Hosts: Vancouver, British Columbia, Canada June 16-18,
|
|
- Norman Chase
- 5 years ago
- Views:
Transcription
1 Hosts: Vancouver, British Columbia, Canada June 16-18,
2 How flexible repayment schedules affect credit risk in microfinance Ron Weber 1,2, Oliver Musshoff 1, and Martin Petrick 3 1 Department of Agricultural Economics and Rural Development Georg-August Universität Göttingen, Germany 2 Independent Evaluation Department KfW Development Bank, Frankfurt, Germany 3 Department for Agricultural Policy Leibniz Institute of Agricultural Development in Central and Eastern Europe (IAMO), Halle (Saale), Germany 17 June 2013
3 Outline 1. Background 2. Objectives 3. Econometric Model 4. Hypotheses 5. Data 6. Results 7. Conclusions and Outlook 2
4 1. Background Financial Sector Development in Developing Countries Credit rationing of micro, small, and medium enterprises (MSMEs) led to (agricultural) development bank approach in 1970s and 1980s (old paradigm) Directed lending and interest subsidies inefficient, unsustainable Reluctance of commercial banks to lend to agricultural firms Inadequacy of the old paradigm (Adams & Graham, 1981) New paradigm: Foundation of Micro Finance Institutions (MFIs) Special credit technology for MSMEs (Krahnen & Schmidt, 1994; Maurer, 2011) Intense client assessments, including verification of enterprise and household information (Armendáriz & Morduch, 2010) 3
5 1. Background Microfinance Fixed interest rates (volume rationing vs. risk adjusted interest rates), repayment starting immediately after disbursement Consumer lending with corporate character MFI focus on (urban) MSMEs with continuous returns Standardized products, high repayment rates, growing market High repayment rates mainly attributed to product standardization (Armendáriz & Morduch, 2000) Outreach to rural areas still low (Llanto, 2007; Pellegrina, 2011) Agricultural MSME specifically affected by credit rationing (Reyes & Lensink, 2011) 4
6 1. Background Agricultural Microfinance Production and weather risks affect profitability, cash-flow volatility (Binswanger & Rosenzweig, 1986) Seasonality: mismatches between expenditures and revenues (Binswanger & Rosenzweig, 1986) affects debt obligations Standardized microfinance loans (standard loans) only adequate for agricultural MSME with continuous returns (Weber & Musshoff, 2013) Credit rationing of MSME (Beck et al., 2003; Diagne et al., 2000; Foltz, 2004; Simtowe et al., 2008) due to low product variability Stipulation of special microfinance loans for agriculture (Jain & Mansuri, 2003; Llanto, 2007; Pellegrina, 2011) 5
7 1. Background Agricultural Microfinance (cont.) Introduction of agricultural microfinance loans (flex loans) by MFIs (e.g. Azerbaijan, India, Madagascar) Flex loans for seasonal agricultural producers (crop cycle, flexibility through grace periods) Better credit access due to flex loans (Weber & Musshoff, 2013) Ambivalent experimental results (RCT) for repayment flexibility and credit risk (Czura et al., 2011; Field et al., 2011; Field & Pande, 2008) NO empirical evidence for the effects of repayment flexibility on credit risk 6
8 2. Objectives Investigation how grace periods affect the number of loan installments missed by 1, 15 and 30 days when due (credit risk indicators) (1) Do grace periods increase the credit risk for MFIs? (2) Are there different effects for farmers and non-farmers? (3) Is the lending technology applied by the MFI adequate for farmers? 7
9 3. Econometric Model 8
10 4. Hypotheses H1 Farmer Standard : The credit risk of farmers with standard loans is not different from those of non-farmers with standard loans. H2 Farmer Flex : The credit risk of farmers with flex loans without grace periods is not different from those of non-farmers with standard loans. H3 Farmer Flex Grace Period : The credit risk of farmers with flex loans and grace periods is not different from those of non-farmers with standard loans. 9
11 5. Data Provided by Accès Banque Madagascar (Antananarivo) Commercial MFI, only individual loans for (in)formal MSMEs Flex loans for agricultural producers with seasonal production schemes offered since December 2010 Solely microloans, no SME loans are analyzed (different credit technology) Time period: November May 2012 Grace period option: standard loans, flex loans Grace period: each scheduled principal repayment <50% of the average principal Average principal: Equal loan installments based on an annuity calculation 10
12 5. Data Descriptive Statistics Variable 1 Unit 2 Standard Loan Flex Loan Farmer 3 Farmer 3 Non-Farmer Mean SD Mean SD Mean SD Delinquencies (PAR 1) number 1.18*** *** Delinquencies (PAR 15) number 0.11*** *** Delinquencies (PAR 30) number 0.07*** *** Household Income ThsMGA 1,945*** 2, *** 853 3,623 6,758 Household Expenses ThsMGA 1,633*** 2, *** 694 3,268 6,483 Disbursed Loan Amount ThsMGA 1,107*** 1, *** 788 1,166 1,974 Age years 40.61*** *** Marital Status (Married) 1/0 0.88*** *** Gender (Female) 1/0 0.52*** *** Family Members number 4.77*** *** Work Experience month 86.62*** *** Repeat Client 1/0 0.35*** *** Deposit 1/0 0.68*** *** Number of Observations, thereof number 3,113 2,221 88,651 with grace period s number ,505 1 PAR, Portfolio at risk; PAR 1, PAR 15, PAR 30 indicate the number of loan installments that were missed by 1, 15 and 30 days respectively when due. 2 ThsMGA, thousand Malagasy-Ariary. Mean values for dummy variables (1/0) indicate ratios. 3 Farmer Standard Loan, farmer with standard loan; Farmer Flex Loan, farmer with flex loan; Non-Farmer, non-farmer with standard loan; ***,**,* indicate a significant mean difference between farmers with standard loans and farmers with flex loans compared to non-farmers on a 1%, 5% and 10% level respectively. Comprises only primary agricultural producers, i.e., livestock, crop as well as fruit and vegetable producers. 11
