Money management and entrepreneurial training in microfinance: impact on beneficiaries and institutions

This study uses a randomized control trial to evaluate the outcome of integrating money management and entrepreneurial training into a microcredit program in India. We fnd positive and signifcant efects on clients’ fnancial management skills and entrepreneurship abilities, particularly for clients with higher human capital, or more diligent, or having an entrepreneurial idea, and an increase in initiative and self-confdence. Efects appear stronger for clients obliged to attend the training course or more interested in attending it. By considering missed or delayed repayments reduction we assess the benefts of the training provided and of extending it for the institution.