Abstract: Albanian microfinance sector, in particular microcredit, has experienced a modest devel-opment in recent years, although having the objective (moreover shared at EU level) of the fight against social and financial exclusion, the self-employment promotion and small businesses support. Microcredit represents a lifeline or starting point for small entrepreneurs or startups to the credit ac-cess, not possible otherwise. Thus, it provides a start-up or survival opportunity for people and busi-nesses that in different circumstances would not have vital space. An instrument widely used in Western Countries, therefore, to be replicated mainly in developing countries such as Albania, in or-der to allow more favorable conditions for credit access and consequently more economic and social growth. This paper aims to provide an assessment of the financial and social efficiency of micro-finance sector and, in particular, of Albanian microcredit. This evaluation is carried out using DEA (Data Envelopment Analysis) method through secondary data obtained from financial institutions operating in Albania. The analysis highlights the marked finance and social inefficiencies. This study clearly points out the greater attention of microcredit institutions towards financial objectives (and less to social ones).
MICROCREDIT SECTOR EFFICIENCY: ALBANIAN CASE
mauro bisceglia
2022-01-01
Abstract
Abstract: Albanian microfinance sector, in particular microcredit, has experienced a modest devel-opment in recent years, although having the objective (moreover shared at EU level) of the fight against social and financial exclusion, the self-employment promotion and small businesses support. Microcredit represents a lifeline or starting point for small entrepreneurs or startups to the credit ac-cess, not possible otherwise. Thus, it provides a start-up or survival opportunity for people and busi-nesses that in different circumstances would not have vital space. An instrument widely used in Western Countries, therefore, to be replicated mainly in developing countries such as Albania, in or-der to allow more favorable conditions for credit access and consequently more economic and social growth. This paper aims to provide an assessment of the financial and social efficiency of micro-finance sector and, in particular, of Albanian microcredit. This evaluation is carried out using DEA (Data Envelopment Analysis) method through secondary data obtained from financial institutions operating in Albania. The analysis highlights the marked finance and social inefficiencies. This study clearly points out the greater attention of microcredit institutions towards financial objectives (and less to social ones).I documenti in IRIS sono protetti da copyright e tutti i diritti sono riservati, salvo diversa indicazione.
