Exploring the Relationship between Client Protection Practices and Sustainable Performance in the Microfinance Sector: A Study of Kosovo's Microfinance Institutions

Microfinance institutions (MFIs) help provide financial services to low-income people small businesses in developing countries. For microfinance institutions to ensure that their clients are served in the right way and, on the other hand, they remain safe, MFIs must adhere to some basic principles of corporate governance, which must support standards of consistency, Transparency, and well-developed corporate governance structures. This study aims to explore customer protection policies' impact on the success of the microfinance industry in the long term, among other things which are of great interest to stakeholders in this sector. The research is focused on ascertaining whether customer protection policies influence the viability of Kosovo's microfinance business. According to Association of Microfinance Institution in Kosovo (AMIK) institution members, Accountability and debt collection mechanisms influence long-term performance. Our results offer a positive outlook for the future by indicating that having appropriate debt collection procedures and laws, together with encouraging an accountable management culture, may enhance the sustainability of Kosovo's microfinance industry.