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COVID‐19 and the Unequalizing Infrastructures of Financial Inclusion in Tamil Nadu

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  • Isabelle Guérin
  • Vincent Guermond
  • Nithya Joseph
  • Nithya Natarajan
  • Govindan Venkatasubramanian

Abstract

This article discusses the impact of the COVID‐19 pandemic on microfinance borrowers in Tamil Nadu, India. Through an examination of the social and financial infrastructures underpinning inclusive finance, the article demonstrates how the COVID‐19 pandemic exposes the limits and exclusionary tendencies of the for‐profit financial inclusion industry. The unequalizing breakdown of financial inclusion infrastructures during the pandemic prioritizes future revenue extraction over current livelihood needs, throwing hard‐hit borrowers back on hierarchical informal financial and social infrastructures to cope with COVID‐19‐induced risk. Tracing the experiences of poor microfinance borrowers in Tamil Nadu, this article examines how COVID‐19 is reshaping inclusive financial infrastructures in ways that reveal the dynamics of exclusion at the heart of financial inclusion.

Suggested Citation

  • Isabelle Guérin & Vincent Guermond & Nithya Joseph & Nithya Natarajan & Govindan Venkatasubramanian, 2021. "COVID‐19 and the Unequalizing Infrastructures of Financial Inclusion in Tamil Nadu," Development and Change, International Institute of Social Studies, vol. 52(4), pages 927-951, July.
    • Handle: RePEc:bla:devchg:v:52:y:2021:i:4:p:927-951
    DOI: 10.1111/dech.12674
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    References listed on IDEAS

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    6. Isabelle Guérin & Sébastien Michiels & Arnaud Natal & Christophe Jalil Nordman & Govindan Venkatasubramanian, 2020. "Surviving debt, survival debt in times of lockdown," Working Papers hal-02904484, HAL.
    7. Isabelle Guérin, 2014. "Juggling with debt, social ties, and values the everyday use of microcredit in rural South India," Post-Print ird-01471734, HAL.
    8. Hadrien Saiag, 2020. "Financialization from the margins," Post-Print hal-02516543, HAL.
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