This paper analyzes the repayment performance in microfinance programs in Malaysia that apply individual lending approach. The research framework of this study is built by four factors namely individual/borrower factors, firm/business factors, loan factors and institutional/lender factors as independent variables and repayment performance either paid on time, delinquent and default as dependent variables. The study used mixed methodology, combining between quantitative and qualitative data through questionnaire survey, indepth interviews, publish and unpublished reports. The data of this study is gathered from 401 respondents in Peninsular Malaysia through multistage random sampling. The data is analysed by descriptive analysis and multinomial logit model. Meanwhile, for qualitative data, a total of 21 respondents (7 respondents who paid on time, 7 respondents who delinquent and 7 respondents who default) were selected randomly and structured interviews with 6 MFI’s State Managers. The results show that in terms of borrower characteristics, only micro entrepreneur’s religious education level is statistically significant in the relationship between delinquent and good borrowers and between default and good borrowers. Whereas, in firm/business characteristics, the result shows that distance, business formality and total sales are statistically significant. The finding shows that total loan received, loan type and repayment schedule are the loan characteristics that affect micro entrepreneur’s loan repayment. In terms of institutional/lender characteristics, the finding shows that loan monitoring is statistically significant in the relationship between delinquent and good borrowers. This study contributes significantly to the knowledge of microfinance program at large, wherein it explains the factors affecting repayment performance and repayment performance plays an important role to ensure that MFIs can continue providing microfinance to the micro entrepreneurs without depending on subsidies.

This paper tries to investigate the perception of the employers towards the employability skills of the new graduates in their recruitment process. The paper examines the employability skills of the Islamic business administration graduates in Universiti Sains Islam Malaysia. The study used qualitative methodology through in-depth interviews with 31 employers in Klang Valley. Findings revealed that employers expect graduates to have a range of broader skills and attributes that include teamwork, communication, leadership, critical thinking, work independently, intellectual, and problem-solving skills. Besides, technical skills such as software proficiency, project management, data analysis, and common operating systems are also advantaging for new graduates to get offered in their companies. This paper, therefore, concludes that developing graduate employability skills and attributes should be included in faculties teaching and learning strategically. Active collaboration between university and industry with employers having a more active role is likely to have a greater and more sustained impact on graduate employability. Lastly, the need to continually promote and expand opportunities for students to access work-based learning is critical. These experiential opportunities can be an effective way of providing university students with relevant employment skills, knowledge, and awareness of employer culture. 3U1I program may be implemented to enhance graduate employability

This paper is to analyze the role of Amanah Iktiar Malaysia (AIM), the largest Malaysian microcredit program, in eradication poverty. This paper is a contribution to the ongoing debate on the effectiveness of poverty eradication programs and their impact on the poor. This paper analyzes the role played by AIM in poverty eradication and evaluates the AIM micro credit programs in selected rural areas in Malaysia. Empirical investigation has been based on survey question covered selected rural areas in Malaysia. The effectiveness of AIM program’s performance is influenced largely by three main groups of factors namely are outreach, financial sustainability and the impact on the client. The paper tries to see whether AIM small loans on reasonable terms provided to poor households for financing additional income-generating activities could be an effective way of reducing extreme rural poverty. Moreover, by providing working capital to small sized project households how much that credit could bring about a significant increase in project size and hence absorbing surplus labor in small projects leading to the increase in household income and consequently reducing extreme rural poverty. The study provides strong evidence that microfinance is indeed an effective tool for poverty eradication. The study will highlight a number of policy implications to improve the overall AIM performance.

Kertas kerja ini membincangkan kaedah penstrukturan semula yang dilakukan ke atas syarikat tersenarai di Bursa Malaysia (BSKL). Akibat daripada kegawatan ekonomi yang melanda Malaysia pada tahun 1998, terdapat banyak syarikat yang mengalami kerugian besar dan tidak berupaya untuk mengurus hutang. Hasil kajian mendapati kerugian ini disebabkan oleh hasil syarikat yang menurun, pinjaman yang tinggi, kadar faedah yang tinggi dan hutang lapuk yang tidak dapat dibayar dan seterusnya menyebabkan ketidakcairan. Selain itu, ia juga disebabkan oleh keadaan pasaran yang tidak stabil kerana kadar pertukaran asing. Oleh itu, kerajaan telah menubuhkan tiga badan khas iaitu Danaharta Nasional Berhad, Danamodal Nasional Berhad dan Jawatankuasa Penyusunan Semula Hutang korporat (CDRC) untuk membantu syarikat menangani masalah ini. Kertas kerja ini merupakan kajian penerokaan terhadap 13 buah syarikat yang telah memohon perlindungan mahkamah di bawah seksyen 176 Akta Syarikat 1965 dan telah meminta bantuan daripada CDRC.

This paper examines the role of micro finance projects in eradicating poverty in Malaysia. It aims at analysing the effectiveness and efficiency programs of AIM in eradicating poverty. The paper highlights some issues about economic globalisation and poverty. It argues whether globalisation would lead to economic growth that in turn brings about poverty reduction. Over the last three decades, Malaysia has made overall a very impressive progress in poverty reduction. The reduction in the incidence of poverty was due to the implementation of the AIM programs among others, towards increasing the productivity and improving the living standards of the poor. Although overall a very important progress has made in fighting poverty, still have major challenges to deal with specially that issues of health and education and basic serves. Poverty based on economic indicators alone is not an adequate measure to explain poverty. Poor people are also poor due to lack of skills, illiteracy, adequate investment, good management, and weak institutions. Based on the finding, a number of policy implications can be recommended and suggested to upgrade the experience of AIM as well as to replicate it in many developing countries.