Rural Microfinance Banking Viability and Outreach: A Case of Bank Rakyat Indonesia

Mohamad Revindo () and Christopher Gan

Chapter 11 in Microfinance in Asia, 2017, pp 337-356 from World Scientific Publishing Co. Pte. Ltd.

Abstract: Bank Rakyat Indonesia (BRI) provides an example of large-scale rural microfinance banking services that are financially sustainable due to its commercial banking and capital self-sufficiency principles. BRI is also exceptional in the outreach of its microfinance services, with its 8.539 microoutlets in almost all sub-districts throughout Indonesia providing simple and flexible microfinance banking products that in 2015 served 43 million microsavers and 7.85 million microborrowers nationwide. This chapter gives a historical overview of BRI and its successful transformation from government-reliant towards commercial and capital self-sufficiency microfinance banking without overlooking its main mission in catering the rural poor population. The chapter shows how a well-managed microfinance banking system can weather economic crises and help the rural poor cope with economic shocks. The chapter also highlights some implications for the microfinance institutions, BRI in particular, as well as the government as the policy maker.

Keywords: Microfinance; Poverty Alleviation; Rural Credit; Asia; Grameen Bank (search for similar items in EconPapers)
JEL-codes: F30 (search for similar items in EconPapers)
Date: 2017
References: Add references at CitEc
Citations: View citations in EconPapers (3)

Downloads: (external link)
https://www.worldscientific.com/doi/pdf/10.1142/9789813147959_0011 (application/pdf)
https://www.worldscientific.com/doi/abs/10.1142/9789813147959_0011 (text/html)
Ebook Access is available upon purchase.

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:wsi:wschap:9789813147959_0011

Ordering information: This item can be ordered from

Access Statistics for this chapter

More chapters in World Scientific Book Chapters from World Scientific Publishing Co. Pte. Ltd.
Bibliographic data for series maintained by Tai Tone Lim ().