Clifford Machogu

Micro-finance: Tanzanian Experiences Clifford Machogu

This study sought to determine the intended and the actual usage of micro-credits by the micro-enterprises in Ukerewe district and to determine the extent of growth of micro-enterprises in Ukerewe district after accessing micro-credit. A cross sectional survey design that utilized both qualitative and quantitative research methods for data collection and analysis was used. Ukerewe District as the study area was used. A sample size of 50 respondents made of MWDA micro-entrepreneur borrowers was used. The results from this study revealed that 32%, 28%, 18%, 16% and, 6% of the respondents were involved in food vending, shop-keeping, tailoring, hair salon and charcoal businesses respectively. Results on actual and intended usage of loans showed that 85% of the respondents set aside part of the loan for emergencies. Respondents who acquired assets before investing in businesses were 78%. Growth was also evident in the increase in business incomes where 56% of respondents reported an increase in income between 31-40% and 20% of respondents had an increase in income ranging between 41-100%.