TWIGA BANCORP ALLOCATES 5BN/- TO VILLAGE COMMUNITY BANKS

Twiga Bancorp Bank has set aside 5bn/- to be loaned to various entrepreneurs through their village community banks (VICOBA) to boost their income generating activities at national level for the financial year 2016.

The Director of Business Development at Twiga Bancorp Bank, Mr Solomon Haule, said this in Dar es Salaam over the weekend during the launch of a special programme to assist VICOBA groups with loans.

Mr Haule who spoke on behalf of the Managing Director of the bank, Mr Cosmas Kimario, said formerly most groups had faced a challenge of accessing loans in various financial institutions because they lacked assets that would act as collateral.

“In addressing the challenge the bank has established the programme to assist the government’s efforts in eradicating poverty by raising the living standards and the economy of its people and the country as a whole,” said Mr Haule.

The programme will go in line with special trainings to equip members with entrepreneurial skills, best ways to utilise funds and managing savings in financial institutions.

Along with the launch, Mr Haule presented several tri-cycles and motorcycles to various groups and pledged to issue individual loans to members in future.

On his part, the Head of Micro-loan at Twiga Bancorp, Mr Joseph Malatula, noted that the programme was established for the first time in July to December last year as a pilot project at the Mlimani City Branch with 600m/- given out to 24 groups from within the city and the Coast Region as loans. “To date at least 220 groups with accounts at the bank have received different forms of loans,” noted Mr Haule.

The Chairman of the Association of Bajaj Drivers (CHAMABAVI) located at Mikocheni-Kairuki, Mr John Roberto, said to date the group has received eight tri-cycles which have benefited them and acted as a means of paying the loan.

“We have been paying our loans in instalments and once payment is completed the tri-cycles ownership will be transferred to individual members,” pointed out Mr Roberto.

Another member from Asante Group situated in Msumi, Ms Hamisa Mohamed requested the bank to extend their services to other parts because they were facing a challenge of having to come to town to pay their instalments.

Daily News