DOCSLIB.ORG

European Investment in Tanzania: How European Investment Contributes to Industrialisation and Development in Tanzania

Total Page：16

File Type：pdf, Size：1020Kb

Download full-text PDF Read full-text
European Investment in Tanzania: How European Investment Contributes to Industrialisation and Development in Tanzania EU market study:EU market study 17/10/2016 11:54 Page 1 European Investment in Tanzania: How European investment contributes to industrialisation and development in Tanzania Funded by the European Union EU market study:EU market study 17/10/2016 11:54 Page 2 European Investment in Tanzania: How European investment contributes to industrialisation and development in Tanzania Funded by the European Commission Written by Ashley Elliot © European Commission, Dar es Salaam, 2016 The content of this publication does not reflect the official opinion of the European Commission. Responsibility for the information and views expressed in the publication lies entirely with the author. "EU" refers to the European Union, and "EU+SN" to the members of the European Union and the Economic Free Trade Area (EFTA), unless otherwise indicated. For further inquiries or clarifications please contact [email protected]. A project implemented by consortium led by POHL CONSULTING & ASSOCIATES GMBH EU market study:EU market study 17/10/2016 11:54 Page 3 European Investment in Tanzania: How European investment contributes to industrialisation and development in Tanzania Funded by the European Union EU market study:EU market study 17/10/2016 11:55 Page 4 European Investment in Tanzania: How European investment contributes to industrialisation and development in Tanzania Foreword by Ambassador Roeland van de Geer, Head of the Delegation of the European Union to Tanzania and the East African Community As the Government of Tanzania and international partners join forces to lift millions of Tanzanians out of poverty, the role of trade and investment in the fight against poverty is increasingly recognised. In the Sustainable Development Goals, the private sector has been given a prominent place as a key partner to create a better life for those currently still living in poverty. Europe remains fully committed to close cooperation with Africa and in line with this commitment the European Commission has, on the 14th of September 2016, presented an ambitious 'External Investment Plan for Africa' to support investment on the African continent, to strengthen our partnerships, to promote a new model of participation of the private sector and to contribute to achieve the Sustainable Development Goals. To this end, the European Fund for Sustainable Development will be set up which is expected to trigger a total investment of EUR 44 billion – mobilising public and private investments in Africa. Today we are proud to say that the European Union remains Tanzania's largest trading partners with a total of USD 2 billion in trade in 2015. European firms also represent 68% of total Foreign Direct Investment flows in Tanzania (USD 1.2 billion). European companies which are large taxpayers paid USD 1.1 billion in domestic taxes in 2014, accounting for 25% of the taxes paid by large taxpayers in Tanzania that year. This goes to show that the over 1000 European companies and individuals, from large multinational corporations to small individual tourism ventures play a significant part in the development of the Tanzanian economy. This study shows the diversity of investment, jobs, and economic growth that European companies bring to Tanzania. It includes a number of exemplary case studies which show how the best of European technology and industrial development is supporting Tanzanian growth in almost all sectors of the economy. European innovation and capital is connecting people to mobile networks, building key infrastructure in Tanzania, and investing in mining, retail, tourism, oil and gas and so much more. All of these activities generate jobs and revenue for the people of Tanzania – well above what is provided in development financing from the EU. This publication discusses the competitive edge that Tanzania has in trade, investment and production and the challenges that it currently faces. It also contains clear recommendations on the way forward. The EU is committed to continue working with Tanzania and the East African Community and to strengthen the ties between our