13 6. Results Tobit Estimations (highly censored data, only 5% obs. with arrears) Variable 1 PAR_1 2 PAR_15 2 PAR_30 2 Farmer Standard (H1) Flex (H2) *** * Flex Grace Period (H3) Disbursed Loan Amount *** *** Disbursed Loan Amount Square -4.57e e-08 ** -2.18e-08 *** Age * Age Square *** * * Gender (Female) Marital Status (Married) *** *** *** Family Members *** Family Members Square *** Work Experience *** ** ** Work Experience Square *** Client has deposit with bank *** *** *** Repeat Client *** *** *** Constant *** *** Number of Observations, thereof 65,535 65,535 65,535 Consored at the threshold of zero 35,605 63,377 63,377 Log-Likelihood Value -102, , , (pseudo) R-square Estimation results for the other client groups listed in equation (1), the vector of branch offices, and year dummies are not provided here. 2 Indicates the number of loan installments that were missed by > 1, >15 and >30 days respectively when due;. ***,**,* indicates significance on 1%, 5% and 10% level respectively; reference group: non-farmers with standard loans and without grace periods. 12
14 7. Conclusions and Outlook H1 Farmer Standard : accepted Farmers with standard loans have indifferent credit risk Standard loans adequate for farmers with continuous returns H2 Farmer Flex : rejected Flex loans (without grace periods) have different credit risk Agro-lending technology no lone-standing option H3 Farmer Flex Grace Period : accepted Flex loans with grace period with indifferent credit risk Flexibility seems key attribute of agricultural lending 13
15 7. Conclusions and Outlook Do grace periods increase the credit risk for MFIs? It depends. Are there different effects for farmers and non-farmers? Yes! Is the lending technology applied for farmers adequate? Not yet! Limitations: Only 1.5 years flex loan experience by the bank. Grace period decision effective? Reasons for grace periods for non-farmers? Further research: In-depth analysis of agricultural portfolio. Effects of adverse weather shocks on the repayment behavior of farmers with seasonal production types. 14
16 Thanks for listening! 15
17 References Armendáriz de Aghion, B. and Morduch, J. (2000), Microfinance beyond group lending, Economics of Transition, Vol. 8 No. 2, pp Armendáriz, B., and J. Morduch. The economics of microfinance. The MIT Press, Cambridge Adams D. W., and D. H. Graham. A critique of traditional agricultural credit projects and policies. Journal of Development Economics 8 (1981): Beck, T., A. Demirgüc-Kunt, L. Laeven, and V. Maksimovic. The determinants of financing obstacles. Journal of International Money and Finance 25(2006): Binswanger, H.P., and Mark R. Rosenzweig. Behavioural and material determinants of production relations in agriculture. Journal of Development Studies 22(1986): Diagne, A., M. Zeller, and M. Sharma. Empirical measurements of households access to credit and credit constraints in developing countries: methodological issues and evidence. FCND Discussion Paper 90. International Food Policy Research Institute, Washington Foltz, J.D. Credit market access and profitability in Tunisian agriculture. Agricultural Economics 30(2004): Structural Change in Agriculture (SiAg) Seminar, Halle (Saale) 16
18 References International Finance Corporation (IFC). Scaling-up SME access to financial services in the developing world. Financial Inclusion Experts Group, October Jain, S., and G. Mansuri. A little at a time: the use of regularly scheduled repayments in microfinance programs. Journal of Development Economics 72(2003): Krahnen, J. P., and R. H. Schmidt. Development finance as institution building. A new approach to poverty-oriented banking. Westview Press, Boulder Llanto, G.M. Overcoming obstacles to agricultural microfinance: looking at broader issues. Asian Journal of Agriculture and Development 4(2007): Maurer, K. Mobilising capital for the poor How does structured finance fit in emerging markets?. In: Köhn, D. (Ed.) Mobilizing capital for emerging markets - What can structured finance contribute?. Berlin-Heidelberg Pellegrina, L.D., Microfinance and investment: a comparison with bank and informal lending. World Development 39(2011): Reyes, A., and R. Lensink. The credit constraints of market-oriented farmers in Chile. Journal of Development Studies 47(2011): Simtowe, F., A. Diagne, and M. Zeller. Who is credit constrained? Evidence from rural Malawi. Agricultural Finance Review 68(2008): Structural Change in Agriculture (SiAg) Seminar, Halle (Saale) 17
19 References Weber, R., and O. Musshoff. Is agricultural microcredit really more risky? Evidence from Tanzania. Agricultural Finance Review 72(2012): Weber, R., and O. Musshoff. Can flexible microfinance loans improve credit access for farmers?. Agricultural Finance Review 73(2013) (forthcoming). Structural Change in Agriculture (SiAg) Seminar, Halle (Saale) 18
Microfinance Beyond the Standard? Evaluating Adequacy and Performance of Agricultural Microcredit *
CHAPTER 7 Microfinance Beyond the Standard? Evaluating Adequacy and Performance of Agricultural Microcredit * Ron Weber ** Abstract Microfinance was successful in increasing access to credit for micro,
More informationThe potential of index based weather insurance to mitigate credit risk in agricultural microfinance
The potential of index based weather insurance to mitigate credit risk in agricultural microfinance Niels Pelka & Oliver Musshoff Department for Agricultural Economics and Rural Development Georg-August-Universitaet
More informationMicrofinance for agricultural firms - What can we learn from bank data?
