Financial monitoring policies of microfinance institutions in Accra : policy formulation and implementation challenges

Abstract

Although numerous articles have been published globally on microfinance (MF), essentially highlighting the need to regulate microfinance institutions (MFIs), none of these, to the knowledge of the researcher, specifically explore in profundity the formulation process of financial monitoring policies (FMPs), their implementation, and the challenges MFIs encounter in implementing these policies. The wave of distressed and failing of MFIs in Ghana and the loss of hard-earned thrift deposits of the poor, therefore demand for this investigation. This study consequently viaducts the gap and contributes to the debate by reviewing the specific financial policies pertaining to MFIs, their formulation, implementation of such policies, and the challenges MFIs encounter relating to those policies. Also introduced into the MF research arena, is the concept of implementation theory to move knowledge frontier forward. Further, the outcome will be of particular relevance to all emerging economies who view MFls as praxis for poverty alleviation, employment creation and addressing inequality. The study adopted a mixed research approach, with both qualitative and quantitative data gathered from a sample of 65 MFIs in Accra through a self-administered, Likert-scaled questionnaire. Data were analysed using SPSS version 24.0, with results presented in frequency tables, figures, correlation tables, and cross-tabulations. The findings reveal that FMPs exist for MFIs in Ghana – Accra, particularly. However, regulation formulation is shown to be lopsided, with implementation of FMPs, and monitoring and supervision thereof, also found to be deficient. The results further indicate that using minimum capital as a tool to ensuring efficiency in the sector, is a major obstacle to overcome to create an impetus for regulatory non-compliance. Based on the findings, the research recommends consideration by policymakers and MFI monitoring units to create a semi-autonomous institution, the National Microfinance Promotion Authority, to regulate and supervise the MFIs in Ghana. It is also recommended that research focus be shifted to policy implementation regarding MF operations.

Perceptions of barriers and facilitators for cervical cancer screening from women and healthcare workers in Ghana: Applying the Dynamic Sustainability Framework

“…Of the two, VIA has been more readily adopted across sub-Saharan Africa (SSA) due to the availability and low cost of acetic acid for visualizing abnormal regions, the low cost to train personnel to conduct VIA-based screening, and the ability to carry out immediate treatment if abnormal regions of the cervix are identified (referred to as 'see and treat'). However, limitations of this approach include a low sensitivity, low reproducibility, and the need for trained personnel to conduct pelvic exams (15)(16)(17)(18). Although cytology has an improved sensitivity compared to VIA, it also involves a pelvic exam by trained clinic staff for specimen collection, is more expensive than VIA, and requires training to interpret laboratory results (16).…”