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Linking SMEs to sources of credit: The performance of micro finance institutions in Zimbabwe

Apr 30, 2003 | T. Ngwenya, N. Ndlovu | IFLIP/ILO
This study sought to evaluate the performance of MFIs in Zimbabwe. The findings indicate that although MFIs have performed below a set standard, on average due to some industry wide challenges, they have had a significant impact in linking SMEs and the poor to sources of credit. It is recommended that the Government of Zimbabwe formulates a strategic plan on the SMEs and the MFIs for prudential operations. It should also make information disclosure by MFIs mandatory. MFIs are encouraged to introduce insurance products to cushion both themselves and the SMEs in the event of problems.
Theme: SME Finance, Financial Inclusion | Country: Zimbabwe | Pages: 51