Abstract: “Microcredit is a powerful tool which contributes significantly for alleviating poverty and improving living standard for sustainable development of the rural women. In Bangladesh several government and nongovernment organizations are engaged in proving microcredit facilities. This study aims to compare the government and nongovernment organizations microcredit interventions have more impact on the expenditure pattern to improve the living standards of respondent. A total 172 rural women borrowers were interviewed based on structured questionnaire. The study reviled that although the income level of the borrowers of both the organization is same, but the Government organization’s borrowers are spending more on various sectors of household expenditure to improve the living standard. The microcredit programs can be made more effective by charging a reasonable interest rate and by adjusting the microcredit policy.”

Keywords: Microcredit, Expenditure Pattern, Rural Women Borrowers, BRAC, BRDB.