PPI is a tool that gauges the number of microfinance clients that moves out of poverty over time. The PPI asks 10 questions that are predictive of poverty (e.g., what are the walls of your house made of?). Microfinance loan officers then integrate these questions into their standard loan application and maintenance interviews. Data collected over time is aggregated to show movement of groups of clients relative to poverty.
Progress out of Poverty Index (PPI)
May 3, 2017