It is true that public policy experience with subsidised credit in some developing economies, and with housing credit in some advanced economies, has not been good. But inclusive finance emphasises affordable access to simple products, and not excessive leverage or at the cost of prudence. Inclusive finance is not a substitute for the primacy of fiscal policy with regard to social welfare.
Hungary, for example, is one of the few countries where loan-to-value limits are implemented by the central bank for financial stability purposes with coverage by activity, which implies that any institution extending credit for house purchases needs to comply with the imposed LTV limit. 12 Heterogeneity also extends to the competent authorities for implementing the measures.