Business Loans Research Articles

The Impact of Access to Microfinance Business Loans on Women Empowerment: Case of Chipinge District in Zimbabwe

The Impact of Access to Microfinance Business Loans on Women Empowerment: Case of Chipinge District in Zimbabwe

Penerapan Pengendalian Manajemen Pada Penyaluran Pinjaman Koperasi Simpan Pinjam (Kospin) BN

The distribution of loans to the construction sector is sometimes hampered by the capital they have. To improve the capital structure, Kospin will receive a loan from Cooperative Bank X. An increase in Kospin's capital must be followed by an adequate management control system. Therefore, the procedures for loan disbursement and performance measurement must be adequate. This research was conducted at Kospin BN to measure management control based on distribution procedures and performance measurement. The purpose of this study was to obtain an adequate loan operational procedure design, obtain a formal loan performance planning and measurement system as a key success factor to ensure and monitor the achievement of the strategy. The research method used is a case study, using qualitative analysis based on Boundary Systems and Diagnostic Control Systems. The results of the study, based on the SWOT analysis, there are weaknesses in management and pricing strategies as well as competitors' threats that hinder the business loan focus strategy. Therefore, Kospin should determine the right pricing strategy to win the competition. In addition, Kospin has not yet implemented the Business Loan SOP in accordance with the Decree of the Deputy for Financing of the Ministry of Cooperatives and SMEs No.06/Kep/Dep.2/II/2017. So it is necessary to adjust the linkages of procedures, personnel qualifications, division of tasks, business process flow, as well as documentation and records. Kospin also has not set performance targets, monitoring and measuring and evaluating performance formally. Kospin should set targets, monitor and measure performance and evaluate its performance.

Effectiveness of Savings and Loans Business Unit Management by Village-Owned Enterprises (BUMDES) in Bubalango Village, East Sumalata District, North Gorontalo Regency

This research aims to determine the effectiveness of managing savings and loan business units by village-owned enterprises (BUMDES) in Bubalango Village, East Sumalata District, North Gorontalo Regency. The focus in this research is planning, knowledge, and capital. The research method uses a descriptive qualitative approach. Data collection techniques were carried out through in-depth interviews with a number of informants, observation and recording secondary data related to the research problem. The results of the research concluded that the management planning carried out by BUMDES administrators has not been implemented maximally, the knowledge possessed by BUMDES administrators is still lacking in terms of education and experience in managing village-owned enterprises and the capital obtained in managing BUMDES comes from Village Fund Allocations and government assistance. area to meet community needs in providing business capital in Bubalango Village, East Sumalata District.

Factors Contributing to the Failure of Women’ssmall-Scaled Enterprises in Dodoma City Council, Tanzania

Aims: This study presents the findings on the Factors Contributing to the Failure of Female Small-scale Enterprises in Dodoma City Council, Tanzania. The study was guided by three specific objectives: to identify structural factors contributing to the failure of women small-scale entrepreneurs, to find out social factors contributing to the failure of women small-scale entrepreneurs and to examine economic factors contributing to the failure of women small-scale entrepreneurs.
 Methodology: The study adopted a cross-sectional research design where structured questionnaire with open and close-ended questions were used to collect primary information from a sample size of 70 respondents. The researcher used a mixed-research approach, that is, qualitative and quantitative. A qualitative approach was used in collecting respondents’ views during the interviews while the quantitative approach was used to collect information from respondents through questionnaires. Quantitative data analysis was done by using Statistical Product for Social Solution (SPSS) computer program version 25.0.
 Results: The general findings indicated that government regulations like long license processing and unfavorable tax, scarcity of cash flow at the start-up, and operating and expanding their businesses served as the factors contributing to the failure of women small-scale enterprises in Dodoma City Council. It was further found that high interest rates from banks and other financial institutions affected the growth of enterprises; also, men’s perception that women’s responsibility is to take care of their families instead of working to increase their family income accelerated women to perform business as a part-time activity hence failure in business.
 Conclusion: the study recommends that women’s small-scaled entrepreneurs must form groups to work together in cooperatives to reduce the business running costs such as tax, rent payable and interest rates from the financial institutions. In addition, the government should enforce laws to eradicate bureaucracy and corruption based on sex, place of origin, favoritism and infidelity from some government officials and credit officers during the compliance of business tax approximation and loan application processing.

