This research report shows the effectiveness of micro finance strategy applied by micro finance institutions (MFIs) on the small and medium enterprises (SME). Firstly identify and determine contemporaneous situation of small businesses and microfinance market with different kinds of services are currently offered by the MFIs. Secondly analyze and investigate the current micro finance strategy with the supply leading and poverty lending approaches. Thirdly critically evaluate the challenges for micro finance and analyze the barriers with recommendations. This research result can apply not only for Bangladesh but also applicable for any other developing country for developing their economy by poverty alleviation. This research report can also be helpful for the new researcher for getting clear idea about microfinance industry.
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