Download or read book A Comparative Study of Microfinance Institutions Performance in Sub Saharan Africa According to Their Legal Status written by Hubert Tchakoute Tchuigoua and published by . This book was released on 2013 with total page 0 pages. Available in PDF, EPUB and Kindle. Book excerpt: This paper investigates the existence of a difference in performance amongst microfinance institutions in Sub-Saharan Africa according to their legal status. A multivariate analysis of variance allows the study of a sample of 94 MFIs between 2001 and 2005. Results suggest that cooperatives show better organizational and financial efficiency than private companies and Non Governmental Organizations (NGOs). No significant difference in portfolio quality by the legal status of MFIs is found. Furthermore, no significant difference in profitability and viability is found between private companies and NGOs. However, while transactions are more intense in cooperatives, outreach (number of active borrowers) seems more important in private.

Download or read book The Financial Sustainability of Micro Finance Institutions in Sub Saharan Africa written by Hanna Kattilakoski and published by GRIN Verlag. This book was released on 2020-08-05 with total page 103 pages. Available in PDF, EPUB and Kindle. Book excerpt: Master's Thesis from the year 2018 in the subject Business economics - Investment and Finance, grade: 90.0, Cologne Business School Köln, language: English, abstract: The aim of this study is to understand the factors that drive financial sustainability in microfinance institutions. To accomplish this, several indicators for operational self-sufficiency (OSS) were investigated through correlation and regression analysis. The results indicate that the drivers for operational self-sufficiency include return on assets, number of active borrowers and profit margin. The analysis also showed that in terms of OSS and profitability, there is little difference between for-profit and non-profit organizations. To increase operational self-sufficiency institutions should increase return on asserts, the number of active borrowers and their profit margin. The results support the profit-incentive theory and the financial systems approach. These results indicate that to achieve financial sustainability MFIs should focus on covering operating expenses through earned revenues. Therefore, MFI structure should encourage cost-oriented management. Additionally, findings from this study revealed that there may not be a large tradeoff in efficiency and outreach. Results showed that operationally self-sufficient MFIs actually have a larger outreach than non-self-sufficient organizations. Limitations for this study include that the regression only explains the variables affecting OSS with 26 % certainty and other variables not tested may also be factors

Download or read book Financial Sustainability of Micro Finance Institutions in Sub Saharan Africa written by Hanna Kattilakoski and published by GRIN Verlag. This book was released on 2020-06-23 with total page 6 pages. Available in PDF, EPUB and Kindle. Book excerpt: Presentation slides from the year 2018 in the subject Business economics - Business Management, Corporate Governance, grade: 90, Cologne Business School Köln, language: English, abstract: What factors influence the financial sustainability of microfinance institutions in Sub-Saharan Africa?

Download or read book Microfinance in Africa written by Mr.Rodolphe Blavy and published by International Monetary Fund. This book was released on 2004-09-01 with total page 24 pages. Available in PDF, EPUB and Kindle. Book excerpt: Based on the experience of selected countries, this paper offers a critical presentation of the development of the microfinance sector in Africa. The paper supports the view that microfinance institutions, especially those engaged in full financial intermediation, complement effectively the banking sector in extending financial services and successfully draw on the rich experience of community-based development and preexisting informal methods of financial intermediation in Africa. Growing linkages between microfinance institutions and the banking system and the dissemination of good practices by nongovernment organizations contribute to the sound development of the sector, supported by regulation and supervision by local authorities.

Download or read book Microfinance in Africa written by S. Rajagopalan and published by . This book was released on 2009 with total page 220 pages. Available in PDF, EPUB and Kindle. Book excerpt: Africa is home to some of the poorest and vulnerable populations in the world. The ten poorest countries in the world are in Africa. Sub-Saharan Africa is the region with the highest incidence and greatest depth of poverty in the world. Fewer than one in five adults in Africa has access to the services of a formal or semi-formal financial institution. Microfinance in Africa is growing, though. A broad range of diverse institutions offer financial services to the poor and low-income clients in Africa. These include non-governmental organizations, non-banking financial institutions, cooperatives, credit unions, rural banks, Rotating Savings and Credit Associations (ROSCAs), postal financial institutions and an increasing number of commercial banks. Increasingly, technology is being used to expand microfinance outreach mobile phone banking is one such example. This book provides an overview of the microfinance sector in Africa, reviews the performance and impact of microfinance institutions in the region, and outlines some of the opportunities and challenges that African microfinance has on hand.

