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Performance-linked contracts, increasingly enabled by financial technology, can better spur investment among small firms than rigid microcredit—especially for risk- and loss-averse business owners.

Performance-linked contracts, increasingly enabled by financial technology, can better spur investment among small firms than rigid microcredit—especially for risk- and loss-averse business owners.

While microfinance contract innovations like repayment grace periods help small-firm owners, they can increase default rates for microfinance institutions. Based on field experiments in Pakistan and…

Flexible financing for ‘last-mile’ distributors boosted profits across a food supply chain in Kenya.