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Impact of savings groups on the lives of the poor.


ABSTRACT: Savings-led microfinance programs operate in poor rural communities in developing countries to establish groups that save and then lend out the accumulated savings to each other. Nonprofit organizations train villagers to create and lead these groups. In a clustered randomized evaluation spanning three African countries (Ghana, Malawi, and Uganda), we find that the promotion of these community-based microfinance groups leads to an improvement in household business outcomes and women's empowerment. However, we do not find evidence of impacts on average consumption or other livelihoods.

SUBMITTER: Karlan D 

PROVIDER: S-EPMC5373400 | BioStudies | 2017-01-01

REPOSITORIES: biostudies

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