Authors: Mkanibwa Magoti Ngoboka (Ruaha Catholic University, Tanzania), Deus Ngaruko (Open University of Tanzania) and Gwahula Raphael (Open University of Tanzania)
Abstract: This study focused on the effects of microfinance financial services on the performance of women owned businesses in Iringa Municipality, Tanzania. Quantitative research approach was employed to collect and test statistical data. Explanatory research design was adopted, using 247 respondents which were selected using systematic sampling approaches from the study population of 647 women business owners. Data was collected using a survey questionnaire and analysis was conducted using the multiple regression analysis. Findings revealed that microfinance financial services have significant effects on women owned business performance. Furthermore, micro credit and micro saving have significant effects on women owned business performance. The study recommends that policy makers at local governmental authorities need to develop microfinance policies that capture financial resources, such as micro credit and micro saving, which fit well to women context through mobilizing them to join social economic groups. The study further recommends that for women owned businesses to perform well, women should join microfinance institutions to obtain financial resources, such as micro credit and micro saving.