greatly Extent
Microfinance helps you to allocate budget to provide your
shelter security status 4.47 Greatly Extent
Microfinance helps you to build your own business to provide
your needs in food and shelter 4.45 Greatly Extent
Microfinance helps you to improve security status of the poor
people 4.31 Greatly Extent
in economic status. In terms of the indicator in food and shelter, microfinance helps you
to contribute food and shelter insecurity. As the highest weighted mean 4.49 with
adjectival rating of greatly extent. However, indicator microfinance helps you to improve
security status of the poor people. As the lowest weighted mean of 4.31 with adjectival
rating of mostly extend in terms of food and shelter. As a total mean of 4.44 with
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(Kihato Stickney, 2014) With the growth and maturing of the microfinance industry
and structural changes in the housing sector, both at a global scale, housing
microfinance has become an increasingly important activity at the interface of housing
policy, This is surprising in light of a thriving donor-practitioner literature that strongly
advocates the extension of financial services to low-income households as a viable and
important route toward improved shelter.
Weighted Adjectival
Education
mean Rating
Microfinance helps you in build assets to finance school fees 4.53 Greatly Extent
Microfinance helps you by giving ample to your children’s
education 4.49 Greatly Extent
Microfinance helps you r children’s education by providing
immediate funds 4.41 Greatly Extent
Microfinance helps you in economic status in your children’s
academic performance 4.39 Greatly Extent
Microfinance helps you in delivering access to education 4.35 Greatly Extent
in economic status. In terms of the indicator in education, microfinance helps you in
build assets to finance school fees. As the highest weighted mean 4.53 with adjectival
rating of greatly extent. However, indicator microfinance helps you in delivering access
to educatin. As the lowest weighted mean of 4.35 with adjectival rating of mostly extend
in terms of education. As a total mean of 4.44 with adjectival rating of greatly extent.
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(Behrman and Parker 2010) The lack of education could be due to a variety of
factors including financial instability, and fear of abandonment or segregation. Some
families keep their children to do households chores while the parents are working,
others with small and micro businesses keep them as employees to save on labour
costs. Hence, it is impossible to ignore the link between the financial security of families
with businesses and the education of their children. It is crucial to examine poverty
eradication strategies from the perspective of businesses and parents, as well as
considering the welfare and education of the children.
Table 5 - Summary of the impact of microfinance on poverty alleviation in Brgy.

Maticdum, Tandag City in terms of Economic Status.
INDICATORS WEIGHTED MEAN DESCRIPTION

Health 4.49 Greatly Extent
Food and Shelter 4.44 Greatly Extent
Education 4.44 Greatly Extent
Over-all Mean 4.46 Greatly Extent
In over-all The impact of microfinance on poverty alleviation in Brgy. Maticdum,
Tandag City in Economic Status. In terms of the indicator in health with the weighted
mean of 4.49 with adjectival rating of greatly extent. However, in terms of food and
shelter with the weighted mean of 4.44 with the adjectival rating of Greatly extent.
Furthermore, in terms of education with a weighted mean of 4.44 with adjectival rating
of Greatly extent.
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As to the impact of microfinance on poverty alleviation in Maticdum tandag city in
terms of economic status respondents has an overall mean of 4.46 with adjectival rating
of Greatly extent, in other words there is high impact on poverty alleviation particularly
on economic status in Brgy. Maticdum Tandag City.
Table 6: Significant relationship between the respondents’ profile and the impact
of microfinance to the poverty alleviation as to money management
Variable Tested computed r p-value conclusion
Age Budgeting 0.168 0.126 Not significant
Data Management 0.072 0.517 Not significant
Savings 0.112 0.311 Not significant
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Investment 0.032 0.77 Not significant
Budgeting -0.001 0.996 Not significant
Data Management -0.197 0.073 Not significant

Gender
Investment -0.15 0.174 Not significant
Budgeting -0.225 0.04 Significant

Educational Attainment
Savings -0.138 0.211 Not significant

Civil status
Savings -0.2 0.068 Not significant
Budgeting 0.008 0.944 Not significant

