Regulatory Alerts2020-01-01
Use of Telecommunication Licenses as Collateral
The Bank of Tanzania directs all banks and financial institutions to exclude telecommunication licenses from loan collateral, citing Sections 24(1) and 73 of the Electronic and Postal Communications Act, 2010. These provisions restrict the transferability of Tanzania Communications Regulatory Authority licenses, rendering them ineligible for lending security. Financial institutions must therefore adjust their credit risk assessments and collateral acceptance policies accordingly.
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