Lack of affordable credit from formal sources is a key factor hindering the growth of MSMEs in India. This learning note presents insights from Catalyst’s ‘Credit as a Hook’ pilot project. The pilot tested a digital payment and loan product bundle for underserved informal sector merchants in Jaipur, based on the premise that digital payment footprints can help build formal credit histories for this segment.
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Digital Lending for Small Merchants: The Missing Road to the Last Mile
John Arun, Shubhranka Mondal
2018