An Analytical Study of Outreach and Financial Performance of Selected Micro Finance Institutions in India
Author: Singh, V.P. & Gupta, H.O.
Abstract: Poverty is one of the foremost challenges facing the Indian government;
various measures have been taken to eradicate poverty. The microfinance
model hopes to raise funds by lending the money using different models in
this situation. Several studies have been conducted worldwide, and it is
widely accepted that microfinance initiatives have made a significant
difference to target groups that do not have easy access to credit. However,
the financial feasibility of microfinance institutions is increasingly
questioned. In the long run, MFI must be economically viable and
sustainable.
This white paper examines MFIs performance in terms of outreach and
financial performance. It examines the reach and profitability of selected
microfinance institutions operating in India between 2010 and 2017.
These institutions need to pursue high goals through superior financial
performance that operate financially efficiently for disadvantaged groups
benefit to continue their operations.
Keywords:Microfinance, financial sustainability, Return on equity,
Operational self-sufficiency, Return on Assets.
DOI:
International Journal of Trade & Commerce (Vol: 10 Issue:2)