Exploring the Implication of Entrepreneurship Experience on Timely Loan Repayment among Disabled Borrowers in Chamwino District Council, Dodoma, Tanzania

Abstract

The growth of loan defaults is alarming and critical in undermining the sustainability of the disabled loan programmes in Tanzania. This study investigates the implications of entrepreneurial experience on timely loan repayment among disabled loan borrowers in Chamwino District. The study specifically looks at the understanding of entrepreneurship on timely loan repayment and the impact of the loan process on timely loan repayment among disabled borrowers. The study uses an exploratory qualitative study guided by the empowerment theory. It employed in-depth unstructured interviews with 19 disabled people, where data saturation directed the qualitative sample size. Data from the interviews found that disabled loan borrowers have minimal entrepreneurship experience, which causes lender delays in loan repayment. In addition, the results also indicate a slow loan processing speed and minimal document verification speed, with both causing delays in loan repayment. The study is designed as an explorative qualitative study, thus limiting the generalisation of findings. The study recommends empowering disabled borrowers through education to improve loan repayment efficiency and overall financial well-being among them. It also suggests streamlined loan processing procedures integrated with information technology and simplified loan document requirements while ensuring prompt disbursement. The findings contribute to improving entrepreneurship knowledge for loan repayment practices among the disabled borrowers’ category in promoting their participation in economic activities in line with the Sustainable Development Goals of 2030.