Statistical analysis of the factors associated with the emerging SACCOS

This study identified and analysed factors associated with the success or failure of the emerging SACCOS in Tanzania Mainland. Multi-stage sampling technique was employed to come up with four regions among ten purposively selected for the study. Four research questions were formulated to guide the study. 156 respondents participated in the study and data were analyzed using IBM SPSS Statistics version 20.0 software. This study revealed that, lack of access to loans for individuals, a need of soft loans for business and non business; and pledges for loans from government, prominent politicians and other stakeholders were the main factors that led to the SACCOS inception. It was shown that accepting non members businesses, having and adhering to conflict management strategy, the number of members at initial stage and employing full time professional management made a significant contribution to a success performance of SACCOS in Tanzania. Moreover, rural SACCOS have shown poor performance as compared to SACCOS operating in urban areas while level of education of chairpersons and managers has shown a positive relationship with SACCOS’ performance. The findings also showed that lack of commitment to members, lack of patience, shifting to other areas and loan default were the major reasons for members’ withdrawal from SACCOS. This study recommended encouraging female members for SACCOS’ leadership since they have shown success performance in most of the SACCOS they lead. Also, this study finding recommended giving priority to female members in borrowing.