Indonesian Microfinance at the Crossroads: Caught between Popular and Populist Policies

Publication Date: Jul 2007
Published by: Microfinance Regulation and Supervision Resource Center
Document Type: Paper (PDF)

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This essay discusses the past, present and future of microfinance policy in Indonesia.

Starting with a review of past successes and failures, Sumantoro Martowijoyo moves the reader into the present and the future. He criticizes the government's decision to discard local institutions in favor of modern institutions, and expresses concern over signs that subsidized lending practices may be returning in full force.