Dissertation (MA Business Administration)Student financing in institutions of higher learning is today one of the major challenges facing the education sector in Tanzania. This study assessed the effectiveness of Students Loan‟s Board as an alternative way for financing Higher Education in Tanzania taking the University of Dodoma (UDOM) and Saint John‟s University of Tanzania as a case study. This study employed probability and non-probability in sampling procedures whereby random and purposive techniques in selecting a sample size for study were employed. The study employed also both quantitative and qualitative research approaches in data collection, analysis and presentation under the guidelines of cross-sectional research design to accomplish the study. Questionnaires and interview guides were used as data collection tools. Statistical and Package for Social Sciences (SPSS) and content analysis were used to analyze the data, which were presented in tables and figure and nourished by descriptions. Findings have shown that financing higher students for university studies found to increase compared to the commencement of the programme in 2004, although still most of the needy and eligible students fail to secure loan. Budget for students‟ loans is limited; Loan guidelines, criteria and procedures of loan application and means testing are fairly done. The study therefore recommends that, the government should raise budget for financing higher education students. Reset criteria and procedures for application and allocating loans to clients, so that all clients of loan secure such opportunity and meet their dreams of acquiring tertiary education, for their development and the nation at large.