Open Access Open Access  Restricted Access Subscription or Fee Access

The Role of Micro-Finance Institution to Improve Efficiency of Savings Mobilization in Gedeo Zone SNNPRS, Ethiopia

Atul Bansal, Berhanu Getinet

Abstract


Microfinance saving mobilization can help to gain financial independence, increase profitability and help microfinance institution to reach financial self-sufficiency. The study will seek to identify the factors affecting microfinance saving mobilization at microfinance institutions in Gedeo Zone, SNNPRs, Ethiopia. The study identified variables that can affect microfinance total saving. Nine variables were regressed with the dependent variable. The data for these variables was collected from microfinance institutions, National Bank of Ethiopia and Association of Ethiopia Microfinance Institution and customers. The multiple regression model was constructed for the dependent variable and the nine independent variables. The data in the study was analyzed using statistical package for social sciences version 16.0 and presented using tables and frequencies. The findings of this study will be important for the particular organizations under study to identify the factors affecting mobilizing savings and enable them bringing to attention for effective saving management study in particular and Ethiopia in general.

Keywords


Microfinance, saving mobilization, financial independence

Full Text:

PDF

References


MFT.Country Survey: Ethiopia. Micro-finance Transparency. Dec 2013.

Taskin F. Difference in Households Saving Behaviour: Evidence from Industrialized and Developing Countries. The Developing Economies.1996; 34(2).

Kraay A. Household Saving in China.The World Bank Econ Rev.2000; 14(3).

Robinson MS. The Micro Finance Revolution: Sustainable Finance for the Poor.World Bank. Washington, D.C. USA. 2006.

Ardener Shirley, Sandra Burman. Money-Go-Rounds: The Importance of Rotating Savings and Credit Associations for Women, Oxford: Berg.1995.

Collier, Gunning. Financial Instruments of the Poor: Initial Findings from the Financial Diaries Project.CSSR Working Paper No. 130.1999.

Branch, Brian, Christopher Baker. Overcoming Credit Union Governance Problems. In: Safe Money. Glenn Westley and Brian Branch(Ed.), Washington, DC: Inter-AmericanDevelopment Bank. 2000.

Mohammad Namazi, Mahdi Salehi. The Role of Inflation in Financial Repression: Evidence from Iran.IDOSI Publications.World ApplSci J.2010; 11(6).

BasuJC,Woller G.MicrofinanceaComprehensiveReviewofExisting Literature.Journal of Entrepre-neurial Financeand Business Ventures. 2004; 9(1): 1–26p.

Hishigsuren G.Scaling Up and Mission Drift: Can Microfinance Institutions Maintain a Poverty Alleviation Mission while Scaling Up? Unpublished PhD Thesis, Southern New Hampshire University.2004.

Kereta B.OutreachandFinancialPerformanceAnalysisofMicrofinanceInstitutionsinEthiopia. African Economic Conference, Addis, Ababa. 2007.

Kindane A. Outreach and Sustainability of the Amhara Credit and Saving Institutions, (ACSI) Ethiopia. MA Thesis, Norwegian Universityof LifeSciences. 2007.

Role of MFI in Savings Mobilization Bansal and Getinet

JoPRM (2015) 27-38 © STM Journals 2015. All Rights Reserved Page 38

Ebisa Deribie, Getachew Nigussie, Fikadu Mitiku. Filling the Breach: Micro-finance. J. Bus. Econ. Manage.2013; 1(1).

Aklilu Y. (2002), The Importance of Micro Finance Institutions in Developing Economies: Country Experience and Policy Implications to Ethiopia, NBE Staff Working Paper, ERD/SWP/005/ 2002.

Lakew B., Micro enterprise Credit And Poverty Alleviation In Ethiopia: The Case The Project Office For The Creation Of Small Scale Business Opportunities (POCSSBO) In Addis Ababa, Unpublished MSc. Thesis, 1998, Department of Economic, Addis Ababa University.

Peter W Muriu, Study of Microfinance Profitability; 2011.

Marie-Therese Nga. An Investigative Analysis Into The Saving Behaviour Of Poor Households In Developing Countries: With Specific Reference To South Africa; 2009.

www.academiapublishing.org/jbem

http://www.mftransparency.org




DOI: https://doi.org/10.37591/joprm.v5i1.7174

Refbacks

  • There are currently no refbacks.