Corporate Governance and Performance of Microfinance Institutions (MFIs): A Comparative Study in Sri Lanka and India
type: CreativeWork
description: This thesis investigates the impact of corporate governance practices on financial performance and outreach of microfinance institutions (MFIs) in Sri Lanka and India. Guidance and principles developed from prior research which has predominantly focussed on corporate governance relating to corporations in mature financial markets may not be efficacious. There is a need for a more specific approach to identify better governance structures for the microfinance sector which will support MFIs to attain long-term sustainability of the industry. In order to contribute to this debate, this research examines (i) the relationship between corporate governance practices, financial performance and outreach of Sri Lankan MFIs (ii) the relationship between corporate governance practices, financial performance and outreach of Indian MFIs (iii) MFIs’ corporate governance and performance differences between Sri Lanka and India and (iv) the relationship between corporate governance and performance of MFIs based on a combined sample and considering the influence of national governance quality. A study of corporate governance in the microfinance sector is timely and important as unfair practice accusations against MFIs raise questions around what is an appropriate framework for monitoring and control of MFI activities. A well-structured corporate governance practice may reduce the impact of corruption and undue bureaucracy by increasing transparency and accountability of funds utilised in microfinance activities. Even though studies of corporate governance and firm performance in mature markets are largely and rapidly evolving, their impact on MFI performance is little researched and reported. It is argued that MFIs which maintain good corporate governance practices will be financially and socially sustainable. This thesis makes a number of contributions to the existing knowledge of corporate governance and MFI performance in several ways. First, it provides evidence from Sri Lanka and…
abstract: This thesis investigates the impact of corporate governance practices on financial performance and outreach of microfinance institutions (MFIs) in Sri Lanka and India. Guidance and principles developed from prior research which has predominantly focussed on corporate governance relating to corporations in mature financial markets may not be efficacious. There is a need for a more specific approach to identify better governance structures for the microfinance sector which will support MFIs to attain long-term sustainability of the industry. In order to contribute to this debate, this research examines (i) the relationship between corporate governance practices, financial performance and outreach of Sri Lankan MFIs (ii) the relationship between corporate governance practices, financial performance and outreach of Indian MFIs (iii) MFIs’ corporate governance and performance differences between Sri Lanka and India and (iv) the relationship between corporate governance and performance of MFIs based on a combined sample and considering the influence of national governance quality. A study of corporate governance in the microfinance sector is timely and important as unfair practice accusations against MFIs raise questions around what is an appropriate framework for monitoring and control of MFI activities. A well-structured corporate governance practice may reduce the impact of corruption and undue bureaucracy by increasing transparency and accountability of funds utilised in microfinance activities. Even though studies of corporate governance and firm performance in mature markets are largely and rapidly evolving, their impact on MFI performance is little researched and reported. It is argued that MFIs which maintain good corporate governance practices will be financially and socially sustainable. This thesis makes a number of contributions to the existing knowledge of corporate governance and MFI performance in several ways. First, it provides evidence from Sri Lanka and…
author: Thrikawala, Sujani Sudhara
keywords: Corporate Governance, Microfinance Institutions, Financial Performance, Outreach, Sri Lanka, India
license: https://researchcommons.waikato.ac.nz/bitstreams/4aac3b6a-68b2-4e8b-844a-3724e8f8ce42/download
date published: 2016
date modified: 2026-07-24T05:57:52Z
provider: University Waikato
publisher: Networked Digital Library of Theses and Dissertations
type: WebPage
source organization: University of Waikato