TY  - GEN
AB  - In this paper we provide an empirical analysis of the social composition and performance of microfinance groups, known as Self‐Help Groups, based on an original census we carried out in a poor area of Northern India. We examine whether traditionally disadvantaged villagers, such as scheduled tribes and landless farmers, are as likely to draw benefits from these SHGs as other villagers. While the initial participation in the groups closely reflects the social composition of the village, we find evidence of a selective attrition process against scheduled tribes who are less likely to remain members. Their expected access to bank loans ‐ which is the primary aim of those groups ‐ is also much more limited. By contrast, landless farmers are over‐represented in these groups. As a result, even though they are more likely to leave the groups, they tend to benefit disproportionately from the SHGs. In expected terms, they receive more than two times the amount of bank loans given to other farmers. Overall, the program has therefore non trivial but important distributional implications.
AU  - Baland, Jean-Marie
AU  - Somanathan, Rohini
AU  - Vandewalle, Lore
CY  - London
DA  - 2015
DA  - 2015
ID  - 293255
L1  - https://repository.graduateinstitute.ch/record/293255/files/CEPR-DP10944_2015_vandewalle.pdf
L1  - https://repository.graduateinstitute.ch/record/293255/files/CEPR-DP10944_2015_vandewalle.pdf?subformat=pdfa
L2  - https://repository.graduateinstitute.ch/record/293255/files/CEPR-DP10944_2015_vandewalle.pdf
L2  - https://repository.graduateinstitute.ch/record/293255/files/CEPR-DP10944_2015_vandewalle.pdf?subformat=pdfa
L4  - https://repository.graduateinstitute.ch/record/293255/files/CEPR-DP10944_2015_vandewalle.pdf
L4  - https://repository.graduateinstitute.ch/record/293255/files/CEPR-DP10944_2015_vandewalle.pdf?subformat=pdfa
LK  - https://repository.graduateinstitute.ch/record/293255/files/CEPR-DP10944_2015_vandewalle.pdf
LK  - https://repository.graduateinstitute.ch/record/293255/files/CEPR-DP10944_2015_vandewalle.pdf?subformat=pdfa
N2  - In this paper we provide an empirical analysis of the social composition and performance of microfinance groups, known as Self‐Help Groups, based on an original census we carried out in a poor area of Northern India. We examine whether traditionally disadvantaged villagers, such as scheduled tribes and landless farmers, are as likely to draw benefits from these SHGs as other villagers. While the initial participation in the groups closely reflects the social composition of the village, we find evidence of a selective attrition process against scheduled tribes who are less likely to remain members. Their expected access to bank loans ‐ which is the primary aim of those groups ‐ is also much more limited. By contrast, landless farmers are over‐represented in these groups. As a result, even though they are more likely to leave the groups, they tend to benefit disproportionately from the SHGs. In expected terms, they receive more than two times the amount of bank loans given to other farmers. Overall, the program has therefore non trivial but important distributional implications.
PB  - Centre for Economic Policy Research (CEPR)
PP  - London
PY  - 2015
PY  - 2015
T1  - Socially disadvantaged groups and microfinance in India
TI  - Socially disadvantaged groups and microfinance in India
UR  - https://repository.graduateinstitute.ch/record/293255/files/CEPR-DP10944_2015_vandewalle.pdf
UR  - https://repository.graduateinstitute.ch/record/293255/files/CEPR-DP10944_2015_vandewalle.pdf?subformat=pdfa
Y1  - 2015
ER  -