This paper assesses the determinants of loan repayment among Youth in Groups in the Bukombe District. Specifically, the paper examines socioeconomic factors that influence loan repayments among youth, the extent of group dynamics on loan repayment among youth and challenges hindering youth groups in repaying their loan. The paper employed a cross sectional research design whereby structured and semi-structured interviews and documentary review methods were used for data collection. Probability and non-probability sampling techniques were employed to select a sample of respondents and key informants, respectively. Data analysis employed in this study included both inferential and descriptive statistics. The findings revealed that Marital status (0.001), youth income before the loan (0.000), Family size (0.006), sex (0.02), distance from lender’s office (0.022) and years of schooling (0.07) significantly influenced loan repayment among youth at 1 per cent level, 5 per cent level and 10 per cent level respectively. Group dynamics have an association with loan repayment. Furthermore, the study revealed that conflict within the group, the time lag between loan application and disbursement, and improper use of the loan are the main challenges hindering youth from repaying their loan. Therefore, Legal framework, pre-loan training, and the short time lag between loan application and disbursement have to be put in place to enhance loan recovery