Regulatory Alerts2024-01-01
Guidance Note on Digital Lenders Under Tier 2 Microfinance Service Providers, 2024
The Bank of Tanzania issued this 2024 guidance note to regulate digital lending operations for Tier 2 Microfinance Service Providers, requiring them to obtain a no-objection letter and meet strict operational criteria. The framework mandates secure digital platforms, transparent pricing, full data protection compliance, and Kiswahili or bilingual interfaces while prohibiting abusive debt collection practices like excessive contact list access and unauthorized data sharing. Licensed providers must also submit periodic reports, maintain approved lending policies, and operate exclusively within Tanzania to ensure consumer protection and market stability.
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