Microfinance for agricultural firms - What can we learn from bank data? Ron Weber 1 and Oliver Musshoff 2 1,2 Department for Agricultural Economics and Rural Development, Georg-August-Universitaet Goettingen
More informationDoes weather matter? How rainfall shocks affect credit risk in agricultural microfinance
Does weather matter? How rainfall shocks affect credit risk in agricultural microfinance By Niels Pelka 1, Ron Weber 1,2, and Oliver Musshoff 1 1 Department for Agricultural Economics and Rural Development,
More informationThe Sustainability and Outreach of Microfinance Institutions
The Sustainability and Outreach of Microfinance Institutions Jaehun Sim and Vittaldas V. Prabhu The Harold and Inge Marcus Department of Industrial and Manufacturing Engineering, 310 Leonhard Building,
More informationInternational Journal of Economics and Finance Vol.1, Issue 2, 2013 EFFECT OF COMPETITION ON THE LOAN PERFORMANCE OF DEPOSIT
EFFECT OF COMPETITION ON THE LOAN PERFORMANCE OF DEPOSIT TAKING MICROFINANCE INSTITUTIONS IN KENYA: A CASE OF NAIROBI REGION Mercy Anne Wanjiru Mwangi Student, Jomo Kenyatta University of Agriculture and
More informationMicrofinance Structure of Thailand *
Chinese Business Review, ISSN 1537-1506 December 2013, Vol. 12, No. 12, 807-813 D DAVID PUBLISHING Microfinance Structure of Thailand * Ravipan Saleepon Srinakarinwirot University, Bangkok, Thailand This
More informationDoes Participation in Microfinance Programs Improve Household Incomes: Empirical Evidence From Makueni District, Kenya.
AAAE Conference proceedings (2007) 405-410 Does Participation in Microfinance Programs Improve Household Incomes: Empirical Evidence From Makueni District, Kenya. Joy M Kiiru, John Mburu, Klaus Flohberg
More informationWhat Type of Microfinance Institutions Supply Savings Products?
What Type of Microfinance Institutions Supply Savings Products? Anastasia Cozarenco, Marek Hudon and Ariane Szafarz Recent evidence shows that the poor desperately need access to savings products. But
More informationRepayment Frequency and Default in Micro-Finance: Evidence from India
Repayment Frequency and Default in Micro-Finance: Evidence from India Erica Field and Rohini Pande Abstract In stark contrast to bank debt contracts, most micro-finance contracts require that repayments
More informationFinance Constraints and Firm Transition in the Informal Sector: Evidence from Indian Manufacturing Rajesh Raj S.N. CMDR, Dharwad, India
Finance Constraints and Firm Transition in the Informal Sector: Evidence from Indian Manufacturing Rajesh Raj S.N. CMDR, Dharwad, India Kunal Sen IDPM, University of Manchester, UK e-mail: Kunal.Sen@manchester.ac.uk
More informationFormal Conditions that Affect Agricultural Credit Supply to Small-scale Farmers in Rural Kenya: Case Study for Kiambu County
International Journal of Sciences: Basic and Applied Research (IJSBAR) ISSN 2307-4531 (Print & Online) http://gssrr.org/index.php?journal=journalofbasicandapplied ---------------------------------------------------------------------------------------------------------------------------
More informationAN ASSESSMENT OF MICROFINANCE AS A TOOL FOR POVERTY REDUCTION AND SOCIAL CAPITAL FORMATION: EVIDENCE ON NIGERIA 1
AN ASSESSMENT OF MICROFINANCE AS A TOOL FOR POVERTY REDUCTION AND SOCIAL CAPITAL FORMATION: EVIDENCE ON NIGERIA 1 Dr. Ben E. Aigbokhan 2 Ambrose Alli University, Nigeria E-mail: baigbokhan@yahoo.com Abel
More informationPublic Disclosure Authorized. Public Disclosure Authorized. Public Disclosure Authorized. Public Disclosure Authorized
69052 Tajikistan Agriculture Sector: Policy Note 3 Demand and Supply for Rural Finance Improving Access to Rural Finance The Asian Development Bank has conservatively estimated the capital investment needs
More informationTo Profit or not to Profit? A multilevel analysis of Microfinance institutions financial outcomes
To Profit or not to Profit? A multilevel analysis of Microfinance institutions financial outcomes RODRIGO DE OLIVEIRA LEITE Escola Brasileira de Administração Pública e de Empresas - FGV LUIZ CLAUDIO FERREIRA
More informationBanking and Microfinance, Banking and Microfinance Exercises