regions. Roeland van de Geer Head of the Delegation of the European Union to Tanzania and the East African Community 4 EU market study:EU market study 17/10/2016 11:55 Page 5 Foreword Foreword by EU Business Group Chairman Mr Morten Juul At a time in which Tanzania looks towards its next period of growth we are proud to be a partner of the Tanzanian Government in their work to improve the Tanzanian economy. The European Union Business Group was established to provide a united voice for the European private sector in Tanzania in their interaction with the Government of Tanzania, to act as a focal point of support and information for companies to understand legislation and policy change, and to support and improve trade between Europe and Tanzania. Tanzania offers a peaceful and stable environment, abundant natural resources and a favorable geographical location. There are ample opportunities for European investors to work alongside local investors to create an active and successful private sector and continue to build the economy. We hope that through continued dialogue we can build an environment which supports further EU investment in the country and we are ready and willing to share our skills and experience in order to resolve challenges within the current business environment. This publication showcases the value of European investors in Tanzania and the potential for further trade and investment between Tanzania and Europe. We are encouraged by the steps that are being already taken and are committed to continuing our relationship with the new Government as we go into the next phase of development for Tanzania. Mr Morten Juul European Union Business Group Chairman 5 EU market study:EU market study 17/10/2016 11:55 Page 6 European Investment in Tanzania: How European investment contributes to industrialisation and development in Tanzania 6 EU market study:EU market study 17/10/2016 11:55 Page 7 Contents Executive Summary 10 Chapter 4 Mining 50 1 Sector Outlook 50 Chapter 1 Overview of the Tanzanian Business 2 Sector Profile 51 Environment 14 2.1 The Gold Sector Overview 52 2.2 Other Minerals 54 Chapter 2 European Investment in Figures 22 3 Policy Context 54 1 Overview 22 4 Supply and Marketing Chain 56 2 EU+SN contribution to Foreign Direct 5 Key Challenges 61 Investment in Tanzania 23 5.1 Power and infrastructure shortfalls 61 3 EU+SN contribution to National-level 5.2 Regulatory uncertainty 61 Tax Contributions 26 5.3 Public perception of the 4 EU+SN Contribution to Employment mining industry 61 in Tanzania 29 5.4 Weak gold prices 62 5 European Companies: numbers, 5.5 Environmental and safety issues 62 nationalities, location and sectors 30 5.6 Artisanal mining 62 Chapter 3 Agriculture 31 Chapter 5 Upstream Oil and Gas 64 1 Sector Outlook 31 1 Sector Outlook 64 2 Sector Profile 31 1.1 Onshore Gas 64 2.1 Sub-sectors 33 1.2 Offshore Gas 64 3 Sector-wide Policy Context 34 2 Sector Profile 65 3.1 Policy challenges 35 2.1 Onshore gas sector 65 4 Supply and Marketing Chain 36 2.2 Offshore gas sector 67 4.1 Coffee and Tea 36 2.3 Outlook for Tanzania's LNG project 68 4.2 Coastal regions 37 2.4 Industry diversification 69 4.3 Morogoro region and the 2.5 Local participation 69 southern highlands 37 3 Policy Context 69 4.4 Northern Cluster 37 3.1 Local content 69 5 Key Sub-Sectors 38 3.2 Petroleum Act 2015 70 5.1 Coffee 38 4 Supply and Marketing Chain 71 5.2 Tea 38 5 Key Challenges 74 5.3 Horticulture 40 5.1 Slow and uneven implementation 5.4 Fisheries 40 of new legislation 74 5.5 Forestry 41 5.2 Lack of skilled local labour 74 5.6 Sugar 43 5.3 Bureaucratic restrictions on 5.7 Dairy 44 skilled expatriate labour 74 5.8 Agricultural inputs 45 5.4 Lack of a whole of government 6 Key Challenges 47 approach 74 6.1 Land Tenure Insecurity 47 5.5 Concerns about the GoT's 6.2 Uncertainty Regarding Leasing Policy 48 payment record and adherence 6.3 Lack of Regulatory Coordination 48 to contractual obligations 75 6.4 Lack of Regulatory Capacity 48 5.6 Infrastructure constraints 75 6.5 Poor Infrastructure 48 5.7 Gas pricing 75 6.6 Taxes and Export Barriers 49 5.8 Lack of transparency 75 6.7 Access to finance 49 5.9 Fiscal terms 76 6.8 Counterfeit products 49 7 EU market study:EU market study 17/10/2016 11:55 Page 8 European Investment in Tanzania: How European investment contributes to industrialisation and development in Tanzania Chapter 6 Manufacturing 77 4 Supply and