MICRO WAQF BANK FOR EMPOWERMENT OF INDONESIAN WOMEN'S MICROECONOMIC AND EFFORTS MINIMIZING THE LOANSHER TRAP

Fulfilling household needs for a woman is required to be able to obtain and manage halal-sourced finances from a small and micro-entrepreneur. The trap of conventional and online loan sharks poses a significant risk to the borrower's assets due to the lack of business capital they have in the short term. Establishing a micro waqf bank initiated by the financial services authority in Indonesia aims to provide business financing, assistance and financing sourced from zakat, infaq, sadaqah and waqf relying on Islamic social microfinance institutions. This study aims to analyse micro waqf bank woman customers with small and micro-entrepreneurs to avoid entrapment by a loan shark. The study at the El-Manahij Micro Waqf Bank, Lebak Regency, Banten Province, Indonesia, used qualitative descriptive types through data collection interviews with managers and the head in weekly halaqah. In contrast, data analysis used triangulation: data reduction, display, verification and conclusion. Research shows that most micro waqf bank customers are women with micro-scale enterprises to improve Islamic economy studies. Customers choose micro waqf banks to replace loan sharks providing their business capital and having regular activities in the form of weekly group meetings aimed at knowing business progress, religious studies and gradual loan repayments. Micro waqf bank managers receive pawned valuables with sharia contracts to increase business capital. The customers are responsible for repaying business loans in stages, running social gatherings for customers to obtain excess money and supervising fellow customers. The research implies that getting away from the snares of loan sharks can minimise the burden of living costs where they live. The significant role of micro waqf banks in providing Sharia pawn support is to increase business capital to limit dealing with loan sharks.

Menuju Kesejahteraan Pesisir: Evaluasi Kebijakan Pembangunan Sosial Ekonomi Di Kecamatan Sape, Kabupaten Bima

This research will focus on the evaluation of socio-economic development policies in Sape District, Bima Regency, with the aim of understanding the extent to which development efforts have achieved their goals. This study employs a qualitative descriptive method and a Literature Review. The research location includes the Bima Regency Development Planning Agency, the Department of Tourism, the Department of Marine and Fisheries, the Department of Environment, and the Department of Social Affairs of Bima Regency. The research findings indicate that Sape District has significant economic potential in the fisheries and agriculture sectors, but it still faces a considerable level of poverty, especially among coastal households. The economic empowerment of coastal communities needs to be enhanced through skills training programs, financial assistance for business capital, and improved access to business loans. Furthermore, a specific focus on generating employment opportunities, particularly for young people, is essential. Poor infrastructure and limited accessibility pose significant obstacles to economic development. Investments in infrastructure improvement, such as roads and ports, are required to enhance mobility and market access. Sustainable natural resource management is vital for preserving the potential of fisheries and agriculture in the area. Strict law enforcement against illegal fishing practices and educational efforts to promote sustainable fishing practices are necessary. Climate change impacts, including rising sea levels and extreme weather conditions, affect the region. Therefore, strategies for climate change adaptation and mitigation need to be developed. The evaluation of socio-economic development policies indicates that assistance programs have been implemented, but there is a need for improvement in directing policies toward poverty alleviation, economic empowerment, and sustainable natural resource management.

A Meta-Analysis of the Impact of Entrepreneurs’ Gender on their Access to Bank Finance

This meta-analysis of 31 studies over 20 years advances our understanding of the gender gap in entrepreneurial bank finance. Findings from previous research on the relationship between entrepreneurs’ gender and bank financing are mixed, which suggests the need to pay particular attention to entrepreneurs’ social context. In this study, we develop a model of how social gender norms explain variation in women entrepreneurs’ (vis-à-vis men entrepreneurs’) access to bank finance. Specifically, we theorize how women’s formal (their nations’ political ideologies) and informal (women’s empowerment) social standing within their societies influence gender discrimination in entrepreneurial bank financing. Consistent with most previous studies, our baseline results show that women entrepreneurs’ business loan applications are rejected to a greater extent than men entrepreneurs’ loan applications. Women entrepreneurs also pay higher interest rates on loans than men entrepreneurs. Further, in societies dominated by a conservative (rather than a liberal) political ideology, the positive relationship between women entrepreneurs and loan interest rates is more positive. Interestingly, gender discrimination in loan rejection and interest rates is magnified in societies with greater women’s empowerment. Taking a social gender-norm perspective, our analysis establishes a gender gap in entrepreneurial bank finance, and we outline an agenda for further research.

