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The effect of interest rate on loan repayment in micro finance banks in nigeria

 

Table Of Contents


Chapter ONE

1.1 Introduction
1.2 Background of Study
1.3 Problem Statement
1.4 Objective of Study
1.5 Limitation of Study
1.6 Scope of Study
1.7 Significance of Study
1.8 Structure of the Research
1.9 Definition of Terms

Chapter TWO

2.1 Overview of Microfinance Banks
2.2 Concept of Interest Rate
2.3 Loan Repayment in Microfinance Banks
2.4 Factors Influencing Loan Repayment
2.5 Impact of Interest Rate on Loan Repayment
2.6 Role of Regulatory Bodies in Microfinance
2.7 Previous Studies on Interest Rate and Loan Repayment
2.8 Theoretical Framework
2.9 Empirical Literature Review
2.10 Summary of Literature Review

Chapter THREE

3.1 Research Design
3.2 Population and Sample Size
3.3 Data Collection Methods
3.4 Data Analysis Techniques
3.5 Research Variables
3.6 Research Instruments
3.7 Ethical Considerations
3.8 Limitations of the Research Methodology

Chapter FOUR

4.1 Data Analysis and Interpretation
4.2 Descriptive Statistics
4.3 Correlation Analysis
4.4 Regression Analysis
4.5 Hypothesis Testing
4.6 Discussion of Findings
4.7 Comparison with Existing Literature
4.8 Implications for Microfinance Banks

Chapter FIVE

5.1 Summary of Findings
5.2 Conclusion
5.3 Recommendations
5.4 Areas for Future Research
5.5 Contribution to Knowledge
5.6 Reflection on Research Process
5.7 Practical Implications
5.8 Conclusion Statement

Project Abstract

The study sought to appraise the effect of interest rate on loan repayment in microfinance institutions. Lapo Micro Finance Bank, a microfinance institution in Ikot Abasi was used as a case study for the study. The research was conducted using questionnaires and interviews. In all 100 customers and 20 employees were sampled for the research. A systematic random sampling was used for the data collection. The findings of the research revealed that though interest rate plays a major role in loan repayment, other factors such as loan term and the repayment frequency also influence to a large extent the loan repayment. Customers indicated that though lower interest rate would enhance loan repayment, the issue of accessibility and availability of funds was paramount. To enhance loan repayment, the researcher recommends lower interest rate to ease loan repayment burden and loans granted should be amounts that customers can service. Again, micro-insurance could be established to protect the Institution and customers against any default.



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