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

Regulating Microfinance Institutions

Recent events in India have brought a fresh focus on the appropriate regulatory stance towards microfinance. This paper analyses the puzzles of financial regulation in this field from first principles and argues that mainstream mechanisms of consumer protection and micro-prudential regulation need to be modified. From this perspective, it suggests regulatory strategies that need to be adopted for dealing with microcredit and financial distribution that focus on the poor. This conceptual framework also helps analyse two policy responses, viz, the Malegam Report and the draft Microfinance Bill, 2011.



Subscribers please login to access full text of the article.

New 3 Month Subscription
to Digital Archives at

649for India

$20for overseas users

Get instant access to the complete EPW archives

Subscribe now

Comments

(-) Hide

EPW looks forward to your comments. Please note that comments are moderated as per our comments policy. They may take some time to appear. A comment, if suitable, may be selected for publication in the Letters pages of EPW.

Back to Top