Prosedur Pemberian Pinjaman Kredit Pada Primkopal Komando Pendidikan Marinir Surabaya (Laporan Kegiatan Kuliah Kerja Lapangan)

The beginning of the word credit comes from Latin, namely "Credere" which means trust, which is the trust of the creditor that the debtor will return the loan and interest in accordance with the agreement of both parties. According to the Banking Law, credit is the provision of money or bills that can be likened to it, based on an agreement or loan agreement between a bank and another party, which requires the borrower to pay off its debt after a certain period of time with interest. Various forms of credit according to OJK (Financial Services Authority) such as unsecured credit loans (KTA), Credit Cards, Motor vehicle loans, Business loans. One of the most popular forms of credit is bank or financial credit, it credits money to borrowers who must pay it back in the future. Primkopal Marine Education Command Surabaya is a cooperative whose one of its business units is the Savings and Loans Business (USP). The Primkopal of the Surabaya Marine Education Command serves or requires its members to save, in addition to being able to provide credit to its members. The crediting process is inseparable from the crediting procedures carried out, for this reason, the cooperative management must provide integrated crediting procedures to make it easier for members to follow each credit granting procedure. Credit procedures are used as an effort to minimize the occurrence of bad loans, where bad loans that occur directly disrupt the operational activities of the cooperative. Hasibuan stated that controlling credit management (2006: 105) is an effort to keep the credit provided smooth, productive, and not bad. The credit management control system aims to avoid abuse of authority by various parties concerned and avoid unhealthy lending practices, so that the risk of bad loans in cooperatives can be minimized and not exceed credit health standards.

Examining Collateral Prerequisites for Small and Medium-Sized Business Loans

This paper examines the factors that affect loan collateral specifically for SMEs in Lebanon, which is a country with a small, open emerging market economy. Collateral should secure the bank loan, but in practice it is adjusted according to other socio-economic criteria of the firms. This is especially true for SMEs and even more so for emerging countries. We propose in this research to illustrate the signals mobilized by banks when granting secured loans. The data on these variables come from the Lebanese Central Bank and the World Bank. They contain observations for two samples - 532 firms for 2019 and 561 firms for 2013. A set of factors influence the level of collateral required: those related to firm characteristics (relevant variables: age, size, audit of financial statements, provision of training to workers, private shareholder ownership, quality recognition, experiencing at least one bribe request, female manager), manufacturing (reflects economic sector), interest rate (reveals loan characteristics), and location in the capital (reveals loan market characteristics). The logistic regression estimates suggest that collateral required by older firms is higher even that SMEs have financial statement revised annually by external auditors. Size and interest rate contribute to lower collateral requirements. The consistency of results in the combined panel, 2013, and 2019 shows the reliability of the Lebanese Banking Sector norms and policies

The impact of home protection schemes on non-performing loans in Greece

This paper explores the determinants of non-performing loans (NPLs) in Greece for the period 2002Q4 to 2018Q2, distinguishing between consumer, housing, and business loans. We contribute to the existing NPL literature by examining the impact of the home protection scheme, which has governed the Greek insolvency framework since the onset of the 2010 crisis. Consistent with previous research on NPLs, our findings indicate that the primary driver for all types of NPL classes has been the business cycle. Additionally, we uncover some evidence suggesting that the initial version of the home protection scheme may have contributed to non-repayment in specific NPL classes as property values declined. However, subsequent amendments to the scheme appear to have played a role in reducing NPL ratios, in addition to the positive effect of improving macroeconomic conditions. Our results offer valuable insights for policymakers seeking to address the burden of high NPL levels on Greece's economic recovery.

IMPLEMENTASI EKONOMI ISLAM DALAM AKAD PNPM MANDIRI KECAMATAN PELEPAT ILIR KABUPATEN BUNGO

This study aims to analyze the contract used and how the mechanism is used in the PNPM Mandiri government activity program in an effort to empower the poor who need business capital that is designated especially for women, so that women have activities that can help their household needs.
 This research is a qualitative research or often referred to as naturalistic research because the research is carried out in natural conditions. The subjects of this study were members of PNPM Mandiri employees and members of the target community who were given business loans in Pelepat Ilir District, Bungo Regency. Data obtained through observation, interviews, and documentation.
 The results showed that the contract used in the PNPM Mandiri government program activities in Pelepat Ilir District, Bungo Regency in an effort to empower the poor, specifically for women, was the 'ariyah (loan) contract. The loan agreement is considered to be able to provide convenience for women to get additional family economic income even if only at home. The business credit assistance can be submitted by submitting a written application and including how much capital is needed to develop a business or plant maintenance that will be carried out by members of the target community. Thus, the results of research at PNPM Mandiri, Pelepat Ilir District, Bungo Regency have been well achieved.

