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While working on the thesis, there are
some very important considerations that need to be taken into account:

·     
There is no one single
solution to global poverty.

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When it comes to poverty alleviation, microfinance goes hand in hand with a broad array of empowering interventions and various other social safety
measures. By studying microfinance in isolation, we might be subjecting our
research to reductionism.

·     
Although
microfinance is a vital component in poverty alleviation, there is a general
consensus among its proponents that it is not for everyone1.

Hence a clear distinction will be required between the target group and the
stakeholders in order have a representative sample of the population for field
study purposes.

·     
Even
within Pakistan, there are extreme cultural diversities, so the sampling will
need to be done carefully in order to make sure it is representative of the
entire population across different regions of Pakistan and to avoid selection
bias.

·     
There are some major
criticisms of microfinance and some deviant cases which contradict the basic
underlying assumption that microfinance plays a strong role in poverty
alleviation. Though these criticisms are valid, there is ample evidence
to show that the benefits of microfinance outweigh the costs, hence a careful analysis will be required in order to
include these factors in the thesis.

·     
Over the years, a series of scandals including
suicides among indebted borrowers in India has overshadowed how small loans can
help people pull themselves out of poverty. Hence the reasons for the failure
of microfinance in certain areas should also be kept in mind.

1 Khandeker
S R (2001) Does Microfinance benefit the poor?

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