Funding the home-based enterprise: Finance and credit in developing country livelihoods.

Micro-credit is centre-stage in international development circles, not least because of the UN Year of Micro-credit in 2005. This paper examines data collected for a study of the environmental impacts of home-based enterprises (HBEs) to assess the nature of micro-credit use by their operators. Our c...

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Publicado en:International Development Planning Review Vol. 29; no. 2; pp. 125 - 160
Autores principales: Tipple, Graham, Coulson, Justine
Formato: Artículo
Publicado: Liverpool University Press / Journals May2007
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Acceso en línea:Ver este registro en EBSCOhost
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          Tipple, Graham
          Coulson, Justine
        affil:
          Reader in Housing Policy and Development, School of Architecture, Planning and Landscape, Newcastle University, Newcastle upon Tyne NE1 7RU
          Operations Manager, Marie Stopes Uganda
      su:
        Home businesses
        Small business
        Microfinance
        Financial services industry
        Banking industry
        Business enterprises
      sug:
        subj:
          Home businesses
          Small business
          Microfinance
          Financial services industry
          Banking industry
          Business enterprises
      ab: Micro-credit is centre-stage in international development circles, not least because of the UN Year of Micro-credit in 2005. This paper examines data collected for a study of the environmental impacts of home-based enterprises (HBEs) to assess the nature of micro-credit use by their operators. Our case studies were of 150 HBE operators in each of the following locations: Surabaya, New Delhi, Pretoria and Cochabamba. Though micro-credit is available in each of our case study cities, we found much less use of any credit source, and many more problems of accessing micro-credit than might be expected from the literature. Only in Cochabamba was routine use made of such loans, but only by a minority of HBEs. Most HBEs are financed out of earnings from elsewhere, windfall gains and savings. Only in India were other loan sources, especially money-lenders, used to any great extent. Problems in accessing micro-credit included the extortion of bribes by bank officials, and a general debt-aversion by HBE operators, especially in Pretoria.
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