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The Road to Financial Sustainability. Comparative Analysis of Russia and the Caucasus Region

By Ganna Sheremenko, Cesar L. Escalante and Wojciech J. Florkowski


This paper examines delinquency, profitability, and outreach determinants of microfinance institutions’ (MFIs) performance in Russia and the Caucasus. The estimation is done using the Seemingly Unrelated Regression (SUR) technique. The estimation results suggest that Russian and Caucasian MFIs are profit-driven but are expected to improve outreach in the long-run.Microfinance institution, SUR, Financial sustainability, Delinquency, Profitability, Social outreach, Agricultural Finance, Financial Economics, G20, G21,

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