TY - BOOK ID - 134143765 TI - Measuring the Performance and Achievement of Social Objectives of Development Finance Institutions AU - Francisco, Manuela AU - Mascaro, Yira AU - Mendoza, Juan Carlos AU - Yaron, Jacob PY - 2008 PB - Washington, D.C., The World Bank, DB - UniCat KW - Access to Finance KW - Access to financial services KW - Banks KW - Banks and Banking Reform KW - Debt Markets KW - Demand for credit KW - Development Finance KW - Development finance institution KW - Development Finance Institutions KW - Economic Theory and Research KW - Emerging Markets KW - Finance and Financial Sector Development KW - Financial intermediaries KW - Financial sector development KW - International Bank KW - Macroeconomics and Economic Growth KW - Private Sector Development KW - Social welfare UR - https://www.unicat.be/uniCat?func=search&query=sysid:134143765 AB - This paper develops and tests a proposed methodology that puts forward a new integrated method for evaluating the performance of development finance institutions. This methodology applies assessment criteria that take into account both the social objective that the development finance institution addresses and the subsidies it received in order to achieve such an objective. This methodology is applied to two pilot case studies-Banadesa (Honduras) and Banrural (Guatemala). The authors calculate the previously tested subsidy dependence index, which measures the degree of an institution's subsidy dependence. The paper develops and estimates a new measure-the output index- which indicates the level to which the institution fulfills the social objectives of the state. The analysis integrates the subsidy dependence index and the output index to assess the effectiveness associated with meeting the social objective. The findings suggest that the integration of the two indexes can constitute the basis of a meaningful evaluation framework for the performance of development finance institutions. This new methodology can also be a useful metric for policy makers who are seeking to decide on an optimal allocation of scarce funds for development finance institutions that pursue social goals and for management that seeks improved performance outcomes. ER -