Household Debt Decision in Pakistan: The Role of Socioeconomic Factors and Inheritance
Main Article Content
Abstract
In recent years, many developing countries, including Pakistan, have made efforts to increase financial inclusion so that their population can easily avail a range of services provided by financial institutions. Debt provision can play an important role in increasing financial inclusion. This study identified social and economic factors which affect entry of households into the debt market. This will also help to derive a borrower profile to target debt provision and financial inclusion. Older people have a higher likelihood of taking debt than younger ones while those who are employed in the agricultural sector have a higher likelihood of taking debt. Inheritance is important to explain life cycle of savings, but it does not affect entry of households into the debt market in Pakistan. This research will help to channel efforts by focusing on the factors affecting debt decisions and demand of debt of households in order to increase financial inclusion through debt.
Downloads
Article Details
Submission of a manuscript implies: that the work described is original, has not been published before (except in the form of an abstract or as part of a published lecture, review, or thesis); that is not under consideration for publication elsewhere; that its publication has been approved by all co-authors, if any, as well as tacitly or explicitly by the responsible authorities at the institution where the work was carried out. Transfer of copyright to the University of Malaya becomes effective if and when the article is accepted for publication. The copyright covers the exclusive right to reproduce and distribute the article, including reprints, translations, photographic reproductions, microform, electronic form (offline and online) or other reproductions of similar nature.
An author may self-archive the English language version of his/her article on his/her own website and his/her institutions repository; however he/she may not use the publishers PDF version which is posted on www.ijie.um.edu.my. Furthermore, the author may only post his/her version, provided acknowledgement is given to the original source of publication and a link must be accompanied by the following text: The original publication is available at www.ijie.um.edu.my.
All articles published in this journal are protected by copyright, which covers the exclusive rights to reproduce and redistribute the article (e.g. as offprint), as well as all translation rights. No material published in this journal may be reproduced photographically or stored on microfilm, in electronic database, video disks, etc., without first obtaining written permission from the publishers. The use of general descriptive names, trade names, trademarks, etc., in this publication, even if not specifically identified, does not imply that these names are not protected by the relevant laws and regulations.
The copyright owners consent does not include copying for general distribution, promotion, new works, or resale. In these cases, specific written permission must first be obtained from the publishers.