Effect of Loan Collection Procedures and Loan Default in Microfinance Institutions in Kirinyaga County

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Munyua Cyrus Mwangi
Munyua Cyrus Mwangi
1 Karatina University

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GJMBR Volume 16 Issue A8

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This study examined the performance of Microfinance Institutions (MFIs) in Kirinyaga County and particularly the women groups affiliated to the Institutions because they are registered as social welfare groups,(save for deposit taking MFI’S) and therefore they are not regarded as financial institutions and hence not registered at all and are also not under the control of Central Bank of Kenya, or the Micro finance regulatory body The Research targeted 300 employees of MFIs under study. The findings indicated that the operations of MFIs have grown remarkably due to expansion in the informal sector activities coupled with bank’s reluctance to fund the evolving small and medium enterprises. On the other hand, financial services provided by MFIs have not been given any publicity or indicated among financial institutions in the official financial statistics.

Funding

No external funding was declared for this work.

Conflict of Interest

The authors declare no conflict of interest.

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No ethics committee approval was required for this article type.

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Not applicable for this article.

Munyua Cyrus Mwangi. 2016. \u201cEffect of Loan Collection Procedures and Loan Default in Microfinance Institutions in Kirinyaga County\u201d. Global Journal of Management and Business Research - A: Administration & Management GJMBR-A Volume 16 (GJMBR Volume 16 Issue A8): .

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GJMBR Volume 16 Issue A8
Pg. 47- 51
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Crossref Journal DOI 10.17406/GJMBR

Print ISSN 0975-5853

e-ISSN 2249-4588

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GJMBR-A Classification: JEL Code: D53
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v1.2

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September 20, 2016

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English

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This study examined the performance of Microfinance Institutions (MFIs) in Kirinyaga County and particularly the women groups affiliated to the Institutions because they are registered as social welfare groups,(save for deposit taking MFI’S) and therefore they are not regarded as financial institutions and hence not registered at all and are also not under the control of Central Bank of Kenya, or the Micro finance regulatory body The Research targeted 300 employees of MFIs under study. The findings indicated that the operations of MFIs have grown remarkably due to expansion in the informal sector activities coupled with bank’s reluctance to fund the evolving small and medium enterprises. On the other hand, financial services provided by MFIs have not been given any publicity or indicated among financial institutions in the official financial statistics.

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Effect of Loan Collection Procedures and Loan Default in Microfinance Institutions in Kirinyaga County

Munyua Cyrus Mwangi
Munyua Cyrus Mwangi Karatina University

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