Is Small Beautiful? Financial Structure, Size and Access to Finance

Beck, Thorsten ; Demirgü ; ç ; -Kunt, Asli ; Singer, Dorothe

Elsevier

关键词: financial development;    structure of financial sector;    size of financial sector;    access to finance;    small and medium-size enterprises;   

学科分类：社会科学、人文和艺术（综合）

来源: World Bank Open Knowledge Repository

【 摘 要 】

Combining two unique data sets, this paper explores the relationship between financial structure and firms’ access to financial services. Specifically, it considers the importance of three different types of financial institutions: low-end financial institutions, specialized lenders, and banks. Two findings stand out. First, dominance of the financial system by banks is associated with lower use of financial services by firms of all sizes, while low-end financial institutions and specialized lenders seem particularly suited to ease access to finance in low-income countries. Second, there is no evidence that smaller institutions are better in providing access to finance.