The Hidden Beast: Delinquency in Microenterprise Credit Programs
By Katherine Stearns - Published: March 1991
Though delinquency is an important measure of a microfinance program's success, the absence of a universal definition makes it difficult to interpret delinquency rates. This paper identifies the weaknesses of the current treatment of delinquency and encourages the use of appropriate and clearly-established measures of portfolio quality. It discusses the many definitions and formulas presently employed to report on delinquency and portfolio quality, and argues that microenterprise programs control their own levels of delinquency.
