The Bank of Tanzania (the BoT) exercising its powers under section 60(1) and (2) of the Microfinance Act of 2018 (the Act) has published the Microfinance (Non-Deposit Taking Microfinance Service Providers) Regulations of 2019 (the Regulations) among other regulations.
The Regulations give effect to section 5 of the Act which provides for four categories of microfinance service providers.
The Regulations are published under Government Notice No. 679 of 2019 in the Government Gazette dated 13 September 2019 and apply to microfinance service providers under Tier 2.
This month's briefing will focus on Tier 2 non-deposit taking microfinance service providers which include credit / microcredit companies, financial organisations, housing microfinance companies, individual money lenders and digital microfinance lenders
Some of the key legislative highlights in the Regulations: