NBC bank introduces ‘Mfugaji Account’ for livestock sector
DAR ES SALAAM: NBC Bank has launched the ‘Mfugaji Account’ specifically designed for stakeholders in the livestock sector, including farmers, livestock fattening operators, traders, transporters, and others serving the crucial economic sector.
The pioneering service, the first of its kind offered by a commercial bank in the country, aims to accelerate the growth of the livestock industry through simplified financial services.
It also supports the government’s efforts to create an inclusive economy for all production groups through quality financial services.
The event held over the weekend at the Pugu Livestock Auction Market in Ilala district, Dar es Salaam, was led by Ilala District Commissioner (DC), Edward Mpogolo, accompanied by senior government officials and livestock business stakeholders, including market leaders and traders.
Speaking at the event, DC Mpogolo lauded the bank for the service, stating that it will be a great relief for stakeholders in the livestock sector, who have long lacked banking services tailored to their specific needs, leading many to resort to informal financial services, which can compromise their safety and funds.
“For example, the Pugu auction involves an average daily cash flow of 1bn/-, with many traders having to carry large sums of cash, which is risky for them and their capital. The ‘Mfugaji Account’ will be a solution to this challenge, as financial services, including transactions, will be available at these auction locations,” he pointed out.
Meanwhile, Mr Mpogolo requested the lender to further assist livestock farmers by investing in providing financial education, modern farming techniques, and marketing education, so that they can benefit more from their livestock through improved practices and investments in the sector.
In response, the bank’s Director of Retail Banking , Elibariki Masuke said that the service will cater for individual livestock farmers and groups, offering various benefits such as livestock-specific loans, no monthly account maintenance fees, free account statements, low-cost cash withdrawals, mobile banking services (NBC Kiganjani), and a 2 per cent increase in savings every month.
“For livestock groups or associations, they also do not need to worry because they will have the freedom to deposit and withdraw their money anytime, and they will also get checkbooks at a low cost. All they need to do is open an account completely free of charge at our branches nationwide,” he said.
Elaborating further on the service, NBC Bank Head of Small and Medium Enterprises (SMEs), product and Agriculture, Raymond Urassa, said that it involves livestock farmers of all kinds, including cattle and poultry, and the step is a continuation of the bank’s efforts to reach all production groups, following the launch of several specialized services for farmers, including health insurance.
“We have just recently launched the Farmers’ Insurance service nationwide, and now is also the appropriate time to turn our attention to livestock farmers as well, so that they can also benefit from these specialized NBC services, including the insurance service,” he said.
Noel Byamungu, the Head of Pugu Livestock Auction, and Iddy Maziku, the Chairman of Livestock Traders at the auction, welcomed the introduction of the Mfugaji Account, noting that it will be a solution for stakeholders who currently have to carry large amounts of cash due to the lack of financial services tailored to their needs near the auction areas.
“The arrival of this product will greatly help us stakeholders in the livestock sector. It is a relief, as we no longer have to carry cash to make livestock purchases and other services. All the required financial services will now come to us, ensuring our safety and funds. We are grateful to NBC Bank for this initiative,” said Maziku.
