Georgia Indebtedness Poverty Note : Analysis Based on Integrated Household Survey
There is considerable public concern about the level of household indebtedness in Georgia. The new regulation expected to come into force on November 1, 2018 addresses this concern by enforcing the responsible credit framework targeting commercial...
| Main Authors: | , , |
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| Format: | Report |
| Language: | English |
| Published: |
World Bank, Washington, DC
2019
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| Subjects: | |
| Online Access: | http://documents.worldbank.org/curated/en/314911559679097167/Georgia-indebtedness-poverty-note-analysis-based-on-integrated-household-survey http://hdl.handle.net/10986/31831 |
| Summary: | There is considerable public concern
about the level of household indebtedness in Georgia. The
new regulation expected to come into force on November 1,
2018 addresses this concern by enforcing the responsible
credit framework targeting commercial banks. The objective
of this note is twofold. First, the note presents
micro-level evidence using the nationally representative
household survey to understand households’ borrowing
patterns with supporting evidence from perceptions surveys.
Second, the note examines plausible causal effects of
over-indebtedness on household’s welfare. This paper is
structured as follows. Section 2 provides macroeconomic
indicators and findings from perception survey as the
background evidence. Section 3 illustrates the prevalence of
borrowing among the households and identifies type of
households that borrow from different sources. Section 4
shows results from the causal impact analysis of bank loans
on household welfare. Section 5 concludes with directions
for future research. |
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