Loading menu…

Comparative Analysis on the Economic Impacts of Clientas and Member Based Microfinance Institutions in Ethiopia

§ Lecturer in the College of Business and Economics, H...

Send Message

To: Author

Comparative Analysis on the Economic Impacts of Clientas and Member Based Microfinance Institutions in Ethiopia

Article Fingerprint

ReserarchID

C: FINANCE92NRA

Comparative Analysis on the Economic Impacts of Clientas and Member Based Microfinance Institutions in Ethiopia Banner

Key Research Insights

Synthesized scholarly intelligence & interactive research assistant
  • English
  • Afrikaans
  • Albanian
  • Amharic
  • Arabic
  • Armenian
  • Azerbaijani
  • Basque
  • Belarusian
  • Bengali
  • Bosnian
  • Bulgarian
  • Catalan
  • Cebuano
  • Chichewa
  • Chinese (Simplified)
  • Chinese (Traditional)
  • Corsican
  • Croatian
  • Czech
  • Danish
  • Dutch
  • Esperanto
  • Estonian
  • Filipino
  • Finnish
  • French
  • Frisian
  • Galician
  • Georgian
  • German
  • Greek
  • Gujarati
  • Haitian Creole
  • Hausa
  • Hawaiian
  • Hebrew
  • Hindi
  • Hmong
  • Hungarian
  • Icelandic
  • Igbo
  • Indonesian
  • Irish
  • Italian
  • Japanese
  • Javanese
  • Kannada
  • Kazakh
  • Khmer
  • Korean
  • Kurdish (Kurmanji)
  • Kyrgyz
  • Lao
  • Latin
  • Latvian
  • Lithuanian
  • Luxembourgish
  • Macedonian
  • Malagasy
  • Malay
  • Malayalam
  • Maltese
  • Maori
  • Marathi
  • Mongolian
  • Myanmar (Burmese)
  • Nepali
  • Norwegian
  • Pashto
  • Persian
  • Polish
  • Portuguese
  • Punjabi
  • Romanian
  • Russian
  • Samoan
  • Scots Gaelic
  • Serbian
  • Sesotho
  • Shona
  • Sindhi
  • Sinhala
  • Slovak
  • Slovenian
  • Somali
  • Spanish
  • Sundanese
  • Swahili
  • Swedish
  • Tajik
  • Tamil
  • Telugu
  • Thai
  • Turkish
  • Ukrainian
  • Urdu
  • Uzbek
  • Vietnamese
  • Welsh
  • Xhosa
  • Yiddish
  • Yoruba
  • Zulu
Reading Preferences
Font Size
Line Spacing
Background
This converted HTML version may contain rendering inconsistencies. Please refer to the PDF for the authoritative version, or click here to provide feedback.

Abstract

Several evidences in the developing world argued that access to finance can help to substantially reduce poverty. Contrarily, proponents criticized that MC does not reach the poorest of the poor or that the poorest are deliberately excluded from the MC programs. Despite the apparent success and popularity of microfinance, no clear evidence yet exists that microfinance programs have positive impacts on the life of the poor. The main aim of this study is therefore, to assess the relative economic contributions made through the CBMFIs and SACCOs. The study applied DID approaches comprising of the FE and RE models and the t test statistics taken part from analysis of varying cross-sectional and panel data collected through Questionnaires and structured interview. To fulfill the stated research objectives, the researcher considered the income levels of individuals, of households and of businesses, as well as savings levels, expenditure, and asset accumulation as outcome indicators.

