Microfinance and Small Loans Centre (MASLOC) as a Model for Promoting Micro and Small Enterprises (MSEs) in the Ashaiman Municipality of Ghana

摘要

The purpose of the research was to assess the possibility of using the Microfinance and Small Loans Centre (MASLOC) in Ghana as a model for the development of micro and small scale enterprises (MSEs). The study did this by assessing the contributions MASLOC has made to the development of MSEs. Data gathered from 96 beneficiary MSEs and three institutions revealed that loans from MASLOC have contributed to increasing the beneficiary MSEs’ working capital by 120.6%. The business advisory services offered by MASLOC to beneficiaries were identified to have improved the enterprises’ customer relations and attractions. All these have culminated into increases in earnings averaging 46.9%. The sustainability of MASLOC is however constrained by the high rate of default. The default rates for individual loans and group loans were 20% and 25% respectively. Overdue payments were estimated at 20% and 30% for individual loans and groups loans respectively. The study concludes that MASLOC should intensively monitor the MSEs in order to address the misapplications of the loans they take which will in turn reduce the rate of loan default. Keywords: Micro and Small Enterprises, Microfinance, MASLOC, employment, poverty reduction.