Dissertation (MA Business Administration)The aim of this study was to assess the factors that hinder effective implementation of the Property and Business Formalization Programme (PBFP) in Kikwe ward in Meru District. The research employed a case study survey technique. The study adopted both qualitative and quantitative approaches, whereby 85 heads of household, 4 government officials and 4 village leaders were used as respondents in this study. Research data were collected using cross sectional approach whereby both questionnaire and interview were used. The justification of this research was based on the fact that, PBFP is reported to have failed to take sufficient account of the political and economic of changes which would affect the effective implementation of PBFP in rural communities. The study findings indicate that the extent of implementation of PBFP in rural communities is low. This is coupled with poor governance structure which was identified in terms of lack of integrity of the officials who were involved in the formalization process which in turn leads to corruption practices. Poor awareness of PBFP as well as poor set up of the programme were also among other factors that were found in the study to hinder the effective implementation of PBFP at the village level. The study also found that, PBFP is targeting men more than women From the study findings, recommendations are made to the government to take a leading role in the design and formulation of appropriate policy and standards which shall be adopted and applied to ensure effective implementation of PBFP in order to achieve Millennium Development Goals (MDGs) as planned.