TIB set to change structure to enhance service delivery
By Staff
Reporter
THE Tanzania Investment Bank (TIB) is planning to transform its structure that
will see the bank create subsidiary banks under the same TIB umbrella.
Under this expected new structure, the bank will have TIB Development Finance
Institution (TIB DFI) and TIB Corporate bank.
According to TIB Managing Director Peter Noni, the two banks will be operating
under the same roof, but cooperating closely and managed differently.
“This will be our focus as we extend our network coverage across the country.
We will have both the DFI bank and corporate bank under the same roof. In terms
of accounts, the DFI bank accounts will be handled separately from the corporate
bank accounts. We will however have a group DFI board,” Noni told journalists.
He said the bank’s management is set to table the proposed structure for
Government’s approval by the end of June this year and if all goes well, the
new structure will be effective immediately after the approval.
Noni made the revelation shortly after concluding the Association of African
Development Financing Institutions (AADFI) annual General Assembly held in
Arusha on Wednesday.
According to Noni, the reformation will help the bank to properly manage its
development financing plans as well as serve the corporate customers
adequately.
“The transformation we are planning to do will empower our bank to serve its
purpose of financing development projects by partnering with the African
Development Bank (AfDB) and other financial institutions, not forgetting the
Small and Medium Enterprises (SMEs) who seriously need funding to ensure first
economic transformation in our country,” said Noni.
Reporter
THE Tanzania Investment Bank (TIB) is planning to transform its structure that
will see the bank create subsidiary banks under the same TIB umbrella.
Under this expected new structure, the bank will have TIB Development Finance
Institution (TIB DFI) and TIB Corporate bank.
According to TIB Managing Director Peter Noni, the two banks will be operating
under the same roof, but cooperating closely and managed differently.
“This will be our focus as we extend our network coverage across the country.
We will have both the DFI bank and corporate bank under the same roof. In terms
of accounts, the DFI bank accounts will be handled separately from the corporate
bank accounts. We will however have a group DFI board,” Noni told journalists.
He said the bank’s management is set to table the proposed structure for
Government’s approval by the end of June this year and if all goes well, the
new structure will be effective immediately after the approval.
Noni made the revelation shortly after concluding the Association of African
Development Financing Institutions (AADFI) annual General Assembly held in
Arusha on Wednesday.
According to Noni, the reformation will help the bank to properly manage its
development financing plans as well as serve the corporate customers
adequately.
“The transformation we are planning to do will empower our bank to serve its
purpose of financing development projects by partnering with the African
Development Bank (AfDB) and other financial institutions, not forgetting the
Small and Medium Enterprises (SMEs) who seriously need funding to ensure first
economic transformation in our country,” said Noni.
The Bank of
Tanzania (BoT) Governor Prof. Benno Ndulu while closing the meeting said it is
difficult for Tanzania to convince multilateral institutions that the country
needs to set up a development fund institution because of the bad experience of
lack of sustainability many developing countries had.
“It is important that we have such institutions so as to enhance
competitiveness in private
sector and development sectors. It’s no doubt that there is a large
infrastructure gap in Africa especially in roads, telecommunications and
electricity. Africa needs more than USD 80 billion annually to ridge this gap,”
he said.
Tanzania (BoT) Governor Prof. Benno Ndulu while closing the meeting said it is
difficult for Tanzania to convince multilateral institutions that the country
needs to set up a development fund institution because of the bad experience of
lack of sustainability many developing countries had.
“It is important that we have such institutions so as to enhance
competitiveness in private
sector and development sectors. It’s no doubt that there is a large
infrastructure gap in Africa especially in roads, telecommunications and
electricity. Africa needs more than USD 80 billion annually to ridge this gap,”
he said.
Posted by Editor
on 08:35.
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