Browsing by Author "Lilian, Edward Ngonyani"

Now showing 1 - 1 of 1
  • Thumbnail Image
    Item
    Effects of credit provision and collection criteria on the savings and credit cooperative union in Tanzania: a case study of women in self-employment (wise)
    (Kampala International international,College of Economics and Management, 2010-05) Lilian, Edward Ngonyani
    This research entitled "the credit provision and collection criteria in WISE savings and credit cooperatives Union for Women in Tanzania" examined the loan provision, collection procedures as well as the default rate of this SAC. Today a number of Saving and Credit Cooperatives(SACs) are established to give a saving and loan service to clients and much emphasis is given for those women who wants to run SME. WISE's major clients are women who would have an impact on changing their own life as well as their families. The study attempted to identify and assess the loan provision criteria s, collection procedures, the reason for default, the impact of interest on the cooperatives and clients, and last but not the least the benefits and challenges of the SAC under WISE. Data for the study was collected through questionnaire, interview and discussions with four cooperatives members and credit officers who are situated in the sub-city of Dar e s Salaam. Results of the study indicate that in order to give loan to a woman WISE have set criteria’s so as to decrease the default rate. A woman has to save money and has to provide a business plan in order to be given the requested loan, after being a member of the SA Cs. The study revealed that the level of education of the borrowers reduces the default rate in turn facilities heavily the collection procedures. The study also indicates that the interest charged has a great impact on clients which makes them to reduce the amount of loan they want to take. The study recommends that that to provide a specific amount of loan for those groups of borrowers who have less educational background. A policy should be developed and designed to this group of lenders, since majority of the informal sector does not have any or little access to the formal education