GEST-D-602 Banking and Microfinance, Banking and Microfinance Exercises 1st semester EMP 2012-13 Prof. Laurent WEILL, Prof. Annabel VANROOSE Arnaud GILLIN Planning Date Time Lecturer Guest speaker Place
More informationDemand, Segmentation and Rationing in the Rural Credit Markets of Puri RANJULA BALI SWAIN
Demand, Segmentation and Rationing in the Rural Credit Markets of Puri RANJULA BALI SWAIN INTRODUCTION AND SUMMARY Rural households in developing countries like India have volatile and low incomes. A majority
More informationBanking Madagascar s Small Farmers: ABM s Cash Flow-Based Agricultural Credit Analysis Methodology
Banking Madagascar s Small Farmers: ABM s Cash Flow-Based Agricultural Credit Analysis Methodology Paper written by: Friederike Moellers (Head of Credit at AccèsBanque Madagascar) A technology developed
More informationUniversity of Groningen
University of Groningen Does the group leader matter? The impact of monitoring activities and social ties of group leaders on the repayment performance of groupbased lending Eritrea Hermes, Cornelis; Lensink,
More informationMeasuring banking sector outreach
Financial Sector Indicators Note: 7 Part of a series illustrating how the (FSDI) project enhances the assessment of financial sectors by expanding the measurement dimensions beyond size to cover access,
More informationConditions and Perspectives of financial lending in Macedonian Agriculture and rural Development
MPRA Munich Personal RePEc Archive Conditions and Perspectives of financial lending in Macedonian Agriculture and rural Development Marija Gjosheva-Kovachevikj and Goran Kovachev and Hristijan Risteski
More informationEvaluation of Microfinance Institutions in Ethiopia from the Perspective of Sustainability and Outreach
erd Research article Evaluation of Microfinance Institutions in Ethiopia from the Perspective of Sustainability and Outreach FRAOL LEMMA BALCHA* Tokyo University of Agriculture, Tokyo, Japan Email: fraolgel@gmail.com
More informationDeterminants of Loan Repayment: Evidence from Group Owned Micro and Small Enterprises, Tigray, Northern Ethiopia
Determinants of Loan Repayment: Evidence from Group Owned Micro and Small Enterprises, Tigray, Northern Ethiopia Yitbarek Kiros Department of Management, College of Business and Economics, JigJiga University
More informationThe Concept of Life Cycle and Sustainability of Microfinance Institutions Literature Review
The Concept of Life Cycle and Sustainability of Microfinance Institutions Literature Review Jared Massele 1* Xu Fengju 2 1. School of Management, Wuhan University of Technology, Mafangshan, West Campus
More informationBringing the Poor into the Export Process: Is Access to Finance the Trigger?
Bringing the Poor into the Export Process: Is Access to Finance the Trigger? A paper contributed by the EPRP Team and Vincent Akue BRINGING THE POOR INTO THE EXPORT PROCESS: IS ACCESS TO FINANCE THE TRIGGER?
More informationCOMMENTS ON: BECK, DEMIRGÜÇ-KUNT & LEVINE, FINANCE, INEQUALITY AND THE POOR
POLICY OPTIONS AND CHALLENGES FOR DEVELOPING ASIA PERSPECTIVES FROM THE IMF AND ASIA APRIL 19-20, 2007 TOKYO COMMENTS ON: BECK, DEMIRGÜÇ-KUNT & LEVINE, FINANCE, INEQUALITY AND THE POOR NOBUHIKO FUWA CHIBA
More information9. Assessing the impact of the credit guarantee fund for SMEs in the field of agriculture - The case of Hungary
Lengyel I. Vas Zs. (eds) 2016: Economics and Management of Global Value Chains. University of Szeged, Doctoral School in Economics, Szeged, pp. 143 154. 9. Assessing the impact of the credit guarantee
More informationEBRD JORDAN MSME FRAMEWORK INCREASING MSMES ACCESS TO FINANCE IN JORDAN WHAT
EBRD JORDAN MSME FRAMEWORK INCREASING MSMES ACCESS TO FINANCE IN JORDAN WHAT THE MARKET SAYS? MR. MERT DEDEBAS 10 MARCH,2016 AMMAN -JORDAN WHY SME BANKING? Risk Management Profitability WHY SME BANKING?
More informationFinance and Poverty: Evidence from India. Meghana Ayyagari Thorsten Beck Mohammad Hoseini
Finance and Poverty: Evidence from India Meghana Ayyagari Thorsten Beck Mohammad Hoseini Motivation Large literature on positive effect of finance and growth Distributional repercussions of financial deepening?
