Determinants of internal control and impact on risk managements in microfinance establishments in sub-Saharan Africa: an application to the Cameroonian context

Abstract

With the advent of recent global crises in recent years, internal control has become one of the most important issues. However, management risk control took off with the financial crises of the last decade. The objective of this article aims to highlight the determinants of internal control and their effects on the management decisions of microfinance establishments. Using a quantitative methodological approach, we surveyed 43 microfinance establishments in Cameroon. It appears that the determinants of internal control such as: the social climate and human resources management have a positive and significant impact on the management of credit risks. These results confirm our initially formulated hypotheses and challenge the managers of microfinance establishments on the choice of risk management tools to be implemented within their structures.

Keywords: internal control, risk management, microfinance, Cameroon

Classification JEL: M42, M49  

Paper type: Theoretical Research