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Access to Rural Credit in Vietnam: A Case Study of Tan Linh Commune, Ba Vi District, Ha Tay Province
Hanoi Agricultural University, Faculty of Economics and Rural Development.
Uppsala University, Disciplinary Domain of Humanities and Social Sciences, Faculty of Social Sciences, Department of Economics.
Institute of Policy and Strategy for Agriculture and Rural Development, Hanoi, Vietnam.
2008 (English)In: Review of Development and Cooperation, ISSN 1906-0920, Vol. 2, no 1, 68-86 p.Article in journal (Refereed) Published
Abstract [en]

Demand for rural credit from formal institutions of developing countries remains unsatisfied due to limited access to credit. Using data from Tan Linh commune in Vietnam, this study investigates the factors affecting the access to credit for rural households in Vietnam. It further examines the demand for credit and the factors affecting the borrowing level of rural households, the lending behavior of the formal lender in rationing credit and the impact of credit on rural household production. The results show that a large demand for formal financial institutions are limited in their outreach and provide limited credit access to households in rural areas.  Factors like dependency ratio, sick family members, farm-owned land, and ownership of Land Use Certificates (LUCs) are factors that influence credit rationing decisions of the financial institutions like Vietnam Bank for Agriculture and Rural Development (VBARD).

Place, publisher, year, edition, pages
Mekong Institute , 2008. Vol. 2, no 1, 68-86 p.
National Category
Economics
Research subject
Economics
Identifiers
URN: urn:nbn:se:uu:diva-26687OAI: oai:DiVA.org:uu-26687DiVA: diva2:54552
Available from: 2008-10-17 Created: 2008-10-17 Last updated: 2013-11-14Bibliographically approved

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http://www.mekonginstitute.org/images/stories/Research/journal/v_2_dec_2008/6_article3_phuong.pdf

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