Mercredi | 2019-02-07
Salle B103 – 12h00

Asma BOUSSETTA – El Moctar LAGHLAL – Réda MARAKBI

In this paper, we study the relation between microfinance and economic growth. Using a panel of 69 countries over the 1999-2017 period and taking account of the endogeneity associated with microfinance institutions? loans, we show that microfinance strongly contributes to increase growth, especially in African and Asian countries. We also identify some of the channels through which microfinance positively affects growth. In particular, we show that any increase in the size of the microfinance sector fosters investment which, in turn, increases economic growth.