Author:
Alam Jasmine,Ibn Boamah Mustapha,Liu Yuheng
Abstract
Purpose
This study aims to investigate the relationship between a commercial bank’s micro-loaning activity and overall performance over a 10-year period.
Design/methodology/approach
Quarterly data was obtained from the Wind Database, China Minsheng Banks’s official annual reports and annual corporate social responsibility reports from 2009 to 2019, to test the linear relationship between micro-loan activities and the overall financial performance of the bank.
Findings
The results of this study empirically demonstrate that there is a positive relationship between increases in micro-loaning activity and the overall performance of the bank. Some key recommendations for the sector are shared in the conclusion of this paper.
Originality/value
In the financial sector, some corporate social responsibility activities focus on the issuance of micro-loans. It is unclear, however, if this has also served as a means to increase profitability and overall performance for such institutions.
Subject
Social Sciences (miscellaneous),General Business, Management and Accounting
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