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Earnings Quality in the Microfinance Industry

In: Microfinance in Developing Countries

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  • Leif Atle Beisland
  • Roy Mersland

Abstract

Microfinance institutions (MFIs) supply financial services to micro-enterprises and low-income families. MFIs pursue the double bottom lines of social development and financial returns, and their funding is supplied by a range of sources from donations to commercial investments. Microfinance is thus an arena in which donors meet professional investors, and it has quickly developed into a large industry. Currently, more than 3000 MFIs report their numbers to www.microfinancesummit.org and serve altogether more than 150 million people with microcredit. More than 100 international funds invest in MFIs, and microfinance is about to become an important asset class for investors, particularly those pursuing both financial and social returns ( www.mixmarket.org ).

Suggested Citation

  • Leif Atle Beisland & Roy Mersland, 2013. "Earnings Quality in the Microfinance Industry," Palgrave Macmillan Books, in: Jean-Pierre Gueyie & Ronny Manos & Jacob Yaron (ed.), Microfinance in Developing Countries, chapter 5, pages 83-106, Palgrave Macmillan.
    • Handle: RePEc:pal:palchp:978-1-137-30192-5_5
    DOI: 10.1057/9781137301925_5
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    References listed on IDEAS

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    Cited by:

    1. Leif Atle Beisland & Roy Mersland & Trond Randøy, 2014. "Microbank Regulation and Earnings Quality: A Global Survey," Palgrave Studies in Impact Finance, in: Roy Mersland & R. Øystein Strøm (ed.), Microfinance Institutions, chapter 14, pages 271-293, Palgrave Macmillan.
    2. Muluneh HIDETO DATO & Marek HUDON & Roy MERSLAND, 2020. "Board Governance: Does Ownership Matter?," Annals of Public and Cooperative Economics, Wiley Blackwell, vol. 91(1), pages 5-28, March.
    3. Beisland, Leif Atle & Mersland, Roy, 2014. "Earnings Quality in Nonprofit Versus For-Profit Organizations: Evidence From the Microfinance Industry," EconStor Open Access Articles and Book Chapters, ZBW - Leibniz Information Centre for Economics, vol. 43(4), pages 652-671.
    4. Mersland, Roy & Strøm, R. Øystein, 2014. "Measuring Microfinance Performance," EconStor Open Access Book Chapters, in: Microfinance Institutions: Financial and Social Performance, pages 12-30, ZBW - Leibniz Information Centre for Economics.
    5. Beisland, Leif Atle & Mersland, Roy & Randøy, Trond, 2014. "Transparency and Disclosure in the Global Microfinance Industry: Implications for practice and policy makers," EconStor Open Access Book Chapters, in: The Oxford Handbook of Political, Institutional and Corporate Transparency, pages 434-455, ZBW - Leibniz Information Centre for Economics.
    6. Daudi Pascal & Leif Atle Beisland & Roy Mersland, 2016. "The origin of CEOs and its influence on microfinance performance and risk-taking," Working Papers CEB 16-046, ULB -- Universite Libre de Bruxelles.

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