The specific objectives of this studyare to document, and analyze the extent, and modalities ofsavings practiced by rural households, and enterprises,identifying the factors that limit, and help explain ruralsavings in financial form, on the demand, and supply sides,as well as setting forth guidelines for pilot interventionsaimed at expanding sustainable savings mobilization in ruralareas. The study focuses on the areas classified as marginalin the Oaxaca, and Huasteca regions, where activities werecarried out on household surveys, and on interviews withformal, and informal providers of financial services, inaddition to a review of savings mobilization. FollowingChapter I, an overview of findings, and conclusions, ChapterII provides insights on current thinking in the matter ofsavings and the poor, and, relates these developments withthe main government policies, and programs that focus on therural sector. Chapter III characterizes the supply offinancial services in Mexico, and in particular, in themarginal areas covered by the study. Household savingspractices, and their participation in formal/informalfinancial deposit, and credit markets, are analyzed inChapter IV. Chapter V looks into the factors that determinehouseholds' portfolio decisions, and theirparticipation in financial markets, while, conclusions, andrecommendations, summarized in Chapter VI, suggestconsiderable savings potential in rural areas are seekingreliable financial instruments, which would help integratethe poor into the national economy. But inadequateregulatory framework, and market structures have weakenedfinancial services in rural areas, and this may justifypublic intervention, based on international experience onservices provision mechanisms.
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