More informationEx Post-Evaluation Brief Democratic Republic of the Congo: ProCredit Bank Congo (Fiduciary Holding)
Ex Post-Evaluation Brief Democratic Republic of the Congo: ProCredit Bank Congo (Fiduciary Holding) Programme/Client ProCredit Bank Congo (Fiduciary Holding) 2005 65 911 Programme executing agency ProCredit
More informationEvaluating the Performance of Albanian Savings and Credit (ASC) Union
European Journal of Sustainable Development (2013), 2, 4, 109-118 ISSN: 2239-5938 Evaluating the Performance of Albanian Savings and Credit (ASC) Union Jonida Bou Dib (Lekocaj) 1*, Eralda Shore * and Mariana
More informationMicrofinance Sector and Sme Financial Suport in Albania
Microfinance Sector and Sme Financial Suport in Albania Alma Delija Agricultural University of Tirana, Albania Abstract The creation of the microfinance sector and its functioning in Albania has played
More informationMicrofinance at the margin: Experimental evidence from Bosnia í Herzegovina
Microfinance at the margin: Experimental evidence from Bosnia í Herzegovina Britta Augsburg (IFS), Ralph De Haas (EBRD), Heike Hamgart (EBRD) and Costas Meghir (Yale, UCL & IFS) London, 3ie seminar, 25
More informationTHE EFFECT OF FINANCIAL POLICY REFORM ON POVERTY REDUCTION
JOURNAL OF ECONOMIC DEVELOPMENT 85 Volume 43, Number 4, December 2018 THE EFFECT OF FINANCIAL POLICY REFORM ON POVERTY REDUCTION National University of Lao PDR, Laos The paper estimates the effects of
More informationAccess to Retirement Savings and its Effects on Labor Supply Decisions
Access to Retirement Savings and its Effects on Labor Supply Decisions Yan Lau Reed College May 2015 IZA / RIETI Workshop Motivation My Question: How are labor supply decisions affected by access of Retirement
More informationQUARTERLY PERFORMANCE REPORT OF THE MICROFINANCE SECTOR. as at 31 March 2017 ZAMFI CREDIT ONLY MFI MEMBERS
Zimbabwe Association of Microfinance Institutions creating sustainable microfinance QUARTERLY PERFORMANCE REPORT OF THE MICROFINANCE SECTOR as at 31 March 2017 ZAMFI CREDIT ONLY MFI MEMBERS 1 PERFORMANCE
More informationProCredit bank. The Financing of Mini Biogas Power Plants
ProCredit bank The Financing of Mini Biogas Power Plants 1 German capital 100% 100% German capital, The only German bank in Serbia German business standards shareholder of the bank is ProCredit Holding,
More informationFLEXIBILITY IN MICROFINANCE LOAN CONTRACTS
FLEXIBILITY IN MICROFINANCE LOAN CONTRACTS Research Brief for Practitioners and Policymakers December 2018 By Asmita Chatterjee & Devarchan Banerjee Microfinance institutions typically offer group loan
More informationIMPACT OF MICRO FINANCE ON POVERTY ALLEVIATION
Journal of Management (JOM) Volume 5, Issue 4, July August 2018, pp. 278 286, Article ID: JOM_05_04_029 Available online at http://www.iaeme.com/jom/issues.asp?jtype=jom&vtype=5&itype=4 Journal Impact
More informationLIST OF TABLES Census wise Sex Ratio in India 100
LIST OF TABLES 1. 1.1 Progress of Microfinance as on 31 st March 2009. 05 2. 2.1 3. 2.2 Share of rural household debt by source of credit, All India, 1951-1991 Advances to Agriculture and Other Priority
More informationMICROFINANCE PERCEPTION A STUDY WITH SPECIAL REFERENCE TO SALALAH, SULTANATE OF OMAN
49 ABSTRACT MICROFINANCE PERCEPTION A STUDY WITH SPECIAL REFERENCE TO SALALAH, SULTANATE OF OMAN DR. M. KRISHNA MURTHY*; S.VARALAKSHMI** *Salalah College of Technology, Department of Business Studies,
More information2. Efficiency of a Financial Institution
1. Introduction Microcredit fosters small scale entrepreneurship through simple access to credit by disbursing small loans to the poor, using non-traditional loan configurations such as collateral substitutes,
More informationHousehold Use of Financial Services
Household Use of Financial Services Edward Al-Hussainy, Thorsten Beck, Asli Demirguc-Kunt, and Bilal Zia First draft: September 2007 This draft: February 2008 Abstract: JEL Codes: Key Words: Financial
More informationTransaction costs in group microcredit in India Savita Shankar Institute for Financial Management and Research, Chennai, India
The current issue and full text archive of this journal is available at www.emeraldinsight.com/0025-1747.htm Transaction costs in group microcredit in India Savita Shankar Institute for Financial Management
More informationRole of Financial Institutions in Promoting Microfinance through SHG Bank Linkage Programme in India
Volume 10 Issue 4, October 2017 Role of Financial Institutions in Promoting Microfinance through Bank Linkage Programme in India Dr. Manpreet Arora Assistant Professor Department of Accounting and Finance
More informationAnalysis of Efficiency of Microfinance Providers in Rural Areas of Maharashtra
IOSR Journal of Economics and Finance (IOSR-JEF) e-issn: 2321-5933, p-issn: 2321-5925. PP 37-41 www.iosrjournals.org Analysis of Efficiency of Microfinance Providers in Rural Areas of Maharashtra Ms. Mrinal
More informationFinancing Small Scale Irrigation in Sub-Sahara. Sahara Africa. Key Results from the Kenya Case Study. Wolfgang Hannover Washington DC, 1 March 2007
Financing Small Scale Irrigation in Sub-Sahara Sahara Africa Key Results from the Kenya Case Study Wolfgang Hannover Washington DC, 1 March 2007 Picture: KickStart - Kenya 1 Outline of the Presentation
More informationUnderstanding Rural Finance Issues and the Macro and Micro Operating Environment. Module 2 Rural Finance & Microfinance Actors and approaches
Understanding Rural Finance Issues and the Macro and Micro Operating Environment Module 2 Rural Finance & Microfinance Actors and approaches Rural and Agricultural Finance Module 2 Agenda Block 1 Introductions
More information1BSUOFST GPS %FWFMPQNFOU T "QQSPBDI UP.JDSPöOBODF
1BSUOFST GPS %FWFMPQNFOU T "QQSPBDI UP.JDSPöOBODF %FDFNCFS Partners for Development gggͷ`trͷ_bv Table of Contents Introduction... 2 Why PfD Supports Microcredit... 2 How PfD Supports Microcredit... 2 Partner
More informationMacroeconomic determinants of agricultural preferential investment credit in Poland
1 Macroeconomic determinants of agricultural preferential investment credit in Poland Alina Danilowska Warsaw University of Life Science, Department of Economics and Economic Policy, Warsaw, Poland Abstract-
More informationALES Agricultual Loan Evaluation System
ALES Agricultual Loan Evaluation System AgriFin Webinar Credit Scoring for Agriculture Lending 19 February 2013 F r a n k f u r t S c h o o l. d e Frankfurt School of Finance & Management - A new type
More informationFinance Constraints and Firm Transition in the Informal Sector: Evidence from Indian Manufacturing
Finance Constraints and Firm Transition in the Informal Sector: Evidence from Indian Manufacturing Rajesh Raj S.N. CMDR, Dharwad, India Kunal Sen IDPM, University of Manchester, UK e-mail: Kunal.Sen@manchester.ac.uk
More informationDeterminants of Access to Credit and Loan Amount: Household-level Evidence from Urban Ethiopia
Western Michigan University ScholarWorks at WMU International Conference on African Development Archives Center for African Development Policy Research 7-2003 Determinants of Access to Credit and Loan
More informationAccess to Credit and Women Entrepreneurship: Evidence from Bangladesh. M. Jahangir Alam Chowdhury University of Dhaka.
