Abstract
The main purpose of this paper is to compare the client satisfaction of faithbased and mainstream microfinance institutions. The level of satisfaction is considered on eight independent factors identified through literature survey and experts’ opinion. The data-set comprised of a total of 300 microfinance clients - 150 from faith-based microfinance institutions and 150 from the mainstream microfinance institutions. The data was collected through a structured questionnaire comprising of agreement disagreement on 5-point Likert scale. Independent sample t-test was employed to determine if any significant difference exists in the satisfaction level of clients in the two models of microfinance. The results indicate that there is no significant difference among the two groups on the variables reasonability of interest rates (p=0.49), loan procedure (p=0.13), technical assistance (p = 0.822), and branch location (p = 0.36). However, there are significant differences in the two groups on the variables clients repayment policy (p=0.0001), timely availability of loan (p=0.0001), non-discrimination (p = 0.0001) and supportive staff (p = 0.005).
Article Details
- Year: 2015
- Volume: 36
- Issue: 2
- Pages: 155 - 184
- Accepted: 04.12.2014
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DOI:
https://doi.org/10.5281/zenodo.20308939 -
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How to Cite?
Najmul Hoda, Shankar Lal Gupta (2015). Client Satisfaction in Faith-based Microfinance: A Comparison with Mainstream Models of Microfinance. Journal of Economic Cooperation and Development, 36(2), 155-184. https://doi.org/10.5281/zenodo.20308939
