To read this content please select one of the options below:

Factors affecting multiple borrowing among microfinance clients: evidences from Bangladesh

Isahaque Ali (School of Social Sciences, Universiti Sains Malaysia, Penang, Malaysia)
Md Aslam Mia (School of Management, Universiti Sains Malaysia, Penang, Malaysia ) (Department of Business Administration, Daffodil International University, Dhaka, Bangladesh)
Azlinda Azman (School of Social Sciences, Universiti Sains Malaysia, Penang, Malaysia)
Tajul Ariffin Masron (School of Management, Universiti Sains Malaysia, Penang, Malaysia )

Asia-Pacific Journal of Business Administration

ISSN: 1757-4323

Article publication date: 8 February 2022

Issue publication date: 2 January 2023




Although microfinance had experienced rapid growth in most developing economies, multiple borrowing remains a growing concern for practitioners and researchers in recent years. Hence, the main purpose of the study is to evaluate the factors affecting multiple borrowing among microfinance clients.


The primary survey data of 400 microfinance clients from Bangladesh was collected to execute the research objective. Considering the types of dependent variable, this study employed logistics, probit, ordinary least squares (OLS) and Poisson regression techniques to analyze the data.


Among others, it was discovered that the expected (requested) loan amount is positively associated with multiple borrowing, while the level of training, small cattle farming business and marital status (widow/separated) exhibited negative effects under logistic regression. These results are robust with respect to the regression method, the specification and the definition of the outcome variable. Also, supply-side incentives (e.g. training) were found to partly influence the multiple-borrowing behavior of microfinance clients. These findings reiterate the contribution of both demand and supply-side factors to the multiple-borrowing behavior of clients. Consequently, policy implications and future research direction are advanced.


The authors have examined some individual-level characteristics as well as some supply-side incentives to better understand the underexplored issue of multiple-borrowing behavior among microfinance clients.



The authors are truly indebted to the associate editor (Professor Martin Falk) and two anonymous reviewers for their very detail comments and suggestions on the earlier draft. Their suggestions have helped us in improving the paper generally and specifically in drafting the future research directions in a more comprehensive manner. The authors also thank the first author (Md. Isahaque Ali) for allowing to use his data that was collected during his doctoral degree at Universiti Sains Malaysia. Dr. Md Aslam Mia is currently a visiting professor (research) at Daffodil International University and appreciates their various research supports. Nevertheless, the authors take responsibility of all remaining errors.


Ali, I., Mia, M.A., Azman, A. and Masron, T.A. (2023), "Factors affecting multiple borrowing among microfinance clients: evidences from Bangladesh", Asia-Pacific Journal of Business Administration, Vol. 15 No. 1, pp. 72-95.



Emerald Publishing Limited

Copyright © 2022, Emerald Publishing Limited

Related articles