Women make up a large section of informal businesses and microfinance very often involves self-employment in the informal sector (Armendariz and Murdoch, 2007). Moreover, it has been noted that women, being more credit constrained than men, are more likely to engage in microfmance programs and participate regularly in related training sessions and weekly meetings. They have also been viewed as more conservative in their investment strategy, more responsive to peer pressure for repayments, and therefore ultimately more responsible in repaying loans. Targeting loans to women also fosters their empowerment.