Master of Business Administration (Dissertations)

The impact of outreach on the sustainability of government and donor supported microfinance institutions (MFIs) in Uganda

2026-03-10T07:09:13Z

The impact of outreach on the sustainability of government and donor supported microfinance institutions (MFIs) in Uganda Agaba, Edward Interest in microfinance has soared in the recent decade and the instrument is now seen as one of the most promising tools to tackle poverty in the developing world. The fascination with microfinance derives from the fact that the provision of financial services can contribute to poverty reduction and pass the test of sustainability at the same time. This would imply that MFIs can continue to lend, without recourse to subsidized funds (i.e. be sustainable), to more poor people (i.e. increase outreach). For donors / government, microfinance is especially attractive as it can be delivered in an institutional and financially sustainable manner that permits them to withdraw after making relatively modest investments. Expanding access to financial services for the poor is a goal that has frustrated development practitioners both support and retail financial organizations for decades. The distressing legacy of subsidized and direct credit has created many skeptics. In Uganda, most government directed credit programs targeting small farmers and other priority groups have previously failed or produced mixed results as those programs could not be sustained. It is from this background that the study was conceived to establish whether or not increasing outreach in terms of numbers of loan clients had an impact on the sustainability of donor and government supported MFIs. The study examined 38 MFIs that deliver financial services in different parts of Uganda. The sample was drawn to ensure a range in geographical setting. institutional type, and level of clientele. The study assessed the performance of these MFIs by considering the impact of outreach, ability to reach large numbers of people) and sustainability, (the ability to operate at a level of profitability that allows sustained service delivery with minimum or no dependence on donor inputs). This impact was assessed using econometric methodology. The study established that outreach had an insignificant positive impact on the operational sustainability. Similarly, the study found out that the amount of subsidized funding outstanding had a positive but also insignificant effect on sustainability. Average loan size was found to have a negative but insignificant impact on operational self sufficiency. In fact, average loan size and outreach were the most insignificant in the model. Total expenses (Texp) and Total operating income were found to be the most significant factors influencing the sustainability of the MFIs under study. This effect was found to be significant basing on the t-statistic and probability values. Therefore, good practice MFIs should expand their outreach based on market projections and indicators of viable economic activity among potential clients in new areas. This is because; the study confirmed that sustainability is all about full cost recovery. That is, if MFIs are to be sustainable, they must earn adequate operating income to cover their operational expenses. Wokadala James

Internal audit and revenue management in local governments

2025-05-29T02:25:13Z

Internal audit and revenue management in local governments Ochieng, George David The purpose of the study was to investigate the relationship between Internal Audit and Revenue Management in local governments. The study specifically examined: adequacy and effectiveness of Internal Audit function, the effectiveness of Revenue Management and the Relationship between Internal Audit and Revenue Management in Nagongera Town Council. The study used a case study design and self-administered questionnaires were used for data collection. The study established that Internal audit is adequate and effective in Nagongera town council as shown in table 4.18 represented by the mean and standard deviation of 3.2917 and 1.23699 respectively. It also revealed that there is effectiveness in revenue management since there is Proper Financial management revealed in table 4.34 with a mean and standard deviations of 3.0417 and 1.47256 respectively. The study established that Internal Audit has a positive significant Relationship with Revenue Management (r=0.621, p<0.05; ( =0.621, p<0.05). Internal audit significantly affects revenue management (F=149.754, P=0.000). This means that internal audit is a significant determinant of revenue management. The standardized beta coefficient of ( =0.621, p<0.05) meaning that internal audit has a positive and significant relationship with revenue management. The study concluded that Revenue Management in Nagongera Town Council improved with better internal auditing practices. The study also revealed that there is proper financial management in the town council. The study recommends that; seminars, workshops and forums should be organized by the management to educate and sensitize staff members especially those from finance and auditing on how to handle and manage public revenue effectively. There should be improved supervision of town council funds to ensure that they are channeled in a proper direction, usage and well appropriated. There is need to put up procedures and rules governing the usage of the assets both during their service and at their disposal. Oguti Etengu Robert

