This paper explores the impacts of financial services for the poor on selected non-income dimensions of poverty -assets, vulnerability and risk. Examines a branch of Center for Agriculture and Rural Development (CARD) in San Pablo City, Philippines and looks at:
* Groups among the poor microfinance programs reach
* the nature of risks confronting poor clients;
* How financial services improve clients' capacity to manage, control, and build up assets as means for coping with or preparing for risks;
* How microfinance services enable clients to use assets to maintain a minimum economic threshold; and how the social intermediation process empower women clients.
Using focus group discussions (FGDs), in-depth interviews of a sample of program clients and program dropouts, and interviews and workshops with key program staff, the paper examines:
* The relationship among poverty, risk, vulnerability, and assets;
* The relationship between financial services, asset accumulation, and reduced vulnerability for the poor;
* How social intermediation combined with financial services contributes to reduced vulnerability and increased empowerment of women clients.
The findings reveal:
* That there are risks that are not as context specific but cut across areas, gender, and socio-economic strata;
* How financial services help the poor prepare for or cope with risks through better management and use of assets;
* Low risk nature of microenterprise activities.