Download or read book An Evaluation of the Performance of Microfinance Institutions in Ghana written by Felix Kwame Aveh and published by . This book was released on 2011 with total page pages. Available in PDF, EPUB and Kindle. Book excerpt: The thesis examines factors that influence sustainability and success of microfinance institutions in Ghana. The topic is important, particularly in poverty stricken Africa, where microfinance institutions play a significant role in supporting governments' initiatives to reduce/alleviate poverty. The developed model is tested using data collected from 14 face-to-face interviews and 114 questionnaires. The data is analysed using different techniques - descriptive statistics, cross-tabulations and regression analysis. The research design and scale of the study are appropriate to both the problem addressed and doctoral level research. A number of factors in the model developed were found to be influencing the sustainability and success of microfinance institutions. A model was proposed that seeks to offer an explanation of sustainability and success of Microfinance Institutions in Ghana. The proposed model identified five categories being: institutional characteristics, agency costs, business strategy, environment/governance and success. Single factor analysis established positive relationships between sustainability and all the five factors but placed more emphasis on three out of the five factors namely; success, business strategy and environment/governance. Multiple factor analysis established no significant differences in the sustainability with respect to the type of MFI, ownership and source of funding. Multiple Regression which allows for the testing of theories or models established a significant relationship between the Operational Self Sufficiency (OSS) and the predictors, especially the drop-out rate of clients and average loans. The Subsidy Dependence Index (SDI) was calculated for the various types of MFIs and the result was a high dependency ratio especially among the FNGOs. Though the dependency is on the decline, it is very slow indicating that most MFIs will depend on subsidies for a very long time to come. Finally it was observed that the relatively high interest rates charged by most of the MFIs tended to defeat the purpose for which the microfinance movement came about. Not only did the study confirm the research model, but it also revealed that most owners did not exhibit a deep sense of involvement and used general knowledge to practice in Ghana. The study concluded that success factors, business strategy, and environment/governance were the most critical of the sustainability factors in Ghana. It is therefore important that managers develop institutional capacities especially in managing the agency problem effectively if they have to be sustainable and successful.

Download or read book Comparative Review of Microfinance Regulatory Framework Issues in Benin Ghana and Tanzania written by and published by World Bank Publications. This book was released on 2005 with total page 46 pages. Available in PDF, EPUB and Kindle. Book excerpt: Abstract: The authors investigate the microfinance regulatory regimes in Benin, Ghana, and Tanzania, with a view to identifying key issues and lessons on how the overall regulatory framework affects integration of microfinance institutions into the financial system. The authors find that recognizing different tiers of both regulated and unregulated institutions in a financial structure facilitates financial deepening and outreach to otherwise underserved groups in urban and rural areas. That environment promotes sustainable microfinance under shared performance standards and encourages regulatory authorities to develop appropriate prudential regulations and staff capacity. Case studies of the three countries raise important issues on promoting microfinance development vis-à-vis regulating them. Laws to regulate activities other than intermediation of public deposits into loans can result in disproportionately restrictive and unmanageable standards, even as dynamic microfinance sectors have emerged without conducive regulatory regimes. The authors use the three countries' regulatory experiences to highlight the importance of differentiating when prudential supervision is warranted and when regulatory oversight suffices, and to identify the agencies to carry out regulation. They address an important issue that has received scant attention, measuring and paying for the costs of regulating microfinance, and the need to build technical capacity of supervisory and regulatory staff.

Download or read book Microfinance Institutions written by R. Mersland and published by Springer. This book was released on 2015-12-11 with total page 329 pages. Available in PDF, EPUB and Kindle. Book excerpt: Research on MFI performance is still in its infancy. MFIs are hybrid organizations with dual objectives. Performance studies in microfinance are therefore less straightforward compared to performance studies in traditional banking research. This book contains new MFI performance research by top scholars from across the globe.

Download or read book Microfinance Institutions in Sub Saharan Africa written by Richard Senami Segun Kemonou and published by LAP Lambert Academic Publishing. This book was released on 2013 with total page 148 pages. Available in PDF, EPUB and Kindle. Book excerpt: The main focus of this book is to analyze the efficiency of MFIs operating in Sub-Saharan Africa. Data Envelopment Analysis was employed using both intermediation and production approaches. The results from the intermediation approach revealed that the mean technical efficiency, pure technical efficiency and scale efficiency of MFIs in Sub-Saharan Africa were found to be 20.9 per cent, 39.5 per cent and 52.4 per cent, respectively. The results from the production approach revealed that the mean technical efficiency, pure technical efficiency and scale efficiency of MFIs in Sub-Saharan Africa were found to be 23.2 per cent, 36.8 per cent and 69.6 per cent, respectively. The important constraints faced by MFIs in Sub-Saharan Africa were High Operational Costs followed by Lack of Availability of Services and Weaknesses of MFIs in management, governance and staffing. Hence, the sample MFIs opined that reinforcement of capacity and promotion of research, training and capacity building may be promoted to improve the overall efficiency of MFIs operating in Sub-Saharan Africa.

