The Role of Punjab Rural Support Programme in Poverty Reduction: A Case Study of District Muzaffargarh (Pakistan)

Abstract

In Pakistan, people with low incomes usually acquire loans from informal sources. Lack of income and resources force them to take loans to meet the necessities of life, and the hurdle of collateral leaves them at the mercy of the informal avenues. Pakistan's unique position as a poor country with few visible signs of poverty. This study examined whether PRSP (Punjab Rural Support Programme) improved household welfare and developed businesses, as perceived by borrowers from PRSP. In this research, the researcher selected a sample of 160 respondents with the help of simple random sampling techniques. A well-planned Questionnaire was utilized as a tool for data collection. The relationship of variables and statistical analysis was done through SPSS Software. The results have shown that PRSP has an impact on improvement in the social and financial situation of people experiencing poverty, and it’s a significant cause in the reduction of poverty. Moreover, it has been capable of increasing self-employment in Muzaffargarh. These loans lead to the development of small entrepreneurship. In the end, the researcher concluded that PRSP performs a better role regarding poverty alleviation through the different types of initiatives taken in the selected localities of District Muzaffargarh, Punjab, Pakistan.