THE EFFECTS OF LOAN PORTFOLIO MANAGEMENT ON THE FINANCIAL PERFORMANCE OF MICROFINANCE INSTITUTIONS IN CAMEROON

Résumé

The objective of this article is to determine the effects of loan portfolio planning, client screening, and portfolio control on the financial performance of MFIs. The findings showed us that there were significant relationships between loan portfolio planning, client screening, portfolio control and the financial performance of the MFIs. Planning is a significant factor, predicting up to 65.2% of the financial performance, Client screening predicted up to 22% decrease in financial performance and loan portfolio control was established as significant predictor of up to 49% of the financial performance. The study concluded that loan portfolio management has a significant effect on the financial performance of Microfinance Institutions in Bamenda.