Performance of Microfinance Institution Integrating Financial and Non-Financial Metrics: In BGRS, Assosa Zone

Authors

  • Daba Geremew Field of specialization: Masters of Accounting and finance , Performance of Microfinance Institution Integrating Financial and Non-Financial Metrics: In BGRS, Assosa Zone

Keywords:

Micro finance, financial, non-financial and performance

Abstract

The major objective of this study is to assess the financial & non-financial performance of Assosa Zone Microfinance Institutions by integrating financial and non-financial metrics. The research is descriptive in type and both quantitative and qualitative research approach was adopted. Also both probability and non-probability sampling techniques were employed for this study to collect data from primary and secondary data and primary data collected using five scale Likert question and secondary data were collected from the report of Assosa Zone Microfinance Institutions to  National bank of Ethiopia (NBE) from 2014 to 2018. A total of 6 microfinance experts, 48 staffs and 376 clients participated in the study. The analysis is done using descriptive statistics and SPSS version 21. Concerning the findings, after the three non-financial perspectives (customer, internal business process and learning and growth) and financial perspective aggregated on the model of overall performance index,  the entire performance which advanced by enhancing indicators identified with high, low and average score under each of the four perspectives is approach to average result.  However the average of financial performance was high. Thus, this indicates that non-financial performance factor is highly affecting the overall performance of MFIs in BGRS, Assosa zone. There is also evidence that learning and growth in general, research and development, Ratio of Operating Expense to Loan Portfolio, depth of outreach and portfolio at risk are major determinants in this study. So the BGRS, Assosa zone in particular will take appropriate action on each identified problems.

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Published

2020-02-21

How to Cite

Geremew, D. (2020). Performance of Microfinance Institution Integrating Financial and Non-Financial Metrics: In BGRS, Assosa Zone. International Journal of Sciences: Basic and Applied Research (IJSBAR), 49(2), 199–215. Retrieved from https://gssrr.org/index.php/JournalOfBasicAndApplied/article/view/10508

Issue

Vol. 49 No. 2 (2020)

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Articles

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