Determinants of the financial performance and sustainability of microfinance institutions in Togo

Komlan Edem Agboklou; Burhan Özkan

Makale detayları

Determinants of the financial performance and sustainability of microfinance institutions in Togo

Yazarlar:

Komlan Edem Agboklou | Burhan Özkan

Yayıncı:

Selcuk University

Ana Başlıklar:

Ekonomi

Dergi:

Sosyal Ekonomik Araştırmalar Dergisi Vol.23 Issue 1, pp.1-11

Belge Tipi:

Makale

Yayın Tarihi:

4/2023

Belge Dili:

İngilizce

Document ID (Org No.):

2001288572

pISSN:

2148-3043

Anahtar kelimeler:

Özet:

 Purpose - This article investigates the factors influencing the financial performance and the level of financial sustainability of microfinance institutions MFIs in Togo. Methodology - Ordinary least squares models and binary probit models were employed in the research to identify the determinants of return on assets as a proxy for the financial performance and operational and financial sustainability of microfinance institutions. Unbalanced panel data collected from the MIX Market database of 29 MFIs in Togo over the period 19992018 was used in the study Findings  The results show that MFIs financial performance is positively and statistically influenced by size. However, the number of depositors per borrower and the loan loss ratio is negatively linked to financial performance. The operational sustainability was positively related to the depositors per borrower ratio, the PAR  30 Portfolio at Risk 30 days, and the productivity ratio. On the other hand, it is negatively related to PAR  90 and the ratio of personal expenses to outstanding credit. Finally, financial sustainability was significantly and positively influenced by the size, and it was significantly and negatively influenced by PAR  90. Conclusions  Taking these results into account can allow microfinance actors in Togo as well as politicians and donors to better orient their actions in the sector.

 Purpose - This article investigates the factors influencing the financial performance and the level of financial sustainability of microfinance institutions MFIs in Togo. Methodology - Ordinary least squares models and binary probit models were employed in the research to identify the determinants of return on assets as a proxy for the financial performance and operational and financial sustainability of microfinance institutions. Unbalanced panel data collected from the MIX Market database of 29 MFIs in Togo over the period 19992018 was used in the study Findings  The results show that MFIs financial performance is positively and statistically influenced by size. However, the number of depositors per borrower and the loan loss ratio is negatively linked to financial performance. The operational sustainability was positively related to the depositors per borrower ratio, the PAR  30 Portfolio at Risk 30 days, and the productivity ratio. On the other hand, it is negatively related to PAR  90 and the ratio of personal expenses to outstanding credit. Finally, financial sustainability was significantly and positively influenced by the size, and it was significantly and negatively influenced by PAR  90. Conclusions  Taking these results into account can allow microfinance actors in Togo as well as politicians and donors to better orient their actions in the sector.

 Purpose - This article investigates the factors influencing the financial performance and the level of financial sustainability of microfinance institutions MFIs in Togo. Methodology - Ordinary least squares models and binary probit models were employed in the research to identify the determinants of return on assets as a proxy for the financial performance and operational and financial sustainability of microfinance institutions. Unbalanced panel data collected from the MIX Market database of 29 MFIs in Togo over the period 19992018 was used in the study Findings  The results show that MFIs financial performance is positively and statistically influenced by size. However, the number of depositors per borrower and the loan loss ratio is negatively linked to financial performance. The operational sustainability was positively related to the depositors per borrower ratio, the PAR  30 Portfolio at Risk 30 days, and the productivity ratio. On the other hand, it is negatively related to PAR  90 and the ratio of personal expenses to outstanding credit. Finally, financial sustainability was significantly and positively influenced by the size, and it was significantly and negatively influenced by PAR  90. Conclusions  Taking these results into account can allow microfinance actors in Togo as well as politicians and donors to better orient their actions in the sector.

 Amaç - Bu makalenin amacı, Togodaki mikrofinans kuruluşlarının MFIler finansal performansını ve finansal sürdürülebilirlik düzeyini etkileyen faktörkeri incelemektir. Yöntem - Mikrofinansların finansal performansı, operasyonel ve finansal sürdürülebilirliğini etkileyen faktörleri belirlemek için araştırmada sıradan en küçük kareler ve ikili probit modelleri kullanılmıştır. Çalışmada 1999-2018 döneminde Togodaki 29 MFInin MIX Market veri tabanından toplanan panel verileri kullanılmıştır. Bulgular  Araştırma sonuçları, MFInin finansal performansının pozitif ve istatistiksel olarak büyüklük değişkeninden etkilendiğini göstermektedir. Ancak, borçlu başına düşen mudi sayısı ve kredi zarar oranı finansal performansla negatif ilişkilidir. Operasyonel sürdürülebilirlik, borçlu başına mudi oranı, PAR30 Risk Altındaki Portföy 30 gün ve verimlilik oranı ile pozitif ilişkilidir. Öte yandan, PAR90 ve kişisel giderlerin, ödenmemiş kredilere oranı ile negatif ve anlamlı bir ilişki içindedir. Özetle finansal sürdürülebilirlik; büyüklükten anlamlı ve olumlu bir şekilde etkilenirken, PAR90dan anlamlı ve olumsuz etkilenmektedir. Sonuç  Araştırma sonuçlarının dikkate alınması; Togodaki mikrofinans aktörlerinin yanı sıra politikacıların ve donorlerin sektördeki faaliyetlerini daha iyi yönlendirmelerine yol açabilecektir.

Makale detayları

Determinants of the financial performance and sustainability of microfinance institutions in Togo

Yazarlar:

Komlan Edem Agboklou | Burhan Özkan

Yayıncı:

Selcuk University

Ana Başlıklar:

Ekonomi

Dergi:

Sosyal Ekonomik Araştırmalar Dergisi Vol.23 Issue 1, pp.1-11

Belge Tipi:

Makale

Yayın Tarihi:

4/2023

Belge Dili:

İngilizce

Document ID (Org No.):

2001288572

pISSN:

2148-3043

Financial performance

financial sustainability

Microfinance

TogoFinansal performans

finansal sürdürülebilirlik

Mikrofinans

Togo

Sayı

Makale detayları

Yazarlar: Komlan Edem Agboklou | Burhan Özkan

Yayıncı: Selcuk University

Ana Başlıklar: Ekonomi

Dergi: Sosyal Ekonomik Araştırmalar Dergisi Vol.23 Issue 1, pp.1-11

Belge Tipi: Makale

Yayın Tarihi: 4/2023

Belge Dili: İngilizce

Document ID (Org No.): 2001288572

pISSN: 2148-3043

Sayı

Yazarlar:

Komlan Edem Agboklou | Burhan Özkan

Yayıncı:

Selcuk University

Ana Başlıklar:

Ekonomi

Dergi:

Sosyal Ekonomik Araştırmalar Dergisi Vol.23 Issue 1, pp.1-11

Belge Tipi:

Makale

Yayın Tarihi:

4/2023

Belge Dili:

İngilizce

Document ID (Org No.):

2001288572

pISSN:

2148-3043