Abstract:
For women entrepreneurs to effectively contribute towards socio-economic development in
Tanzania, access to credit is very important. However, use of credit has been a major setback
for their entrepreneurial development. This study was carried out assess credit use and
performance of women owned micro enterprises, taking Opportunity International clients in
Moshi Municipality as a case study. Qualitative Data were collected by using interview whereas
quantitative data were gathered using questionnaires and documentary review. A multiple
regression analysis was applied in data analysis where; the Statistical Package for Social Science
(SPSS) and Micro-soft Excel computer software was employed. Furthermore, in determining
performance of women owned micro enterprises, a gross profit margin was employed.
Effectiveness, efficiency and productivity were used as performance indicators. It was found
that mobile banking, restaurants and retail shops had better performance whereas; retail shops
were the most profitable businesses. House hold size and amount of money spent in business
alone significantly influenced performance of women owned micro enterprises. Women are
urged to establish retail shops and mobile banking such as M-pesa, Airtel money, easy pesa and
Tigo-pesa because they are most efficient and profitable businesses in their localities. On the
other hand, Opportunity International is argued to diversify its products because the study found
out that despite the fact that women apply for business loans, a significant amount of the same
loan was directed to non-business activities.
