Does Microfinance Improve Household Welfare of Ethnic Minorities? Evidence from Bac Kan Province, Vietnam

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  • Does Microfinance Improve the Household Welfare of Ethnic Minorities? Evidence from Bac Kan Province, Vietnam

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<jats:p> Although a large number of studies have investigated the impacts of microfinance on rural households, their effects on ethnic minorities, who are among the left-behind groups, have not been evaluated. This study examines whether microfinancing provided by the Vietnam Bank for Social Policies (VBSP) improves the household welfare of ethnic minorities living in northern mountainous regions of Vietnam. A stratified random sampling technique is applied to a sample of 289 households. Propensity score matching (PSM) is used to estimate the impacts of microfinance loans. Coarsened exact matching (CEM) is employed to verify the consistency of the PSM estimates. The results show positive and consistent impacts of microfinance loans on total expenditure per capita and educational expenditure per student, which supports the welfare effects of microfinance loans on ethnic minorities in northern mountainous areas of Vietnam. </jats:p>

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  • IDEC DP2 Series

    IDEC DP2 Series 7 (1), 1-18, 2017

    広島大学大学院国際協力研究科

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