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Tag Search: “banking”

How NBFCs are reinventing MSME finance

Even though micro and small enterprises make up over 99% of MSMEs in India, they receive a relatively small proportion of bank credit. Chandra and Muthusamy look at how lending to MSMEs has evolved ov...

  • Perspectives

Accumulation of household debt in India: Repercussions for economic recovery

The Covid-19 crisis and the subsequent recession has brought about a shift in financial savings; households have cut back on consumption and reduced their demand for credit, and banks tightened lendin...

  • Perspectives

Not exactly bad news: Fed tightening cycle’s implications for emerging markets

The conventional perception, that US Federal Reserve rate hikes necessarily imply capital outflows from emerging markets, is an incomplete assessment. This article disaggregates Fed hikes’ effects on ...

  • Articles

Addressing the economic trade-offs of interlinkages in contemporary agrarian markets

Agrarian markets often see interlinked market transactions – the arhatiya deals with the farmer in both the crop market as a commission agent, and in the credit market as a moneylender. In this post, ...

  • Perspectives

Little evidence for 'too much finance'

The current consensus that the finance-growth nexus is more complex than previously assumed has led to concerns about ‘too much finance’. Using a large panel dataset over six decades, this article fin...

  • Articles

An illusory Phillips curve: Is now the right time for a rate hike?

The Phillips curve represents an inverse relationship between inflation and unemployment. In this post, Parantap Basu argues that the ‘illusory’ Phillips curve in western industrial nations is driven ...

  • Perspectives

Can access to finance spur entrepreneurship in Indian informal sector?

Credit constraints, a consequence of the widespread failure of credit markets in developing countries, are widely regarded as a key constraint to entrepreneurship. Using 2010-11 and 2015-16 National S...

  • Articles

Consumption smoothing and household savings: Role of demographics and durables

Canonical predictions of life-cycle models indicate that households will smooth consumption over their lifetimes. Conversely, empirical data from high-income countries have shown that consumption cont...

  • Articles

A microfinance model to enhance borrowers’ lifetime utility

Research has shown that providing credit along with services such as savings instruments, can increase the utility that borrowers obtain from credit. Presenting a theoretical model where microfinance ...

  • Articles

International financial architecture and emerging economies

Policy responses to Covid-19 have been a mix of fiscal and monetary policy – with the latter doing the heavy-lifting in both developed and developing countries. Against this backdrop, in this edition ...

  • Videos

International financial architecture and emerging economies

Policy responses to Covid-19 have been a mix of fiscal and monetary policy – with the latter doing the heavy-lifting in both developed and developing countries. Against this backdrop, in this edition ...

  • Podcasts

How do RBI’s actions (and words) affect financial markets?

Financial markets in developed countries are known to react substantially to monetary shocks, that is, surprise changes in policy rates announced by the central bank. Based on a narrative analysis of ...

  • Articles