| International Journal of Business and Economics Volume 18, No. 3 December, 2019 |
| Accessibility to Microcredit by Small- and Medium-Sized Enterprises in Malaysia |
| Rafiatul Adlin Hj Mohd Ruslan |
| Islamic Finance and Finance Section, Business School, Universiti Kuala Lumpur, Malaysia |
| Christopher Gan |
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Department of Financial and Business Systems, Faculty of Agribusiness and Commerce, Lincoln University, New Zealand |
| Baiding Hu |
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Edwards School of Business,Department of Financial and Business Systems, Faculty of Agribusiness and Commerce, Lincoln University, New Zealand |
| Nguyen Thi Thieu Quang |
| Faculty of Banking, University of Economics - the University of Danang, Vietnam |
| Abstract |
| This study investigates the determinants of Malaysian SMEs’ accessibility to microcredit, because obtaining bank financing is not popular among small-scale enterprises. We employ logistic regression to analyze the key determinants of accessibility to microcredit among these SMEs. Using survey data on SMEs’ owners/managers in Terengganu, Malaysia in 2016, we find factors influencing microcredit accessibility include married, ethnicity, financial training, household income, age of enterprise, ownership, networking with non-governmental organizations, networking with microfinance institutions, networking with business associations, and distance of business premises to the nearest microcredit provider. |
| Keywords： access, microcredit, logit model, SMEs, Malaysia. |
| JEL Classifications：L26, O53. |
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