Monthly Income

Occupation

Micro-Finance Services Availed
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Budgeting has a significant, in terms of educational attainment and it has
high influence, because it has a negative result for computed R, it means when the
educational attainment is high then it has low level of impact when it comes of the
budgeting. But also there is a correlation, if the knowledge of the respondents I terms of
budgeting is high, the impact of the arrival on educational attainment would be lessen
(vice versa), because it has a negative result for computed R. but still there is an
significant relationship. It’s because the P value is 0.04 which is less than 5% level of
significant. On the other hand those variables being tested aside from budgeting to the
educational attainment has no significant relationship since the P value are greater than
5% level of significant.
Table 7: Significant relationship between the respondents’ profile and the impact
of microfinance to the poverty alleviation as to Economic Status
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Variable Tested computed r p-value conclusion
Health 0.023 0.835 Not significant
Age Food and Shelter 0.109 0.323 Not significant
Education -0.074 0.506 Not significant
Health -0.036 0.746 Not significant
Gender Food and Shelter -0.271 0.013 Significant
Educational Attainment Food and Shelter 0.081 0.464 Not significant
Education -0.247 0.024 Significant
Health 0.068 0.540 Not significant
Civil status Food and Shelter 0.094 0.397 Not significant
Monthly Income Food and Shelter 0.039 0.726 Not significant
Education 0.049 0.661 Not significant
Occupation Food and Shelter -0.055 0.618 Not significant

Micro-Finance Services
Food and Shelter -0.053 0.633 Not significant
Availed
Education 0.214 0.050 Significant
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As you can see that gender and food shelter has a significant since the P
value is 0.013 which is less than 5% level of significant, and also the educational
attainment has a significant relationship on educational status, since the P value is less
than 5% level of significant.
On other hand microfinance services availed has a significant relationship in to
educational. If there’s a high microfinance services availed, there is also high impact in
educational status.
Training Design
TITLE OF THE ACTIVITY Seminar Workshop on Money Management

PROPONENTS : Office of the College of Business and Management
PROJECT LEADER : Fe Palma Labasan
PROJECT MEMBERS : Mr.Ponlaon ,Anthony
Mr.Delota, Kier
Mr.Joliemar , Lozada
Ms. Crezeljane Corvera
PARTICIPANTS: People who avail Microfinance services
BUDGET : Registration of the said Seminar
A. Source of Fund 500 - Registration x 84 participants - 42,000
Extension Fund 5,000
Total: 47,000
B. Partner Agencies college of Business Management
Melinium Cash finance Company Inc.
DATE : November 15,2022
VENUE : Social Hall Capitol Hills Tandag City
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Rationale:
Improve the Learnings of the participants specifically residing at Maticdum
Tandag about the impact of Microfinance and how it helps them to accord budget to
the institutions to insure funds for low-income borrowers.
For this reason the seminar workshop on Money Management will be conducted.
Objectives:
To apply action items on the improvement of Money Management support.
Description of the Activity:
1.) This activity will be facilitated by the 4th year financial management students, which
is scheduled on November 15, 2022 at exactly 8 in the morning to 5 in the afternoon
which will be held at Social Hall Capitol Tandag City.
2.) The participants are the Members of Microfinance services in Maticdum Tandag
City.
3.) Budget of the activity will be taken from the registration fee of the said seminar.
4.) There will be a tarpaulin for the said seminar.
5.) Monitoring and evaluation will be conducted by the coordinators.
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Schedule of Activities:
8:00 - 9:00 am Registration Mr. Ponlaon , Anthony
9:00 - 12:00 pm Proper Program Mr. Kier Delota
Mr. Joliemar Lozada
12:00 - 1:00 noon Lunch Time Ms. Crezeljane Corvera
1:00 - 5:00 pm Training Worshop Ms Fe Palma Labaso
Venue Date Time
Social Hall Capitol Hills Tandag City November 15,2022 8:00 -12:00 am
1:00 - 5:00 pm
Budgetary Requirements:
PARTICULARS No. of pax/pcs. AMOUNT TOTAL
Honorarium of the Speaker (1hrs X P500/hr) X 2 P 1,000.00 P 1,000.00
Lei for the speakers 2pcs. X 150 P 300.00 P 300.00
Honorarium of the Coordinator

