Banking and Financial Institutions (Credit Guarantee Corporation) Regulations, 2026

GOVERNMENT NOTICE NO …………… published on .....................……….........
THE BANKING AND FINANCIAL INSTITUTIONS ACT [CAP 342 R.E. 2023] ___________ REGULATIONS ___________ (Made under section 71) ___________ THE BANKING AND FINANCIAL INSTITUTIONS (CREDIT GUARANTEE CORPORATION) REGULATIONS, 2026 ARRANGEMENT OF REGULATIONS
PART I
PRELIMINARY PROVISIONS

1. Citation

2. Application

3. Interpretation
   PART II
   LICENSING

4. Application for licence

5. Principal contact person

6. Financial capacity

7. Character and experience

8. Disclosure of intended products and services

9. Significant policies

10. Conduct of pre-licensing inspection

11. Grant of licence

12. Undertaking by the board members

13. Opening or relocation or closure of branch or subsidiary

14. Revocation of licence
    PART III
    CREDIT GUARANTEE OPERATIONS

15. Permissible activities

16. Approval of fees, charges and commission

17. Single exposure limit

18. Changes in ownership structure

19. Classification of guarantees

20. Provisioning of guarantees

21. Minimum capital requirement

22. Leverage ratio

23. Exposure limit to individual bank or financial institution

24. Liquidity management

25. Guarantee coverage ratio

26. Non-recoverability of loan

27. Procedures for claim settlement
    PART IV
    CORPORATE GOVERNANCE

28. Establishment of the Board

29. Members of the Board

30. Formation of Committees

31. Chairperson

32. Committee charter

33. Committee members

34. Maintenance of records

35. Reporting of vacancy

36. Approval for appointment in senior management or board members

37. Conflict of interest

38. Regular assessment of the board

39. Responsibilities of the board

40. Appointment and oversight of senior management

41. Approval of strategies, plans and policies

42. Promotion of sound corporate culture

43. Setting lines of responsibility and accountability

44. Duty of care and loyalty

45. Risk Management, compliance and audit functions

46. Review of risk management policies

47. Liabilities of Directors

48. Board meetings

49. Compensation

50. Reporting to the Board

51. Internal audit
    PART V
    GENERAL PROVISIONS

52. Restriction on Dividend

53. Reporting requirements

54. Preparation and submission of accounts

55. Penalties and sanctions

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SCHEDULES

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PART I
PRELIMINARY PROVISIONS
Citation 1. These Regulations may be cited as “the Banking and Financial Institutions (Credit Guarantee Corporation) Regulations, 2026”. Application 2. These Regulations shall apply to Credit Guarantee Corporation. Interpretation 3. In these Regulations, unless the context requires otherwise - “Act” means the Banking and Financial Institutions Act; “Bank” has the meaning ascribed to it under the Bank of Tanzania Act. “Board” means the Board of Directors of the Corporation; “borrower” means a person in whose favour a credit accommodation has been granted by a lender guaranteed under these Regulations; “capital” means permanent shareholders’ equity in the form of issued and fully paid ordinary shares and preference shares, capital grants, reserves and retained earnings; “Chief Executive Officer” means the Chief Executive Officer of the Corporation; “Corporation” means Credit Guarantee Corporation;

“credit accommodation” means loans, overdrafts and advances, leasing, acceptances, performance and bid bonds, letters of credit, guarantees, foreign exchange contracts or any other form of a direct or indirect financial obligation including interest due and unpaid to a participating financial institution; “credit guarantee business” means operations of the Corporation that provide guarantees to lenders, ensuring repayment of the loans, either in part or in full, if borrowers default; “Credit Guarantee Corporation” is an entity licensed by the Bank with the objective of providing guarantees to participating financial institutions, against the risk of default by obligors; “credit guarantee” means a legally binding commitment by the Corporation to partially or fully compensate a participating financial institution for losses incurred if a borrower fails to repay a loan in accordance with agreed terms; “lender” includes banks and financial institutions licensed under the Act and the microfinance service providers licensed under the Microfinance Act; “Participating financial institutions” means eligible banks, financial institutions and microfinance service providers licensed by the Bank; “person” has the meaning ascribed to it in the Act; and "related party" (a) in relation to a body corporate means- (i) its holding company or its subsidiary; (ii) a subsidiary of its holding company; (iii) a holding company of its associates; (iv) any person who controls the company or body corporate whether alone or with his related party or with other related parties of it; and (b) in relation to an individual means- (i) any member of his family;

