Performance of Microfinance Providers in Sindh, Pakistan: A Study of Formal and Informal Microfinance Institutes

Ghazala Tunio (), Zhang Lei, Nizamuddin Channa and Noor Ahmed
Additional contact information
Ghazala Tunio: University of Sindh
Zhang Lei: University of Finance and Economics Nanjing
Nizamuddin Channa: University of Sindh
Noor Ahmed: University of Sindh

IBT Journal of Business Studies (JBS), 2020, vol. 16, issue 1, 151-170

Abstract: This research aims to analyze the performance of microfinance providers of the Sindh province of Pakistan.For this purpose, the formal and informal microfinance institutes were selected.Data was gathered from a sample of 150 managers of microfinance banks and institutions.In this research, the random sampling technique is used to collect the data through questionnaires.The OLS regression model is employed to analyze the data.The results of this study show that the number of branches, and less number of defaulters significantly affect the performance of microfinance institutes in Sindh, Pakistan.Moreover, the total cost also has an important relationship with the performance of microfinance organizations in Sindh.However, the study finds the interest rate, and more diversified financial services to have no significant impact on the performance of microfinance organizations.Due to the lack of financial information of the microfinance institutions in Sindh, there is dearth of the research on the performance of microfinance institutions.Rather than using only the published financial information this study relies on the information provided by the managers of the microfinance providers for the analysis.The results of this study have implications for the well-functioning of microfinance institutes, and for the government to achieve the poverty alleviation objectives in Pakistan.

Keywords: Microfinance institutes; Firm’s Performance; Sindh; Pakistan; Poverty (search for similar items in EconPapers)
Date: 2020
References: View references in EconPapers View complete reference list from CitEc
Citations:

Downloads: (external link)
http://ibtjbs.ilmauniversity.edu.pk/journal/jbs/16.1/11.pdf (application/pdf)

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:aib:ibtjbs:v:16:y:2020:i:1:p:151-170

DOI: 10.46745/ilma.jbs.2020.16.01.11

Access Statistics for this article

More articles in IBT Journal of Business Studies (JBS) from Ilma University, Faculty of Management Science Contact information at EDIRC.
Bibliographic data for series maintained by Syed Kashif Rafi ().