Women’s microfinance participation and HIV literacy in Bangladesh: results from a nationally representative study

ABSTRACT

This study evaluated the association between microfinance participation and HIV literacy within a nationally representative sample of 3,614 married women aged 15–49 years from the Bangladesh Demographic and Health Survey, 2011. Using logistic regression, we assessed the relationship between microfinance participation and HIV literacy. Controlling for demographic factors such as wealth, age, and education, we found that microfinance participants were 30% more likely to be HIV literate, in comparison with women who did not participate in microfinance. These results suggest that microfinance is a cost-effective way to enhance HIV literacy for poor, less educated women in rural areas of Bangladesh.     

Why do financial inclusion policies fail in mobilizing savings from the poor? Lessons from rural south India

Combining multivariate and qualitative analyses, this micro‐level study suggests an explanation for the persistence of informal savings in rural south India despite publicly run large‐scale programmes to promote bank savings. Gold, in particular, but also Rotating Saving and Credit Associations (ROSCAs) and private lending, remain the dominant forms of savings. We argue that cultural norms and social institutions, such as social class and caste, shape the nature of savings, and also the propensity and opportunities to save. Gold serves multiple purposes, financial, economic, socio‐cultural and political. Furthermore, we find that the preference of Dalits (the lowest caste) for gold illustrates a relative emancipation, which contrasts with the persistence of caste‐related prohibitions preventing them investing in other assets, such as land.     

The microfinance promise—can it be kept? A macro perspective

After five decades of rapid expansion of microfinance worldwide, little is known about its aggregate effects and whether the “microfinance promise” of poverty reduction holds at the macro level. Challenging questions have arisen. Here we explore the dynamic response of microfinance on economic growth, financial deepening and income inequality. Countries are grouped into three broad clusters (stable, moderate and poor) based on macro‐institutional variables. Our results show that microfinance has a significant long‐term ability to affect the broader economy. However, the impact and dynamics of microfinance differ substantially across macro‐institutional environments. It grows in weaker environments, reaches its peak in developing economies, and then gradually “dies out” in more stable economies. While there is evidence of a positive impact of microfinance at the aggregate level, the response is different depending on whether countries are poor, moderately developed or economically stable. Once countries climb up the macro‐institutional “ladder,” microfinance can take a different shape and its relationship with other macroeconomic fundamentals can change. Our results indicate that microfinance has the strongest effect when the external environment is supportive and proactive; in weak environments, microfinance cannot grow sufficiently. Therefore, more attention should be given to supporting the socioeconomic dimensions of economies.     

农村小额信贷激励机制研究：进展、局限与启示

农村小额信贷的激励机制对促进农村小额信贷机构可持续发展发挥着重要影响。文章分别从团体贷款(自我选择、共同监督、强制还款)、动态激励(持续融资、利率激励)、周期还款、社会资本等方面系统分析农村小额信贷对于提高还款率的机理和作用,以期为中国农村小额信贷的可持续发展提供借鉴与启示。     

Staff characteristics and the exclusion of persons with disabilities: evidence from the microfinance industry in Uganda

This study uses survey data from the microfinance industry in Uganda to investigate whether there are differences among industry staff members in beliefs and views regarding persons with disabilities. For several of the questions, various staff sub-groups respond significantly differently. A recurring result is that staff members who have a relative with disabilities often express views that differ from the views of other staff members. Moreover, we find significant differences related to the age of the staff members. For instance, younger staff members are more positive and optimistic regarding the potential to reach more clients with disabilities. The employment position of the individual staff member also appears to be relevant: credit officers are relatively more likely (than other staff types) to indicate that discrimination could be a problem in the microfinance industry. Interestingly, we do not observe any differences in views and beliefs that are related to staff member gender.     

Contract Structure,Risk‐Sharing,and Investment Choice

Few microfinance‐funded businesses grow beyond subsistence entrepreneurship. This paper considers one possible explanation: that the structure of existing microfinance contracts may discourage risky but high‐expected‐return investments. To explore this possibility, I develop a theory that unifies models of investment choice, informal risk‐sharing, and formal financial contracts. I then test the predictions of this theory using a series of experiments with clients of a large microfinance institution in India. The experiments confirm the theoretical predictions that joint liability creates two potential inefficiencies. First, borrowers free‐ride on their partners, making risky investments without compensating partners for this risk. Second, the addition of peer‐monitoring overcompensates, leading to sharp reductions in risk‐taking and profitability. Equity‐like financing, in which partners share both the benefits and risks of more profitable projects, overcomes both of these inefficiencies and merits further testing in the field.     

Women's economic inequality and domestic violence: exploring the links and empowering women

Economic empowerment of poor households is a key entry point for development organisations concerned with economic inequality. Over the decades, gender inequality has emerged as a key concern, and the result has been women's economic empowerment (WEE) programming. This article is a study of the impact of WEE programming on domestic violence (DV) against women. While this link has received some attention in gender and development literature, evaluations and impact assessments in development organisations have not consistently focused on the possibility of increased or decreased DV as a result of the challenge WEE represents to gender power relations. Drawing on the experience of Oxfam and other development organisations, we offer recommendations for practitioners aimed at better programme integration and more holistic empowerment. Aiming to challenge economic inequality between households involves better understanding of the impact of WEE programming on intra-household gender inequality, including rates of DV. This requires planning to anticipate these possible impacts and ensure women are able to gain from programming without placing themselves at risk.     

小额信贷国际经验及其启示

我国小额信贷正处在一个新的发展时期,但在发展政策和模式等方面还存在一定的争议,因此,学习和借鉴国外的发展经验就具有一定的理论和现实意义。在500多年的国际小额信贷发展历史进程中,各国对小额信贷大多采取鼓励发展的政策,选择适合自己国情的小额信贷发展模式,同时,强调小额信贷的商业化和可持续性发展,对小额信贷监管力度不断加强,注重小额信贷风险的控制。国际小额信贷的发展给我国小额信贷工作提供了有益启示,今后小额信贷要逐步实现从福利型向商业型转变,小额信贷的利率要遵循市场化原则,而且小额信贷机构要不断夯实自身发展基础,强调规范发展和加强监管。     

The potential of asset‐based development strategies for poverty alleviation in Sub‐Saharan Africa

Ssewamala FM, Sperber, ES, Zimmerman JM, Karimli L. The potential of asset‐based development strategies for poverty alleviation in Sub‐Saharan Africa Int J Soc Welfare 2010: 19: 433–443 © 2010 The Author(s), Journal compilation © 2010 Blackwell Publishing Ltd and International Journal of Social Welfare. This article explores the potential of a relatively new approach to social development as a poverty alleviation strategy in Sub‐Saharan Africa (SSA): asset‐based development, an integrated approach to human, social, and economic capital formation. It considers the theoretical framework guiding asset‐based development and the accompanying set of programmatic and policy‐level tools for poverty alleviation in SSA. After considering the recent historical and theoretical contexts of the approach, the authors examine the potential of asset‐based development programs, specifically savings‐led microfinance programs for the poor, to engender development and, more specifically, poverty alleviation in the region. Major challenges and directions for future research are presented.