The determinants of microfinance institutions efficiency in Cameroon
DOI:
https://doi.org/10.59051/joaf.v10i1.149Keywords:
Keywords : DEA, efficiency, censored Tobit, determinants, MC2.Abstract
The objective of this study is to identify the Cameroon Microfinance Institutions efficiency determinants. We then apply the non-parametric method DEA and the censured Tobit model on a sample of 47 Microfinance institutions (MFI) belonging to the MC2 network. The censured Tobit model enabled us to identify the factors influencing the efficiency of the considered MFI. The censured Tobit model shows us that, to improve their efficiency, the MC2 network MFI must take into account a certain number of endogenous and exogenous factors such as the area of establishment, the number of customers, the size and the provisions constituted. In fact, we realized that the area of establishment and the number of customers positively impact the efficiency, while the size and the provisions constituted exercise a significant negative influence on the efficiency.
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