ISSN (Print) - 0012-9976 | ISSN (Online) - 2349-8846

Thankom ArunSubscribe to Thankom Arun

What's Wrong and Right with Microfinance

Recent events in south Asia have led to an unexpected reversal in the narrative of microfinance, long presented as a development success. Despite charges of poor treatment of clients, exaggeration of the impact on the poorest as well as the risks of credit bubbles, the sector can play a non-negligible role in reaching financial services to low-income households. In regulating the sector, there is need for caution in setting interest rate ceilings on micro-loans and for greater openness to micro-savings products.
Back to Top