Found 5 article(s) for author 'Microfinance'

What happens when investments targeting women’s microbusinesses go to men?

What happens when investments targeting women’s microbusinesses go to men? Rohini Pande, May 2, 2018, Paper, “Several studies find that male-operated – but not female-operated – microenterprises benefit from access to grants or loans. But these analyses overlook that female entrepreneurs often reside with a male business owner. Using data from randomized trials in India, Sri Lanka and Ghana, this paper finds that household-level income gains are equivalent regardless of the grant or loan recipient’s gender. Low average returns of female-run enterprises reflects the fact that women’s capital is typically invested into their husband’s enterprise.Link

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Doing Bad by Doing Good? Theft and Abuse by Lenders in the Microfinance Markets of Uganda

Doing Bad by Doing Good? Theft and Abuse by Lenders in the Microfinance Markets of Uganda. Catherine Duggan, June 2016, Paper. “Microcredit transactions in developing countries create risks for borrowers that are routinely overlooked in the literature. This paper argues that common microfinance-lending methodologies that allow lenders to collateralize loans and unilaterally collect this security create opportunities for malicious lenders to steal from clients in good standing. In places where any lender can simply call itself a “microfinance institution” (MFI), opportunistic lenders can use the halo effect associated with microfinance to encourage borrowers to make themselves unusually vulnerable to theft. Evidence of these abuses can be seen in a case study of Uganda, where theft and fraud by a small number of microfinance institutions created a large-scale crisis and contributed to a precipitous decline in trust in the financial sector as a whole.Link

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Microfinance: Points of Promise

Microfinance: Points of Promise. Rohini Pande. September 29, 2014. Paper. “A majority of the world’s impoverished lack adequate access to financial services.Typically, formal banks do not target the poor because lending without collateral is considered too risky. Poor households seeking credit are subsequently forced into informal markets where the prices are high, the quantities limited, and the methods of insuring repayment can be brutal…” Link

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The Promise of Microfinance and Women’s Empowerment: What Does the Evidence Say?

The Promise of Microfinance and Women’s Empowerment: What Does the Evidence Say? Dina Pomeranz, February 2014, Paper. “The microfinance revolution has transformed access to financial services for low-income populations worldwide. As a result, it has become one of the most talked-about innovations in global development in recent decades. However, its expansion has not been without controversy. While many hailed it as a way to end world poverty and promote female empowerment, others condemned it as a disaster for the poor…” Link

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Liability Structure in Small-Scale Finance: Evidence from a Natural Experiment

Liability Structure in Small-Scale Finance: Evidence from a Natural Experiment. Shawn Cole, September 2013, Paper. “Microfinance, the provision of small individual and business loans, has experienced dramatic growth, reaching over 150 million borrowers worldwide. Much of the success of microfinance has been attributed to attempts to overcome the challenges of information asymmetries in uncollateralized lending. However, very little is known about the optimal contract structure of these loans, and there is substantial variation across lenders, even within a particular setting. This paper exploits…” May require purchase or user account. Link verified August 21, 2014

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