The Concept of Life Cycle and Sustainability of Microfinance Institutions – Literature Review

Abstract

This article paper discusses how development stages (life cycle) and self-sustainability of microfinance institutions relates by reviewing different related literature. Growth stages of microfinance institution can be categorized in different standard measure. However some literature categorized growth stages of microfinance institutions as start-up stage, growing stage and mature stage. This study also presents indicators which may determine microfinance institution’s sustainability in relation to growth stages of development of microfinance institutions.

Keywords: microfinance institutions, financial sustainability, development/ growth stages