The Impact of Financial Crisis on MFIs Performance in Zimbabwe

Our study explores the impact financial crisis has on performance of microfinance institutions in Zimbabwe employing Vector Autoregression using annual time series data from 1990 to 2018. The findings our revealed a positive Microfinance Institutions. We also found effect gross domestic product, money supply, first lag inflation and exchange rates while second negative effect. Variance decomposition results reveal an increasing long run is increasing. From impulse response analysis, one standard deviation shock causes significantly fluctuate up period 10 where graph becomes negative. recommended policy makers enforce clearness all MFIs so as uncover any form disfigurement sector’s balance sheets. Tightening regulation will go way ensuring their success. For benefit rate performance, government needs work reviving value Zimbabwean dollar make it more competitive internationally.