Access to Credit and Women ntrepreneurship: vidence from Bangladesh Dhaka, Bangladesh 1 Outline Introduction Research Question Methodology Results Conclusion 2 Introduction Access to capital has been recognized
More informationMICROFINANCE IN INDIA: OVERALL GROWTH OF SHGS & MFIS ( )
Volume 6, Issue 1 (January, 2017) Online ISSN-2277-1166 Published by: Abhinav Publication Abhinav National Monthly Refereed Journal of Research in MICROFINANCE IN INDIA: OVERALL GROWTH OF SHGS & MFIS (2015-16)
More informationTransaction Costs in Group Microcredit in India
Transaction Costs in Group Microcredit in India Savita Shankar Institute for Financial Management and Research, Chennai. India Email: savita@ifmr.ac.in Transaction Costs in Group Microcredit in India Existing
More informationGUIDELINES FOR EVALUATION OF NON- GOVERNMENTAL ORGANIZATIONS ENGAGED IN MICROCREDIT ACTIVITIES
GUIDELINES FOR EVALUATION OF NON- GOVERNMENTAL ORGANIZATIONS ENGAGED IN MICROCREDIT ACTIVITIES The Technical Audit Unit of the Ministry of Finance has the duty of inspecting, appraising quality of performance,
More informationSocio-Economic Determinants of Savings in Cooperatives by Farmers of Selected Agricultural Group Lending Schemes in Anambra State, Nigeria
ISSN: 2276-7770 Impact Factor 2012 (UJRI): 0.7904 ICV 2012: 6.15 Socio-Economic Determinants of Savings in Cooperatives by Farmers of Selected Agricultural Group Lending Schemes in Anambra State, Nigeria
More informationArmenia Benchmarking Report 2004
Benchmarking Report 2004 Vahe Dalyan (MEDI), Matt Graham (MIX), February 2006 Background 1 has faced several shocks in recent decades. A 1988 earthquake devastated one third of the country, leaving hundreds
More informationAsian Economic and Financial Review
Asian Economic and Financial Review journal homepage: http://aessweb.com/journal-detail.php?id=5002 APPLICATION OF PROBIT ANALYSIS TO FACTORS AFFECTING SMALL SCALE ENTERPRISES DECISION TO TAKE CREDIT:
More informationMEASURING THE OUTREACH PERFORMANCE OF INTEREST-FREE MICROFINANCE: A THEORETICAL FRAMEWORK
Volume 5, Issue 4 (April, 2016) Online ISSN-2320-0073 Published by: Abhinav Publication Abhinav International Monthly Refereed Journal of Research in MEASURING THE PERFORMANCE OF INTEREST-FREE MICROFINANCE:
More informationOPERATION EVALUATION SUMMARY. Micro, Small & Medium Sized Enterprise Framework. ab0cd. Western Balkans. March 2012 EBRD EVALUATION DEPARTMENT
OPERATION EVALUATION SUMMARY Micro, Small & Medium Sized Enterprise Framework Western Balkans EBRD EVALUATION DEPARTMENT ab0cd This is a summary of one of 13 Operation Evaluations that was scheduled for
More informationMICROFINANCE INSTITUTIONS MOVING INTO RURAL FINANCE FOR AGRICULTURE
314 AGRICULTURE INVESTMENT NOTE MICROFINANCE INSTITUTIONS MOVING INTO RURAL FINANCE FOR AGRICULTURE Microfinance institutions (MFIs) have tended to avoid less densely populated or diversified rural areas,
More informationA Model of Microfinance With Adverse Selection, Loan
A Model of Microfinance With Adverse Selection, Loan Default, and Self-Financing 1 by Amitrajeet A. Batabyal 2 and Hamid Beladi 3 1 We thank the Editor, Calum G. Turvey, two anonymous referees, and session
More informationRepayment Flexibility in Microfinance Contracts: Theory and Experimental Evidence on Take-Up and Selection
Repayment Flexibility in Microfinance Contracts: Theory and Experimental Evidence on Take-Up and Selection Giorgia Barboni Julis-Rabinowitz Centre for Public Policy and Finance, Princeton University March
More informationASLI DEMIRGUC-KUNT. Senior Research Manager, Finance and Private Sector Development, World Bank, September present.