Marketing Chain 105 1 Sector Outlook 77 4.1 European Investment in 2 Sector Profile 78 Tanzania's power sector 106 3 Policy Context 79 5 Key Challenges 107 3.1 Tanzania Export Processing 5.1 Failure to increase electricity Zone Authority (EPZA) 81 supply in pace with growing 4 Supply and Market Value Chain 82 electricity demand 107 5 Key Challenges 86 5.2 Disruption to hydropower 5.1 Over-regulation 86 generation due to climate change 107 5.2 Currency depreciation 87 5.3 Tanesco's structural insolvency 108 5.3 Unstable power supplies 87 5.4 Limited network coverage 108 5.4 Impact of cheap or illegal imports 87 5.5 Gaps in the institutional, 5.5 Technical and capacity challenges 87 regulatory and legal framework 108 Chapter 7 Construction and Real Estate 88 Chapter 9 Information and Communications 1 Sector Outlook 88 Technology (ICT) 109 2 Sector Profile 89 1 Sector Outlook 109 2.1 Overview 89 2 Sector Profile 110 2.2 Residential sector 89 2.1 Voice, mobile and internet access 110 2.3 Retail sector 89 2.2 Mobile financial services sector 110 2.4 Commercial
Load more

Recommended publications
  • THE UNITED REPUBLIC of TANZANIA Tanzania Airports Authority
    THE UNITED REPUBLIC OF TANZANIA MINISTRY OF WORKS, TRANSPORT AND COMMUNICATION Tanzania Airports Authority Tender No AE-027/2019-2020/HQ/N/1 For Lease of Space for Provision of Services at Tanzania Airports Authority Managed Airports Invitation to Bid Date: 06th December, 2019 1. Tanzania Airports Authority has available spaces for various business opportunities (for Leasing) at various managed airports and intends to lease the premises to interested companies for provision of various services. It is expected that TAA will generate more revenues under the contracts and hence improve service delivery to its airports. 2. The Tanzania Airports Authority now invites sealed bids from eligible business community for leasing the spaces (Business premises) at various airports as follows: LOT DESCRIPTION ITEM DESCRIPTION QUANTITY AREA OF LOT OF BUSINESS (SQM) 1. Arusha Airport 7 Kiosk for Soft 1 33 Drink 2. Bukoba Airport 6 Kiosk for Mobile 1 4 money services 3. Dodoma Airport 3 Kiosk for Snacks 1 4 4. Iringa Airport 1 Baggage Wrapping 1 4 Services 3 Restaurant 1 72 4 Kiosk for Curio 2 3 Shop 3 LOT DESCRIPTION ITEM DESCRIPTION QUANTITY AREA OF LOT OF BUSINESS (SQM) 5 Kiosk for Retail 1 3.5 shop 5. Kigoma Airport 1 Baggage Wrapping 1 4 Services 2 Restaurant 1 19.49 3 Kiosk for Retail 2 19.21 shop 4 Kiosk for Snacks 1 9 5 Kiosk for Curio 1 6.8 Shop 6. Kilwa Masoko 1 Restaurant 1 40 Airport 2 Kiosk for soft 1 9 drinks 7. Lake Manyara 2 Kiosk for Curio 10 84.179 Airport Shop 3 Kiosk for Soft 1 9 Drink 4 Kiosk for Ice 1 9 Cream and Beverage Outlet 5 Car Wash 1 49 6 Kiosk for Mobile 1 2 money services 8.
    [Show full text]
  • Issn 0856 – 8537 Directorate of Banking
    ISSN 0856 – 8537 DIRECTORATE OF BANKING SUPERVISION ANNUAL REPORT 2017 21ST EDITION For any enquiries contact: Directorate of Banking Supervision Bank of Tanzania 2 Mirambo Street 11884 Dar Es Salaam TANZANIA Tel: +255 22 223 5482/3 Fax: +255 22 223 4194 Website: www.bot.go.tz TABLE OF CONTENTS ....................................................................................................... Page LIST OF CHARTS ........................................................................................................................... iv ABBREVIATIONS AND ACRONYMS ............................................................................................ v MESSAGE FROM THE GOVERNOR ........................................................................................... vi FOREWORD BY THE DIRECTOR OF BANKING SUPERVISION .............................................. vii CHAPTER ONE .............................................................................................................................. 1 OVERVIEW OF THE BANKING SECTOR .................................................................................... 1 1.1 Banking Institutions ................................................................................................................. 1 1.2 Branch Network ....................................................................................................................... 1 1.3 Agent Banking ........................................................................................................................
