Gender and Microfinance

A growing body of research examines whether development programs designed to alleviate household liquidity constraints yield income gains and reduce poverty. However, we still have limited information on whether these effects persist and whether they also translate into improved outcomes for the next generation. This research project revisits the study population of a 2007 field experiment where female microfinance borrowers in the Indian city of Kolkata were randomly assigned to either the classic microfinance contract or to with a repayment schedule that eases capital constraints. After we observed large income gains in the short-run, we collected follow-up data five and eleven years after loan disbursement to track the long-run effects.