The World Bank 1818 H. St. MC 3-445 Washington D.C. 20433 Phone: (202) 473-7479 Fax: (202) 522-1155 E-mail: Ademirguckunt@WorldBank.org ASLI DEMIRGUC-KUNT Educational background: Ph.D. in Economics, Ohio
More informationRELATIONSHIP BETWEEN BUSINESS S CHARACTERISTIC TOWARDS LOAN REPAYMENT PERFORMANCE OF SME S CONSTRUCTION SECTOR IN KELANTAN
RELATIONSHIP BETWEEN BUSINESS S CHARACTERISTIC TOWARDS LOAN REPAYMENT PERFORMANCE OF SME S CONSTRUCTION SECTOR IN KELANTAN ZAMINOR Z.Z., NOR HAFIZA O., NOR ASMA A, ZATUL KARAMAH A.B.U., AZILA J., NURUL
More informationWhy Do Firms Evade Taxes? The Role of Information Sharing and Financial Sector Outreach The Journal of Finance. Thorsten Beck Chen Lin Yue Ma
Why Do Firms Evade Taxes? The Role of Information Sharing and Financial Sector Outreach The Journal of Finance Thorsten Beck Chen Lin Yue Ma Motivation Financial deepening is pro-growth This literature
More informationCredit Markets in Africa
Credit Markets in Africa Craig McIntosh, UCSD African Credit Markets Are highly segmented Often feature vibrant competitive microfinance markets for urban small-trading. However, MF loans often structured
More informationA Quasi-experimental Study of a Discontinued Insurance Product in Haiti
A Quasi-experimental Study of a Discontinued Insurance Product in Haiti Emily Breza, Dan Osgood, Aaron Baum (Columbia University) Carine Roenen (Fonkoze) Benedique Paul (State University of Haiti) BASIS
More informationUDC /.64:[658.14:336.71(497.7)
UDC 334.722.012.63/.64:[658.14:336.71(497.7) EVALUATION OF SMES FINANCING IN MACEDONIA FROM THE SUPPLY SIDE PERSPECTIVE Efimija Dimovska, FON University - Skopje Faculty of Economics efimija@gmail.com
More informationImproving Access to Banking: Evidence from Kenya. F. Allen, E. Carletti, R. Cull, J. Qian, L. Senbet, and P. Valenzuela April, 2013
Improving Access to Banking: Evidence from Kenya F. Allen, E. Carletti, R. Cull, J. Qian, L. Senbet, and P. Valenzuela April, 2013 Motivation Sub-Saharan African countries have undergone extensive economic/financial
More informationPriority Sector Lending: Trends, Issues and Strategies
24 Priority Sector Lending: Trends, Issues and Strategies Shilpa Rani, Research Scholar, Kurukshetra University, Kurukshetra Diksha Garg, Research Scholar, Kurukshetra University, Kurukshetra ABSTRACT
More informationMicrofinance in Vanuatu:
Asia Pacific School of Economics and Management UPDATE PAPERS June 2000 Vanuatu Microfinance in Vanuatu: institutions and policy Paul B. McGuire Foundation for Development Cooperation Paper presented at
More informationPrices or Knowledge? What drives demand for financial services in emerging markets?
Prices or Knowledge? What drives demand for financial services in emerging markets? Shawn Cole (Harvard), Thomas Sampson (Harvard), and Bilal Zia (World Bank) CeRP September 2009 Motivation Access to financial
More informationThe Impact of Socioeconomic Factors and Financial Access on Microfinance Institutions
The Impact of Socioeconomic Factors and Financial Access on Microfinance Institutions Moh d Al-Azzam Associate Professor of Economics School of Business Administration, American University in Dubai P.O.
More informationThe Real Impact of Improved Access to Finance: Evidence from Mexico
The Real Impact of Improved Access to Finance: Evidence from Mexico Miriam Bruhn Inessa Love GFDR Seminar February 14, 2012 Research Questions Does expanding access to finance to previously unbanked, low-income
More informationOnline Appendix for Does mobile money affect saving behavior? Evidence from a developing country Journal of African Economies
Online Appendix for Does mobile money affect saving behavior? Evidence from a developing country Journal of African Economies Serge Ky, Clovis Rugemintwari and Alain Sauviat In this document we report
More informationUniversity of Hawai`i at Mānoa Department of Economics Working Paper Series
University of Hawai`i at Mānoa Department of Economics Working Paper Series Saunders Hall 542, 2424 Maile Way, Honolulu, HI 96822 Phone: (808) 956-8496 www.economics.hawaii.edu Working Paper No. 16-18
More informationOutline. Why a national financial inclusion strategy? Why digital? Where we want to go targets. Where we are now context.
National Financial Inclusion Strategy: Strategic Considerations Outline Why a national financial inclusion strategy? Why digital? Where we want to go targets Where we are now context Key thrusts Exploring
More informationRwanda Targeting 80 Per Cent Financial Inclusion in 2017
59 Rwanda Targeting 80 Per Cent Financial Inclusion in 2017 Rugazura Ephraim, Ph.D Scholar, Department of Rural Management, Annamalai University, Annamalainagar ABSTRACT Background: In order to achieve
More informationPotency and The Role of Credit Union in Poverty Alleviation Through Perspective Rural Economic Development
Potency and The Role of Credit Union in Poverty Alleviation Through Perspective Rural Economic Development Izzati Amperaningrum Faculty of Economic Gunadarma University izzati@staff.gunadarma.ac.id Mohammad
More informationRecent Developments In Microfinance. Robert Lensink
Recent Developments In Microfinance Robert Lensink Myth 1: MF is about providing loans. Most attention to credit. Credit: Addresses credit constraints However, microfinance is the provision of diverse
More informationResponsible Consumer Lending
Responsible Consumer Lending Daniel Rozas Briefing Note 08/2013 Responsible Consumer Lending Daniel Rozas Early pioneers of the microfinance movement touted it as a vehicle to promote entrepreneurship
More informationGender, Investment Financing and Credit Constraints
Gender, Investment Financing and Credit Constraints Ines Pelger and Dr. Silke Englmaier, February 2012 - first draft - Abstract This paper provides the first evidence on gender differences in investment
More informationThe State of the Evidence Base on WASH Microfinance. Tweet us your reflections and questions! #WASHEvidence
The State of the Evidence Base on WASH Microfinance Tweet us your reflections and questions! Water is the way To break the cycle of poverty To protect and save lives To make a bright future possible for
More information1. Overall State of Microfinance in South Asia i. Microfinance Highlights ii. Sustainability and Portfolio at Risk...