and Staff 1 day X P500/day=P500 P 500.00 P 500.00
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Snacks AM & PM
[(P100/pax X 2)X84]X1day
= P16,800
Snacks and lunch for
Speakers and Facilitators
Lunch
(P200/pax X 84)1d = P 16,800
Total
P16,800 P 33,600.00 P33,600.00
Tarpaulin of the Activity 1 pc P 500.00 P 500.00
Photo Printing 100pcs x P10 P 1,000.00 P 1,000.00
Contingency Funds P 6,700.00
TOTAL: P 43,600.00
Output:
1.) The participants will be able to learn the impact of microfinance services availed on
poverty alleviation.
2.) The participants were aware on the importance of microfinance in terms of money
management.
3.) Acquire knowledge on money management. .
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Prepared by:
Ms. Fe Palme Labaso
Project Leader
Mr. Ponlaon , Anthony
Mr. Kier ,Delota
Mr. Joliemar Lozada
Ms. Crezeljane Corvera
Project Coordinator
Noted by:
RIZZA MAE C. AZARCON, MBA
Instructor
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CHAPTER V
SUMMARY, FINDINGS, CONCLUSIONS AND RECOMMENDATIONS
This chapter presents the summary of findings and the recommendations of the
conclusions that are drawn from chapter 4 in this study.
Summary
This study focuses on the “Impact of Microfinance on poverty alleviation in brgy,
Maticdum, Tandag city. The study aims to know the value of providing microfinance and
different financial services in less opportunity families and how it can help their daily
lives and also to address positive effects. This research study will also serve as a guide
or a reference for further studies especially to other cities experiencing difficulties in life
and less fortunate people. The researchers would like also to know the extent of Money
Management and Economic Status on every Household by gathering data from the
respondents. After conducting the study, the researchers aim to know if there is
significant relationship between the respondents’ profile and the impact of microfinance
to the poverty alleviation as to money management and Economic status.
Findings
The researchers have found out that “The impact of microfinance on poverty
alleviation in Brgy. Maticdum, Tandag City in Money Management. In terms of the
indicator in budgeting, “microfinance helps you to meet daily budget”. As the highest
weighted mean 4.67 with adjectival rating of greatly extent. However, indicator
“microfinance helps you to accord budget to the institutions to insure funds for low-
income borrowers”. As the lowest weighted mean of 3.88 describe as mostly extent.
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On the other hand, the researchers have found out that “The impact of
microfinance on poverty alleviation in Brgy. Maticdum, Tandag City” in money
Management. In terms of the indicator debt management, “microfinance helps you in
access to credit” as the highest weighted mean 4.45 with adjectival rating of greatly
extent. However, indicator microfinance helps you to save your debt to alleviate poverty.
As the lowest weighted mean of 4.35 with adjectival rating of mostly extend in terms of
debt management. As a total mean of 4.39 with adjectival rating of greatly extent.
The researchers have also found out that “The impact of microfinance on poverty
alleviation in Brgy. Maticdum, Tandag City” in money Management. In terms of the
indicator in savings, “microfinance helps you save a start-up capital”. As the highest
weighted mean 4.47 with adjectival rating of greatly extent. However, indicator
“microfinance helps you to save to stabilize income flows”. As the lowest weighted
mean of 4.41 with adjectival rating of mostly extend in terms of debt management. As a
total mean of 4.43 with adjectival rating of greatly extent.
Moreover, the researcher has found out that “The impact of microfinance on
poverty alleviation in Brgy. Maticdum, Tandag City” in money Management. In terms of
the indicator in savings, “microfinance helps you in investing entrepreneurs to start the
bisiness”. As the highest weighted mean 4.69 with adjectival rating of greatly extent.
However, indicator microfinance helps you in investing small loans and insurance for
low income people who are economically active. As the lowest weighted mean of 4.31
with adjectival rating of mostly extend in terms of debt management. As a total mean of
4.47 with adjectival rating of greatly extent.
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In addition, the researchers have found that “The impact of microfinance on
poverty alleviation in Brgy. Maticdum, Tandag City” in money Management. In terms of
the indicator in savings, “microfinance helps you in investing entrepreneurs to start the
bisiness”. As the highest weighted mean 4.69 with adjectival rating of greatly extent.
However, indicator “microfinance helps you in investing small loans and insurance for
low income people who are economically active”. As the lowest weighted mean of 4.31
with adjectival rating of mostly extend in terms of debt management. As a total mean of
4.47 with adjectival rating of greatly exextent.
The researchers have found out that “The impact of microfinance on poverty
alleviation in Brgy. Maticdum, Tandag City” in economic status. In terms of the indicator
in health, “microfinance helps you offering health package to low income and informal
sectors”. As the highest weighted mean 4.67 with adjectival rating of greatly extent.
However, indicator Microfinance helps you to reduce poverty- driven healthcare cost. As
the lowest weighted mean of 3.37 with adjectival rating of mostly extend in terms of
health. As a total mean of 4.49 with adjectival rating of greatly extent.
The researchers have also found out “The impact of microfinance on poverty
in food and shelter, microfinance helps you to contribute food and shelter insecurity. As
the highest weighted mean 4.49 with adjectival rating of greatly extent. However,
indicator microfinance helps you to improve security status of the poor people. As the
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lowest weighted mean of 4.31 with adjectival rating of mostly extend in terms of food
and shelter. As a total mean of 4.44 with adjectival rating of greatly extent.
Furthermore, the researchers have found “The impact of microfinance on poverty
in education, microfinance helps you in build assets to finance school fees. As the
highest weighted mean 4.53 with adjectival rating of greatly extent. However, indicator
microfinance helps you in delivering access to education. As the lowest weighted mean
of 4.35 with adjectival rating of mostly extend in terms of education. As a total mean of
4.44 with adjectival rating of greatly exextent
The researchers have found out that there is no significant relationship between
the impact of microfinance on poverty alleviation in Brgy. Maticdum tandag city. which
are the savings, Data management, investment in terms of money management and
Health in terms of economic status; as such the null hypothesis is acaccepted
The intervention program to be proposed is a Seminar workshop.
Conclusion
The researchers therefore concluded that impact of microfinance on poverty
alleviation in Brgy,Maticdum Tandag City, implies that it is very much important
between Budgeting, savings, data management and investment in terms of money
management.
The researcher therefore concluded that the extent of Budgeting interms of money
management implies that Microfinance helps to acord budget to the respondents to
insure funds for low-income borrowers.