(ii) any company or other body corporate controlled directly or indirectly by him whether alone or with his related parties; and (iii) any related party of his related parties and it includes connected party. “significant shareholder” means a person who holds, directly or indirectly a beneficial interest amounting to five percent or more of the voting shares of the Corporation.
PART II
LICENSING
Application for licence 4.(1) The Corporation shall, by a letter in the form prescribed in the Second Schedule, apply for licence to the Bank. (2) The Corporation shall, before submitting an application referred to under sub-regulation (1), apply for a pre-filing meeting with the Bank. (3) An application referred to under sub-regulation (1) shall be signed by the directors of the Corporation or a person authorized by the Corporation and be accompanied with- (a) a copy of each of the documents listed in the Third Schedule; and (b) non-refundable application fee of ten million Tanzanian Shillings to be paid through means acceptable to the Bank. Principal contact person 5.The Corporation shall designate a principal contact person for the purposes of application processes and inform the Bank of the name and address of such a person. Financial capacity 6.(1) The Bank shall, before granting a licence, investigate and scrutinize the financial capacity of the Corporation and its shareholders. (2)The financial capacity of Corporation and its shareholders, shall be measured on:- (a) levels of capital as shown on balance sheets; and (b) the potential financial support that may be made available when the Corporation requires capital injection. (3) The Bank shall assess:-

(a) the ability of the Corporation and his business affiliates to pay their current obligations from their income; (b) reasonability of valuation they assign to their assets; and (c) net-worth in relation to other liabilities. Character and experience 7.(1) The Bank shall make an assessment as to whether the proposed members of the Board and senior management of a proposed institution are fit and proper in accordance with the criteria set out in the First Schedule. (2) Without prejudice to sub-regulation (1) the Bank shall:- (a) make an assessment of proposed board and senior management team members regarding their formal education, professional qualifications, work experience, reputation, criminal record and conflict of interest; and (b) require board and senior management team to comprise people of sufficiently strong character who are able to oversee the credit guarantee corporation’s operations effectively by having the requisite credit guarantee business experience. (3) For the purpose of the assessment referred to in this regulation, the proposed directors and senior managers shall complete the questionnaire set out in the Fourth Schedule to these Regulations. Disclosure of intended products and services 8.(1) The Corporation shall indicate in the business plan the financial products and services it intends to provide and how such products and services shall be beneficial to the country. (2) The Corporation shall, before introducing a new product or service in the market, obtain prior approval of the Bank. (3) When seeking for the approval under sub-regulation (2), the Corporation shall submit to the Bank the description of the product or service, risk inherent in it and mitigation strategies. Significant policies 9. The Corporation shall, at minimum, prepare and submit to the Bank, all key policies listed under Fifth Schedule of these Regulations. Conduct of pre￾licensing inspection
10. Prior to granting a licence, the Bank may perform an inspection of
the Corporation’s business premises to confirm the physical

location of the office building and infrastructure provided for take￾off of the Corporation. Grant of licence 11. (1) The Bank shall:- (a) within sixty days after receipt of a complete application; or (b) where additional information has been required, after receipt of such information, grant a licence or reject the application. (2) Where the Bank has rejected the application it shall inform the Corporation in writing explaining the grounds for rejection.
3) The Corporation may reapply, if the deficiencies that formed the
basis for rejection under sub-section (2) of the initial application or subsequent review have been duly corrected or otherwise satisfactorily addressed. (4) When a licence is issued, it shall remain in force unless suspended or revoked in the manner provided in these regulations. Undertaking by the board members
12. Every member of the Board of the Corporation shall:-
(a) execute a legally binding undertaking to fulfil his obligations towards maintaining a safe, sound and profitable institution; and (b) undertake to comply with the provisions of the Act, Bank of Tanzania Act, and other laws, regulations, policies, circulars, orders and instructions made there under. Opening or relocation or closure of branch or subsidiary
13. (1) The Corporation shall not invest in capital expenditure for the
purpose of opening or relocation or closure of a branch or subsidiary, agency or additional office in or outside Tanzania unless it has obtained the prior approval of the Bank. (2) The Bank may approve an application for opening a subsidiary, branch, agency or additional office after proven successful, sound and profitable operations and it may, as a condition for approval, require additional capital. (3) An application for establishment of a subsidiary, branch, agency or an additional office shall be supported by:- (a) projected balance sheet and income statement for the next three years;

