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What type of microfinance institutions comply with International Financial Reporting Standards?

Author

Listed:
  • Magloire Nya Tchatchoua
  • Isabelle Pignatel
  • Hubert Tchakoute Tchuigoua

Abstract

What are the characteristics of microfinance institutions (MFIs) that choose to draft their financial statements according to international accounting standards? That is the question this article investigates. We study a pooled sample of 5,290 audited financial statements from 2007 to 2015 and find consistent evidence that the institutional framework, for-profit status, and maturity, are likely to drive the MFIs choice to comply with international financial reporting standards. Results are robust after controlling for whether MFIs operate in a country where IFRS are permitted or required.

Suggested Citation

  • Magloire Nya Tchatchoua & Isabelle Pignatel & Hubert Tchakoute Tchuigoua, 2019. "What type of microfinance institutions comply with International Financial Reporting Standards?," Working Papers CEB 19-012, ULB -- Universite Libre de Bruxelles.
  • Handle: RePEc:sol:wpaper:2013/287175
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    References listed on IDEAS

    as
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    More about this item

    Keywords

    IFRS; Microfinance; Audit;

    JEL classification:

    • G21 - Financial Economics - - Financial Institutions and Services - - - Banks; Other Depository Institutions; Micro Finance Institutions; Mortgages
    • G34 - Financial Economics - - Corporate Finance and Governance - - - Mergers; Acquisitions; Restructuring; Corporate Governance
    • L31 - Industrial Organization - - Nonprofit Organizations and Public Enterprise - - - Nonprofit Institutions; NGOs; Social Entrepreneurship
    • M42 - Business Administration and Business Economics; Marketing; Accounting; Personnel Economics - - Accounting - - - Auditing

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