How Do Economically Active People with Disabilities Access Microfinance?

Sarker, Debashis

doi:10.2139/ssrn.3665600

“…In a multi-country study conducted by Handicap International of over 100 microfinance institutions (MFIs), people with disabilities constituted on average 0-0.5% of the customer base, indicating that MFIs that are supposed to be serving the vulnerable are not doing so (Labie et al, 2010). In a qualitative case study by Sarker (2020) in Bangladesh, the author confirmed that indeed PwDs are denied access to financial services by MFIs. Some of the reasons ascribed to the denial include harder credit conditions, lack of social capital, negative staff attitudes, lack of financial literacy training and absence of an integrated approach that caters for PwDs.…”

Section: Literaturementioning

confidence: 95%

People with disability and access to financial services: Evidence from Ghana

Peprah

¹

,

Avorkpo

²

,

Kulu

³

2023

Regional Science Policy & Practice

3

0

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The purpose of this study is to examine the effects of disability on access to financial services in Ghana. Data for the study is obtained from the seventh wave of the Ghana Living Standards Survey (GLSS 7). We use instrumental variable (IV) regression approach to examine the effect of disability on the use of formal financial institutions and mobile money. We find that being disabled reduces the likelihood of having access and using any of the financial institutions or having at least a product/service with a bank. Further, our results show that while people with disability are less likely to use commercial bank (6.3%), rural bank (4.8%) and at least one financial service (6.3%), they are 53.7% more likely to use mobile money. Collaborative actions are needed to raise awareness on both mobile money and other Fintech solutions, and accessibility functions that can support the inclusion of persons with disabilities into the financial system.

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Microfinance and economic and social empowerment of people with disabilities: Lessons from Bangladesh

Sarker,

Khan

2024

Development Policy Review

1

0

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MotivationPeople with disabilities are among the most disadvantaged and dispossessed people on earth, especially in the global South, where they have limited or no access to basic amenities of life and income‐earning opportunities. Moreover, in developing societies where poverty is widespread and disability is often regarded as a liability and, at times, stigmatized, people with disabilities often live in starkly inadequate conditions.This article is based on doctoral research which, among other things, investigated the pilot experiment by non‐governmental organizations (NGOs) in Bangladesh. This developing, tradition‐bound country is looking to share theoretical understanding of aspects that contribute to dispossessions and the quagmire of deprivations into which people with disabilities are trapped, and alongside this present the potential or otherwise of microfinance in economic and social empowerment of people with disabilities who are “economically active.”PurposeThe article, which is based on qualitative research and depicts in an objective manner the lived experiences of people with disabilities in a developing country setting, offers useful lessons in social and economic empowerment of people with disabilities in such societies.Methods and ApproachUnderpinned by the theory of intersectionality, this research used an innovative and customized qualitative case study method that is crucial in reaching out, interacting with, and gathering information and articulating issues that are relevant for policy development.FindingsThere are two important findings. First, that reaching out to and gathering information from and articulating the lived experiences and empowerment imperatives of people with disabilities, as well as the innovation and customization of existing tools and techniques of qualitative research, are key; and second, while microfinance did help a few people with disabilities who are in poverty and have been deemed “economically active,” the empowerment of people with disabilities requires a more holistic approach.Policy ImplicationsThe findings of this research indicate the importance of qualitative research to understand the lived experiences of people with disabilities in their own environment and formulate policies and initiate programmes that address the needs of people with disabilities in a practical and empowering manner, especially in the global South.

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People with disability and access to financial services: Evidence from Ghana

Peprah

¹

,

Avorkpo

²

,

Kulu³

2022

Preprint

1

0

View full text Add to dashboard Cite

The purpose of this study is to examine the effects of disability on access to financial services in Ghana. Data for the study is obtained from the seventh wave of the Ghana Living Standards Survey (GLSS 7). We use instrumental variable (IV) regression approach to examine the effect of disability on the use of formal financial institutions and mobile money. We find that being disabled reduces the likelihood of having access and using any of the financial institutions or having at least a product/service with a bank. Further, our results show that while people with disability are less likely to use commercial bank (6.3%), rural bank (4.8%) and at least one financial service (6.3%), they are 53.7% more likely to use mobile money. Collaborative actions are needed to raise awareness on both mobile money and other Fintech solutions, and accessibility functions that can support the inclusion of persons with disabilities into the financial system. JEL Codes: G21, I12, J71

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How Do Economically Active People with Disabilities Access Microfinance?

Cited by 5 publications

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People with disability and access to financial services: Evidence from Ghana

People with disability and access to financial services: Evidence from Ghana

Microfinance and economic and social empowerment of people with disabilities: Lessons from Bangladesh

People with disability and access to financial services: Evidence from Ghana

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