References

47 Cites in Article
  1. 1. ADB (2008). Microfinance Development Strategy. Microfinance Development Strategy
  2. 2. S. Anton (2001). From Event to Procss: Current Trends in Microfinance impact assessment’, impact assessment. Small Enterprise Development, 12(4)
  3. 3. D. Armendariz,J. Morduch (2000). Microfinance beyond Group Lending. Economics of Transition, 8(2), 401-420.
  4. 4. D. Armendariz,J. Morduch (2000). Microfinance beyond Group Lending. Economics of Transition, 8(2), 401-420.
  5. 5. Bamlaku Alemu (2004). Microfinance and Improvement in Living Standards: A Pathway Out of Poverty: The Case of Enemay Woreda, Eastern Gojjam, Amhara Regional State. Working Paper
  6. 6. C. Barnes (2001). Microfinance Program Clients and Impact: An Assessment of Zambuko Trust, Zimbabwe. AIMS Paper. Washington D.C.: Management Systems International. (Critics
  7. 7. Suresh De Mel,David McKenzie,Christopher Woodruff (2008). Returns to Capital in Microenterprises: Evidence from a Field Experiment *. Quarterly Journal of Economics, 123(4), 1329-1372.
  8. 8. Dmnsw Dissanayake (2014). The Determinants of Microfinance Profitability: Evidences From Sri Lankan Microfinance Institutions. Kelaniya Journal of Management, 1(1), 50-67.
  9. 9. C. Dunford (2006). Evidence of Microfinance's Contribution to Achieving the Millennium Development Goals’ Freedom from Hunger. Freedom from Hunger
  10. 10. Gebrehiwot Ageba (2001). Microfinance Institutions in Ethiopia: Issues of Portfolio Risk, institutional Arrangement and Governance. Microfinance Institutions
  11. 11. Hege Gulli (1998). Microfinance and Poverty: Questioning the Conventional Wisdom New York: Inter-American Development Bank. Microfinance and Poverty: Questioning the Conventional Wisdom New York: Inter-American Development Bank
  12. 12. Niels Hermes,Robert Lensink (2007). Impact of microfinance: A critical survey. Economic and Political Weekly’, 42(6)
  13. 13. S. Holt (1994). The Village Bank Methodology: Performance and prospects. The New World of Microenterprise Finance
  14. 14. S. Holt (1994). The Village Bank Methodology: Performance and prospects. The New World of Microenterprise Finance
  15. 15. D. Hulme,P. Mosley (1996). World Economic Outlook 2005. International Monetary Fund Annual Report
  16. 16. D. Hulme,P. Mosley (1996). Finance Against Poverty. I & II).London: Rout ledge
  17. 17. Jamal Haroon (2008). Exploring the Impact of Microfinance in Pakistan. Research Report No.77
  18. 18. Jean-Luc C (2006). Micro and Small Enterprises and Micro finance in Africa, the support to dynamic enterprises: an effective weapon for poverty alleviation. included in Birritu No. 95, quarterly bulletin of National Bank of Ethiopia
  19. 19. Susan Johnson,Ben Rogaly (1997). Back matter - Microfinance and Poverty Reduction. Microfinance and Poverty Reduction, 125-137.
  20. 20. J. Kah,D. Olds,M. Kah (2005). Microcredit, Social Capital, and Politics. Journal of Microfinance, 7(1), 121-151.
  21. 21. Dean Karlan,Jonathan Zinman (2009). Expanding Microenterprise Credit Access: Using Randomized Supply Decisions to Estimate the Impacts in Manila. Center Discussion Paper, Economic Growth Center, 976.
  22. 22. M. Khandker (1998). Socio-economic and psychological dynamics of empowerment of Grameen Bank and BRAC borrowers. Paper presented at the conference 'Recent research on microfinance: Implications for policy
  23. 23. J. Ledger wood (1999). Microfinance Handbook: An Institutional and Financial Perspective Washington, D. Microfinance Handbook: An Institutional and Financial Perspective Washington
  24. 24. J. Ledger wood (1999). Microfinance Handbook: An Institutional and Financial Perspective Washington, D.
  25. 25. E. Littlefield,J. Morduch,S. Hashemi (2003). 'Is Microfinance an Effective Strategy to Reach the Millennium Development Goals?. CGAP Focus Note
  26. 26. R. Lucas,O. Stark (1985). Motivations to Remit: Evidence from Botswana. Journal of Political Economy, 93(5), 901-918.
  27. 27. David McKenzie,Christopher Woodruff (2006). Do Entry Costs Provide an Empirical Basis for Poverty Traps? Evidence from Mexican Microenterprises. Economic Development and Cultural Change, 55(1), 3-42.
  28. 28. Ministry of Finance and Economic Development (2005). Ethiopia: Building on Progress: A Plan for Accelerated and Sustained Development to End Poverty (PASDEP) (2005/6-2009/10). Addis Ababa. (Panjaitan and Cloud, 6-2009.
  29. 29. K. Mohamed (2003). Access to Formal and Quasi- Formal Credit by Smallholder Farmers and Artisanal Fishermen: A Case of Zanzibar. Research on Poverty Alleviation
  30. 30. G. Morris,C. Barnes (2005). An Assessment of the Impact of Microfinance. Journal of Microfinance, 7(1), 40-54.
  31. 31. Paul Mosley,David Hulme (1998). Microenterprise finance: Is there a conflict between growth and poverty alleviation?. World Development, 26(5), 783-790.
  32. 32. Munir Kamal (2012). Microfinance; Akhuwat: Making Microfinance Work: A groundbreaking microfinance model is bringing out the best in society. A standard social innovation review accessed
  33. 33. Mark Pitt,Shahidur Khandker (1998). The impact of Group‐Based Credit Programs on Poor Households in Bangladesh: Does the Gender of Participants Matter?. Journal of Political Economy, 106(5), 958-996.
  34. 34. V. Puhazhendhi,K. Satyasai (2000). Microfinance for rural people: an impact evaluation. National Bank for Agriculture and Rural Development
  35. 35. M. Robinson (2001). The Microfinance Revolution: Sustainable Finance for the Poor.
  36. 36. N. Scully (2004). Microcredit No Panacea for Poor Women. Global Development Research Centre
  37. 37. D. Shannon,Dan Shimeles,T. Gilbert,B. (2005). Outcomes of an Ethiopian Microfinance Program and Management Actions to Improve Services. J. Microfinance
  38. 38. N. Shete (1999). Alternative Models of Microfinance: Experiences of India Commercial Banks, Saving and Development.
  39. 39. A. Simanowitz (2003). Appraising the Poverty Outreach of Microfinance: A Review of the CGAP Poverty Assessment Tool (PAT). Imp-Act Occasional Paper No. 1, Brighton: IDS
  40. 40. S. Simanowitz (2002). Microfinance for the Poorest: A Review of Issues and Ideas for Contributions f Imp-Act.
  41. 41. J. Susan,R. Ben (2002). Microfinance and Poverty Reduction, Oxfam.
  42. 42. Christopher Udry,Santosh Anagol (2006). The Return to Capital in Ghana. American Economic Review, 96(2), 388-393.
  43. 43. UNDP (2003). Human Development Report.
  44. 44. A. Woday (2005). Microfinance in Ethiopia: Performance Challenge and Role in Poverty Reduction.
  45. 45. G. Wood,I. Sharif (1997). Who Needs Credit? Poverty and Finance in Bangladesh.
  46. 46. G. Wright (1999). Examining the Impact of Microfinance Services - Increasing Income or Reducing Poverty. Small Enterprise Development, 10(1), 39-47.
  47. 47. K. Zaheer (2011). Role of Mosque in Socioeconomic Development: The Akhuwat Experience. Conference Proceedings 24th

