ZANZIBAR: THE digital platform will from this month be used in issuance of loans to special groups of youth, women and people with disabilities in Zanzibar.
The platform, which is aimed to economically empower these special groups, has been designed by the Airpay Company in collaboration with the Zanzibar Economic Empowerment Agency (ZEEA) and other financial institutions, including the Tanzania Commercial Bank (TCB).
Zanzibar Minister of State in the President’s Office for Labour, Economy and Investment, Mr Shariff Ali Shariff said yesterday during a press briefing about the new digital loan system that starting from April 15, this year, loan applications will no longer be accepted through the previous manual process.
He said all beneficiaries must adapt to the new system. The Minister also handed over tablets to municipal and council leaders to be used for registration and loan applications.
“This system will simplify loan accessibility by making the process transparent, fast, and highly secure. It is managed through a partnership among three key institutions ZEEA as the programme’s administrator, Airpay, which ensures digital transactions and payments are secure, and TCB Bank, which facilitates easy and safe disbursement of funds to entrepreneurs,” said Mr Shariff.
He added that the digital system will ensure the loan applicants receive quick feedback, secure funds digitally and repay loans conveniently without needing to visit loan offices.
He added: “Applicants will receive quick responses, allowing them to start or expand their businesses on time. Secondly, the system provides transparency and tracking of loan applications. Applicants will be able to monitor the progress of their applications in real-time, eliminating uncertainty and ensuring they are informed of every step in the process.”
ALSO READ: Govt offers 22.07 bn/- in loans to special groups in seven months
Mr Shariff also noted that the system will reduce costs and inconvenience for loan applicants by eliminating the need to travel to offices.
Applicants will be able to submit their applications and make loan repayments online, thus cutting down on transport costs and time spent on the process.
He said the system operates through the 4-4-2 principle, which is four per cent for women, four per cent for youth and two per cent for people with disabilities.
“Through this system, all eligible applicants for the 4-4-2 loan scheme will be able to access loans without discrimination. It has been designed in a user-friendly manner, enabling women, youth and people with disabilities to use it easily. This will help enhance economic opportunities for these groups and ensure they receive the necessary support to achieve their business aspirations,” he said.
Meanwhile, ZEEA Executive Director Juma Burhan expressed gratitude to Airpay for partnering to reach out to citizens and address their financial challenges, particularly in accessing loans.
On his part, Airpay Tanzania Vice-President and Strategy Manager, Mr Mihayo Wilmore, stated that any ZEEA client requiring a loan can now download the ZEEA app on their smartphone and apply for a loan, which will be processed within 24 hours to 14 days.
“This system will not only provide 4-4-2 loans but also other ZEEA loans in the future. Currently, applicants can apply from home using their smartphones. Those without smartphones can visit municipal offices and councils to fill out forms and obtain loans,” he said.
TCB Chief Operation Officer Jema Msuya commended Airpay and ZEEA for their partnership in ensuring quality loan services for citizens, particularly entrepreneurs in Zanzibar.
