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The Importance of Geographic Access for the Impact of Microfinance

CESifo Working Paper Series No. 5433

16 Pages Posted: 21 Jul 2015

See all articles by Nargiza Alimukhamedova

Nargiza Alimukhamedova

Charles University in Prague - CERGE-EI, a joint workplace of Charles University and the Economics Institute of the Czech Academy of Sciences

Randall K. Filer

City University of New York, CUNY Hunter College - Department of Economics; Charles University in Prague - CERGE-EI, a joint workplace of Charles University and the Economics Institute of the Czech Academy of Sciences; University of Michigan at Ann Arbor - The William Davidson Institute; CESifo (Center for Economic Studies and Ifo Institute)

Jan Hanousek

Faculty of Business and Economics, Mendel University in Brno; Centre for Economic Policy Research (CEPR)

Multiple version iconThere are 3 versions of this paper

Date Written: July 21, 2015

Abstract

The geographic distance between a household and financial institutions may constitute a significant obstacle to achieving the benefits of modern financial institutions. We measure the impact of improved distance-related access to microcredits in Uzbekistan. Residents living closer to microfinance institutions are propensity score matched to those further away using both household and village characteristics. Households located closer to microfinance institutions have larger businesses in terms of income, profits and employees than similar households located further away. Similarly, they spend more on most forms of consumption and have greater savings.

Keywords: microcredit, microfinance institutions, geographic access

JEL Classification: O160, C340

Suggested Citation

Alimukhamedova, Nargiza and Filer, Randall K. and Hanousek, Jan, The Importance of Geographic Access for the Impact of Microfinance (July 21, 2015). CESifo Working Paper Series No. 5433, Available at SSRN: https://ssrn.com/abstract=2633899 or http://dx.doi.org/10.2139/ssrn.2633899

Nargiza Alimukhamedova

Charles University in Prague - CERGE-EI, a joint workplace of Charles University and the Economics Institute of the Czech Academy of Sciences ( email )

Politickych veznu 7
Prague, 111 21
Czech Republic

Randall K. Filer (Contact Author)

City University of New York, CUNY Hunter College - Department of Economics ( email )

695 Park Avenue
Hunter West 1502
New York, NY 10021
United States
212-772-5499 (Phone)

HOME PAGE: http://econ.hunter.cuny.edu/faculty/filer/

Charles University in Prague - CERGE-EI, a joint workplace of Charles University and the Economics Institute of the Czech Academy of Sciences ( email )

Politickych veznu 7
Prague, 111 21
Czech Republic
42 02 240 05 213 (Phone)
42 02 242 27 143 (Fax)

HOME PAGE: http://www.cerge-ei.cz

University of Michigan at Ann Arbor - The William Davidson Institute

724 E. University Ave.
Wyly Hall
Ann Arbor, MI 48109-1234
United States

CESifo (Center for Economic Studies and Ifo Institute)

Poschinger Str. 5
Munich, DE-81679
Germany

Jan Hanousek

Faculty of Business and Economics, Mendel University in Brno ( email )

Brno
Czech Republic

Centre for Economic Policy Research (CEPR) ( email )

London
United Kingdom

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