Sustainability Check of Microfinance Institutions during Financial Crisis: Evidence from Pakistan

Abstract

The study scrutinizes the efficiency and sustainability of Microfinance Institutions in Pakistan during financial crisis era for 2008 and 2009. For this progression, firstly Data Envelopment Analysis is applied to quantify efficiency and then sustainability check is tested. The results reveal that due to macroeconomic shocks, portfolio quality has been affected. More microfinance activities are being done in Punjab and Sindh whereas such high concentration increases multiple borrowing in market.