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The researchers also conclude that only budgeting has a significant relationship
on the extent of profile respondent and the impact of microfinance to the poverty
alleviation as to money management because it has a negative results for the the
computed R.
The researcher concluded that Seminar workshop is the intervention program to
strengthen the knowledge of the respondents in terms of Budgeting as to money
management.
Recommendations
Based on the findings and conclusions, the researchers come up with the
following recommendations:
The researchers highly recommend that the microfinance businesses must
improve their management practices particularly in providing different financial
services . For a better fit between the money borrowers and the microfinance
organization
The researchers also highly recommended that the Microfinance services support
the small community on the improvement of conducting and implementing seminars
workshop on financial services to the borrowers. They should have a wide knowledge in
handling their customers for them to have a good impact in the microfinance
organization.
The researchers also recommend to the management microfinance institutions to
conduct seminar workshop on money management as to budgeting.
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Udaibir, (2010) Managing Public Debt and Its Financial Stability. IMF Working
Paper No. 04/101 (Washington: International Monetary
Fund).Implications,https://www.elibrary.imf.org/view/journals/001/2010/280/
article-A001-en.xml
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SURVEY QUESTIONNAIRE
THE IMPACT MICROFINANCE ON POVERTY ALLEVIATION IN MATICDUM
TANDAG CITY
Part 1. Profile of the Respondent
Name:( Optional) __________________________
Age: Gender:
1. 18-25 years old 1. Male
2. 26-33 years old 2. Female
3. 34-41 years old
4. 42 and above
Educational Attainment: Civil Status:
1. Elementary Level 1. Single
2. Elementary Graduate 2. Married
3. High School Level 3. Widow/Widower
4. High School Graduate 4. Separated
5. College Level
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6. College Graduate
7. Term/Vocational Course
Occupation: Monthly Income:
1. Student 1. ₱5,000 and below
2. Self- Employed 2. ₱5,001-10,000
3. Private sector employee 3. ₱10,001-20,000
4. Government employee 4. ₱20,001 and above
5. Unemployed
Microfinance Services Availed:
1. Savings
2. Loans
3. Insurance
4. Others, please specify
______________________
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Part -2. DIRECTION: You are required to rate your level of agreement of the following
statement. There are five levels of agreements.
Rating Interpretation
5 Greatly Extent means that the items has impact all the time
4 Mostly Extent means that the item has impact most of the time
3 Moderately Extent means that item has neither impact nor no impact
2 Neutral Extent means that item has impact sometimes
1 Not Extent at All means that the item has no impact
B.1 The impact of microfinance on poverty alleviation in Maticdum, Tandag City
terms of Money Management
Statement 5 4 3 2 1
Budgeting
Microfinance helps you to allocate
budget on daily needs / Gitabangan
ka sa microfinance sa paggahin ug
badyet sa adlaw-adlaw nga
panginahanglanon
Microfinance helps you to accord

