Are households’ poverty levels in Mekong Delta of Vietnam affected by access to credit?

Vuong Duy ()

MPRA Paper from University Library of Munich, Germany

Abstract: This paper investigates the impact of access to formal credit on household poverty in Mekong Delta (MD) – Vietnam. The analysis is based on some indicators of household poverty such as households’ total assets, educational costs, healthcare costs, food consumption, non-farm expenses, off-farm expenses and total income. Based on the given indicators, a comparison is made between borrowers and non-borrowers in a sample of 325 households using the Matching Methods. The findings suggest that the borrowers are better off in education expenditure, healthcare expenses, and total income than those of non-borrowers. The results show that access to formal credit is likely to reduce poverty levels among rural households in Mekong Delta.

Keywords: Formal credit; propensity score matching; household welfare; individual and group based lending (search for similar items in EconPapers)
JEL-codes: E5 G2 I3 O2 (search for similar items in EconPapers)
Date: 2011
New Economics Papers: this item is included in nep-agr, nep-dev, nep-mfd and nep-tra
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Persistent link: https://EconPapers.repec.org/RePEc:pra:mprapa:35412

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