Dar es Salaam. Tanzanians are set to benefit from increased access to affordable mortgages as KCB Bank (T) Ltd has injected Sh500 million into the Tanzania Mortgage Refinance Company (TMRC) Limited.
This strategic investment, finalised in December 2024, sees KCB Bank joining TMRC’s growing pool of shareholders, bringing the total number to 20.
Other shareholders in TMRC include major financial institutions such as CRDB Bank Plc, NMB Bank Plc, National Bank of Commerce Ltd (NBC), TIB Development Ltd, Azania Bank Plc, Exim Bank (T) Ltd, the National Housing Corporation (NHC), as well as international development finance institutions like Shelter Afrique and the International Finance Corporation (IFC).
At a press event, KCB Group Regional Businesses director and managing director of KCB Bank Tanzania Cosmas Kimario said that the investment grants KCB Bank greater access to mortgage financing, empowering it to enhance its mortgage offerings and contribute to Tanzania’s growing housing sector.
“This move strengthens KCB Tanzania’s mortgage portfolio, making home-ownership more accessible to many Tanzanians,” Mr Kimario said.
“KCB Bank has always been committed to providing financing solutions that help Tanzanians realise their dream of owning homes, and this investment further solidifies our role in expanding the mortgage sector.”
With this partnership, KCB Bank now has access to up to Sh10 billion from TMRC, significantly expanding its ability to offer affordable mortgage loans to the public.
“This collaboration has a profound impact on Tanzania’s mortgage sector, enabling us to allocate substantial funding toward affordable home financing, addressing the housing gap, and increasing access to mortgages,” Mr Kimario added.
As of September 2024, KCB Bank ranked eighth in Tanzania’s mortgage sector, with Sh34.1 billion in mortgage loans disbursed to 175 customers, capturing a 4.75 percent market share.
By December 2024, the value of mortgage loans extended by the bank grew to Sh34.6 billion, benefiting 99 of its 175 customers, with the added support of the Sh10 billion TMRC facility.
TMRC, a specialised financial institution functioning as a Mortgage Liquidity Facility in Tanzania, provides long-term funding to banks and other financial institutions for mortgage lending.
By refinancing mortgage portfolios, TMRC facilitates wider access to home financing.
TMRC’s CEO Oscar Mgaya emphasised that KCB’s inclusion as the 20th shareholder would further enhance the availability of housing loans in Tanzania.
He also pointed out KCB Bank’s extensive reach, with 18 branches across major Tanzanian cities such as Dar es Salaam, Mwanza, Arusha, and Kilimanjaro, ensuring that customers can easily access mortgage services.
“As of December 2024, KCB Bank Tanzania had Sh1.5 trillion in assets, reflecting its strong position in the market,” Mr Mgaya said, noting that TMRC’s combined capital from 20 shareholder banks, totaling Sh33.4 billion, allows for attractive loan terms, including lower interest rates.
Mgaya further explained that lending rates, which were once as high as 20 percent, now range from 13 percent to 18 percent, benefiting borrowers across the country.
A total of 31 banks offer mortgage loans in Tanzania, with the 16 shareholding banks providing Sh160 billion in funding for approximately 7,000 loans.
The CEO of Watumishi Housing Investment, Fred Msemwa, welcomed the investment, noting that it will increase the resources available for long-term mortgage lending.
However, he also stressed the need for Tanzania to increase the size of long-term funding for housing to make a more significant contribution to the country’s GDP and socio-economic development.
Currently, the mortgage-to-GDP ratio in Tanzania is less than 1 percent.
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Tanzania Declares End of Marburg Virus Disease Outbreak
Tanzania today declared the end of Marburg virus disease outbreak after recording no new cases over 42 days since the death of the last confirmed case on 28 January 2025.
The outbreak, in which two confirmed and eight probable cases were recorded (all deceased), was the second the country has experienced. Both this outbreak, which was declared on 20 January 2025, and the one in 2023 occurred in the north-eastern Kagera region.
In response to the latest outbreak, Tanzania’s health authorities set up coordination and response systems, with support from World Health Organization (WHO) and partners, at the national and regional levels and reinforced control measures to swiftly detect cases, enhance clinical care, infection prevention as well as strengthen collaboration with communities to raise awareness and help curb further spread of the virus.
