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Corporate governance practices in microfinance institutions: Evidence from Uganda

Author

Listed:
  • Bob Ssekiziyivu
  • Rogers Mwesigwa
  • Juma Bananuka
  • Zainab Namusobya

Abstract

The purpose of this paper was to identify the corporate governance practices of Micro-finance institutions and to suggest strategies for improving corporate governance in Micro-finance institutions. This study was cross sectional and used a survey research design. Usable questionnaires were received from 179 respondents. Active Micro-finance institutions' members were the study’s unit of inquiry. We analysed data with the help of statistical package for social scientists (SPSS). Findings suggest that Micro-finance institutions have boards though not effective, there are no fully constituted board committees, shareholders rights are sometimes not respected and accountability failures are common. Results further indicate the strategies for improving corporate governance such as having a board in place with financial expertise. Results are useful in policy formulation for example, Micro-finance institutions need to be regulated and a corporate governance code need to be put in place.

Suggested Citation

  • Bob Ssekiziyivu & Rogers Mwesigwa & Juma Bananuka & Zainab Namusobya, 2018. "Corporate governance practices in microfinance institutions: Evidence from Uganda," Cogent Business & Management, Taylor & Francis Journals, vol. 5(1), pages 1488508-148, January.
    • Handle: RePEc:taf:oabmxx:v:5:y:2018:i:1:p:1488508
    DOI: 10.1080/23311975.2018.1488508
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    Cited by:

    1. Daniel Makina, 2021. "Corporate Governance and Financial Inclusion: A Preliminary Review of Literature," International Journal of Finance & Banking Studies, Center for the Strategic Studies in Business and Finance, vol. 10(4), pages 12-23, October.
    2. Aram Mkhitaryan, 2022. "Critical evaluation of organizational structure and culture impact on the productivity of MFIs within the example of Agroleasing," Review of Applied Socio-Economic Research, Pro Global Science Association, vol. 24(2), pages 106-120, December.

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