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October 2015

Launching the 2014 Global Findex microdata

Asli Demirgüç-Kunt's picture

I am pleased to announce the release of the 2014 Global Findex microdata, which includes individual-level responses from almost 150,000 adults around the world. You can download it all here.

Drawing on interviews with adults in 143 countries, the 2014 Findex database measures account ownership at banks and other financial institutions and with mobile money providers, and explores how adults save, borrow, make payments, and manage risk. For each of these countries, the microdata unpacks about 1,000 individual-level survey observations.

With this data, which was collected by Gallup, Inc. in calendar year 2014, you can dive deeper into the indicators presented in the main Findex database. For example, the country-level indicators explore the income gap by looking at adults in the poorest 40 percent and richest 60 percent of households, but the microdata splits it into quintiles. The microdata also covers topics that weren’t included on the country-level, such as unbanked adults' reasons for lacking an account.

For a more detailed discussion of Global Findex findings and methodology, visit our website and see our working paper.

I hope you will make good use of the data, and share your findings with us on Twitter @GlobalFindex.

Which financial intermediaries provide long-term finance?

Sergio Schmukler's picture

This post is part of a series highlighting the key findings of the Global Financial Development Report 2015 | 2016: Long-Term Finance. You can view the entire series at gfdr2015.

Policy makers debate about which financial institutions they need to foster to create a supply of long-term finance. One difficulty in this debate is the lack of evidence about the behavior of different types of financial intermediaries. Chapter 4 of the Global Financial Development Report (GFDR) tries to fill this void by compiling different pieces of evidence from around the world.

Which markets provide long-term finance?

Sergio Schmukler's picture

This post is part of a series highlighting the key findings of the Global Financial Development Report 2015 | 2016: Long-Term Finance. You can view the entire series at gfdr2015.

Many governments are concerned about providing long-term finance for corporations. In fact, having access to long-term funds allows firms to finance large investments as well as to reduce rollover and liquidity risks and the potential for runs that could lead to costly crises. Moreover, “short-termism” explains several well-known financial crises in both developing and developed economies. But to what extent do corporations borrow long term? And in which markets?

To help understand whether firms from different countries access short- and long-term financing, Chapter 3 of the Global Financial Development Report (GFDR) 2015 and the respective background paper (Cortina, Didier, and Schmukler, 2015) document the use of equity, bond, and syndicated loan markets by firms from around the world between 1991 and 2013.

Households’ use of long-term finance

Claudia Ruiz's picture

This post is part of a series highlighting the key findings of the Global Financial Development Report 2015 | 2016: Long-Term Finance. You can view the entire series at gfdr2015.

The second part of Chapter 2 of the 2015 Global Financial Development Report examines the use of long-term finance by households. The section first discusses the main reasons that households use long-term finance products, while highlighting the risks inherent to their use. Making use of recent data initiatives, it then shows how usage of long-term finance varies substantially both across and within countries, and then outlines a set of policy recommendations that can help develop and promote long-term finance markets.

Why would households use long-term finance? And what are the risks they can incur?

Long-term finance offers households various tools to achieve their changing objectives throughout their life-cycle. Products such as pensions, insurance, or annuities can help households prepare for retirement, smooth their life cycle income, and insure against various life cycle risks. Student loans or mortgages can make lumpy but potentially high-yield investments affordable to households. Long-term savings instruments can allow households to accumulate and reap term premiums.