The Power of Collateral : How Problems in Securing Transections Limit Private Credit from Movable Property
In many developing countries, faulty laws and regulations make it hard to use livestock, machines, equipment, standing crops, and other movable property as collateral. The resulting constraints on access to credit hurt economies. In Bolivia, for ex...
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| Format: | Viewpoint |
| Language: | English |
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World Bank, Washington, DC
2012
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| Online Access: | http://documents.worldbank.org/curated/en/1995/04/441474/power-collateral-problems-securing-transections-limit-private-credit-movable-property http://hdl.handle.net/10986/11674 |
| Summary: | In many developing countries, faulty
laws and regulations make it hard to use livestock,
machines, equipment, standing crops, and other movable
property as collateral. The resulting constraints on access
to credit hurt economies. In Bolivia, for example, a faulty
legal and regulatory framework for the use of movable
property as collateral has led to a loss in GDP estimated at
between 5 and 10 percent. The author explains the problem. |
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