The Central Bank of Tanzania (BoT) led by the Deputy Governor for Economic and Monetary Policies, Dr. Yamungu Kayandabila, has held a meeting with various stakeholders to discuss the plan to establish a company to issue and manage credit guarantees to be known as Tanzania Credit Guarantee PLC.
The meeting, which was held on March 12, 2026, at the Central Bank’s offices in Dar es Salaam, brought together stakeholders from various institutions including the Capital Markets and Securities Authority (CMSA), the Tanzania Insurance Regulatory Authority (TIRA), Insurance Companies, Mutual Funds, Pension Funds and the Tanzania Private Sector Foundation (TPSF).
The plan to establish the company aims to be in line with the scale and pace of implementation required to achieve the National Development Vision 2050, which aims to strengthen Tanzania’s economy and increase the contribution of the private sector to national development.
The company will help separate the Central Bank’s regulatory and credit guarantee functions, thus eliminating conflicts of interest and improving operational efficiency.
It will also encourage innovation and increase the capacity of relevant institutions to respond quickly to market needs.
Currently, the Central Bank of Tanzania manages two credit guarantee funds, namely the Export Credit Guarantee Scheme (ECGS) and the SME Credit Guarantee Scheme (SME-CGS).
The government established the funds with the aim of guaranteeing banks and financial institutions to strengthen the provision of credit to borrowers with productive projects but facing a lack of collateral.
The main objective is to facilitate a conducive environment for the promotion and development of development projects, increase employment, enhance the availability of foreign exchange through exports and contribute to the growth of the National GDP.
