DODOMA, November 7, 2024 – Tanzania’s Minister of Agriculture, Hussein Bashe, has announced that the Cooperative Bank of Tanzania [TCB] will now operate based on commercial principles to ensure its long-term sustainability and better serve members of the cooperative movement.
Minister Bashe made the statement while opening the bank’s first general meeting in Dodoma, where he called on the bank’s management to prioritise efficiency to foster the growth of the new lender.
He also encouraged cooperatives, agricultural institutions, and other stakeholders to conduct business with the bank, assuring them that the government would continue supporting the institution’s development to ensure it remains a key player in supporting farmers and other sectors.
In his remarks, Bashe expressed gratitude to President Samia Suluhu Hassan for her support of the cooperative sector, particularly for her contribution of Tsh 5 billion to the bank’s capital, which has helped raise the bank’s total capital to Tsh 52bln.
Abdulmajid Nsekela, Chairman of the Tanzania Cooperative Development Commission [TCDC], emphasised that cooperatives are a crucial tool for reaching rural populations, noting that the bank’s commercial focus will accelerate the delivery of financial services, including loans and other banking products.
“The Cooperative Bank will significantly speed up access to financial services, benefiting both individual cooperatives and rural communities,” Nsekela said.
He further encouraged cooperatives to embrace digitalization, adding that the TCDC fully supports the bank’s shift to a more commercial and digital operation.
The meeting was attended by key leaders, including TCDC Chief Executive Dr. Benson Ndiege, cooperative society chairpersons and executives, government officials, and development partners.
CBT was officially registered on May 26, 2024, following the merger of Kilimanjaro Cooperative Bank Limited [KCBL] and Tandahimba Cooperative Bank Limited [TCBL].
This strategic move was further strengthened by new investments from cooperative societies, private institutions, and individuals. Licensed by the Bank of Tanzania [BOT], CBT officially commenced operations in October 2024.
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