Determining factors of non-performing financing in Islamic microfinance institutions

This paper investigates the determining factors of non-performing financing in Islamic microfinance institutions (MFIs) in Indonesia. Using logistic regression, the study sample comprises data from 140 clients; 90 with a good financing status and 50 with a poor financing status. The results show that age, gender, occupation, and type of contract influence the non-performance of clients of Islamic MFIs in Indonesia. Probit regression confirmed the results.