Growing expertise in public health emergency response in the African region has been crucial in mounting effective outbreak control measures. Drawing on experience from the response to the 2023 Marburg virus disease outbreak, WHO worked closely with Tanzanian health authorities to rapidly scale up key measures such as disease surveillance and trained more than 1000 frontline health workers in contact tracing, clinical care and public health risk communication. The Organization also delivered over five tonnes of essential medical supplies and equipment.
“The dedication of frontline health workers and the efforts of the national authorities and our partners have paid off,” said Dr Charles Sagoe-Moses, WHO Representative in Tanzania. “While the outbreak has been declared over, we remain vigilant to respond swiftly if any cases are detected and are supporting ongoing efforts to provide psychosocial care to families affected by the outbreak.”
Building on the momentum during the acute phase of the outbreak response, measures have been put in place to reinforce the capacity of local health facilities to respond to potential future outbreaks. WHO and partners are procuring additional laboratory supplies and other equipment for disease detection and surveillance and other critical services.
Marburg virus disease is highly virulent and causes haemorrhagic fever. It belongs to the same family as the virus that causes Ebola virus disease. Illness caused by Marburg virus begins abruptly. Patients present with high fever, severe headache and severe malaise. They may develop severe haemorrhagic symptoms within seven days.
In the African region, previous outbreaks and sporadic cases have been reported in Angola, the Democratic Republic of the Congo, Ghana, Kenya, Equatorial Guinea, Rwanda, South Africa and Uganda.
Source: allafrica.com
How new crop insurance will change farmers’ fortunes
Initiative is a shot in the arm for agriculture, which is currently virtually uninsured with just 0.17 percent of all general insurance sales.Continue Reading
Tanzania: Samia Hands Over NBC’s 354m/ – Crop Insurance Compensation to Farmers Affected By Hailstorms
President Samia Suluhu Hassan, has handed over a cheque of 354m/- from the National Bank of Commerce (NBC) as compensation to tobacco farmers, who were affected by hailstorms during the previous farming season in various regions across the country.
Handing over the cheque in Dodoma, the compensation is part of the crop insurance service provided by NBC in collaboration with the National Insurance Corporation (NIC).
Furthermore, President Samia has also handed over health insurance coverage to members of the Lindi Mwambao Cooperative Union based in Lindi Region, through the Farmers’ Health Insurance service provided by the bank in partnership with Assurance Insurance Company.
While visiting the bank’s pavilion at the Nanenane Agricultural Exhibition and being received and briefed by the bank’s Managing Director, Mr. Theobald Sabi, she said: “This crop insurance is one of the crucial solutions in ensuring farmers have a reliable income, without fear of challenges such as natural disasters, including hailstorms.
“I call upon all farmers in the country to make the best use of this important opportunity by accessing these kinds of insurance services. I also highly commend NBC and all the stakeholders participating in this programme.”
Elaborating further on the crop insurance service, the Minister of Agriculture, Hussein Bashe, stated that it will help to recover the loss farmers incurred, especially in various calamities beyond their control.
Citing them as floods, fires, and hailstorms, which have significantly affected the well-being of farmers and caused some to be reluctant to invest in the crucial sector, Mr Bashe added: “However, our President, this step by NBC is just the beginning, as this is the second year since they started offering this service, and the results are already visible.
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“As the government, we promise to continue supporting the wider implementation of this service, with the goal of ensuring that this crop insurance service reaches more farmers.”
ALSO READ: NBC participates in TFF 2023/24 awards, promises to enhance competition
On his part, Mr Sabi said that the farmers who benefited from the compensations are from 23 primary cooperative unions in the regions of Shinyanga, Geita, Tabora, Mbeya, Katavi, and Kigoma.
He added: “In addition to these insurance services, as a bank, through this exhibition, we have continued with our programme of providing financial education and various banking opportunities to farmers, alongside offering them various loans, including loans for agricultural equipment, particularly tractors, to eligible farmers.:
At the NBC booth, President Samia also had the opportunity to be briefed on the various services offered by the bank to the farmers namely crop insurance and health insurance services.
There, the President had the chance to speak with some of the beneficiaries of the services, including the Vice-Chairman of the Lindi Mwambao Primary Cooperative Union, Mr. Hassan Mnumbe, whose union has been provided with a health insurance card from the bank.
Source: allafrica.com
