Miguel, AntónioNielsen, Tobias2023-12-132023-12-132023-01-132023-01-13http://hdl.handle.net/10362/161193Microlenders despite subsidies typically charge interest rates much higher than normal bank rates. This paper examines the reasonableness of these interest rates in a trend analysis by collecting and analyzing data from more than 3000 microlenders on their determinants of interest rates from 2007 to 2018. The analysis in conjunction with a background study of the market characteristics indicates that the majority of microlenders have become for-profit microlenders, who operate with reasonable levels of interest rates given their associated costs; if the reasonable level is defined as a level where interest rates yield a yearly profit of ~ 3 percent.engMicrofinanceFinancial inclusionCommercializationMicrocredit interest ratesmaster thesis203312627