1 option
Sowing the Seeds for Rural Finance : The Impact of Support Services for Credit Unions in Mexico / Bruhn, Miriam.
World Bank Open Knowledge Repository (formerly "World Bank E-Library Publications") Available online
View online- Format:
- Book
- Government document
- Author/Creator:
- Bruhn, Miriam.
- Series:
- Policy research working papers.
- World Bank e-Library.
- Language:
- English
- Subjects (All):
- Access to Finance.
- Credit Unions.
- Finance and Development.
- Finance and Financial Sector Development.
- Financial Crisis Management and Restructuring.
- Financial Intermediation.
- Public Sector Development.
- Rural Finance.
- Technical Assistance.
- Local Subjects:
- Access to Finance.
- Credit Unions.
- Finance and Development.
- Finance and Financial Sector Development.
- Financial Crisis Management and Restructuring.
- Financial Intermediation.
- Public Sector Development.
- Rural Finance.
- Technical Assistance.
- Physical Description:
- 1 online resource (46 pages)
- Other Title:
- Sowing the Seeds for Rural Finance
- Place of Publication:
- Washington, D.C. : The World Bank, 2018.
- System Details:
- data file
- Summary:
- This paper studies the impact of a program that provides grants for technical assistance on the interest rates and outreach of credit unions in Mexico. Credit unions financing rural borrowers received grants in different years. The study uses propensity score matching and relies additionally on the timing of the grants to identify effects. The analysis shows that the program lowered lending interest rates by up to 2.6 percentage points (from a pre-program average of 17.8 percent). This drop appears to be due to lower operating costs and better risk management, as reflected in a lower nonperforming loan ratio. The program also raised credit unions' returns on assets and significantly increased the value of their loan portfolio.
The Penn Libraries is committed to describing library materials using current, accurate, and responsible language. If you discover outdated or inaccurate language, please fill out this feedback form to report it and suggest alternative language.