ANALISIS TATA KELOLA DALAM PENINGKATAN KESEJAHTERAAN PETANI KELAPA SAWIT (Studi Pada Koperasi Unit Desa (KUD) Makmur Rezeki di Desa Bulian Jaya Kab. Batang Hari)

Cooperatives are a people's economic movement whose all activities are based on the family principle. Governance is a structure and process in determining the direction and supervision of the company. This thesis aims to determine the governance of the Makmur Rezeki Village Unit Cooperative in its efforts to improve the welfare of oil palm smallholders, and the obstacles faced by the Makmur Rezeki Village Unit Cooperative. This research is a qualitative research, collecting data by means of interviews, observation and documentation. Informants in this study were administrators, employees and members of KUD Makmur Rezeki. Based on the results of the study it can be concluded: The Makmur Rezeki Village Unit Cooperative has made good efforts in maximizing the governance of implementation transparancy, akuntability, responsibility, indepedency, and fairness by providing good service, developing cooperatives, placing employees according to their portions, disclosing information and providing training to members. KUD Makmur Rezeki's efforts to improve the welfare of its members by buying oil palm fruit at relatively high prices, providing agricultural medicines, providing production facilities and providing a savings and loan business. The Makmur Rezeki Village Unit Cooperative has constraints in improving the welfare of cooperative members who come from within and outside the cooperative itself. KUD Makmur Rezeki should try to maximize governance by holding training and coaching for members and administrators of the Makmur Rezeki Village Cooperative Unit, holding outreach to members so they understand more about cooperatives.

Livelihood strategies of marginalised Zimbabwean women living in South Africa

abstract Zimbabwean women constitute a significant number of migrants living in South Africa. Both accompanying spouses and lone Zimbabwean migrant women face challenges in securing formal employment and are often forced to establish informal businesses for their survival. Drawing on qualitative interviews, this study explored perceived challenges and triumphs encountered by Zimbabwean women in informal trading across South Africa. All the women indicated that they established survivalist businesses once in South Africa. Lack of fulfilling employment, poor wages, family financial pressures, disruptions and exclusion from social welfare benefits during the coronavirus lockdown were some of the factors that pushed migrant women into informal businesses. Establishment of informal businesses protected women from resorting to commercial sex work and other transactional relations. Challenges encountered include lack of funding to establish their businesses, low returns, crime, sexual harassment from clients, extortion, and fear of xenophobic attacks. Despite these challenges, Zimbabwean women described how they managed to build a strong clientele and improve their financial wellbeing in the process. Funding institutions can support migrant women through the provision of business loans, and training women on how to run businesses and saving. This will financially empower migrant women and protect their physical, sexual, and mental health.

Pengaruh DPK dan LDR Terhadap Penyaluran KUR UMKM dengan NPL Sebagai Variabel Moderasi

This study aims to determine the effect of Third Party Funds (DPK) and Loan to Deposit Ratio (LDR) on MSME KUR distribution with Non-Performing Loans (NPL) as a moderating variable at BUMN Banks distributing MSME KUR. This study used a purposive sampling method, and 4 BUMN Banks were distributing KUR UMKM that met the sample criteria. This study uses secondary data from annual financial reports of 4 state-owned banks and a web related to people's business loans for 2012 – 2022. The data processing method in this study is panel data regression analysis and Moderated Regression Analysis (MRA) using the Eviews 12 program. Based on the results of the research, it shows that DPK affects the distribution of MSME KUR, LDR has no effect on MSME KUR distribution, NPL affects MSME KUR distribution, NPL weakens the relationship between DPK and MSME KUR distribution, and NPL weakens the LDR relationship with MSME KUR distribution.

Casino Royale: A Comparative Analysis of Financial Literacy and Locus of Control on SMEs’ Financial Behavior

Knowledge is considered as the vital factor for firms in improving their capability and stability of SMEs, especially a financial literacy knowledge. Based on the literature, this study finds that due to lack of finance literacy knowledge, most of firms in Indonesia are not able to survive inside the business world that is full of competition and the dynamics of changing within particular periods. Unfortunately, lack of financial literacy knowledge also ultimately affects firms in Indonesia, particularly their financial behavior at both the organizational and individual levels, as well a locus of control of SME owners in controlling their business’s financial management. However, effective and efficient financial management behavior based on financial literacy knowledge and locus of control skills that are proportional to the context of firms tends to be something that is often overlooked by business people. Thus, a lot of literature indicates that almost all SMEs in Indonesia do not have adequate business financial performance reports as a condition for obtaining business loans from financial institutions. Therefore, with the support of the above issues, this study then aims to conduct a comparative study, through the approach of quantitative research method, from two major cities in Indonesia to explore and identify how much financial literacy and locus of control influence financial management behavior in 130 firms, which are small and medium-sized enterprises as sample size of this study. The findings of this study theoretically discover that financial literacy affects firm’s financial management behavior in both major cities of Indonesia, which are Makassar and Surabaya. The findings of this study are also expected to contribute positively to the managerial aspects, especially in providing detailed explanations and guidelines related to financial literacy, locus of control, and financial management behavior for policy makers as well as business owners. A detail recommendation for future research is also explained in the particular section of this paper.

