CRDB Bank has set aside 10bn/- which will be disbursed as loans to petty traders who will use identity cards recently issued by the government to secure them.
This was revealed in Dar es Salaam yesterday when the Bank and Kigamboni Municipality signed an agreement that will see the first group of petty traders getting loans.
CRDB Managing Director, Abdulmajid Nsekela said the loans will be issued in the near future after relevant logistics are put in place following the signing of a Memorandum of Understanding (MoU) between the bank and Kigamboni Municipality.
“The loans, to be known as ‘Machinga Loans,’ will be divided into two parts — for individuals and for those in groups,” Mr Nsekela said.
He added that Machinga loans complement government’s efforts to formalise entrepreneurs’ production activities in the country.
Last year, the government granted 1,850,000 special identity cards.
“The special identity cards have contributed immensely in the identification and consequently formalisation of entrepreneurship activities in the country,” he added.
He further noted that, “Personally, I commend President John Magufuli and his government for continually creating enabling environment for small-scale entrepreneurs to grow their businesses and contribute to economic growth.”
He said CRDB will be using SIM Account, mobile services to issue loans to the entrepreneurs.
Through an entrepreneurs’ mobile phone, a customer will present the quest for loans that will be processed within 24 hours.