(b) consolidated projected balance sheet and income statement for the next three years; (c) proposed organization structure; (d) detailed budget and programme for the establishment; (e) names and particulars, including curriculum vitae for persons proposed to take up senior positions; and (f) any other information the Bank may require. Revocation of licence 14. (1) The Bank shall, before revoking a licence, give written notice to the Corporation stating the reasons for the intended action and shall give the Corporation an opportunity to make presentations within 21 days. (2) The Bank may revoke a licence of the Corporation, if the Corporation:- (a) fails to comply with these Regulations or any directive issued by the Bank; (b) ceases conducting credit guarantee business; (c) contravenes any of the conditions endorsed on the licence; (d) fails to comply with any administrative sanction imposed on the Corporation; (e) violates anti-money laundering laws or combating the financing of terrorism laws; (f) goes into liquidation or an order is issued for its winding up. (g) is insolvent or unable to meet its obligations; (h) engages in unsafe or unsound practices; and (i) provides false or misleading information. (3) Upon revocation, the Corporation shall cease issuing guarantees and shall comply with any directives issued by the Bank for the orderly winding down of its operations.
PART III
CREDIT GUARANTEE OPERATIONS
Permissible activities 15. (1) The Corporation shall be allowed to engage in one or more of the following activities:-

(a) Providing guarantee for risk assets of participating financial institutions; (b) Providing advisory services for financial and business development; (c) Providing technical assistance to lenders and borrowers on credit and business development; and (d) any other activity that may be approved by the Bank. Approval of fees, charges and commission
16. The Corporation shall submit to the Bank the proposed fees,
charges and commission for approval prior to implementation. Single exposure limit 17. (1) The Corporation shall ensure that the total credit guarantee exposure in respect of any single borrower or group of related parties shall not exceed twenty-five percent of its capital for MSME facilities and thirty percent for facilities under export credit guarantee scheme. (2) The Corporation may, in exceptional circumstances, exceed the limits prescribed under subregulation (1), provided that it has obtained prior written approval from the Bank. Changes in Ownership Structure
18. The Corporation shall not enter into an agreement or arrangement,
which results in a change of control or ownership without prior approval of the Bank. Classification of guarantees
19. The Corporation shall align its classification, where appropriate,
with that of the participating financial institution and shall review such classification on a quarterly basis or as may be required by the Bank. Impairment of guarantee
20. The Corporation shall recognize and measure impairment on its
guarantee portfolio in accordance with the International Financial Reporting Standards. Minimum capital requirement
21. The Corporation shall commence operations and maintain at all
times a minimum capital of not less than fifty billion Tanzanian shillings. Leverage ratio 22. The cumulative guarantee liabilities of the Corporation shall not exceed five times of its shareholders’ fund.

Exposure limit to individual bank or financial institution
23. The Corporation shall not deposit in a single bank or financial
institution, an amount exceeding twenty five per cent of its capital. Liquidity management 24. (1) The Corporation shall adopt sound and prudent liquidity management and funding policies. The policies shall at least include:
(a) responsibility for management of overall liquidity; (b) effective techniques and procedures to identify, measure, monitor, and manage liquidity risk; and (c) contingent liquidity planning. (2) The liquidity management and funding policies under sub￾regulation (1) shall be reviewed, at least annually or more frequently as may be necessary to ensure that they remain appropriate and prudent. (3) The Corporation shall maintain sufficient liquid assets for meeting its maturing obligations. Guarantee coverage ratio
25. Unless authorized by the Bank, the Guarantee may cover up to a
maximum of eighty percent of the credit facility amount.
Non-recoverability of loan
26. (1) The loan shall be classified as non-recoverable upon
confirmation that the amount in default in respect of the credit facility is due, has not been paid and all reasonable recovery measures have been exhausted. (2) After the outstanding loan amount is determined to be no longer recoverable, the participating financial institution shall formally notify the Corporation in writing about the non-recoverability of the loan. (3) The Corporation shall ensure that the participating financial institutions retain documentation and justification supporting the determination of non-recoverability. Procedures for claim settlement
27. The Corporation shall:
(a) Establish and maintain clear, documented, and enforceable procedures for the submission, verification, assessment, and settlement of claims arising under Guarantee Agreements; and (b) Establish mechanisms for resolving disputes that may arise from claims.

PART IV
CORPORATE GOVERNANCE
Establishment of the
Board
28. The Corporation shall establish Board of Directors, which shall
be the governing body of the Corporation.
Members of Board 29. (1) The Board shall be composed of not less than seven members, at least two thirds of whom shall be non-executive. (2) In appointing members of the Board, the appointing authority shall ensure that at least - (a) two of the non-executive members are independent and have requisite experience in banking, finance, accounting, auditing, law or economics; and (b) two of the members are Tanzanians. Formation of Committees
30. (1) The Board may, subject to such terms and conditions as it may
determine, form and appoint from among its members, such number of committees as it deems necessary for better carrying out of its oversight roles and other responsibilities. (2) The Board shall form an Audit Committee, Risk Committee, Credit Guarantee Committee and such other Committees as it may deem necessary for the discharge of its functions. Chairperson 31. (1) The chairperson of the Board shall- (a) be a non-executive member of the Board; (b) not be a member of Audit Committee or Credit Guarantee Committee of the Board; and (c) not serve as chairperson of any Board Committee. Committee charter 32. Each Committee shall have a charter or other instrument that sets out its mandate, scope and working procedures including the manner in which Committee will report to the Board and any tenure limits for serving on the Committee. Committee members 33. (1) The Board Committees shall consist of non-executive directors, and the number of Committee members shall not be less than three. (2) Subject to sub-regulation (1), at least two of the Audit Committee members shall be independent members having accounting, auditing or related financial management experience.

