Factors Affecting Repayment of Loans by Micro-borrowers in Tunisia: An Empirical Study

This research studies the relevance of explanatory factors of the lack of reimbursement in microfinance conceived on the side of the socio-economic and demographic characteristics of the micro-borrowers. In fact, these factors have generally been little discussed in the literature. This research, falls under this objective to explore the context of the microfinance as regards lack of reimbursement and to find solutions to minimize this risk of insolvency. In other words, the issue is connected to the identification of the influence of the characteristics specific to the micro-borrowers on the probability so that an individual carries out a lack of reimbursement. To study the determinants of the reimbursement rate of the micro-borrowers, this paper is divided into three principal parts. First of all, on the basis of the theoretical framework, we will focus ourselves particularly, on the explanatory factors of the lack of reimbursement in microfinance which are related to the particular characteristics of the micro-borrowers, and we will try also to formulate the fundamental assumptions of our research. Then, we will discuss our sample and our results of estimates in order to treat our fundamental question of research. At this level, we will try to empirically analyze the validity of the assumptions by the presentation and the analysis of the principal results, in order to identify the explanatory factors of the lack of reimbursement on the side of the microborrowers.