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Revisiting Social Capital in Development: Can Group-Based Microfinance Reproduce Social Capital? : A case study in Rural Cambodia.

Iao Jörgensen, Jenny LU (2009)
Abstract
Group-based microfinance programmes, based on trust and solidarity among members, currently dominate development policy and practice as the approach compensates for individual poor’s lack of material resources and market imperfections. Despite strong evidence of its social and economic impact, few researches take an in-depth, empirical look at how the group models manifest and create social capital. Applying social capital theory, this paper seeks to contribute to a better understanding of the social capital building aspect of group-based microfinance by analyzing empirical data from a CEDAC supported village saving project in rural Cambodia. The study asserts that group-based microfinance scheme can indeed bring positive changes to social... (More)
Group-based microfinance programmes, based on trust and solidarity among members, currently dominate development policy and practice as the approach compensates for individual poor’s lack of material resources and market imperfections. Despite strong evidence of its social and economic impact, few researches take an in-depth, empirical look at how the group models manifest and create social capital. Applying social capital theory, this paper seeks to contribute to a better understanding of the social capital building aspect of group-based microfinance by analyzing empirical data from a CEDAC supported village saving project in rural Cambodia. The study asserts that group-based microfinance scheme can indeed bring positive changes to social and gender relations beyond individual loans and savings. These changes are largely influenced by the type of social capital (norms, networks and trust) promoted by microfinance project’s social intermediation processes. The study reveals that group homogeneity and elite avoidance may not matter at all. The study further identifies that the social capital build up, especially where structural and institutional exclusion is addressed to harness all bonding, bridging and linking social capital, has the potential of enabling the poor and marginalized to participate and organize themselves in the community development and society transformation processes. (Less)
Please use this url to cite or link to this publication:
author
organization
publishing date
type
Book/Report
publication status
published
subject
keywords
Social Capital, Microfinance, Community Saving, Village Saving, Social Network, Social Relations, Community Development, Collective Action, Empowerment, Svay Rieng, Cambodia
pages
72 pages
publisher
VDM Verlag
ISBN
3639169182
9783639169188
language
English
LU publication?
yes
id
177d2f3e-c787-4b69-8d7d-31dcb77613f1
alternative location
http://lup.lub.lu.se/student-papers/record/1432236
date added to LUP
2017-06-27 13:09:20
date last changed
2017-10-18 09:23:55
@book{177d2f3e-c787-4b69-8d7d-31dcb77613f1,
  abstract     = {Group-based microfinance programmes, based on trust and solidarity among members, currently dominate development policy and practice as the approach compensates for individual poor’s lack of material resources and market imperfections. Despite strong evidence of its social and economic impact, few researches take an in-depth, empirical look at how the group models manifest and create social capital. Applying social capital theory, this paper seeks to contribute to a better understanding of the social capital building aspect of group-based microfinance by analyzing empirical data from a CEDAC supported village saving project in rural Cambodia. The study asserts that group-based microfinance scheme can indeed bring positive changes to social and gender relations beyond individual loans and savings. These changes are largely influenced by the type of social capital (norms, networks and trust) promoted by microfinance project’s social intermediation processes. The study reveals that group homogeneity and elite avoidance may not matter at all. The study further identifies that the social capital build up, especially where structural and institutional exclusion is addressed to harness all bonding, bridging and linking social capital, has the potential of enabling the poor and marginalized to participate and organize themselves in the community development and society transformation processes.},
  author       = {Iao Jörgensen, Jenny},
  isbn         = {3639169182},
  keyword      = {Social Capital, Microfinance,Community Saving,Village Saving,Social Network,Social Relations,Community Development,Collective Action,Empowerment, Svay Rieng,Cambodia},
  language     = {eng},
  month        = {08},
  pages        = {72},
  publisher    = {VDM Verlag},
  title        = {Revisiting Social Capital in Development: Can Group-Based Microfinance Reproduce Social Capital? : A case study in Rural Cambodia.},
  year         = {2009},
}