budget to the institutions to insure
funds for low-income borrowers /
Ang Microfinance nagtabang kanimo
sa paghatag ug badyet sa mga
institusyon aron masiguro ang mga
pondo alang sa mga nangutang nga
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ubos ang kita

Microfinance helps you to meet your
daily budget / Gitabangan ka sa
microfinance nga maabot ang imong
inadlaw nga badyet
Microfinance helps you to devote
budget in starting a business / Ang
Microfinance makatabang kanimo
sa paggahin ug badyet sa pagsugod
sa usa ka negosyo
Microfinance helps you to appoint
budget to your student / Ang
Microfinance makatabang kanimo
sa pagtudlo sa badyet sa imong
estudyante
Debt Management
Microfinance helps you in paying
your debts on time / Ang
microfinance makatabang kanimo
sa pagbayad sa imong mga utang
sa tukmang panahon.
Microfinance helps you in reducing
your debts / Ang microfinance
makatabang kanimo sa
pagpakunhod sa imong mga utang
Microfinance helps you in access to
credit / Ang microfinance
makatabang kanimo sa pag-access
sa kredito
Microfinance helps you to save your
debt to alleviate poverty / Ang
sa pagtipig sa imong utang aron
mahupay ang kakabos
Microfinance helps you to control
budgeting and finance your bank
debt / Ang microfinance
makatabang kanimo sa pagkontrolar
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sa pagbadyet ug paggasto sa imong

utang sa bangko
Savings
Microfinance helps you save for
children’s education / Ang
sa pagtigum alang sa edukasyon sa
mga bata
health/ Ang microfinance
makatabang kanimo sa pagtigum
alang sa kahimsog
Microfinance helps you save a start-
up capital / Gitabangan ka sa
microfinance nga makatipig usa ka
kapital sa pagsugod
Microfinance helps you save to
stabilize income flows / Gitabangan
ka sa microfinance nga makatipig
aron ma-stabilize ang mga dagan sa
kita
future needs / Ang microfinance
makatabang kanimo sa pagtigum
alang sa umaabot nga mga
panginahanglan
Investing
Microfinance helps you in investing
businesses and save for your future
needs / Gitabangan ka sa
Microfinance sa pagpamuhunan sa
mga negosyo ug pagtipig alang sa
imong umaabot nga mga
panginahanglanon
small businesses to help diversify
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economies / Gitabangan ka sa
gagmay nga mga negosyo aron
matabangan ang pag-diversify sa
mga ekonomiya
small loans and insurance for low
income people who are
economically active / Gitabangan ka
sa Microfinance sa pagpamuhunan
sa gagmay nga mga pautang ug
paniguro para sa mga tawo nga
mubu ang kita nga aktibo sa
ekonomiya
operate savings account without any
average minimum balance
requirement / Gitabangan ka sa
pag-operate sa savings account nga
wala’y bisan unsang average nga
kinahanglanon nga minimum nga
balanse
entrepreneurs to start the business /
Ang microfinance makatabang
kanimo sa pagpamuhunan sa mga
negosyante aron magsugod sa
negosyo
B.2 The impact of microfinance on poverty alleviation in Maticdum, Tandag City in

terms of Economic Growth
Statement 5 4 3 2 1
Health
Microfinance helps you in supporting
a healthcare agenda. / Ang
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microfinance makatabang kanimo sa

