Factors Influencing Loan Repayment Performance of Micro and Small Enterprise Borrowers Financed by Micro-finance Institution; The Case of Oromia Credit and Saving S.C (OCSSCO).
| dc.contributor.advisor | Degefe, Duressa (PhD) | |
| dc.contributor.author | Tesfaye, Sisay | |
| dc.date.accessioned | 2018-11-10T14:13:35Z | |
| dc.date.accessioned | 2023-11-04T07:59:19Z | |
| dc.date.available | 2018-11-10T14:13:35Z | |
| dc.date.available | 2023-11-04T07:59:19Z | |
| dc.date.issued | 2018-01 | |
| dc.description | A thesis submitted in the partial fulfillment of the Requirements for the degree of masters of Science in Accounting and finance | en_US |
| dc.description.abstract | Microfinance institutions in Ethiopia are playing an important role in poverty reduction strategies initiated by the government of Ethiopia. These institutions have a mission of creating and facilitating credit and other financial schemes to enhance self-employment opportunities and poverty reduction. There have been challenges in the microfinance institutions’ regarding reducing the high rate of default by their clients specifically with micro and small enterprise borrowers. Thus, the study objective was to identify factors influencing the loan repayment performance of MSE’s financed by MFI, in the Case of Oromia Credit and Saving S.C (OCSSCO).To address the main objectives of the study, four zonal offices of Oromia credit and saving Share Company were selected for the study purpose. Accordingly, in order to achieve the objective 329 sample borrowers were selected from the total of MSE borrowers served by those selected MF zonal offices. The data were collected using a structured questionnaires, and interviews. The descriptive statistics analysis and probit regression model were employed to estimate the model and analyze the results of findings. The result shows that eight variables including constant: monitoring utilization of other members in a enterprises, loan disbursement timeliness, repayment schedule suitability, repayment trend on monthly basis, repayment trend in irregular basis supervision on monthly basis and training adequacy are found significantly influence loan repayment performance of borrowers. Thus, it is recommended that the lending institutes need to focus on monitoring loan utilization systems of borrowers and technical support needs of the target borrowers through delivering better awareness creation to organize the more viable borrowers, close supervision, and follow-ups and strengthening their internal and external weaknesses through better training. | en_US |
| dc.identifier.uri | http://etd.aau.edu.et/handle/123456789/14126 | |
| dc.language.iso | en_US | en_US |
| dc.publisher | Addis Ababa University | en_US |
| dc.subject | Borrowers | en_US |
| dc.subject | Default | en_US |
| dc.subject | Loan repayment | en_US |
| dc.subject | Microfinance | en_US |
| dc.title | Factors Influencing Loan Repayment Performance of Micro and Small Enterprise Borrowers Financed by Micro-finance Institution; The Case of Oromia Credit and Saving S.C (OCSSCO). | en_US |
| dc.type | Thesis | en_US |