Improving Rural Institutional Finance: Some Lessons.

Abstract

A summary of the major criticisms of the conventional approach to rural credit is presented. Some lessons and experiences in developing rural finance are discussed. The need for a broader view and a holistic approach, importance of building financial infrastructure, importance of rural infrastructure and non-financial policies, importance of institutional building is emphasized. Subsides in building institutional capacity essential in rural saving mobilizations, roles of private commercial banks, and the need for directed finance progrommes are briefly outlined.