pagsuporta sa usa ka agenda sa
pag-atiman sa panglawas.
Microfinance helps you to reduce
poverty- driven healthcare cost /
Gitabangan ka sa microfinance nga
makunhuran ang gasto sa pag-
atiman sa kahimsog tungod sa
kakabus
Microfinance helps you to organized
and manage alternate healthcare
financing scheme / Ang Microfinance
nagtabang kanimo sa pag-organisar
ug pagdumala sa alternatibong
pamaagi sa pagpondo sa pag-atiman
sa panglawas
Microfinance helps you offering
health package to low income and
informal sectors / Gitabangan ka sa
Microfinance sa pagtanyag sa pakete
sa kahimsog sa ubos nga kita ug dili
pormal nga sektor
Microfinance helps you by bringing
health services and products closer
to a group of the population in
Barangay Maticdum / Gitabangan ka
sa Microfinance pinaagi sa
pagpaduol sa mga serbisyo ug
produkto sa kahimsog sa usa ka
grupo sa populasyon sa Barangay
Maticdum
Food and Shelter
Microfinance helps you by providing
enough food and shelter to the poor /
Gitabangan ka sa microfinance
pinaagi sa paghatag ug igong
pagkaon ug puy-anan sa mga kabus
Microfinance helps you to contribute
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food and shelter insecurity /

Gitabangan ka sa microfinance nga
makatampo sa kawalay kasiguruhan
sa pagkaon ug puy-anan
Microfinance helps you to build your
own business to provide your needs
in food and shelter / Ang
Microfinance nagtabang kanimo sa
pagtukod sa imong kaugalingon nga
negosyo aron mahatagan ang imong
mga panginahanglanon sa pagkaon
ug puy-anan
Microfinance helps you to improve
security status of the poor people /
kanimo sa pagpauswag sa
kahimtang sa seguridad sa mga
kabus nga katawhan
Microfinance helps you to allocate
budget to provide your shelter
security status / Gitabangan ka sa
Microfinance sa paggahin ug badyet
aron mahatagan ang kahimtang sa
seguridad sa imong kapuy-an
Education
Microfinance helps you in delivering
access to education / Gitabangan ka
sa microfinance sa paghatag ug
akses sa edukasyon
Microfinance helps you in build
assets to finance school fees /
Gitabangan ka sa Microfinance sa
pagtukod og mga kabtangan aron
ma-finance ang bayad sa eskuylahan
Microfinance helps you r children’s
education by providing immediate
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funds/ Ang Microfinance nagtabang

kanimo sa edukasyon sa mga bata
pinaagi sa paghatag dayon nga
pondo
Microfinance helps you by giving
ample to your children’s education /
kanimo pinaagi sa paghatag ug igo
sa edukasyon sa imong mga anak
Microfinance helps you in economic
status in your children’s academic
performance / Ang microfinance
makatabang kanimo sa kahimtang sa
ekonomiya sa akademikong
pasundayag sa imong mga anak
Thank you very much for your patience, support and sparing your precious time.
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LETTERS
October 19, 2022
Dr. Ermie Lux L. Matildo

Dean
College of Business and Management
NEMSU
Ma’am:
Greetings of peace.
As a partial requirement for the Degree of Bachelor of Science in Business

Administration, major in Financial Management, the undersigned third year students of this
university are officially enrolled in BAC7 (Business Research), 2 nd Semester, A.Y. 2022-2023.
We will be conducting a study entitled : “THE IMPACT MICROFINANCE ON
POVERTY ALLEVIATION IN BRGY. MATICDUM TANDAG CITY”.
In this regard, may we ask your good office to give us permission to conduct our study
outside the university. Rest assured that proper health protocols will be observed and strictly
follow.
Your favorable action in this request will be greatly appreciated.
Respectfully yours,
PONLAON, ANTHONY L. LOZADA, JOLIEMAR DELOTA,KIER

Researcher Researcher Researcher
CORVERA, CREZEL JANE PALMA, FE

Researcher Researcher
Noted by:
MELISA T. ROLUNA ,MBA

Research Adviser
Recommended by:
JENNILYN C. DOLORIEL, MBA ROVILYN K. DAGONDON, DBA, DM

BSBA Program Coordinator Department Chair, DBMG
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Approved by:
DR. ERMIE LUX L. MATILDO

