Micro-finance Competition with Motivated MFIs

• Main Authors: GUHA, Brishti, ROY CHOWDHURY, Prabal
• Format: text
• Language: English
• Published: Institutional Knowledge at Singapore Management University 2012
• Subjects: Micro-finance competition; motivated MFIs; inequality; borrower targeting; technology; Finance
• Online Access: https://ink.library.smu.edu.sg/soe_research/1327; https://ink.library.smu.edu.sg/context/soe_research/article/2326/viewcontent/MicrofinancecompetitionwithmotivatedMFIs.pdf
• Institution: Singapore Management University

In this paper we examine the effect of increased MFI competition, focusing on its implications for borrower targeting, both in the presence and the absence of double-dipping. In the absence of competition we find that the loans are more likely to go to relatively richer borrowers whenever inequality...