Download or read book Performance of Microfinance Institutions in Sub Sahara Africa written by Adams Abdulai and published by . This book was released on 2016 with total page 324 pages. Available in PDF, EPUB and Kindle. Book excerpt:

Download or read book Benchmarking the Financial Performance Growth and Outreach of Greenfield Microfinance Institutions in Sub Saharan Africa written by Robert Cull and published by . This book was released on 2017 with total page 52 pages. Available in PDF, EPUB and Kindle. Book excerpt: In recent years there has been a rapid increase in the presence and growth of greenfield microfinance institutions in Sub-Saharan Africa. This paper uses regressions to benchmark those African greenfields relative to other microfinance providers and finds that greenfields grew faster in terms of deposits and lending, improved their profitability to levels comparable to the top microfinance institutions, and substantially increased their lending to women. The effects were especially strong for greenfields that followed a consultant-led model to establish a deep retail banking presence spanning multiple countries, including the creation of extensive branch networks. Although their loan sizes are somewhat larger than those of most African microfinance institutions, indicating less outreach to the poorest market segments, greenfields have achieved rapid gains in financial inclusion on a broad scale.

Download or read book Performance in Microfinance Institutions in Sub Saharan Africa written by Jeffrey Scott Bellows and published by . This book was released on 2017 with total page pages. Available in PDF, EPUB and Kindle. Book excerpt:

Download or read book Benchmarking the Financial Performance Growth and Outreach of Greenfield Microfinance Institutions in Sub Saharan Africa written by and published by . This book was released on 2014 with total page 52 pages. Available in PDF, EPUB and Kindle. Book excerpt: "In recent years there has been a rapid increase in the presence and growth of greenfield microfinance institutions in Sub-Saharan Africa. This paper uses regressions to benchmark those African greenfields relative to other microfinance providers and finds that greenfields grew faster in terms of deposits and lending, improved their profitability to levels comparable to the top microfinance institutions, and substantially increased their lending to women. The effects were especially strong for greenfields that followed a consultant-led model to establish a deep retail banking presence spanning multiple countries, including the creation of extensive branch networks. Although their loan sizes are somewhat larger than those of most African microfinance institutions, indicating less outreach to the poorest market segments, greenfields have achieved rapid gains in financial inclusion on a broad scale"--Abstract.

Download or read book The Effect of Subsidies on the Performance and Sustainability of Microfinance Institutions in Sub Saharan Africa written by Menzie S. Dlamini and published by . This book was released on 2012 with total page 164 pages. Available in PDF, EPUB and Kindle. Book excerpt:

Download or read book Mapping Microcredit Institutions Operators A Comparative Analysis written by Sabrina Leo and published by . This book was released on 2016 with total page pages. Available in PDF, EPUB and Kindle. Book excerpt: The Chapter provide a mapping of the different microcredit/microfinance institutions in each country. In fact, according to the logic scheme used in this research, the investigation area dedicated Mapping Microcredit/ Microfinance institutions/ operators aims to provide mapping of the number, types, legal status, ownership structure and structural information of the microcredit institutions system in each country. The chapter ends with some reflections on the different intermediation models related to microcredit guarantee funds.

Download or read book Transforming Microfinance Institutions written by Joanna Ledgerwood and published by World Bank Publications. This book was released on 2006-08-30 with total page 570 pages. Available in PDF, EPUB and Kindle. Book excerpt: In response to a clear need by low-income people to gain access to the full range of financial services including savings, a growing number of microfinance NGOs are seeking guidelines to transform from credit-focused microfinance organizations to regulated deposit-taking financial intermediaries. In response to this trend, this book presents a practical 'how-to' manual for MFIs to develop the capacity to become licensed and regulated to mobilize deposits from the public. 'Transforming Microfinance Institutions' provides guidelines for regulators to license and regulate microfinance providers, and for transforming MFIs to meet the demands of two major new stakeholders regulators and shareholders. As such, it focuses on developing the capacity of NGO MFIs to mobilize and intermediate voluntary savings. Drawing from worldwide experience, it outlines how to manage the transformation process and address major strategic and operational issues inherent in transformation including competitive positioning, business planning, accessing capital and shareholders, and how to 'transform' the MFI's human resources, financial management, MIS, internal controls, and branch operations. Case studies then provide examples of developing a new regulatory tier for microfinance, and how a Ugandan NGO transformed to become a licensed financial intermediary. This book will be invaluable to regulators and microfinance NGOs contemplating institutional transformation and will be of tremendous use to donors and technical support agencies supporting MFIs in their transformation.

Download or read book Doing Business 2020 written by World Bank and published by World Bank Publications. This book was released on 2019-11-21 with total page 241 pages. Available in PDF, EPUB and Kindle. Book excerpt: Seventeen in a series of annual reports comparing business regulation in 190 economies, Doing Business 2020 measures aspects of regulation affecting 10 areas of everyday business activity.