    [Show full text]
  • World Bank Document
    CA. 7h?F Document of The World Bank FOR OFFICIAL USE ONLY Public Disclosure Authorized Report No. P-3547-TA REPORT AND RECOMMENDATION OF THE PRESIDENT OF THE INTERNATIONAL DEVELOPMENT ASSOCIATION TO THE EXECUTIVE DIRECTORS Public Disclosure Authorized ON A PROPOSED DEVELOPMENT CREDIT OF SDR 5.9 MILLION (AN AMOUNT EQUIVALENT TO US$6.3 MILLION) TO THE UNITED REPUBLIC OF TANZANIA Public Disclosure Authorized FOR A COAL ENGINEERING PROJECT .May 2, 1983 Public Disclosure Authorized This document has a restricted distribution and may be used by recipients only in the performance of their official duties. Its contents may not otherwise be disclosed without World Bank authorization. CURRENCY EQUIVALENTS Currency Unit = Tanzania Shilling (TSh) TSh 1.00 = US$0.11 US$1.00 = TSh 9.40 US$1.00 = SDR 0.927 (As the Tanzania Shilling is officially valued in relation to a basket of the currencies of Tanzania's trading partners, the USDollar/Tanzania Shilling exchange rate is subject to change. Conversions in this report were made at US$1.00 to TSh 9.40 which was the level set in the most recent exchange rate adjustment in March 1982. The USDollar/SDR exchange rate used in this report is that of March 31, 1983.) ABBREVTATIONS AND ACRONYMS CDC - Colonial (now Commonwealth) Development Corporation MOM - Ministry of Minerals MWE - Ministry of Water and Energy STAMICO - State Mining Corporation TANESCO - Tanzania Electric Supply Company TPDC - Tanzania Petroleum Development Corporation toe - tonnes of oil equivalent tpy - tonnes per year FISCAL YEAR Government - July 1 to June 30 TrANZANIA FOR OFFICIAL USE ONLY Coal Engineering Project Credit and Project Summary Borrower: United Republic of Tanzania Beneficiary: Ministry of Minerals (MOM) and State, Mining Corporation (STAMICO) Amount: SDR 5.9 million (US$6.3 million equivalent) Terms: Standard Project Description: The project would support Government efforts ro evaluate the economic potential of the indigenous coal resources of Tanzania.
    [Show full text]
  • Our Values Underpin Our Growth
    our values underpin our growth ABC HOLDINGS LIMITED ANNUAL REPORT 2014 ABOUT BancABC ABC HOLDINGS LIMITED IS THE PARENT COMPANY OF A NUMBER OF BANKS OPERATING UNDER THE BANCABC BRAND IN SUB- SAHARAN AFRICA, WITH OPERATIONS IN BOTSWANA, MOZAMBIQUE, TANZANIA, ZAMBIA AND ZIMBABWE. A GROUP SERVICES OFFICE IS LOCATED IN SOUTH AFRICA. Our vision is to be Africa’s preferred banking partner by offering world-class financial solutions. We will realise this by building profitable, lifelong customer relationships through the provision of a wide range of innovative financial products and services – to the benefit of all our stakeholders. The Group offers a diverse range of services, including but not limited to the following: Corporate Banking, treasury services, Retail & SME Banking, asset management and stockbroking. ABC Holdings Limited is registered in Botswana. During 2014, the ABC Holdings Group was acquired by Atlas Mara. As at 31 December 2014, Atlas Mara had a 98.7% equity stake in ABC Holdings, held directly (60.8%) and indirectly (37.9%). Subsequent to the takeover, ABC Holdings was delisted from the Botswana Stock Exchange (primary listing) on 30 January 2015, and from Zimbabwe Stock Exchange (secondary listing) on 12 February 2015. Atlas Mara is a British Virgin Islands registered company with a standard listing on the London Stock Exchange (“LSE”). CONTENTS 1 Our values and highlights 30 Directors and Group management 2 Five-year fi nancial highlights 35 Directors’ responsibility 3 Salient features statement 5 Group Chairman’s & CEO’s 36 Directors’ report report 39 Annual fi nancial statements 13 Corporate social responsibility report 154 Analysis of shareholders 21 Risk and governance report D ABC HOLDINGS LIMITED ANNUAL REPORT 2014 PAGE PAGE PAGE PAGE PAGE 4 12 20 38 116 VALUE 01 VALUE 02 VALUE 03 VALUE 04 VALUE 05 PEOPLE INTEGRITY PROFESSIONALISM PASSION INNOVATION Our core values centre on five distinct areas.
