Design and Validation of a Model for Enhancing Women’s Participation in Rural Microcredit Funds

1. Introduction
Rural Women’s Participation Funds in Iran are important institutions that have provided small loans to rural women since 2006. Currently, more than 3,374 funds across different provinces, with over 10,000 members, provide financial services to rural women. These funds aim to establish women-centered social institutions, develop human resources, and strengthen social capital required for rural community development, while emphasizing members’ savings and credit activities. Achieving these development goals requires identifying and analyzing the factors influencing the growth and effectiveness of these funds. This process necessitates understanding the current status of rural women’s microcredit funds as well as the perspectives of both fund managers and members. Microcredit programs for rural women are considered essential instruments for improving livelihoods and supporting community development.According to World Bank reports, experiences from institutions working to improve women’s social, political, economic, and cultural status in rural areas indicate that, due to various social, cultural, and economic constraints, equitable participation of rural women in sustainable development processes has not yet been fully achieved. In Ardabil Province, women possess considerable potential and capabilities and, under appropriate conditions, can contribute effectively to the region’s economic, social, and cultural development. Over recent decades, women’s access to knowledge and technical information in economic fields has increased, which has enhanced their awareness and voluntary participation. In rural areas of Ardabil, women constitute nearly half of the rural population. Despite their significant role in rural production, greater efforts are needed to strengthen their sense of belonging and participation in community activities, including through the establishment of microcredit funds.The continued success of these funds can expand opportunities for rural women’s participation in broader social and economic spheres. Based on these considerations, the present study addresses the following questions: (1) What indicators influence the increase of women’s participation in rural microcredit funds with an emphasis on sustainable development? (2) What factors affect this participation? (3) What models can best explain these factors? and (4) How well does the proposed model fit and validate these relationships? Accordingly, the study proposes a model to explain and enhance women’s participation in rural microcredit funds with an emphasis on sustainable development.
 

Methodology

The present study aimed to design and validate a model for increasing women’s participation in rural microcredit funds with an emphasis on sustainable development. In terms of purpose, the research is applied, and in terms of data collection, it is descriptive in nature. Overall, the study adopted a mixed-method approach, combining descriptive-exploratory and survey methods through both qualitative and quantitative phases. In the first phase, a qualitative approach was employed using interviews within a three-round Delphi panel. The statistical population consisted of 20 university professors in management and managers from the General Department of Cooperatives, Labor, and Social Welfare of Ardabil Province. Due to the participants’ managerial responsibilities, interviews were conducted intermittently over several sessions. In the second phase, a quantitative survey method was used. The statistical population included 1,600 rural women who were members of microcredit funds in Ardabil Province. Based on Morgan’s table, 310 participants were selected as the sample population. The sample distribution included 62 participants from villages in Ardabil County, 41 from Meshgin Shahr, 46 from Garmi and Angut, 28 from Bileh Savar, 43 from Parsabad, Moghan, and Aslandoz, 25 from Namin, 23 from Nair and Sarein, and 42 from Kowsar and Khalkhal counties. Sampling in the qualitative phase was conducted purposively using theoretical and snowball sampling methods, while in the quantitative phase, convenience random sampling was applied. Data collection tools included in-depth semi-structured interviews in the qualitative phase and a researcher-made questionnaire based on a five-point Likert scale in the quantitative phase. The questionnaire items were developed and refined based on the indicators extracted from the qualitative findings regarding women’s participation in rural microcredit funds with an emphasis on sustainable development.
 

Findings

In this research and based on the presented theoretical framework, first, the main research question was proposed around women's participation in rural microcredit funds with an emphasis on sustainable development, and initial interviews were conducted with a number of experts to extract basic concepts. These concepts in the form of open codes were reviewed and evaluated several times and finally, after the necessary screenings, the final codes and concepts (53 concepts) were extracted. The fit indices show that the data of this research have a good fit with their factorial structure as well as the theoretical foundation of the research, and it indicates that the research questions are aligned with the theoretical structures considered for the research variables and the results of the research can be relied upon.
 

Discussion and Conclusion

This study investigated the model of increasing women’s participation in rural microcredit funds with an emphasis on sustainable development within an integrated framework. The coding process identified seven major factors affecting this model, including economic, cultural, educational, infrastructural, legal, systemic, and human dimensions, represented through 40 open codes. The findings of the structural model revealed that the cultural factor had the strongest influence on women’s participation, with a path coefficient of 0.881, which is consistent with the studies of Behrouze et al. (2018), Yazdan Panah et al. (2015), Ghorbani et al. (2015), Ahmadpour et al. (2013), Lensik et al. (2018), and Akhtar (2018). Within this factor, the indicator “localization of rural microcredit funds based on village conditions” had the highest factor loading (0.795). The legal factor ranked second with a path coefficient of 0.874, supporting the findings of Faraji Sabkbar et al. and Akhtar (2018), where “internal regulations and approvals of funds in line with sustainable development” was identified as the most influential indicator (0.810). The educational factor, with a path coefficient of 0.843, was the third most influential factor and aligned with the findings of Arabkhani et al., while “holding educational workshops to familiarize rural women with fund objectives” showed the highest loading (0.768). Infrastructure also played an important role, with a path coefficient of 0.799, consistent with Rezaei and Safa (2015), particularly through facilitating the integration of local funds under specialized mother funds. Human factors followed with a path coefficient of 0.798, in agreement with Rashim and Abdullah (2018), and the indicator “attracting and retaining human resources in the funds” demonstrated the highest loading (0.868). Systemic factors, with a path coefficient of 0.784, were also significant and aligned with the studies of Taj et al. (2016) and Akhtar (2018), especially through the participation of women’s affairs experts in periodic fund meetings (0.773). Finally, economic factors showed the lowest effect in the model, with a path coefficient of 0.760, although they remained significant and consistent with the findings of Saniz Fernandez et al. (2018), Farashi et al. (2015), and Qadiri Masoom and Ahmadi (2015), where “providing financial facilities and credit to rural women” had the greatest impact (0.842).