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Microfinance and households access to credit: Evidence from Côte d’Ivoire

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  • Togba, Edith Leadaut
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    Abstract

    Evidence on microfinance services these days ironically shows a great preference for savings products rather than credit products by households. For some authors, this phenomenon is explained by the fact that microfinance products, and especially loans, from formal microfinance institutions do not fit the households demand. This paper first presents evidence on the observed phenomenon in the Ivorian microfinance sector. Second, it analyses the Ivorian credit market so as to understand the determinants of the choice for credits from formal sources versus informal sources. The results reveal the size of the loan, agricultural purpose, the geographical area where households live and ethnicity as factors influencing the choice for formal sources.

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    Bibliographic Info

    Article provided by Elsevier in its journal Structural Change and Economic Dynamics.

    Volume (Year): 23 (2012)
    Issue (Month): 4 ()
    Pages: 473-486

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    Handle: RePEc:eee:streco:v:23:y:2012:i:4:p:473-486

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    Web page: http://www.elsevier.com/locate/inca/525148

    Related research

    Keywords: Microfinance; Social capital; Access to credit; Heckman two steps;

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