Dissertation submitted in the partial fulfillment of the requirements for the degree of bachelors of business management and entrepreneurship BBME MCA 2016 MT3058

Micro-finance has become very important in global poverty reduction debates and entrepreneurship is considered as one of the most important factors contributing to the economic development of the society. The popular assumption is that enabling poor households access to credit helps households begin micro entrepreneurship which enable them improve their income and eventually escape poverty. Evidence from research so far has scanty, and many results have been highly contested.

CUMO micro-finance limited is a non-profitable organisation and Malawi's largest rural people across 13 district of Malawi. 96% of CUMO's clients are within an education level lower than standards 5. At least 57% of them have little or no knowledge of business and get little access to profitable markets.

This study was designed to investigate the economic opportunities of financing women entrepreneurship by micro-finances. It also address the characteristics of women entrepreneurs in SMEs and their enterprises and supports they acquire from micro-finances. A sample of 150 women entrepreneurs was taken for the study using stratified and simple random sampling. In the process of answering the basic questionnaire that include demographic profiles, characteristics of women entrepreneurs and their enterprises, factors that affect the performance of women entrepreneurs in SMEs and support SMEs acquire from micro-finance was designed in a closed their ended scale. Moreover, interviews were held with officials of micro-finances. After the data has been collected, it was analyzed using simple statistical techniques (tables and percentages) and descriptive statistics (mean).

The study reveals that micro-finance has a positive impact on economic growth of women entrepreneurs in relation to the business, household and socially. The research also found out that level of interest rate charged is a potential contribution to loan delinquency and that most women do not have any form of insurance to safeguard them against unforeseen circumstances. Also, the research contains recommendations to MFIs and how women and entrepreneurs i SMEs in dedza district