A Determination of how Microfinance Institutions Affect the Growth of Small to Medium Entreprises (SMES). KCI Microfinance Case Study (2016–2017)
- Author
- Mubaiwa, Munyaradzi
- Title
- A Determination of how Microfinance Institutions Affect the Growth of Small to Medium Entreprises (SMES). KCI Microfinance Case Study (2016–2017)
- Abstract
- In this study, the effect of microfinance institutions on the expansion of small and medium-sized businesses between 2016 and 2017 is evaluated. Secondary data was used in the research that was gleaned from databases and digital systems at KCI Microfinance as well as client records. E-views 10 and Stata 14 statistical software were used to analyse data from the study population of 150 SMEs. Regression was used to estimate the research findings. According to the study's findings, SMEs expand when they have access to loans from microfinance institutions (credit). The findings also demonstrated that SMEs used credit facilities, but that this did not significantly affect their ability to grow. SMEs face difficulties in both their inability to obtain the necessary credit for growth and their lack of formal education and business training for management. Other factors like business age and education have shown to be important in favourably effecting the expansion of SMEs. The report then made suggestions for potential measures that the Zimbabwean government might implement to boost the expansion of SMEs. The suggestions include financial advising services, the creation of SME banks, quarterly reviews of performance of small and medium and microfinance policies to provide business training
- Date
- 2023
- Publisher
- BUSE
- Keywords
- Microfinance Institutions
- Supervisor
- N/A
- Item sets
- Department of Economics
