Microfinance efficiency in the West African economic and monetary union: have reforms promoted sustainability or outreach?
AbstractThis study assesses whether the undertaken reforms in the microfinance industry in the West African Economic and Monetary Union (WAEMU) have promoted sustainability or outreach. To this purpose we use a data envelopment analysis (DEA) to measure the social efficiency on the one hand and the financial efficiency on the other hand. Our results show that social efficiency decreases, while financial efficiency increases. Moreover, reforms have a negative impact on social efficiency. Indeed, prudential ratios and accounting standards that were implemented led MFIs to abandon their social role.
Download InfoIf you experience problems downloading a file, check if you have the proper application to view it first. In case of further problems read the IDEAS help page. Note that these files are not on the IDEAS site. Please be patient as the files may be large.
Bibliographic InfoPaper provided by Department of Research, Ipag Business School in its series Working Papers with number 25.
Length: 25 pages
Date of creation: 08 Oct 2013
Date of revision:
microfinance efficiency; outreach and sustainability; regulatory programs; WAEMU;
Find related papers by JEL classification:
- C23 - Mathematical and Quantitative Methods - - Single Equation Models; Single Variables - - - Models with Panel Data; Longitudinal Data; Spatial Time Series
- C61 - Mathematical and Quantitative Methods - - Mathematical Methods; Programming Models; Mathematical and Simulation Modeling - - - Optimization Techniques; Programming Models; Dynamic Analysis
- C67 - Mathematical and Quantitative Methods - - Mathematical Methods; Programming Models; Mathematical and Simulation Modeling - - - Input-Output Models
- G21 - Financial Economics - - Financial Institutions and Services - - - Banks; Other Depository Institutions; Micro Finance Institutions; Mortgages
- O16 - Economic Development, Technological Change, and Growth - - Economic Development - - - Financial Markets; Saving and Capital Investment; Corporate Finance and Governance
- O55 - Economic Development, Technological Change, and Growth - - Economywide Country Studies - - - Africa
This paper has been announced in the following NEP Reports:
- NEP-ALL-2013-10-18 (All new papers)
- NEP-EFF-2013-10-18 (Efficiency & Productivity)
- NEP-MFD-2013-10-18 (Microfinance)
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
- Cull , Robert & Demirguc-Kunt , Asli & Morduch, Jonathan, 2009.
"Does regulatory supervision curtail microfinance profitability and outreach ?,"
Policy Research Working Paper Series
4948, The World Bank.
- Cull, Robert & Demirgüç-Kunt, Asli & Morduch, Jonathan, 2011. "Does Regulatory Supervision Curtail Microfinance Profitability and Outreach?," World Development, Elsevier, vol. 39(6), pages 949-965, June.
- Hermes, Niels & Lensink, Robert & Meesters, Aljar, 2011.
"Outreach and Efficiency of Microfinance Institutions,"
Elsevier, vol. 39(6), pages 938-948, June.
- Meesters, Aljar & Lensink, Robert & Hermes, Niels, 2008. "Outreach and Efficiency of Microfinance Institutions," Research Report 08002, University of Groningen, Research Institute SOM (Systems, Organisations and Management).
- Valentina Hartarska & Denis Nadolnyak, 2007. "Do regulated microfinance institutions achieve better sustainability and outreach? Cross-country evidence," Applied Economics, Taylor & Francis Journals, vol. 39(10), pages 1207-1222.
- John Weiss & Heather Montgomery, 2005.
"Great Expectations: Microfinance and Poverty Reduction in Asia and Latin America,"
Oxford Development Studies,
Taylor and Francis Journals, vol. 33(3-4), pages 391-416.
- Weiss, John & Montgomery, Heather, 2004. "Great expectations: microfinance and poverty reduction in Asia and Latin America," MPRA Paper 33142, University Library of Munich, Germany.
- Roberts, Peter W., 2013. "The Profit Orientation of Microfinance Institutions and Effective Interest Rates," World Development, Elsevier, vol. 41(C), pages 120-131.
- Berg, Sigbjorn Atle & Forsund, Finn R. & Hjalmarsson, Lennart & Suominen, Matti, 1993. "Banking efficiency in the Nordic countries," Journal of Banking & Finance, Elsevier, vol. 17(2-3), pages 371-388, April.
- Gutiérrez-Nieto, Begoña & Serrano-Cinca, Carlos & Mar Molinero, Cecilio, 2007. "Microfinance institutions and efficiency," Omega, Elsevier, vol. 35(2), pages 131-142, April.
- Robert Cull & Asli Demirgüç-Kunt & Jonathan Morduch, 2009.
"Microfinance Meets the Market,"
Journal of Economic Perspectives,
American Economic Association, vol. 23(1), pages 167-92, Winter.
- Mersland, Roy & Strøm, R. Øystein, 2010. "Microfinance Mission Drift?," World Development, Elsevier, vol. 38(1), pages 28-36, January.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Ingmar Schumacher).
If references are entirely missing, you can add them using this form.