Efficiency drivers in microfinance institutions

2009

Masteroppgave i økonomi og administrasjon - Universitetet i Agder 2009 This study attempts to identify drivers for efficiency in Micro Finance Institutions (MFIs) and determine their effect on the overall cost-efficiency of MFIs. The study used cross sectional data of 377 MFIs from 74 countries. Multivariate regression analysis was applied in order to find the results. Operational expense to portfolio, operational expense to assets and cost per credit client were used as efficiency measurements, 13 hypotheses were proposed and 17 variables were studied. Our results revealed that all except for two variables had a significant effect on one or more of the efficiency measurements. Credit offic…