    [Show full text]
  • A Case of Akiba Commercial Bank John
    Adoption of mobile banking services by micro, small and medium enterprises in Tanzania: A Case of Akiba Commercial Bank John Leon Masters of Business Administration University of Dar es Salaam, Business School, 2017 Despite benefits of mobile banking technological advancement, customers running SMEs have continued to use traditional banking services characterized by long queues, long distance traveling and time wasting that negatively affect time allocated for other economic activities. This study aimed to assess the adoption of mobile banking services by SMEs in Tanzania using Akiba Commercial Bank as a case study. Out of 13 branches of Akiba Commercial Bank located in Dar es Salaam, 6 of them were selected randomly, where a random sample of 18 bank staff and 180 bank customers running SMEs in the respective branches were also selected to represent the study population. Questionnaires were administered to the randomly selected customers and purposive selected staff. It was found that, out of the interviewed 180 customers running SMEs at Akiba Commercial Bank, the majority of them (57.8%) had a positive perception on the use of the services. Out of them, 74.4% were aware of the existence of various mobile banking services, 17.8% of them were registered with mobile banking services but only 3.9% of the SMEs were using such services. Perceived risks of the banking services was a major reason (84.4%) for the non-use of the mobile banking services, followed by network problems (69.4%), transaction costs (49.7%), perceived complexity in using the services (43.9%), poor skills and knowledge in using the services (27.7%) and poor customer care of the bank (20.8%).Despite the fact that the majority of SMEs had a positive perception on the use of mobile banking services, the level of adoption of the services was very low.
    [Show full text]
  • Promoting Financial Innovation- Regulation & Policy
    Evaluation and Learning Spotlighting the Status of Innovation and Regulation Disclaimer This publication was written by Abenaa Addai ([email protected]) with external contributions. The findings, interpretations, and conclusions expressed in this work do not necessarily reflect the views of AccessHolding (Access Microfinance Holding AG) nor those of the Mastercard Foundation. Spotlighting the Status of Innovation and Regulation Building on the driving factors of digital transformation, Human Capital Regulators & Gov’t Infrastructure FinTech Consumers & users and Funding Enabling environment Digital technologies Access to capital and Enabling underlying Access and demand to to support fintech with the potential of finance for FinTechs infrastructure (internet digital financial services solutions while transforming financial and a skilled labour and network services, and technology maintaining regulatory services – business force payment platforms) adoption (mobile device objectives of consumer models, applications, penetration, internet protection, financial processes, and usage) stability & integrity products we spotlight on areas of regulation and innovation policy in three countries Liberia Rwanda Zambia Challenges and Opportunities and map out the status of digital transformation Nascent Growing Advanced Liberia Total Population1 • The vision for financial inclusion is to build a sustainable 5.0 million financial sector deeply rooted in digital financial services. Financial Inclusion Rate2 • Without a clear definition and understanding among regulators, there seems to be a regulatory overlap and in 35.7% other areas gaps: regulations (and accompanying Mobile Phone Penetration3 enforcement) lag behind regional and global standards. 83% • There is an absence of dedicated regulations for Internet Penetration4 electronic transactions, cybersecurity, privacy and the protection of consumers online. 12% • A National payment framework is still missing.
    [Show full text]
  • Merger Notification Regarding the Intention Of
    MERGER NOTIFICATION REGARDING THE INTENTION OF NATIONAL BANK OF MALAWI TO ACQUIRE 75 PERCENT OF SHARES IN AKIBA COMMERCIAL BANK PUBLIC LIMITED COMPANY PUBLIC NOTICE (Made under Section 65 (2) (g) of the Fair Competition Act No. 8 of 2003 and Rules 41 (6), 42 (5) and 49 of the Competition Rules, 2018) The Fair Competition Commission (FCC) is an independent statutory body established under section 62 of the Fair Competition Act No. 8 of 2003 (FCA) with the object of enhancing the welfare of the people of Tanzania by promoting and protecting effective competition in markets and preventing unfair and misleading market conduct throughout Tanzania Mainland. Under the same Act, the FCC has powers to investigate, inter alia, entry into and exit from markets. The FCC has received a merger notification to the effect that National Bank of Malawi (The Acquiring Firm) intends to acquire shares in Akiba Commercial Bank Public Limited Company (The Target Firm). The Acquiring Firm is a company incorporated in Malawi. It is a leading commercial bank in the Republic of Malawi specialize in a provision of commercial banking services ranging from wholesale banking, treasury and investment banking, to personal and business banking. The Target Firm is a company incorporated under the laws of Tanzania. A full- fledged commercial bank, providing banking, financial and other related commercial banking services. Based on the Share Subscription Agreement dated 31st January 2020, the Acquiring Firm proposed to acquire aggregate of 75 percent of equity stake in Target Firm. FCC is currently investigating the intended acquisition in line with the provisions of the Fair Competition Act and the Competition Rules, 2018.
