Microfinance and Performance of Micro and Small Enterprises: Does Training have an Impact

Syed Hussain Haider, Muzaffar Asad, Minaa Fatima, Rana Zain Ul Abidin

Abstract


Access to finance is considered as very important for gaining high performance of Micro and Small Enterprises (MSEs). Yet it has been observed that despite the availability of access to finance the performance of several MSEs is poor, which is a major hurdle in the growth rate of MSEs. The purpose of this study was to find the difference in certain performance indicators of MSEs who owners have been given training against those whose owners have never been given any kind of training. In order to conduct study survey research has been conducted and a sample of 384 MSEs was selected on simple random basis. The findings revealed that all the performance indicators including sales increase, income increase, assets increase, employment increase, and meeting household expenses have shown a significant difference among the two groups. The findings of the study are very important for the policy makers and the people who are involved in microfinance industry.

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DOI: https://doi.org/10.5296/jebi.v4i1.10566

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