(3) A member of the Audit Committee shall not simultaneously serve as a member of other Board Committees. Maintenance of records 34. Board and Committees shall maintain appropriate records of their deliberations and decisions. Reporting of vacancy 35. The Corporation shall, in writing and within seven days, notify the Bank of any vacancy in a post of senior management or member of the Board. Approval for appointment in senior management or board members
36. The Corporation shall not appoint any person in senior
management position or Board member and assign that person responsibilities unless it has obtained prior approval of the Bank. Conflict of interest 37. (1) A Board member or a member of senior management shall not have any conflict of interest that may impede his ability to perform his duties objectively. (2) The Board shall ensure that policies for identification of potential conflicts of interest are developed, implemented and monitored. Regular assessment of the board
38. (1) The Board shall, either alone or with the assistance of external
expert, carry out assessment of the Board, its Committees and individual Board members by- (a) periodically reviewing its structure, size and composition; (b) assessing the ongoing suitability and performance of each Board member at least once annually; (c) either separately or as part of these assessments, reviewing the effectiveness of governance practices and procedures, determining where improvements may be needed, and making any necessary changes. (2) The Corporation shall submit the report of the assessment made under sub-regulation (1) to the Bank within thirty days from completion of the assessment. Responsibilities of the board
39. (1) The Board shall be responsible for providing oversight on all
affairs of the Corporation including: -
(a) risk management;
(b) approval of overall business strategies and policies; (c) hiring capable senior management; and

(d) ensuring senior management implements strategies and policies approved by the Board. Appointment and oversight of senior management
40. The Board shall appoint senior management and-
(a) monitor performance of the senior management to ensure that their actions are consistent with the strategies, policies and risk appetite approved by the Board; (b) set appropriate performance and remuneration standards for senior management consistent with the long term strategic objectives and the financial soundness of the bank or financial institution; (c) hold members of senior management accountable for their actions; (d) ensure that senior management’s knowledge and expertise remain relevant given the nature of the business and the bank's risk profile; and (e) ensure that there is appropriate succession plan for senior management positions. Approval of strategies, plans and policies
41. (1) The Board shall approve strategies, business plans and policies
and monitor management's performance in implementing them.
(2) The Corporation shall, within thirty days after approval, submit to the Bank the strategies, business plans and policies. Promotion of sound corporate culture
42. (1) The Board shall, for the purpose of promoting sound corporate
culture-
(a) set corporate values to be adhered to by the Board, senior management and other employees; (b) create a strong risk management culture by- (i) conveying the Board’s expectation that it does not support excessive risk-taking; and (ii) ensuring that all employees operate within the agreed risk appetite and risk limits. (c) ensure that appropriate steps are taken to communicate throughout the Corporation, corporate values, professional standards or code of conduct; and

(d) ensure that senior management and employees are aware that appropriate disciplinary or other actions shall be taken for breach of professional standards or code of conduct. Setting lines of responsibility and accountability
43. The Board shall establish lines of responsibility and accountability,
which shall be communicated throughout the Corporation.
Duty of care and loyalty 44. Members of the Board shall exercise their duty of care and loyalty to the Corporation in accordance with applicable laws and supervisory standards. Risk Management, compliance and audit functions
45. The Board shall utilize the work of risk management, compliance
and audit functions as independent checks on the information received from management on the operations and performance of the Corporation. Review of risk management policies
46. The Board shall review risk management policies at least once a
year.
Liabilities of Directors 47. (1) In the performance of his functions under the Act and these Regulations, a director- (a) shall execute an undertaking that he shall- (i) jointly and severally ensure that the Corporation operates in a safe, sound and profitable manner; and (ii) be liable for non-compliance with such undertaking. (b) shall be responsible for complying with secrecy provisions of the Act; (c) shall not involve himself in fraud or deliberate mismanagement; (d) has a duty of care and loyalty to the Corporation’s interests and shall be liable for damage caused where he breaches that duty; (e) shall be liable for non-diligent and negligent performance of his duties as a director; and (f) shall be responsible for exercising rational and independent judgment. (2) A director who violates any provision of Acts or Regulations issued thereunder may be fined, removed from office, or disqualified

