Credit access by small and medium enterprises in Tanzania: a case study of Dar es Salaam city

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dc.contributor.authorMagembe, Yohane Kitwima
dc.date.accessioned2019-11-29T15:45:34Z
dc.date.accessioned2020-01-07T15:56:35Z
dc.date.available2019-11-29T15:45:34Z
dc.date.available2020-01-07T15:56:35Z
dc.date.issued2014
dc.descriptionAvailable in print form, East Africana Collection, Dr. Wilbert Chagula Library, Class mark (THS EAF HG4027.7.T34M33)en_US
dc.description.abstractThe contribution of SME sector in economic development has been recognized worldwide. The main challenge of the sector to contribute fully is a limited access to finance. This study examined the factors influencing access to credit by SMEs operators. Data collection was conducted through self-administered questionnaire to 300 SMEs owners in Dar es Salaam city distributed across Ilala, Temeke and Kinondoni municipalities. Information was sought for three key research questions related to challenges of lending among SMEs, reasons for bad loans and factors influencing credit access by SMEs from lenders. The statistical analysis of data involved descriptive and logistic regression to establish the association between dependent and independent variables. Descriptive analysis showed that the major challenges that lenders encounter when lending among SMEs include; high interest charged that pool bad borrowers who are likely to default and collateral requirement as the decisive factor for loan approval. Furthermore, descriptive analysis shows that the main reasons for bad loans among SMEs operators in the region include poor credit management, high interest rate, short term repayment and poor business skills. The logistic results indicated that business information is the critical factor that largely influences credit access by SMEs in the region. Other factors include startup capital and age of the SMEs operator. Therefore, SMEs operators should maintain attractive attributes to stimulate lenders to extend credit to financing their business operations. The government should strategically regulate the stringent conditions and requirements posed to SMEs operators while education should be offered to SMEs operators in the region to improve their business operations. Further areas of research can be on social-political factors and simultaneous demand and supply factors on their influence on credit access.en_US
dc.identifier.citationMagembe, Y. K (2014) Credit access by small and medium enterprises in Tanzania: a case study of Dar es Salaam city, Master dissertation, University of Dar es Salaam. Dar es Salaam.en_US
dc.identifier.urihttp://localhost:8080/xmlui/handle/123456789/2859
dc.language.isoenen_US
dc.publisherUniversity of Dar es Salaamen_US
dc.subjectSmall businessen_US
dc.subjectFinanceen_US
dc.subjectDar es Salaam Cityen_US
dc.subjectTanzaniaen_US
dc.titleCredit access by small and medium enterprises in Tanzania: a case study of Dar es Salaam cityen_US
dc.typeThesisen_US

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