Microfinance Services Nexus Urban Youth Empowerment: The Case of South West Oromia Region Ethiopia

Abstract

This study was conducted to assess the empowerment of youth micro finance beneficiaries; and to examine factors affecting youth empowerment through micro finance in the study area. A survey was conducted including 130 sampled respondents supplemented by information gathered through key informant interviews (KIIs), focus group discussions (FGDs). Data were analyzed through empowerment index, ordered logit model and descriptive statistics. The findings indicated in aggregate term, youth participation in micro finance program has resulted in increased empowerment index. Moreover, the result of ordered logit model analysis showed that, sex, educational status, social participation, size of business, kind of business, achievement motivation and self -esteem were found to be determinants of youth empowerment.