from holding any position or office in any institution licensed by the Bank. Board meetings 48. (1) The Board shall meet at least once every three months to discuss the affairs of the Corporation. (2) A member of the Board shall attend at least seventy-five percent of the Board meetings of the Corporation in each year. (3) A director who has, whether directly or indirectly, personal interest in a transaction that is tabled for discussion before the Board, or in a decision that the Board is about to make, shall declare his personal interest at the opening of the meeting at which the transaction is to be discussed. (4) Upon declaration of his personal interest under sub-regulation (3), the director shall absent himself from the meeting and not be counted for purposes of determining a quorum required for that discussion. Compensation 49. (1) The Board shall approve the compensation of senior management and shall oversee development and operation of compensation policies, systems and related control processes by the management. (2) The compensation structure shall- (a) be consistent with the long term performance and in line with the business and risk strategy, objectives, values and long term interests of the Corporation and incorporate measures to prevent conflicts of interests; and (b) facilitate adherence to risk appetite, promote appropriate risk taking behaviour and encourage employees to act in the interest of the Corporation. Reporting to the Board 50. (1) For the purpose of ensuring effective performance of functions of the Board under these Regulations, senior management shall, at a minimum, report to the Board on:
(a) changes in business strategy, risk strategy or risk appetite; (b) Corporation performance and condition; (c) breaches of risk limits or compliance rules; (d) internal control failures; and

(e) legal or regulatory concerns.
Internal audit 51. (1) The Corporation shall appoint an internal auditor whose function shall be to evaluate the adequacy and effectiveness of the system of internal controls, risk management framework and governance processes. (2) The Corporation shall not appoint any person to hold the post of internal auditor without obtaining prior approval of the Bank. (3) The Corporation shall, where the post of the internal auditor falls vacant, notify the Bank in writing within seven days from the date the position falls vacant.
PART V
GENERAL PROVISIONS
Restriction on Dividend 52. The Corporation shall not at any time declare or pay dividend or make any other transfer from profits if such payments or transfers result in failure to meet minimum capital and leverage requirements. Reporting requirements 53. The Corporation shall submit reports in a format and frequency prescribed by the Bank. Preparation and submission of accounts
54. The Corporation shall, prepare financial statements in accordance
with International Financial Reporting Standards and within three months from the end of financial year submit to the Bank, a copy of annual audited financial statements. Penalties and sanctions 55. (1) Where the Corporation contravenes these Regulations or any directive issued by the Bank, the Bank may determine and impose administrative sanctions, including:
(a) a penalty of the amount to be determined by the Bank; (b) prohibition from declaring or paying dividends; (c) suspension of capital expenditure; (d) suspension from office of the defaulting director, officer or employee; (e) restriction or suspension of specified business activities; and (f) revocation of licence.

(2) The Bank may, in addition, require the Corporation to take corrective measures within a specified period. ______________ FIRST SCHEDULE ___________ [Regulation 7 (1)] CRITERIA FOR DETERMINING THE CHARACTER AND EXPERIENCE REQUIRED FOR A MEMBER OF THE BOARD OF DIRECTORS AND SENIOR MANAGEMENT OF CREDIT GUARANTEE CORPORATION 1 In order to determine, for the purpose of these Regulations, the character and moral suitability of persons proposed to be members of the Board or senior management, the Bank shall have regard to the following qualities, in so far as they are reasonably determinable, of the person concerned:- (a) adequate education background; (b) general character;

(c) professional skills, competence and soundness of judgment for the fulfilment of the responsibilities of the office in question; and (d) the diligence with which the person concerned is likely to fulfil those responsibilities. 2 For the purpose of and without prejudice to the generality of the provisions of paragraph 1, the Bank may have regard to the previous conduct and activities of the person concerned in the business or financial matters and, in particular to evidence that such person:- (a) has committed any act of bankruptcy; (b) was a director or in a senior management position of any institution that has been liquidated or is under liquidation or statutory management; (c) has committed or been convicted of the offence of fraud or any other offence of which dishonesty is an element; (d) has contravened the provision of any law designated for the protection of members of the public against financial loss due to the dishonesty or incompetence of, or malpractices by, persons engaged in the provision of credit guarantee or other financial services. 3 Any other criteria, which the Bank may prescribe, from time to time. 4 The following documents shall be submitted to the Bank with respect to each proposed director and senior management team, together with other documents the Bank may require:
(a) Detailed curriculum vitae;
(b) Certified copies of academic and professional certificates; (c) Photocopy of the pages of the passport which contain personal information including photograph, nationality, date and place of birth and issuer of the passport; (d) Two certified passport size photographs; and (e) References from two persons who are not relatives, vouching for good moral character, integrity and performance.

