Regulatory Alerts2021-01-01
The Banking and Financial Institutions (Development Finance) Regulations, 2021
The Bank of Tanzania issued these 2021 regulations to establish comprehensive licensing, organizational, and capital requirements for development finance institutions operating in the country. The rules mandate a minimum core capital of Tanzanian Shillings two hundred billion, prescribe strict single-borrower credit limits based on collateral levels, and require robust risk management and capital adequacy ratios of thirteen to fifteen percent. By standardizing licensing procedures, ownership restrictions, and administrative sanctions, the framework ensures financial soundness, promotes rural financial inclusion, and aligns domestic development finance operations with international banking standards.
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