Accountability, internal controls and service delivery

2025-05-29T02:25:11Z

Accountability, internal controls and service delivery Ocen, Simon The research study was done on accountability, internal controls and service delivery, the study was further guided by the following objectives. To establish the relationship between internal controls and service delivery in Katakwi District Local Government, to examine the effect of accountability on service delivery in Katakwi District Local Government, to examine the nature of relationship between control activities and service delivery in Katakwi District Local Government. The researcher used a cross-sectional survey design to draw the samples; furthermore methodological triangulation was used to help the researcher to obtain variety of information on the variables and the strength of each method which was used to overcome the deficiencies of the other and also to achieve a higher degree of validity of variables. The researcher also used close ended questionnaires to collect the data, certain characters were also observed. The study made the following findings: the highest number of respondents as those who had qualifications in ATC with 25 (33.8%), there was a closely moderate positive and statistically significant correlation between internal control and service delivery of 0.431, service delivery was explained by 18.6% of the changes in the independent variable internal controls, a 100% change in internal control systems was shown to lead to a subsequent variation in the dependent variable service delivery by 43.1%, furthermore accountability explained 10.9% of the variations in the dependent variable service delivery, a 100% change in accountability would lead to a probable variation in the dependent variable service delivery by 33%, there was a closely moderate and positive correlation between control activities and service delivery of (r) which is 0.348. as seen above all the independent variables targeted had an effect and relationship on the dependent variable service delivery The study concluded that all departments at the district had standard operating procedures and that there was a positive relationship between internal control and service delivery, furthermore the research concluded that poor accountability practices will affect service delivery and if all the issues under accountability and internal control are addressed then service delivery will improve, lastly the study concluded that the control activities were at the focal point of service delivery since they constituted the operational area of internal controls and if they are well handled services will improve accordingly. The following recommendations were made from the study findings; there is need for establishment of a work relation strategy aimed at improving the staff relationship at work, The research recommends that the key stakeholders in the field of accounting at the district urgently need to lay strategies aimed at improving the implementation procedure of the internal control measures at the district and lastly there should be more control activities integrated in the internal control systems. Kuka Phinehas; Kuka Phinehas

Internal controls and financial performance of commercial banks in Uganda

2025-05-06T09:20:20Z

Internal controls and financial performance of commercial banks in Uganda Wesonga Ajambo, Fiona The study was set to investigate the relationship between internal controls and financial performance of Diamond Trust Bank Limited in Uganda. The objectives included assessing the relationship between control environment, risk analysis and control activities on financial performance of Diamond Trust Bank. The study adopted a case study design in which data was collected using questionnaires from 110 employees who constituted top administrators and other employees working in Diamond Trust Bank Limited. Interviews were also used to collect qualitative data from the top management. Both stratified and purposive sampling techniques were respectively adopted in the selection of the participants. The data was entered and analysed in SPSS version 21.0 in which both descriptive and inferential statistics were processed. The quantitative results that were in agreement with the qualitative findings showed a moderate positive significant relationship between control environment and financial performance(r = 0.561, sig = 0.00). Findings similarly showed a strong positive relationship between risk analysis and financial performance (r= 0.764, sig = 0.00). In addition there was a strong but significant positive relationship between control activities and financial performance of Diamond Trust Bank Limited (r=0.710, sig=0.00). The qualitative results were also supportive of these. The study based on the objectives and results concluded that control environment, risk analysis and the implementation of control activities are influential predictors of financial performance of Diamond Trust Bank. This relationship was such that the better the implementation of the aspects related to control environment, risk analysis and control activities, the higher the financial performance and the poorer the implementation of such practices the lower the financial performance of Diamond Trust Bank. The study therefore recommended among others that the management of banks should design and operationalize mechanisms that promote diverse input by the internal audit of the bank particularly in as far as governance practices concerned. It also recommended that bank administration in conjunction with the concerned internal audit department personnel should harmonize the receipt and review of standard performance reports as to improve financial performance. Mary Maurice Mukokoma and Jude Kimera