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How Uncertainty Impacts Funding for Microfinance Organizations
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How Uncertainty Impacts Funding for Microfinance Organizations

Knowledge at Wharton·Knowledge at Wharton Staff·about 1 month ago
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Microfinance has proven to be an important tool in helping lift people out of poverty by providing low-interest loans to those who don’t have access to traditional lending. Many studies have looked at the outcomes for loan recipients, but few have examined how microfinancing organizations raise capital, especially in times of political and economic turmoil in a country. In their latest research, Wharton management professors Tyler Wry and Adam Cobb, along with Indiana University professor Eric Zhao, focus on funding for microfinance organizations. Wry and Cobb recently talked with Knowledge at Wharton about their paper, “Funding Financial Inclusion: Institutional Logics and the Contextual Contingency of Funding for Microfinance Organizations ,” and its implications. An edited transcript of the conversation follows. Knowledge at Wharton: In this research, you were looking at funding for microfinance organizations. What were the key questions you were trying to answer?…

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