Credit management and financial performance of micro finance institutions in Uganda :

Abstract

To examine the impact of Credit management on financial performances of MFIs in Uganda, case study of ASA Micro finance (U) Ltd, Pallisa district. Effective credit management is the ability to intelligently and efficiently manage customer credit lines. It is perceived that demand for loans has increased due to the availability of fast lending rates, which are enhanced through credit management policies that ensure that customer information is properly assessed to reduce the number of defaulters. Credit management is measured in terms of: credit terms, credit appraisal, credit risk controls.