    [Show full text]
  • Swissport Tanzania Ltd Annual Report 2007:Swissport Lay 13-03-07 FIN 4/9/08 2:53 PM Page 5
    Annual Report 2007:Swissport lay 13-03-07 FIN 4/9/08 2:52 PM Page 1 SWISSPORT TANZANIA LTD ANNUAL REPORT 2007 www.swissport.co.tz Annual Report 2007:Swissport lay 13-03-07 FIN 4/9/08 2:52 PM Page 2 CONTENTS CONTENTS Letter of Transmittal 2 Chairman’s Statement 3 - 4 CEO’s Report 5 - 7 Report of the Directors 8 - 14 Statement of Directors Responsibilities 15 Report of the independent Auditors 16 - 17 Profit and Loss Account 18 Balance Sheet 19 Statement of Changes in Equity 20 Cash Flow Statement 21 Notes to the Financial Statements 22 - 42 Management Team 43 Auditors, Bankers, Lawyers and Insurers 44 Notice to the 23rd Annual General Meeting 45 Notes 46 - 47 Annual Report 2007:Swissport lay 13-03-07 FIN 4/9/08 2:52 PM Page 1 OUR ESTEEMED CUSTOMER AIRLINES OUR ESTEEMED CUSTOMER AIRLINES Executive Aviation Cargo Operators Customers Annual Report 2007:Swissport lay 13-03-07 FIN 4/9/08 2:52 PM Page 2 2 Letter of Transmittal To The shareholders Swissport Tanzania Ltd Letter of Transmittal The Directors of the company have the pleasure to submit to you the Annual Report for the company for the year ended 31st December 2007, in accordance with section 166 of the Companies Act, 2002. The report contains the Chairman’s Statement, CEO’s Report on the status of affairs of the company, the Directors’ Report and Auditors’ Report on the accounts. An interim dividend of TAS 1,260 Million or TAS 35.00 per share was paid in November, 2007.
    [Show full text]
  • Pdf 165.9 KB
    THIS ANNOUNCEMENT CONTAINS INSIDE INFORMATION FOR THE PURPOSES OF ARTICLE 7 OF THE MARKET ABUSE REGULATION (EU) NO. 596/2014. 30 April 2019 Proposed Strategic Transaction with Equity Group Holdings Atlas Mara Limited ("Atlas Mara" or the "Company" and including its subsidiaries, the “Group”), the sub- Saharan African financial services group, announces that it has entered into a binding term sheet with Equity Group Holdings Plc (“EGH”) for the exchange of certain banking assets of the Company in four countries for ordinary shares in EGH (the “Proposed Transaction”). The Proposed Transaction is subject to confirmatory due diligence, definitive transaction documentation, relevant regulatory approvals, and other conditions precedent customary for transactions of this nature. As part of the Proposed Transaction, EGH would acquire for shares in EGH Atlas Mara’s 62% shareholding in Banque Populaire du Rwanda (BPR) and, via the Company’s subsidiary ABC Holdings Limited, all of Atlas Mara’s indirect interests in African Banking Corporation Zambia (BancABC Zambia), African Banking Corporation Tanzania (BancABC Tanzania), and African Banking Corporation Mozambique (BancABC Mozambique). The parties would anticipate mergers of their respective banks within each of Rwanda and Tanzania. The Company expects to receive as consideration approximately 252,482,300 ordinary shares of EGH representing approximately 6.27% of the pro forma share capital of EGH post-closing. This implies the consideration to be paid is the equivalent of approximately USD 105.4 million. The aggregate consideration ultimately payable will be that set out in the definitive agreements negotiated following confirmatory due diligence, and may be subject to adjustment (positive or negative), based on the performance of the banks through consummation of the transactions, and on the net asset value of the banks at the time of closing relative to the net asset value they reported as at 31 December 2018.