Funding

No external funding was declared for this work.

Conflict of Interest

The authors declare no conflict of interest.

Ethical Approval

No ethics committee approval was required for this article type.

Data Availability

Not applicable for this article.

How to Cite This Article

Habtamu Getnet Altasseb. 2015. "Comparative Analysis on the Economic Impacts of Clientas and Member Based Microfinance Institutions in Ethiopia". Global Journal of Management and Business Research - C: Finance GJMBR-C Volume 15 (GJMBR Volume 15 Issue 32 (C7)).

More Citation Formats

Download Citation

Journal Specifications

Crossref Journal DOI 10.17406/GJMBR

Print ISSN 0975-5853

e-ISSN 2249-4588

Keywords
Classification
GJMBR-C Classification JEL Code: E44
Version of record
v1.2

Issue date
July 22, 2015

Language
English
Order Article Reprint
Experience in AR

Explore published articles in an immersive Augmented Reality environment. Our platform converts research papers into interactive 3D books, allowing readers to view and interact with content using AR and VR compatible devices.

Read in 3D

Your published article is automatically converted into a realistic 3D book. Flip through pages and read research papers in a more engaging and interactive format.

Article Matrices
Total Views: 1.9K
Total Downloads: 164
All Trends

Request Access

Please fill out the form below to request access to this research paper. Your request will be reviewed by the editorial or author team.
X

This is the heading

Lorem ipsum dolor sit amet, consectetur adipiscing elit. Ut elit tellus, luctus nec ullamcorper mattis, pulvinar dapibus leo.

High-quality academic research articles on global topics and journals.

Comparative Analysis on the Economic Impacts of Clientas and Member Based Microfinance Institutions in Ethiopia

Habtamu Altasseb
Habtamu Altasseb Lecturer in the College of Business and Economics, Hawassa University.