The framework of this study is the field crowdfunded microfinance that represents a way to scale up financial access, leveraging digital technology applications. A key element value chain partner, represented by local Microfinance Institution (MFI) intermediates between crowdfunding platform and individual borrowers or group borrowers. In context, main objective paper measure prosocial contribu...

The field of microfinance emerged in the developing world as a vehicle to provide financial services to poor segments of population is gradually being seen as a profitable business opportunity. In the initial stages of development, these activities were perceived to be done with a service agenda. As the micro finance institutions (MFIs) began to mature, they started facing performance dilemma, ...

We derive an optimal dynamic lending contract in a simple adverse selection model with limited commitment on the borrower side. An optimal contract involves “penalty” rates after a default, and favorable rates after a success. It also charges higher rates for first-time borrowers than for repeat borrowers, as in “relationship” lending. We compare the efficiency of a group lending contract (of t...

Economic trade between individuals, supported by an array of global electronic marketplaces, comprises an ever-growing proportion of the global economy. Prominent online companies like eBay, Amazon and Freelancer.com regularly afford individuals the opportunity to engage others the world over. Importantly, however, such trade has may introduce new hurdles. Though technology reduces the role of ...

Microfinance services were primarily conceived for poverty alleviation and millions of borrowers have benefited across various countries. This study measures microfinance impact on from the following dimensions viz. enterprise, household, individual security. The was measured by comparing borrowers’ level before after (within impact), then with without (between impact) using Household Economic ...

since 1980s, credit policy has been promoted as an important mechanism in job creation, especially for women. however, some researchers have showed that although microfinance programs have significant potential for contributing to women’s wellbeing, yet, many women borrowers have limited control over loans and/or resulted income. in such cases credit policy may not change women status. women’s ...

Financial systems reform and corporate reform are deeply intertwined and thus are best addressed simultaneously and comprehensively. Indonesia is seeking to do this by developing rules, institutions, and mechanisms to achieve good corporate governance, while working to build an effectively functioning financial system that facilitates good corporate governance. This paper explores this quest in...

In micro-lending markets, lack of recorded credit history is a significant impediment to assessing individual borrowers’ creditworthiness and therefore deciding fair interest rates. This research compares various machine learning algorithms on real data test their efficacy at classifying borrowers into categories. We demonstrate that off-the-shelf multi-class classifiers such as random forest c...

We investigate key factors affecting lenders’ bidding strategies using three measurements for the popularity of loans: funding success, number of bids, and funding time. Also, we analyze borrowers’ strategy in three groups according to the level of their expertise of online Peer-to-Peer lending: novice borrowers, pure borrowers, and mixed borrowers (as both borrower and lender). We use data fro...