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2021
- handle: 10670/1.unambv
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Microenterprise lending Microcredit Micro-finance MicrolendingCiter ce document
Satish Pillarisetti, « Does microcredit have a darker side? The case of India », Entreprendre & Innover, ID : 10670/1.unambv
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Résumé
The darker side of microcredit in India can be seen in five ways: rapid portfolio growth; unhealthy competition and the poaching of clients; coercive collection practices; opaque functioning; and mission drift. The antidote to this is responsible lending. Responsible lending involves the adherence of MFIs to a broad set of client protection principles as included in the sector’s code of conduct. Enforcement of a code of conduct by self-regulatory organizations, regulators, and lenders will enable the microfinance sector in India to overcome its darker side.