Dean
College of Business and Management
October 19, 2022
PARENTAL CONSENT
I/We, the undersigned, willfully and voluntarily give consent on the participation of my child
______________________ in the conduct of their research survey on __________ at
__________________ as a requirement for the course BAC7 (Business Research) to be held
outside the University.
I/We considered the benefits that my child will obtain from his/her participation. My child
is also obliged to strictly follow all health protocols required and that NEMSU employees and
personnel may not be held responsible for any untoward incident that may happen during the
survey.
Respectfully yours,
______________________________________
(Signature over Printed Name of Parent/s/Date)
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October 19, 2022
Mrs. Shiela May Y. Perez

Brgy. Captain
Maticdum, Tandag City
Ma’am,
Greetings of peace.
As a partial requirement for the Degree of Bachelor of Science in Business

Administration, major in Financial Management, the undersigned third year students of this
university are officially enrolled in BAC7 (Business Research), 2 nd Semester, A.Y. 2022-2023.
We will be conducting a study entitled : “THE IMPACT MICROFINANCE ON
POVERTY ALLEVIATION IN BRGY. MATICDUM TANDAG CITY”.
In this regard, may we asked your permission to conduct this study to individuals involve
in different microfinance services. Rest assured that proper health protocols will be observed
and strictly follow.
Your favorable action in this request will be greatly appreciated.
Respectfully yours,


Noted by:

Research Adviser
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Approved by:
Mrs. Shiela May Y. Perez

Brgy. Captain
Maticdum Tandag City
October 18, 2022
Dear Respondent:
As a partial requirement for the Degree of Bachelor of Science in Business Administration,

major in Financial Management, the undersigned third year students of this university are
officially enrolled in BAC7 (Business Research), 2nd Semester, A.Y. 2022-2023. We will be
conducting a study entitled: “THE IMPACT MICROFINANCE ON POVERTY
ALLEVIATION IN BRGY. MATICDUM TANDAG CITY”.
In connection to this, the researchers would like to ask your cooperation to religiously answer
the questionnaire; rest assured that your answer will be taken into confidentially.
Thank you and God bless you!
Respectfully yours,


Noted by:

Research Adviser
Approved:
________________________
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Respondent
APPENDIX B
CURRICULUM VITAE
EDUCATIONAL BACKGROUND:
TERTIARY : North Eastern Mindanao State University (NEMSU) Rosario,
Tandag City Surigao Del Sur.
SECONDARY: Jacinto P. Elpa National High School
PRIMARY : Meliton M. Ajos Memorial Elementary Schools
PERSONAL DETAILS:
FULL NAME : Anthony L. Ponlaon
BIRTH-DATE : November 14, 1996
PLACE OF BIRTH: Maticdum Tandag City
SEX : Male
CIVIL STATUS : Single
AGE : 26
ADDRESS : Prk. River Side, Maticdum Tandag City
RELEGION : Roman Catholic
PARENTS : Elsie L. Ponlaon
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INTEREST SKILLS:
• Ability to work independently or as part of a team

• Experienced in supervising work personnel and subordinates.
• Keen and enthusiastic.
• Good communication and presentation skills.
EDUCATIONAL BACKGROUND
TERTIARY: North Eastern Mindanao State University (NEMSU) Rosario,
SECONDARY: Purisima National High School
PRIMARY: Tawagan Cagwait, Surigao Del Sur
PERSONAL DETAILS:
FULL NAME: Kier M. Delota
BIRTH-DATE: March 25,2000
PLACE OF BIRTH: Tawagan Cagwait, Surigao Del Sur.
SEX: MALE
CIVIL STATUS: SINGLE
AGE: 22
ADDRESS: Purok 1, Tawagan Cagwait, Surigao Del Sur
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RELEGION: Roman catholic

PARENTS: Eulalia M. Delota
INTEREST SKILLS: Cooking and Hardworking
Tandag City Surigao del sur
SECONDARY: Saint Augustine High School (SAHS)
PRIMARY: San Agustin Central Elementary School (SACES PERSONAL DETAILS:
FULL NAME: Crezeljane G Corvera
BIRTH-DATE: December 2,1995
PLACE OF BIRTH:Poblacion San Agustin SURIGAO del sur
SEX : female
CIVIL STATUS: single
AGE: 26
ADDRESS: lasuerte 2 Dagocdoc tandag city
RELEGION: catholic
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PARENTS: Danilo Garay Corvera and zosima Galis Corvera

