Economic impact of development initiatives on low-income households in Kelantan, Malaysia

To improve the socio-economic condition of low-income households, underlying organizations offer a variety of products and services such as access to working capital and training programs. This study examined the impact of access to working capital and training programs on household income and economic vulnerability among participants of AIM, TEKUN, and LKIM in Kelantan, Malaysia. Adopting a cross-sectional design, data were collected randomly from 450 micro-entrepreneurs living in seven districts in Kelantan. The finding revealed that the total amount of economic loan received, length of the programs participation, and number of hours spent on training programs had a positive effect on household income in order to decrease the level of economic
vulnerability. The finding provided useful information for policies development that prioritizes poverty eradication among low-income households who were vulnerable to weak economic situation.