http://iaeme.com/Home/journal/IJM 610 editor@iaeme.com International Journal of Management (IJM) Volume 12, Issue 1, January 2021, pp. 610-619. Article ID: IJM_12_01_052 Available online at http://www.iaeme.com/ijm/issues.asp?JType=IJM&VType=12&IType=1 Journal Impact Factor (2020): 10.1471 (Calculated by GISI) www.jifactor.com ISSN Print: 0976-6502 and ISSN Online: 0976-6510 DOI: 10.34218/IJM.12.1.2021.052 © IAEME Publication Indexed Scopus MICROFINANCE AND SOCIO-ECONOMIC DEVELOPMENT OF POOR FAMILIES IN RURAL INDIA: AN EMPIRICAL INVESTIGATION Pirzada Sajad Ahmad Research Scholar, The Business School, University of Jammu, Assistant Professor, Department of Management Studies , Govt. Degree College Boys Sopore, Jammu and Kashmir, India Dr. Umesh Choudhary Assistant Professor, The Business School, Bhaderwah Campus, University of Jammu, University Road, Bhaderwah, Jammu and Kashmir, India ABSTRACT The objective of this study was to investigate the impact of microfinance on ultra poor in outcomes including, income, health, and schooling of children, food security, housing and women empowerment. A total of 204 respondents were selected randomly including microfinance beneficiaries (MB) and non-beneficiaries (NB). The collected data were analyzed through descriptive statistics using t-test. Findings revealed that, microfinance has positive impact on income, health and education of children. While as there was no significant impact on women empowerment, job creation, and housing of borrower. The major factors hindering poor access to credit were reported to be lack of information, high interest rate, attitude of officials and lack of collateral. The available evidence shows that microfinance programs and policies do well, as well as harm to the livelihoods of poor. Key words: Microfinance, health, poverty alleviation, India, Income, Women empowerment Cite this Article: Pirzada Sajad Ahmad and Umesh Choudhary, Microfinance and Socio-Economic Development of Poor Families in Rural India: An Empirical Investigation, 12(1), 2021, pp 610-619. International Journal of Management, http://www.iaeme.com/IJM/issues.asp?JType=IJM&VType=12&IType=1 1 INTRODUCTION . Microfinance has gained significant importance in recent decades both from policy makers and academicians. Access to microfinance not only assists the poor in earning income, but to get