Microfinance: Methods, models and its impact on economic development

Abstract

The main purpose of the academic paper is to analyze the dynamics of microfinance services and assess their impact on the entrepreneurial activity of small and medium-sized enterprises and the consequences for the population. Methods of generalization, analysis, comparison, correlation and regression analysis have been used in order to achieve the purpose outlined. The academic paper considers the impact of microfinance services on the performance of small and medium-sized enterprises in the form of net profit. The results have showed that the impact of the cost of microfinance services on the development of financial activities of small and medium-sized businesses have a positive result, and, when using the proposed regression equation, the company will receive positive results in 2020-2024. The conducted correlation analysis of the impact of microfinance services on the level of the average salary of the population of Ukraine has revealed a high level of dependence of citizens on loans obtained. This is confirmed by the high correlation coefficient.