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This study examined the effects of microfinance institution (MFI) linkages on Village Savings and Loan Associations (VSLAs) members’ enterprise performance in the La-Nkwantanang Madina Municipality of Ghana.
The general objective was to assess the benefits that the VSLAs gained by having institutional linkages with financial institutions.
The hypothesis was that the linkages did not have any effect on the profitability of VSLA members’ enterprises.
The literature reviewed set the theoretical framework for data collected and the analyses made to draw conclusions.
The methodology employed survey design and used quota and purposive sampling to ensure fair representation of respondents of the population.
The population consisted mainly of low income artisans, agricultural produce processors and petty traders.
Despite their quest to mobilize funds from their internal share-purchasing, there was still a gap that needed external funding to satisfy some members financial needs.
Linkages between the VSLAs and MFIs comprised savings and loans components.
Most MFIs offered savings products at the individual level but were not ready to offer loans to members.
Samuel Antwi is currently a Senoir Lecturer at the Accountancy Department of the Koforidua Polytechnic.He is also the Dean of the graduate school of the Polytechnic.He is also the Head of Department for Accountancy in the Polytechnic.
He is a member of the editorial board of the IJTMR.
He holds a PhD in Finance and Accounting.
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