Some preliminary but troubling evidence on group credits in microfinance programmes
Group lending programs are said to be the key factor of success of microÂ…nance. They are said to reduce information asymmetries in credit contracts and to increase repayment rates. Despite that, in recent years more and more individual credits without collateral are given, even if there is no mutual monitoring of the borrowers. We use basic descriptive statistics on individual- and group panel data, which we construct out of a World Bank data set. We provide Â…rst evidence that individuals that are not participating in group credits accumulate wealth more quickly than participants of group credit programs.
|Date of creation:||07 Dec 2010|
|Date of revision:||07 Dec 2010|
|Contact details of provider:|| Postal: +49 6131 39-22223|
Phone: +49 6131 39-22223
Web page: http://wiwi.uni-mainz.de/index.html
More information through EDIRC
When requesting a correction, please mention this item's handle: RePEc:jgu:wpaper:1101. See general information about how to correct material in RePEc.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Research Unit IPP)
If references are entirely missing, you can add them using this form.