Literature Review on The Impact of Internet Finance Development on Commercial Bank Profit Model

By diverting customers, squeezing the scale of deposit and loan business and raising the cost of capital, internet finance can reduce the interest rate spread of commercial banks and compete with them in many fields. This paper adopts the method of literature review to comb and study the relevant literature of Internet finance, the profit model of commercial bank, the impact of Internet finance on the profit of commercial bank and the relevant literature of improvement, on this basis, this paper discusses the impact of Internet finance on commercial bank profit model in the future research direction.

For Loan Processing a Fuzzy Process Mining

Process mining has been used extensively in recent years to develop the steps of the business and it is an important technique to remove waste and reduce process costs. The aims of this study indicate congestion, workflow which lived a long time, and stuff or system statistics in the banking real estate transaction process. The process mining practice is applied in bank business loans. In the bank process, the most used and complicated business is a bank loan transaction. The process mining implementation pattern is created with sample and flow gains of process development. Then, the new workflow is designed and the pattern is executed. In the first stage of the total loan period, 7.84 hours of earnings are obtained. Visualizations of the process have been affected with the help of fuzzy model algorithms necessary for a huge number of incidents and activities. Workflow analysis and gathering information for studies were to be effortless with the support of fuzzy models. As a result of the analysis based on the flows, the knowledge pool is created by getting the know-how such as the average duration of the process and the deviations in the users or systems. The results indicated that process mining is a significant methodology for developing bank loan transactions and enhancing their performance.

Increasing MSME Revenues in Lalepo Village, Kahu District, Bone: The Impact of Public Business Loans (KUR) from BRI Unit Palattae

This study investigates the impact of People's Business Credit (KUR) provided by BRI Palattae Unit on the income growth among MSMEs in Lalepo Village, Kahu District, Bone Regency. The research was conducted over two months, from April to May 2022, within the confines of Lalepo Village. The research approach is quantitative, aligned with the positivist philosophy, which seeks to examine a specific population or sample to test predetermined hypotheses. This quantitative research employed a multiple linear regression model, and data analysis was conducted using the SPSS v25.0 application for Windows. The t-test results (partial) revealed a t-count value of 3.801, surpassing the t-table value of 2.014 at a significance level of 0.000. As the t-count value exceeds the t-table value with significance less than 0.05, the findings of this study confirm a positive and statistically significant influence of People's Business Credit (KUR) from Bank Rakyat Indonesia Palattae Unit, contributing to a 21.5 percent increase in the income of SMEs in Lalepo Village, Kahu District, Bone Regency. The remaining 78.5 percent of income variation is attributed to other unexamined variables.

Comparison of Chinese and American Banks' Loan Financing Business

In this article, we aim to compare the banks loan financing business in China and the United States. We will focus on banks' personal lending business, including housing, student, and personal consumption loans. We will analyze the personal loan business of Chinese and U.S. banks separately and compare the personal loan business of both banks. The result of our comparison is that the government controls the lending system in China. China's loan system is formulated by the People's Bank of China, which is less liberal than the US loan system. China's loan laws are also imperfect, and there is a lack of third-party supervision. The United States has a complete system with guarantor agencies that China does not have. The government and the market are Multi-participation, and the Secondary Market is also involved, sharing the risk.

Competition and risk taking in local bank markets: Evidence from the business loans segment

This paper studies empirically the relationship between competition and risk taking in banking markets. We exploit an unique dataset providing information about all bank loans to Norwegian firms over several years. Rather than relying on observed market shares, we use the distance between bank branches and firms to measure the competitiveness of local markets. The cross-sectional and longitudinal variation in competition in local markets are used to identify the relationship between competition and risk taking, which we measure by the non-performing loans and loss provision rates of the individual banks. We find that more competition leads to more risk taking. We also examine the effects of bank competition on the availability of loans. More competition leads to lower interest rates and higher loan volumes, but also makes it more difficult for small and newly established firms to obtain a loan.