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SECOND SCHEDULE

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(Regulation 4 (1)]
The Governor
Bank of Tanzania
P.O. Box 2939
Dar es Salaam
TANZANIA
Re: Application for a licence to carry out credit guarantee business Sir,

We, the undersigned, hereby apply for a licence to establish a Credit Guarantee Corporation in Tanzania to be known as ____________________________________with principal place of business at ____________________________________ The proposed institution shall have an authorized share capital of ______________ Tanzanian shillings and paid up capital of _______________ Tanzanian shillings which shall be contributed by the following subscribers:
Subscribed Shares
Name of
Subscriber
Number Amount Amount
Paid-up
Percentage of
Ownership

1. ---

2. ---

3. ---

4. ---

5. ---

6. ---

7. ---

8. ---

9. ---

10 ___________ ____________
.

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_

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_

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_

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_

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_
Total

We jointly and severally make a firm commitment to deposit a total amount of paid up capital for the proposed institution with any bank registered in Tanzania such deposit to be made not later than thirty days after grant of this application. In support of this application, we submit herewith the documents listed in the accompanying checklist. We certify the correctness of all the information indicated in such documents to the best of our knowledge and belief. We hereby authorize the Bank of Tanzania and any of its authorized agents or staff members to make an enquiry or obtain any information from any source for the purpose of determining the correctness of all the representations made in connection with this application or of assessing its merits. To facilitate communication between us, we have authorized ………………. Of the following
address: (1) P.O Box ……….............
(2) Telephone number……
(3) Email address………....
(4) Fax number ……….......
to represent all of us in regard to this application. It is understood that any notice to him shall constitute sufficient notice to all of us. Enclosed is a cheque for ten million Tanzanian Shillings being payment of our application fee. Yours faithfully, ___________________ __________________ ____________________ __________________ ____________________ __________________ ____________________ __________________ ____________________ __________________ ____________________ __________________ ____________________ __________________

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THIRD SCHEDULE

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[Regulation 4(3)(a)]
CHECKLIST OF DOCUMENTS

1. Letter of application in the prescribed form.

2. Proposed Memorandum and Articles of Association.

3. Proof of source and availability of funds for investment as capital of the proposed
   institution.

4. List of subscribers and proposed members of board of directors and Chief Executive
   Officer.

5. Proof of citizenship of every subscriber and every proposed director and senior
   management officer. This includes detailed curriculum vitae, photocopy of the pages of the passport which contain personal information and two recent passport size photographs.

6. Audited balance sheet, income statement and cash flow for the last three years, of every
   subscriber who owns five per cent or more of the share capital of the proposed institution engaged in credit guarantee business.

7. Statements from two persons who are not relatives vouching for the good moral character
   and financial responsibility of the subscribers who owns five per cent or more of the share capital of the proposed institution and the proposed directors and Chief Executive Officer.

8. Credit reference reports for every significant subscriber and every proposed director and
   senior management officer.

9. Business plans for the first four years of operations including the strategy for growth,
   branch expansion plans, dividend payout policy, career development programme for the staff and budget for the first year.

10. Projected annual balance sheets, income statements and cash flow statements for the first
    four years of operation.

11. Declaration that the funds to be invested have not been obtained criminally or associated
    with any criminal activities.

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FOURTH SCHEDULE

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[Made under Regulation 7(3)]
Questionnaire for Directors and Senior Managers of Credit Guarantee Corporation
Part I: Instructions for Filling the Questionnaire

1. This Questionnaire should be filled in duplicate by each director and senior manager of a
   credit guarantee Corporation licensed by the Bank.

2. This form is to be completed in English. Any documents required are to have a certified
   English translation appended.

3. Answers to ALL questions should be TYPED or written in INK and in BLOCK LETTERS.

4. No question should be left unanswered. Where the Applicant believes that a question does
   not apply, the Applicant should write “Not Applicable” or “N/A”.

5. If there is insufficient space to answer a question, additional information may be provided
   on an attachment page and identify the continuation of an answer by stating the question number.

6. All dates should be completed in the form: Day / Month / Year .

7. All amounts are to be recorded in Tanzanian Shilling (TZS). Conversion from foreign
   currency should be made using the current exchange rate.

8. Please ensure that all answers and information are true and correct. Failure to do so
   constitutes a criminal offence and can lead the Bank to reject an application or disqualify a director or senior manager who has been cleared on the basis of untrue or incorrect information.

9. The following documents shall be submitted to the Bank with respect to each proposed
   director and senior management team, together with other documents the Bank may require- (a)certified copies of academic and professional certificates; (b) photocopy of the Tanzania national identity card or pages of the passport which contain personal information including photograph, nationality, date and place of birth and issuer of the passport; (c) two certified passport size photographs; and (d) references from two persons who are not relatives, vouching for good moral character, integrity and performance.

