Banks call for changes to credit information sharing system

The government’s move to cap interest rates has now shifted focus to how borrowers will engage banks in loan negotiation.

With the capping likely to make banks more risk averse, borrowers deemed too risky may have a hard time accessing credit.

However commercial banks are now calling for an overhaul of the credit information sharing mechanism to boost vibrancy in the country’s credit market.

According to NIC Group Managing Director John Gachora, while the law caps the maximum amount banks can charge on loans, there is still room for borrowers to push for lower rates depending on their credit scores.

“We need to be able to different people’s credit ratings. Therefore in my view, the credit reference bureau framework must continue to evolve because down the line I want my customers to be able to walk in and say 14.5 percent is too high for me, I want 10.5 percent,” Mr Gachora said on an interview on Citizen Business Centre.

The credit reference bureau system was introduced in 2010 with the expectations that borrowers could have an upper hand while negotiating with lenders for preferential interest rates.

However the system has been prone to abuse, with most borrowers concerned that banks have previously only shared negative information, lowering their credit scores.

This saw the Central Bank of Kenya (CBK) in August issue a notice to all commercial banks warning of stiff penalties for misusing the information sharing tool.

While banks conquer that the lending landscape had changed, borrowers are still central in the pricing framework.

KCB Group Chief Executive Officer Joshua Oigara however cautioned that borrowers also needed to ensure their credit scores are accurate to ensure the cost of credit can come down further.

“The banks now, we’ll need to see more innovation that if you get a score of 100 points or 900 points you can actually be able to push for a better kind of access of credit from your bank,” Mr Oigara said.

Simba lead, Yanga silence Mwadui

SIMBA SC opened a three points lead at the top of the Mainland Premier League, holders Young Africans moved second following their yesterday wins in Dar es Salam and Shinyanga respectively.

Simba beat Azam FC 1-0 at the Uhuru Stadium in Dar es Salaam and they are now at the top of the league with 13 points, while Yanga beat Mwadui FC 2-0 at the Kambarage Stadium in Shinyanga to move second on the log with ten points.

At the Uhuru Stadium, Simba’s slippery left footer winger Shiza Kichuya was the hero of the day for his club after his stunner inflicted first defeat on Spaniard tactician Zeben Hernandez. It also gave Simba’s Cameroonian Coach, Joseph Omog bragging rights against his former employers.

Omog parted ways with ‘ice cream makers’ side in 2013. Prior to the game, Simba and Azam tied at the top of the league with ten points each, some goal difference, same number of goals scored and same number of goal conceded from four matches each and the game was meant to separate the two.

It was a slow start for both sides with the game mostly played in the midfield and the two goalkeepers had no much work to do in the first few opening minutes but as the game progressed, it turned up to be a seesaw affair, with the ball swinging from one end to the other.

Still, much of the ball was played in the midfield and the few attacks created for both side were either cleared by defenders or goalkeepers made the saves. Good chance for Simba came in the 16th minute, when Kichuya dribbled the ball in the left wing before releasing a nice cross into the box to Ibrahim Ajib and the skilful striker took a sharp turn inside the box but his shot was cuddled by impressive goalkeeper, Aishi Manula.

In the 21st minute, Ya Thomas Renardo well calculated cross met Khamis Mcha in the box but unluckily his shot hit the woodwork and denied Azam the lead.

It was a lucky escape for Azam yet again in the 23rd minute, when Ajib found himself face to face with Manula and the brave goalie cleared the danger. Simba were on the upper gear now and five minutes later, Jamal Mnyate forced his way into the box but his shot could not hit the target.

Azam also came into the picture after half an hour mark, when skipper John Bocco’s stinging shot was parried off by goalie Vincent Angban, only for Novatus Lufunga to rush in and clear the danger. Burundian striker, Laudit Mavugo almost put Simba ahead two minutes to the breather, when he rose above defenders but his header was timely saved by Manula as the game rolled to half time. Both sides started the second half cautiously with no meaningful attempt to score.

