Council loans to be issued electronically

REGIONAL Administrations and Local Government has officially started to use electronic system in providing loans to women, youth and people with disabilities.

The loans provided are from the 10 per cent revenue collected from internal sources by the district and town councils.

The Ministry’s Permanent Secretary, Professor Riziki Shemdoe said the move, among other things, will ensure that the loans are given to the right people.

Prof Shemdoe said the targeted groups can start making online applications for the loans, stressing that councils should make sure that they have set aside the amount required for women, youth and people with disabilities who qualify for the loans.

He explained that the online system will increase transparency in loans issuance and repayment.

Prof Shemdoe said that it will also increase accountability, equality and integrity in providing credit services to the relevant groups and help to have accurate statistics and facilitate the provision of loans on time.

“Through this system, loans application will be more transparent and the repayment system will also be improved,” he said.

However, Prof Shemdoe directed the community development officers in all councils in the country to ensure that they start providing loans through online system.

“We want the community development departments in all councils to start using this electronic system that we have started using, the applicants should apply through ‘’” he expressed.

Prof Shemdoe said that the system will enable  users to  get the registration documents that is also available electronically, and apply for loans by submitting its application through the system and be approved by various credit committees based on all criteria.

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