In microfinance markets worldwide, over-indebtedness among borrowers and households has emerged as an important concern. Over-indebtedness, measured in terms of sacrifices made by households, is high in both rural and urban India. Factors statistically significant in explaining over-indebtedness are the borrower’s age and financial literacy; the household’s entrepreneurial activity, income level, and spatial location; and the proportion of dependent members in a household.
Sougata Ray, Dr. Sushanta Kumar Mahapatra, and Shyam Nath, “Over-indebtedness and its Drivers among Microfinance Borrowers in India”, Economic and Political Weekly (ABDC - B Category), vol. 54, no. 7, pp. 47-54, 2019.