In a situation where grants are being cut down, forcing microfinance institutes to emphasize on profits and growth, this study looks at the impact of women’s ownership of microfinance loans on their empowerment. A survey was carried out using 600 women from microfinance households in Kurunegala District. The empirical investigation reveals that obtaining the loan increased women’s control over their projects, and through that, had a significant and positive impact on the levels of empowerment.   It also increased women’s economic power and involved them in major family decision processes.

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