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The aim of this study was to evaluate the impact of global financial crisis on saving and credit cooperative s response to poverty reduction strategies in Tanzania. The study seeks to Identify the financial challenges faced by SACCOs as a result of global financial crisis, evaluate the relationship between SACCO s performance and poverty reduction among its members, Identify the response of SACCOs to the global financial crisis and evaluate the relationship between global financial crisis and level of poverty among SACCO s members. The study found out that, although the Global financial crisis did not have a direct impact to the SACCOs operations, its indirect impact affected to some extend the SACCO s responses to poverty reduction strategies in Tanzania. SACCOs were forced to respond to the crisis indirectly, especially due to precaution measures taken by commercial banks, which are the major external financing source to most of SACCOs. The responses taken by the SACCOs had an impact to its members, who also were affected by the secondary impact of the crisis in their individual businesses.