The challenging dynamics of microcredit  in Angola

Ivar Kolstad; Arne Wiig

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Personal characteristics and capacities are important for whether microcredit clients succeed in business. In particular, a client’s education influences business profitability. However, to benefit from group-based microcredit, clients also need to be in credit groups that develop appropriate norms of solidarity. The education of group members may help develop in-group solidarity, but certain types of within-group heterogeneity can be detrimental to group norms and group survival.

Ivar Kolstad

Associated Research Professor

Arne Wiig

Research Professor

The challenging dynamics of microcredit in Angola

Ivar Kolstad

Arne Wiig

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