    [Show full text]
  • Accessbank Template CI Conform W/O Content
    Offgrid Power Forum / Intersolar 21 June 2016 AccessHolding: Basic Facts German stock corporation (AG) created in 2006 Purpose: setting up small business banks in emerging markets „House Bank“ for MSME and low/middle-income households Full range of financial services but focus on business lending: Commercial bank license Core product: cash flow based lending to micro and small businesses Holding approach: Developing centralized core bank holding functions to support the emerging network Strategic Investor: AccessHolding aims to acquire majority stake Regional Clusters Responsible banking Commercial targets but long-term investment horizon: break-even in Y3-4; RoE of > 20% from Y5 on 27-Jun-16 #2 KPIs per December 2015 Paid-up capital of EUR 87.2 million Currently 10 financial institutions 8 banks & 2 MFOs 9 majority - owned Expansion plan for 14 institutions until 2021 Total Assets: EUR 1.2bn, Gross Loan Portfolio: EUR 0.9bn 570 thousand loans outstanding (95% for small business purpose) Average outstanding loan balance EUR 1,598 56% of the loan clients live in rural areas, usually with bad or no energy supply ~ 8,000 employees in 191 branches Two in three branches are located in rural areas 27-Jun-16 #3 History of Network Development Acquisition of AB Azerbaijan AB Tanzania AB Liberia AB Zambia MFO CREDO AH Share 16.5% AH Share 50.7% AH Share 55.6% AH Share 51.0% AH Share 60.2% Fitch Rating: BBB- Oct. 2002 Nov. 2007 Jan. 2009 Oct. 2011 Oct. 2014 Feb. 2007 Nov. 2008 Apr. 2010 Dec. 2013 Jan. 2015 Acquisition of AB Madagascar AB Nigeria
    [Show full text]
  • Ife and Microfinance Banking for the Smallest Businesses
    Public Disclosure Authorized Telling Our Story CREATING OPPORTUNITY Public Disclosure Authorized Edition 5: Success Stories 2008 Public Disclosure Authorized Public Disclosure Authorized International i Finance Corporation liFe~ I World Sank Group SUCCES S1 I i Telling Our Story Creating Opportunity Dear Colleague: Market conditions and client needs are vastly different than they were a year ago. IFC is adapting to this fast-changing world to serve clients better and maximize development impact. Higher food and fuel prices and financial turmoil are just some of the challenging new realities of today's global environment. They pose many new opportunities for IFC to make a difference as we work to help build the private sector and extend its reach in emerging markets. We do so with a commitment to innovation. This allows us to continue to strengthen the private sector's role as an effective engine of growth-an essential force in reducing poverty and improving people's lives in both the poorest countries and middle-income countries, where more than half the world's poor live. The stories in this booklet show how we go about our work. They give clear examples of who benefits from our efforts to attract additional private investment and know-how and broaden its impact in emerging markets. IFC is in the business of creating opportunity and improving lives. This means, for example, that we create jobs, improve the investment climate, increase access to finance, upgrade infrastructure through efficient public-private partnerships, and adapt business and finance principles that address climate change and sustainability. We use a wide range of products involving investment, advisory services, private capital mobilization, and risk mitigation that bring solutions to our clients.
    [Show full text]
  • Tanzania Financial Inclusion Products National Risk Assessment Report
    The United Republic of Tanzania Ministry of Finance and Planning NATIONAL MONEY LAUNDERING AND TERRORIST FINANCING RISK ASSESSMENT FINANCIAL INCLUSION PRODUCTS RISK ASSESSMENT REPORT DECEMBER 2016 0 TABLE OF CONTENTS TABLE OF CONTENTS ...................................................................................................................................... I DECLARATION ................................................................................................................................................... II ACRONYMS ....................................................................................................................................................... III EXECUTIVE SUMMARY ................................................................................................................................... VI 1. INTRODUCTION ......................................................................................................................................... 1 1.1. BACKGROUND .............................................................................................................................................. 1 1.2. WHAT IS FINANCIAL INCLUSION? ................................................................................................................. 1 1.3. OBJECTIVES OF PRODUCTS RISK ASSESSMENT IN FINANCIAL INCLUSION ................................................ 2 1.4. TANZANIA FINANCIAL SECTOR LANDSCAPE ...............................................................................................
    [Show full text]