India is a developing country, who’s about 3.44 crore people are living in extreme population in 2024 against 4.69 crore in 2022. As a share of total population, number of people living in extreme poverty has come down to 2.4 per cent from 3.3 per cent in 2022. In 2010, the Oxford Poverty and Human Development submitted a paper stating that 421 million people live in poverty across eight states in India. The rural backward areas are where the poor population concentration is found. Most of these impoverished individuals are semi-employed or jobless, and they work in agriculture. In general, these individuals are free. Although it was once thought of as a tool for women’s empowerment and also to improve socio economic condition of rural poor people, microfinance is today recognized as a crucial tactic for ending poverty. The development of microfinance as a need-based policy aided in the program’s provision to socially marginalized populations, including women, the impoverished, those living in rural areas.  Microfinance was founded on the idea that by giving the impoverished access to credit and other forms of financial support, they would be able to grow and begin earning a living, therefore assisting in their transition out of poverty. The most powerful instrument for rural residents’ economic empowerment and a key component in the fight against poverty is microfinance. The paper attempts to analyze the impact of microfinance on socio economic profile of rural poor people of Amod subdivision (taluka) of Bharuch District.