10. The completed application form and any supporting material, should be submitted to the
    office of: Directorate of Financial Sector Supervision Bank of Tanzania P.O. Box 2939, Dar-es-Salaam NOTE: Failure to disclose and submit all necessary information may lead to the Bank of Tanzania rejecting the application
    Part II: Personal Particulars

11. Name of the credit guarantee
    Corporation in connection with the application

12. Surname

13. First Name(s)

14. Middle Name

15. Have you been known by any
    previous name(s)?

16. Are there any names by which you
    are also known as?

17. Date of Birth

18. Place of Birth

19. Position to be held in a credit
    guarantee Corporation

20. For Chairman and Non-Executive
    Directors only:
    (b) How much time do you give, or
    (if a new appointment) do you anticipate giving in every month, to the business of the credit guarantee Corporation? (b) What particular contribution do you consider that you bring, or (if new appointment) you will bring, to the work of the license holder?

21. National Identity Number and/or
    National Insurance number and/or
    Social Security number. Please tick and provide identification number below. Attach a certified copy of the social security identity card and or national insurance identity card appropriately. National Identity Number

• National Insurance
  Number
• Social
  Security
  Number
  □

12. Nationality (ies): Please state how
    nationality (ies) was acquired, e.g. by birth, naturalisation or marriage. If acquired by naturalisation or marriage, indicate previous nationality. Birth

• Naturalization
• Marriage
  □

13. Please attach a certified copy of the Tanzania national identity card.
    Or pages of your passport(s) which contain personal information including photograph, nationality, date and place of birth and issuer of the passport.
14. List below your official and residential addresses. If you have had any other addresses during
    the last 5 years, indicate them as well as relevant dates.
    Dates Residential Address Official Address Block/Plot number………… Street……………… Postal Address…………. District/Town…………… City………………………… Country…………………… Name of the Organization….. Block/Plot number………… Street……………… Postal Address…………. District/Town…………… City………………………… Country…………………… Block/Plot number………… Street……………… Postal Address…………. District/Town…………… Name of the Organization….. Block/Plot number………… Street……………… Postal Address………….

City…………………………
Country……………………
District/Town……………
City…………………………
Country……………………
Block/Plot number…………
Street………………
Postal Address………….
District/Town……………
City…………………………
Country……………………
Name of the Organization…..
Block/Plot number…………
Street………………
Postal Address………….
District/Town……………
City…………………………
Country……………………
Part III: Academic Qualifications
15. Details of academic qualifications and the year in which they were obtained. (E.g. Certificate,
Diploma, Degree, Master’s Degree,, etc.…). Please provide certified true copies of certificates in relation to the qualifications obtained. Qualification Educational Establishment / Awarding Body Year Obtained

Part IV: Professional Qualifications
16. Details of any professional qualifications and the year in which they were obtained (E.g. ACA,
ACCA, ACIB etc…). Please provide certified true copies of certificates in relation to the qualifications obtained. Membership No. Professional Qualification Year Obtained
Part V: Professional Membership
17. Details of current membership of any relevant professional bodies, their contact details and year
of admission (e.g. Institute of Directors, Institute of Management, etc…)

Membership No
Professional
Body’s Name and Contact
Details
Levels of
Memberships
(e.g. Associate,
Fellow,
Member)
Year Admitted
Status of membership
(e.g. active or inactive)
Part VI: Employment History
18. Beginning with your present occupation or employment, please list all occupations and
employment. If self-employed please indicate “SELF EMPLOYED” (NB: The Bank may seek references from previous employers.) Name / Address of employer Nature of Business Position Held Relevant Dates Percentage of ownership (For self-employed only) Name of the Organization….. Block/Plot number………… Street………………

Postal Address………….
District/Town……………
City…………………………
Country……………………
Name of the
Organization…..
Block/Plot number…………
Street………………
Postal Address………….
District/Town……………
City…………………………
Country……………………
Name of the
Organization…..
Block/Plot number…………
Street………………
Postal Address………….
District/Town……………
City…………………………
Country……………………
Part VII: Directorships
19. Beginning with your present directorship, please list all directorships
Corporation
Name
Corporation’s nature of business
Incorporation
Number
Country of
Registration
Relevant Date

