THE COMPETITIVE STRATEGIES OF A MICROFINANCE INSTITUTION AMIDST THE COVID-19 PANDEMIC: BASIS FOR REVIEW OF BUSINESS CONTINUITY PLAN
DOI:
https://doi.org/10.32815/ecosia.vi.47Keywords:
Competitive Strategies, Microfinance Institutions, Covid-19 Pandemic, Business Continuity PlanAbstract
The current pandemic reduces microfinance institutions'' financial efficiency. Still, it increases its social efficiency, indicating that, while the economic slowdown lowers Microfinance financial performance, the role of creating a social impact is seemingly prioritized during COVID-19. This study aims to assess a Microfinance Institution's business continuity amid the COVID19 pandemic. This study used a quantitative research design. Purposive sampling was used and the respondents were the twelve (12) area managers of the selected Microfinance Institution. Data collection was done with a 4-point Likert scale questionnaire facilitated online. Percentage, frequency distribution, and weighted mean were used to analyze the data. Among the twelve areas, all are still operational. The majority of the areas experienced cash flow shortages, and a decrease in revenue and loan applications while their workforce was not affected by the COVID19 pandemic. The Microfinance institution's portfolio Quality and profitability were poor while its financial management and efficiency and productivity were good. It is recommended for the MFI to keep on innovating, go digital and continue to strengthen the use of their procedures, and embrace additional best practices to make changes if necessary.
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