INTEREST SKILLS: Dancing,Cooking
SECONDARY: Clarence ty Pimentel National High School
PRIMARY: Sumo-Sumo Elementary school
PERSONAL DETAILS:
FULL NAME: Joliemar Lozada
BIRTH-DATE: August 23, 1998
PLACE OF BIRTH: Sumo-Sumo Tago Surigao Del sur.
SEX: Male
CIVIL STATUS: Married
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AGE: 24
ADDRESS: Purok Consolancion Brgy. Sumo-Sumo Tago Surigao Del Sur
RELEGION: Roman Cathoic
PARENTS: Joselito M. Lozada
INTEREST SKILLS: music and reading
SECONDARY: Mahayag National High School
PRIMARY: Castillo Elementary School
PERSONAL DETAILS:
FULL NAME: Fe Labaso Palma
BIRTH-DATE: December 24,1998
PLACE OF BIRTH: Purok -3, Castillo San Miguel Surigao Del Sur
SEX: FEMALE
CIVIL STATUS: SINGLE
AGE: 23
ADDRESS: Purok 3- Castillo San Miguel Surigao Del Sur
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RELEGION: Christian
PARENTS: Cristina L. Palma
INTEREST SKILLS: Hardworking , Interpersonal Skills
69

The Problem and Its Setting: North Eastern Mindanao State University

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Republic of the Philippines

North Eastern Mindanao State University

THE PROBLEM AND ITS SETTING

Due to poverty, Brgy.Maticdum of Tandag City Surigaodel Sur , tend to lend

received with enthusiasm by governments, foundations, community development

groups, non-governmental organizations and even for-profit private firms. The

This study recognized the impact of microfinance to unemployed people, lack of

researchers must conducted a study to reduce poverty applying efficient micro-finance

poverty and also those people living in remote areas.

less fortunate people.

According to Abdulai and Shamshiry The theory of Cumulative and Cyclical

community resources as mutually dependent, with faltering economy, for example,

2020). He continues to explain that inadequate employment leads to inadequate income

causing inadequate spending, consumption, and savings. This presupposes that

leading to lack of opportunities in the community.

Figure 1 shows the conceptual framework illustrating the variables involved in

variables were manipulated to determine or interpret the value of the dependent

variable on the next box.

perception of respondents on the impact microfinance to poverty alleviation in

Demographic profile of The impact of

2.1 Money Management

1.3 Civil status 2.1.2 Debt

1.7 Micro finance service 2.2 Economic Status

availled 2.2.1 Health

2.2.2 Food and

Figure 1. Schematic Diagram of the Study

Statement of the Problem

1. What is the demographic profile of the respondents in terms of:

2.1 Money Management

impact of microfinance to the poverty alleviation.

Significance of the Study

financing obtained from microfinance institutions.

success of their organization.

Future Researchers. This study can be utilized as a source or reference in

conducting future researches.

Scope and Limitation of the Study

This study is intended to determine the impact of microfinance on poverty

reflected in this study.

Budgeting. The process of creating a plan to spend your money.

they have seemingly gotten out of control

Economic Status. A way of describing people based on hierarchically ordered

Financial services. encompasses arrange of services involving the investment,

lending, savings and management of money and other assets.

employment and income opportunities, and increased availability of wage goods,

thereby reducing poverty by raising mean income and consumption.

Microfinance. Provide services to low-income household to establish their

income and save for future needs.

Money Management. Refers to the process of tracking planning and individual

or group use of capital.

people currently living in poverty

for the income earned over a given time.

Unemployment. A state when a person is in a situation of not having a job that

REVIEW OF RELATED LITERATURE AND STUDY

Microfinance is currently considered one of the most important tools for

international development and poverty alleviation. Despite numerous empirical inquiries,

microfinance at promoting women's empowerment and alleviating poverty. (P. Mader,

Microfinance initiatives can indirectly support education by providing families with

counterparts. (Reinsch, M., 2020).

Furthermore, (Farveen, 2019) in micro finance literature, the term,,sustainability

leads to contribute their smooth income generating activities.

The relationship between financial development and poverty alleviation - a

other international financial institutions in recent years. (P.Holden, Prokopenko Vassili