Credit Bureaus and the Rural Microfinance Sector: Peru, Guatemala, and BoliviaMay 27th, 2022
FiledMay 27th, 2022Credit markets are notably imperfect, and most notably for the rural poor. The result is that a vast majority of rural households are excluded from financial services, reproducing their lack access to sources of income and to sources of protection from income shocks. The imperfect nature of credit markets comes from the fact that loans are transactions over time occurring under imperfect information between lender and borrower. This creates four problems that need to be solved for a loan transaction to occur:
Credit Bureaus and the Rural Microfinance Sector: Peru, Guatemala, and BoliviaDecember 12th, 2003
FiledDecember 12th, 2003Credit markets are notably imperfect, and most notably for the rural poor. The result is that a vast majority of rural households are excluded from financial services, reproducing their lack access to sources of income and to sources of protection from income shocks. The imperfect nature of credit markets comes from the fact that loans are transactions over time occurring under imperfect information between lender and borrower. This creates four problems that need to be solved for a loan transaction to occur: