Tag: Debt Distress

Access to credit enables an individual and her household to achieve financial well-being and results in economic welfare outcomes for the entire society. However, excessive debt diminishes all developmental gains, and negatively impacts overall economic growth and stability.

In this post, we find that the distribution of net worth is skewed as there is a higher concentration of households with lower levels of net worth. It is also seen that households better integrated in the formal financial system enjoy a higher net worth compared to households that are not.

The All-India Debt and Investment Survey (AIDIS) conducted by the National Statistical Office is a nationally representative survey of Indian households that collects information about the assets and liabilities of households.

The pandemic-led economic crisis has exacerbated the rising indebtedness among India’s poor households, and could push more families into a debt trap

In this post, to help enhance the efficacy of relevant frameworks, we lay out the key principles that the two primary actors, the banking sector regulator and the regulated lenders, must be guided by while designing policies to tackle debt distress caused by severe economic shocks.

In this blog post-through a case study, we analyse how microcredit borrowers availed the debt moratarium and through that identify how much they may have been impacted by COVID-19 and lockdowns.

A new framework for monitoring credit markets for over-indebtedness

he microfinance movement in India is set to receive another dose of impetus with the Reserve Bank of India’s (RBI) recently released Consultative Document on Regulation of Microfinance in June 2021. Following the Malegam Committee Report, which is a decade old now, the current document looks to reassess and realign the priorities of the sector.

BharatBazaar aims to create a hyperlocal model that addresses entrepreneurs’ repeated need for working capital at its root

In this post, we revisit the issue of over-indebtedness in microfinance and provide a set of suggestions to address them