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In this paper, a power control strategy is proposed for a low-voltage microgrid, where the mainly resistive line impedance, the unequal impedance among distributed generation (DG) units, and the microgrid load locations make the conventional frequency and voltage droop method unpractical. The proposed power control strategy contains a virtual inductor at the interfacing inverter output and an accurate power control and sharing algorithm with consideration of both impedance voltage drop effect and DG local load effect. Specifically, the virtual inductance can effectively prevent the coupling between the real and reactive powers by introducing a predominantly inductive impedance even in a low-voltage network with resistive line impedances. On the other hand, based on the predominantly inductive impedance, the proposed accurate reactive power sharing algorithm functions by estimating the impedance voltage drops and significantly improves the reactive power control and sharing accuracy. Finally, considering the different locations of loads in a multibus microgrid, the reactive power control accuracy is further improved by employing an online estimated reactive power offset to compensate the effects of DG local load power demands. The proposed power control strategy has been tested in simulation and experimentally on a low-voltage microgrid prototype.