COMPARATIVE LOAN PERFORMANCE IN BANKS AND MICRO-CREDIT INSTITUTIONS IN ONDO STATE, NIGERIA

Dr. Tomola Marshal Obamuyi

COMPARATIVE LOAN PERFORMANCE IN BANKS AND MICRO-CREDIT INSTITUTIONS IN ONDO STATE, NIGERIA

Dr. Tomola Marshal Obamuyi * §

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Adekunle Ajasin University

COMPARATIVE LOAN PERFORMANCE IN BANKS AND MICRO-CREDIT INSTITUTIONS IN ONDO STATE, NIGERIA

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Abstract

The paper compares the performance of loans granted to small and medium enterprises by banks with that of micro-credit institutions in Nigeria, using Ondo State as a case study. Descriptive statistics were used to analyse the data collected through primary source. The paper reveals that the average repayment rate of 92.93% for banks was higher than the 34.06% for the micro-credit schemes. That is, the banks performed at much higher levels than microcredit schemes. Based on the findings, it was recommended that there should be stern efforts by the credit institutions in screening of loan applications, monitoring of approved loans and enforcing loan contract. Government should provide the basic infrastructural facilities, which unnecessarily increase the cost of doing business in the country.

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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

Dr. Obamuyi. 2011. "COMPARATIVE LOAN PERFORMANCE IN BANKS AND MICRO-CREDIT INSTITUTIONS IN ONDO STATE, NIGERIA". Global Journal of Management and Business Research, Global Journal of Management and Business Research - B: Economic & Commerce GJMBR-B Volume 11 (GJMBR Volume 11 Issue B4).

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GJMBR Volume 11 Issue B4

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Journal Specifications

Crossref Journal DOI 10.17406/GJMBR

Print ISSN 0975-5853

e-ISSN 2249-4588

Keywords

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Classification

GJMBR-B Classification JEL Code: H81

E51

Submission ReceivedJanuary 4, 2011
Peer Review Double Blind
Handling Editor
Accepted January 31, 2011
Published February 10, 2011

Version of record

v1.2

Issue date

March 12, 2011

Language

English

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Total Score: 153

Country: Nigeria

Subject: Global Journal of Management and Business Research

Authors: Dr. Tomola Marshal Obamuyi (PhD/Dr. count: 1)

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Publish Date: 2011 02, Thu

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