20. Have you ever been involved in any litigation?
    Yes
    No
    If yes, provide details including any judgment; If any of the answers to questions 21 to 32 are “Yes”, please give full particulars on a separate sheet of paper clearly stating the number of the question to which the details relate. Please note that no time restrictions apply to the matters you are asked to disclose. Any convictions and other facts must be stated.
21. Have you or any other body corporate, partnership or unincorporated
    institution to which you are, or have been associated with as a director, senior manager, or officer ever applied for credit guarantee business to any jurisdiction for a license or other authority to carry on credit guarantee business or other related business (e.g. insurance, mortgage finance, lease Yes □ No □

finance, development finance, etc.) , regardless of whether the application was successful.
22. Have you or at any time been convicted of any criminal offence? If so, give
full details of court by which you were convicted, the offence and the penalty imposed and the date of conviction. Yes □ No□
23. Have you or any body corporate, partnership or unincorporated institution to
which you are, or have been associated with as a director, senior manager, or officer been subject of an investigation by a government, professional or other regulatory body? Yes □ No □
24. Have you ever been subject of a disciplinary inquiry?
Yes □
No □
25. Have you ever been suspended from any office or asked to resign?
Yes □
No □
26. Have you been dismissed from any office of employment or barred from
entry to any profession or occupation?
Yes □
No □
27. Have you ever been disqualified from acting as a director of a Corporation,
or from acting in the management or conduct of the affairs of the Corporation, partnership or unincorporated Corporation? Yes □ No □
28. Have you ever been adjudged bankrupt by a court, or entered into any
compromise with creditors, or are you currently the subject of bankruptcy proceedings? Are you aware of any such proceedings pending? Yes □ No □

29. Have you ever failed to honor any credit obligation as borrower of any
    lending institution?
    Yes □
    No □
30. Have you failed to satisfy any debt adjudged due and payable by you as a
    judgment-debtor under an order of a court?
    Yes □
    No □
31. Have you in connection with the formation or management of any body
    corporate, partnership or unincorporated institution been adjudged by a court civilly liable for any fraud misfeasance or other misconduct by you towards such a body or Corporation or towards any members thereof? Yes □ No □
32. Has any body corporate, partnership or unincorporated institution with
    which you were associated as a director, senior manager or officer been compulsory wound up or made any compromise or arrangement with creditors or ceased trading in circumstances where its creditors did not receive or have not yet received full settlement of their claims. Yes □ No □
33. In carrying out your duties, will you be acting on the directions or
    instruction of any other person?
    Yes □
    No □
    Part VIII: Referees
34. State the name, address and occupation of two persons who are not relatives, vouching for your
    good moral character, integrity and performance of whom the Bank may inquire regarding their character and reputation.

DECLARATION BY THE APPLICANT
I, ....................................................................................................... hereby declare the following:
This questionnaire consists of.......... pages, each signed by me. The content of this declaration is true to the best of my knowledge and belief. I am aware that should any information submitted herein be false, I may be liable to prosecution. I undertake, that for as long as I continue to be a director or executive officer of the institution, I will notify the Bank of any material changes to, or affecting the completeness or accuracy of, the information supplied by me as soon as possible, but in any event not later than 21 days from the day that the changes come to my attention. I know and understand the content of this declaration. I have/do not have* objections to taking the prescribed oath. I consider the prescribed oath to be binding /not binding* on my conscience. _________________________ SIGNATURE OF APPLICANT I certify that the above statement was taken by me and that the deponent has acknowledged that he*/she knows and understands the content of this statement. This statement was sworn to*/affirmed before me and the deponent's signature was placed thereon in my presence at
.............................................on this ............day of ................ two thousand and ..........................

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COMMISSIONER OF OATHS
FULL NAMES: __________________________________________ ADDRESS: ___________________________________________

Checklist
Below is a checklist that has been designed to assist applicants to ensure that all of the information required by the Bank has been submitted. Has the Personal Questionnaire form been filled out in full?

• Certified copy of pages of passport which contain
  personal information including photograph, nationality, date and place of birth and issuer of the passport or Tanzania national identity card.
• Certified copy of the social security identity card and
  or national insurance identity card
• Copies of stated academic qualifications
• Copies of stated professional qualifications
• Copies of stated membership to professional bodies
• Past Employment references
• List of Directorships (if applicable)

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FIFTH SCHEDULE

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[Made under Regulation 9]
KEY POLICIES
The credit guarantee Corporation, shall at minimum, prepare and submit to the Bank, the following key policies:
(a) Credit Guarantee Risk Management Policy; (b) Liquidity Risk Management Policy; (c) Market Risk Management Policy; (d) Operational Risk Management Policy; (e) Strategic Risk Management Policy;

(f) Compliance Risk Management Policy;
(g) Asset/Liability Management Policy;
(h) Outsourcing policy;
(i) Information and Communication Technology Policy; (j) Business Continuity Management Policy; and (k) Anti-Money Laundering (AML), Combating Financing of Terrorism (CFT) and Counter Proliferation Financing (CPF) Policy.