Regulatory Alerts2018-01-01
The Microfinance Act 2018
Enacted by the Parliament of Tanzania and assented to in November 2018, this legislation establishes a comprehensive four-tier regulatory framework for microfinance service providers. The Bank of Tanzania, alongside delegated authorities and local governments, is mandated to license, register, supervise, and inspect these providers while enforcing minimum capital, governance, and consumer protection standards. The Act prohibits unlicensed operations, defines permissible microfinance activities including digital services and commodity lending, outlines transformation pathways between tiers, and amends existing banking, cooperative, and money laundering laws to ensure market sustainability.
Share