The Effects of Effective Management of Funds on Financial Institutions Service Delivery in Tanzania: A Case of Manungu SACCOS in Kigoma Municipality.

The study explores the effectiveness of the management of funds in the financial institutions specifically Savings and Credit Cooperative Societies (SACCOs). More specifically the study aimed at determining how accounting procedures, qualifications of management personnel, good governance influence the effectiveness of SACCOs service delivery to draw a sample of staff from Manungu SACCO in Kigoma Municipality.The study adopted quantitative approach using mean, mode, median and frequency with the help of SPSS. The study found that the accounting procedures, the qualifications of management personnel and the sense of good governance lead to effective SACCOs service delivery. The study recommends employing qualified staff, seeking grants or aids or long term low-interest loans to increase their loan capital. SACCOs must be audited by an external auditor to ensure transparency and more reliable reports. Best practice by SACCOs leaders. The study found that SACCOs changed the lives of poor people. Findings reveal that SACCOs members have increased their purchasing power and therefore expanded their business. However, the findings revealed some weaknesses in SACCOs. Some of these weaknesses included the absence of experts to provide training, high administration cost and lack of access funding from banks. In order to improve the effective management of funds in SACCOs the study recommended that SACCOs should have well-defined rules of governance, internal controls, accounting manual, risk management register and disciplines supervision.Regular supervisions, workshop and seminars on entrepreneurship and financial management to members. Keywords: Management of funds, financial institutions, SACCOs. More specifically good governanc