Mind the Gap in Financial Inclusion! Microcredit Institutions fieldwork in Peru
Financial inclusion remains a key political issue. Since microcredit first captured public attention, Microfinance Institutions (MFIs) have expanded rapidly all around the world. Although much economic and financial literature has highlighted the importance of microfinance as a factor of developmen...
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| Format: | Article |
| Language: | English |
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Universidad de Murcia
2023-01-01
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| Series: | Revista de Contabilidad: Spanish Accounting Review |
| Subjects: | |
| Online Access: | https://revistas.um.es/rcsar/article/view/432671 |
| _version_ | 1797963120174432256 |
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| author | Pilar López-Sánchez Elena Urquia-Grande |
| author_facet | Pilar López-Sánchez Elena Urquia-Grande |
| author_sort | Pilar López-Sánchez |
| collection | DOAJ |
| description |
Financial inclusion remains a key political issue. Since microcredit first captured public attention, Microfinance Institutions (MFIs) have expanded rapidly all around the world. Although much economic and financial literature has highlighted the importance of microfinance as a factor of development, there is also an intense debate about its effectiveness as a development tool. This paper is a descriptive analysis of the microcredit state of the art contrasted with the fieldwork done in Peru. A qualitative research methodology was used; 29 in-depth face-to-face interviews with different microfinance agents: MFIs, NPOs, microfinance associations, and microfinance customers in Peru. Peru has been chosen because it has a dynamic and well-regulated microfinance sector with more than 70 entities specialized in microfinance. Though statistical generalization is not possible, interview data provided rich and contextual evidence, which is often missing from a quantitative research approach. This paper highlights the importance of financial and accounting education in microcredit beneficiaries and how can it be enhanced in the digital age. The COVID-19 Pandemic has forced vulnerable population to embrace new digital technologies and has highlighted the digital gap that still exists in Latin America but this situation presents opportunities and challenges.
This present study contributes to the debate over how to improve microcredit intervention's impact on the more vulnerable and identifies some unique insights into the interrelationships of financial education and financial inclusion. The results of the present study confirm that financial and accounting education are key elements in financial inclusion.
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| first_indexed | 2024-04-11T01:24:27Z |
| format | Article |
| id | doaj.art-fac2a0e307b548778caf467ddf80f2d7 |
| institution | Directory Open Access Journal |
| issn | 1138-4891 1988-4672 |
| language | English |
| last_indexed | 2024-04-11T01:24:27Z |
| publishDate | 2023-01-01 |
| publisher | Universidad de Murcia |
| record_format | Article |
| series | Revista de Contabilidad: Spanish Accounting Review |
| spelling | doaj.art-fac2a0e307b548778caf467ddf80f2d72023-01-03T10:54:18ZengUniversidad de MurciaRevista de Contabilidad: Spanish Accounting Review1138-48911988-46722023-01-0126110.6018/rcsar.432671Mind the Gap in Financial Inclusion! Microcredit Institutions fieldwork in PeruPilar López-SánchezElena Urquia-Grande0Universidad Complutense de Madrid Financial inclusion remains a key political issue. Since microcredit first captured public attention, Microfinance Institutions (MFIs) have expanded rapidly all around the world. Although much economic and financial literature has highlighted the importance of microfinance as a factor of development, there is also an intense debate about its effectiveness as a development tool. This paper is a descriptive analysis of the microcredit state of the art contrasted with the fieldwork done in Peru. A qualitative research methodology was used; 29 in-depth face-to-face interviews with different microfinance agents: MFIs, NPOs, microfinance associations, and microfinance customers in Peru. Peru has been chosen because it has a dynamic and well-regulated microfinance sector with more than 70 entities specialized in microfinance. Though statistical generalization is not possible, interview data provided rich and contextual evidence, which is often missing from a quantitative research approach. This paper highlights the importance of financial and accounting education in microcredit beneficiaries and how can it be enhanced in the digital age. The COVID-19 Pandemic has forced vulnerable population to embrace new digital technologies and has highlighted the digital gap that still exists in Latin America but this situation presents opportunities and challenges. This present study contributes to the debate over how to improve microcredit intervention's impact on the more vulnerable and identifies some unique insights into the interrelationships of financial education and financial inclusion. The results of the present study confirm that financial and accounting education are key elements in financial inclusion. https://revistas.um.es/rcsar/article/view/432671Financial inclusionMicrofinance InstitutionsEconomic DevelopmentFinancial Education |
| spellingShingle | Pilar López-Sánchez Elena Urquia-Grande Mind the Gap in Financial Inclusion! Microcredit Institutions fieldwork in Peru Revista de Contabilidad: Spanish Accounting Review Financial inclusion Microfinance Institutions Economic Development Financial Education |
| title | Mind the Gap in Financial Inclusion! Microcredit Institutions fieldwork in Peru |
| title_full | Mind the Gap in Financial Inclusion! Microcredit Institutions fieldwork in Peru |
| title_fullStr | Mind the Gap in Financial Inclusion! Microcredit Institutions fieldwork in Peru |
| title_full_unstemmed | Mind the Gap in Financial Inclusion! Microcredit Institutions fieldwork in Peru |
| title_short | Mind the Gap in Financial Inclusion! Microcredit Institutions fieldwork in Peru |
| title_sort | mind the gap in financial inclusion microcredit institutions fieldwork in peru |
| topic | Financial inclusion Microfinance Institutions Economic Development Financial Education |
| url | https://revistas.um.es/rcsar/article/view/432671 |
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