[ La coexistence de la microfinance formelle et informelle au Nord du territoire de Kabare, Sud-Kivu en RDC ]
Volume 38, Issue 4, February 2023, Pages 873–881
Mutagoma Bizimana Charles1
1 Institut Supérieur de Développement de Mulungu, ISTD Mulungu, RD Congo
Original language: French
Copyright © 2023 ISSR Journals. This is an open access article distributed under the Creative Commons Attribution License, which permits unrestricted use, distribution, and reproduction in any medium, provided the original work is properly cited.
This article aims at grasping why people living in the North part of Kabare territory continue to use informal financial services in spite of the presence of formal institutions which are more helpful than the former in the area. The presence of formal financial institutions in the North part of Kabare territory should decrease indubitably the fact of recouring on the ways of saving money and asking loans informally. This should be due to the usurious practice that they undergo. Unfortunately, the fact of not being aware of how formal institutions work, their policies as well as the lack of confidence on their behalf, hinder them to use microfinance institutions. To get solution to their financial needs, inhabitants of North Kabare have developed strategies of informal financement which they find useful and more adapted to their needs regardless the highness of the benefit which they pay. It is obvious that most of formal financial institutions are being installed progressively in this part of South Kivu province even though people living there are less interested in that dynamic and consider the informal ones as being sensitive to their financial needs.
Author Keywords: Informal microfinance, «AVEC», «MUSO», «Tontine», Secret banker, formal microfinance.
Volume 38, Issue 4, February 2023, Pages 873–881
Mutagoma Bizimana Charles1
1 Institut Supérieur de Développement de Mulungu, ISTD Mulungu, RD Congo
Original language: French
Copyright © 2023 ISSR Journals. This is an open access article distributed under the Creative Commons Attribution License, which permits unrestricted use, distribution, and reproduction in any medium, provided the original work is properly cited.
Abstract
This article aims at grasping why people living in the North part of Kabare territory continue to use informal financial services in spite of the presence of formal institutions which are more helpful than the former in the area. The presence of formal financial institutions in the North part of Kabare territory should decrease indubitably the fact of recouring on the ways of saving money and asking loans informally. This should be due to the usurious practice that they undergo. Unfortunately, the fact of not being aware of how formal institutions work, their policies as well as the lack of confidence on their behalf, hinder them to use microfinance institutions. To get solution to their financial needs, inhabitants of North Kabare have developed strategies of informal financement which they find useful and more adapted to their needs regardless the highness of the benefit which they pay. It is obvious that most of formal financial institutions are being installed progressively in this part of South Kivu province even though people living there are less interested in that dynamic and consider the informal ones as being sensitive to their financial needs.
Author Keywords: Informal microfinance, «AVEC», «MUSO», «Tontine», Secret banker, formal microfinance.
Abstract: (french)
Cet article veut comprendre pourquoi les habitants du Nord du territoire de Kabare continuent d’utiliser les services financiers informels malgré la présence des institutions formelles plus avantageuses financièrement dans le milieu. La présence des institutions financières formelles dans le Nord du territoire de Kabare devrait réduire sensiblement le recours aux moyens informels d’épargne et de crédit étant donné les pratiques usurières vécues à leur sein. Malheureusement, l’ignorance du fonctionnement des institutions formelles, leurs conditionnalités ainsi que le manque de confiance de la population à leur égard bloquent la consommation des services de la microfinance formelle. Pour faire face à leurs besoins financiers, les habitants de Kabare Nord ont développé des stratégies de financement informelles qu’ils trouvent plus proches d’eux et plus adaptées à leurs besoins malgré leurs taux débiteurs très élevés. Il est vrai que cette partie de la province du Sud Kivu voit s’implanter progressivement des institutions financières formelles mais ses habitants se sentent moins intégrés dans cette dynamique et trouvent la microfinance informelle plus proches d’eux.
Author Keywords: Microfinance informelle, AVEC, MUSO, tontine, banquier clandestin, Microfinance formelle.
How to Cite this Article
Mutagoma Bizimana Charles, “The coexistence of formal and informal microfinance institutions in the North of the territory of Kabare, South Kivu in the DRC,” International Journal of Innovation and Applied Studies, vol. 38, no. 4, pp. 873–881, February 2023.