SAFiNews State of Financial Inclusion in South Asia A bi-annual update on the latest microfinance trends in South Asian. Issue II: January June 2015 South Asia icro-entrepreneurs Network (SAN) Content
More informationdouble-clicking on the box) next to the appropriate response and specify if Other ].
FinAccess Business Supply-side Questionnaire Name of the bank: Bank s activity: Commercial, Investment, Corporate, Retail, Other. [Put an X (by double-clicking on the box) next to the appropriate response
More informationThe Sustainability and Outreach of Microfinance Institutions
The Sustainability and Outreach of Microfinance Institutions Jaehun Sim, Vittaldas Prabhu To cite this version: Jaehun Sim, Vittaldas Prabhu. The Sustainability and Outreach of Microfinance Institutions.
More informationBanking for the Poor: Evidence From India
University of Pennsylvania ScholarlyCommons Real Estate Papers Wharton Faculty Research 4-2005 Banking for the Poor: Evidence From India Robin Burgess Rohini Pande Grace Wong University of Pennsylvania
More informationAppendix B: Methodology and Finding of Statistical and Econometric Analysis of Enterprise Survey and Portfolio Data
Appendix B: Methodology and Finding of Statistical and Econometric Analysis of Enterprise Survey and Portfolio Data Part 1: SME Constraints, Financial Access, and Employment Growth Evidence from World
More informationWOMEN ENTREPRENEURS ACCESS TO MICROFINANCE BANK CREDIT IN IMO STATE, NIGERIA
WOMEN ENTREPRENEURS ACCESS TO MICROFINANCE BANK CREDIT IN IMO STATE, NIGERIA Eze, C.C 1., C.A. Emenyonu 1, A, Henri-Ukoha 1, I.O. Oshaji 1, O.B. Ibeagwa 1, C.Chikezie 1 and S.N. Chibundu 2 1 Department
More informationPerformance Analysis of Commercial Banks Providing Microfinance in Rural Areas of Maharashtra
Performance Analysis of Commercial Banks Providing Microfinance in Rural Areas of Maharashtra Ms. Mrinal Savyanavar, Dr. Pankaj Trivedi Assistant Professor, Bharati Vidyapeeth's Institute of Management
More informationThe Team. Brigitte Ryder. Bobby Madhav. Sipho Silinda. Lindi Makapela
1 The Team Bobby Madhav Sipho Silinda Brigitte Ryder Lindi Makapela 2 Can Microfinance / Credit be delivered in a sustainable manner to the poor from a South African perspective? 3 Content 1 2 3 4 5 6
More informationQUARTERLY PERFORMANCE REPORT OF THE MICROFINANCE SECTOR. As at 31 March 2018 ZAMFI CREDIT ONLY MFI MEMBERS
Zimbabwe Association of Microfinance Institutions creating sustainable microfinance QUARTERLY PERFORMANCE REPORT OF THE MICROFINANCE SECTOR As at 31 March 2018 ZAMFI CREDIT ONLY MFI MEMBERS 1 Below is
More informationMigration Responses to Household Income Shocks: Evidence from Kyrgyzstan
Migration Responses to Household Income Shocks: Evidence from Kyrgyzstan Katrina Kosec Senior Research Fellow International Food Policy Research Institute Development Strategy and Governance Division Joint
More informationAnalysis on Determinants of Micro-Credit Borrowings Rural SHG Women in North Coastal Andhra Pradesh
Analysis on Determinants of Micro-Credit Borrowings Rural SHG Women in North Coastal Andhra Pradesh M. Madhuri Dept. of Commerce and Management Studies, Andhra University, Visakhapatnam, Andhra Pradesh
More informationB.A. in Economics, Bosphorus University (formerly Robert College, Istanbul, Turkey), June 1983.
The World Bank 1818 H. St. MC 3-445 Washington D.C. 20433 Phone: (202) 473-7479 Fax: (202) 522-1155 E-mail: Ademirguckunt@WorldBank.org ASLI DEMIRGUC-KUNT Educational background: Ph.D. in Economics, Ohio
More informationFinancial Access to Micro and Small Enterprise Operators: The Case of Youth-Owned Firms in Ethiopia
Financial Access to Micro and Small Enterprise Operators: The Case of Youth-Owned Firms in Ethiopia Tassew Woldehanna 1 Abstract The government of Ethiopia has been providing financial access to micro
More informationInnovations for Agriculture
DIME Impact Evaluation Workshop Innovations for Agriculture 16-20 June 2014, Kigali, Rwanda Facilitating Savings for Agriculture: Field Experimental Evidence from Rural Malawi Lasse Brune University of
More information