Concentration remained in the midfield, where both teams boast of gifted players. With time clocking down, Coach Omog called off Mnyate and introduced midfielder, Said Ndemla in the 64th minute.

Immediately after Ndemla’s introduction, Simba took control of the midfield no wonder they scored in the 67th minute, when Kichuya’s long range low shot which sailed direct into back of the net in the left corner, leaving Manula diving in vain.

Azam Spaniard coach made a double change by bringing in Fransesco Zekumbirwa and Mudathir Yahya for Mcha and Frank Domayo in an attempt to rescue a point but the change was fruitless. In Shinyanga at the Kambarage Stadium Alexander Sanga reports that the league defending champions Yanga emerged with a 2-0 victory against Mwadui FC with its goals coming in both halves of the game.

Amis Tambwe opened the score only five minute into the game, connecting home Juma Abdul’s set piece to give his side the lead.

Donald Ngoma doubled the lead in the 90th minute after nodding home a high ball in the box from Haruna Niyonzima. Yanga dominated the match which they ought to win by a bigger margin but wasted several scoring chances in both halves. With the result Yanga are now on 10 points with a game in hand and have leapfrogged Azam into the second position. Azam drop to third place.

In other league matches held at the Sokoine Memorial Stadium in Mbeya, Tanzania Prisons and Mbeya City shared the spoils in the Mbeya derby after finishing their clash in a barren draw. Mtibwa Sugar defeated Kagera Sugar 2-0 at Manungu Stadium, Turiani in Morogoro, whereas Majimaji lost its fifth consecutive league game after going down 2-1 at the hands of Ndanda FC at the Majimaji Stadium in Songea.

Majimaji remain glued at the bottom of the league without a point after five games. The league continues today with only one game between Stand United and JKT Ruvu at the Kambarage Stadium in Shinyanga.

The match between African Lyon and Toto Africans which was scheduled to take place at the Uhuru Stadium has been push forward to Tuesday next week.

Dar launches new ‘bodaboda’ plan

DAR ES SALAAM Regional Commissioner (RC) Paul Makonda has launched a special programme aimed at improving motorcycle and tricycle taxis, also known as ‘bodaboda’ and ‘bajaji’, transportation in the city.

The special programme, titled “Bodaboda and Bajaji New Look in Dar es Salaam’’, includes registration by using special numbers that will also appear on the special uniforms that the riders will be required to put on. Speaking during the launch of the programme, Mr Makonda said the move will be helpful to passengers using the mode of transportation when faced with any situation that will require getting the identity of the rider.

Using a system similar to mobile money transactions, the passenger will be required to enter the number that appears on the riders’ uniform in the ‘bodaboda’ and ‘bajaji’ in Dar es Salaam segments, which will bring up the riders’ information.

The information that will come up on the mobile phone screen includes the riders’ parking area, the parking area leader and the mobile phone number of that person.

The ‘bodaboda’ and ‘bajaji’ riders would be issued with the uniforms free of charge complete with helmets for the riders, Mr Makonda said, stressing that he is focused on improving the now popular mode of transportation in the city.

“The objective of this programme is to address the challenges facing this mode of transportation and friction with the police force and ensure its improvement,” he explained, urging the riders to adhere to traffic laws.

Meanwhile, the RC officially launched the Regional Bodaboda and Bajaji Riders Association, calling for members to use it to improve their standards of living.

Earlier, Mr Daud Laurian, representing the ‘bodaboda’ and ‘bajaji’ riders, who is also the chairperson of the association’s preparatory committee, commended the regional commissioner for his creativity, noting that the move will restore public trust in the mode of transportation.

He said the special uniforms for the riders in each of the regions ‘ districts -- Temeke, Kinondoni, Ilala and Kigamboni -- will have their own unique colours and numbers.

He stressed that the new outlook will also increase business opportunities in that sector, including advertising opportunities from individual and business organisations.

“Most of all, this sector is also contributing to the national economy. In Dar es Salaam, the contribution is about 2bn/- per year,” he explained.

