Abstract:
Mainly this study aimed at assessing the effectiveness of the Microfinance
Institutions (MFIs) in empowering women petty traders‟ performance, specifically in
PRIDE Tanzania in Morogoro branch. The specific objectives of the study were to
identify ways used in empowering women petty traders; to assess the effectiveness of
the methods used in empowering women petty traders; and to identify the challenges
facing the practice of empowering women petty traders. Tools used to collect data
were structured questionnaires of open and closed questions, to obtain quantitative
and qualitative data. Interviews of key informants were undertaken under the
guidance of checklist questions. Data analysis was based on descriptive statistics,
frequency analysis and percentages. It was found by the study that main ways used
by PRIDE Tanzania to empower women petty traders included providing them with
loans for business; providing them with business training and education; saving
mobilization; and social networking and bonding. Further, it was found by the study
that the ways used were effective in; increasing income for livelihood; expanding
business; accumulating assets; and business skills and strategies. Also, the study
found that PRIDE Tanzania faced various challenges in empowering women traders
including lack of education especially on business bases; poor balance between
business and family obligations; poor degree of financial freedom; and poor
awareness of personal capabilities. From the results it was concluded that majority of
respondents were satisfied with the loans provided by PRIDE Tanzania Ltd, thus,
women were empowered. This research recommends that there should be established
good ways to train the clients on how to use the loans; and there should be sought a
way or ways through which the women can understand their capacities especially in
business and other entrepreneurship perspectives so that they best use them for their
own betterment and the betterment of the community.
