This research deals with the problem of credit risk management in microfinance institutions. The study contains five chapters. The first chapter deals with problem development on how the study problem was developed. Chapter two gives a detailed literature review of the different textbooks and periods used in the research. Chapter three explains the research methodology used by the researcher as well as the tools and methods of data collection. Chapter four is the research findings of the study. Chapter five deals with discussions and the conclusion of the research as well as the time chart & budget.