|
Field
Trial Title
|
Before
Tailor-Made Microcredit in Rural Morocco. Experimental Evidence on Loan Take-Up and Poverty Impacts
|
After
Microcredit Made to Measure. Experimental Evidence from Rural Morocco
|
|
Field
Trial Status
|
Before
on_going
|
After
completed
|
|
Field
Abstract
|
Before
We use a randomized controlled trial (RCT) in rural Morocco to test whether matching loan repayments more closely with expected entrepreneurial cash flows increases the take-up and poverty impact of microcredit. We introduce two new forms of individual-liability ‘tailored’ microcredit: First, a contract with a five-month grace period and second, a contract where the repayment schedule is split into three equal periods (with varying installments). We first randomize individuals (an estimated 3,600 participants) interested in and eligible for a standard loan into either of the two flexible loans or a control loan with the standard contract. We measure the effect on individuals’ repayment behavior, entrepreneurial activities and household consumption. We then randomize the information about the different treatments (both flexible loan types and the standard loan) at the village level (320 villages) through information campaigns and measure the impact on loan take-up and repayment quality at the village level.
|
After
We use a randomized controlled trial (RCT) in rural Morocco to test whether matching loan repayments closely with expected entrepreneurial cash flows increases the take-up and poverty impact of microcredit. We introduce two new forms of individual-liability microcredit: a contract with a five-month grace period and, second, a ‘tailored’ contract where the repayment schedule is split into three equal periods (with varying installments). We first randomize an estimated 3,600 participants (all interested in and eligible for a standard loan) into either of the two new loan contracts or a control loan with the standard contract. We measure the effect on individuals’ repayment behavior, entrepreneurial activities and household consumption. We then use information campaigns to randomize the available information about the different treatments (the two new loan types and the standard loan) across 320 villages. We measure the impact on loan take-up and repayment quality at the village level.
|
|
Field
Last Published
|
Before
November 22, 2019 08:25 AM
|
After
November 12, 2021 02:34 PM
|
|
Field
Additional Keyword(s)
|
Before
Microcredit, repayment flexibility, loan take-up, poverty alleviation
|
After
Microcredit, tailored loans, grace period, loan take-up, RCT, poverty alleviation
|
|
Field
Keyword(s)
|
Before
Finance, Firms And Productivity, Welfare
|
After
Finance, Firms And Productivity, Gender, Welfare
|
|
Field
Public locations
|
Before
No
|
After
Yes
|
|
Field
Building on Existing Work
|
Before
|
After
No
|