The launching of the programme was organised by the Dar es Salaam Regional Commissioner’s office, Surface and Marine Transportation (SUMATRA), Chotec Ltd, police force, Shell Advance, Clouds FM and Event Master.

Uganda oil pipeline opportunities to be unveiled

THE Uganda-Tanzania crude oil pipeline business opportunities are going to be unveiled to private sector in special workshop next Tuesday.

The workshop, organised by Tanzania Private Sector Foundation and Petro Fiorentini, expects to unveil opportunities available before, during and after pipeline construction. The organisers also expect to express the role of value chain and local content to the country’s business community.

TPSF Executive Director, Godfrey Simbeye, who was represented by his Lois Accaro, said the project would create enormous number business opportunities plus jobs.

“The main focus of this workshop is to brief open eyes in value chains and also to give suppliers the channels, tools and means to harness and cater for this project,” Mr Simbeye told reporters over the weekend.

Top on the list of priorities for the workshop will be to hear plans on how to prepare local workforce and engagement of local enterprises to maximise the national economic benefit from this project.

The one-day workshop will address skills shortages in the country, both in technical and professional areas and significant investment required to provide relevant skills to local staff. Others are to build the capacity of the local supply chain to international standards and project timelines.

The envisaged 24-inch pipeline to cover 1,403 kilometres is expected to convey 200,000 barrels of crude oil per day for exports. The project is expected to create 15,000 jobs during its execution after which upon completion, in 2020, it will employ about between 1,000 and 2,000 people.

In Tanzania the pipe will pass through Kagera, Geita, Shinyanga, Tabora and Singida to Tanga where 200 kilometres of new roads and 150 km existing ones will be upgraded by TANROADS.

The envisaged pipeline through the country will be of benefit not only to Uganda and Tanzania but other countries in the region such as Kenya, South Sudan, Rwanda, Burundi and the Democratic Republic of Congo (DRC).

During the workshop, TOTAL will make a detailed presentation on how local force will be engaged on entire value chain. The companies in the 4.0 billion dollars (about 8.7 trillion/-)project include Total E&P of France, Tullow Oil of United Kingdom as well as China National Offshore Oil Corporation.

Serengeti Boys out to clear Congo hurdle

THE national U-17 football team, Serengeti Boys yesterday got a massive boost ahead of today’s match against Congo- Brazzaville in their campaign to seek a ticket for the 2017 African Youth Championship (AYC) finals to be staged in Madagascar.

Minister for Information, Culture, Arts and Sports, Nape Nnauye announced yesterday a 200,000/- reward to each Serengeti Boy player, as part of the ministry’s efforts to boost the team morale ahead of the third round of the AYC qualifier, first leg clash at the National Stadium in Dar es Salaam.

Apart from the 200,000/- motivation, Minister Nnauye also promised to award 500,000/- for each goal Serengeti Boys will score against the Congolese in today’s game.

He also called on other sports stakeholders to support the team by all means, to ensure it attain positive results in the two legged match. “If they scored five goals tomorrow (today), it means they will get 2,500,000/- for the good job and this is because we want them to do their best to ensure they emerge with victory in this crucial match. Tanzanians are praying and backing them,” he said.

Also as part of motivation factor, minister Nnauye will have breakfast with the team this morning at the Urban Rose Hotel in the city centre, where he will take the opportunity to talk with the players and the technical bench to assure them the government’s support.

The minister has also called upon the country football supporters to flock the venue as many as possible today, to ensure they play their part as 12th player and this he said, will contribute positively to the team’s victory.

“Our support is vital in helping our boys to get positive results both at home and in the return leg match which will be played in Congo- Brazzaville on October 2. We need to pray for the team and encourage them to perform,” he pleaded.

The boost comes a day after the Prime Minister, Kassim Majaliwa, commended the success by Serengeti Boys in the ongoing AYC qualifiers. Premier Majaliwa drum up for much needed support to the team to ensure it qualify for next year’s finals.

To make it difficult for Congo- Brazzaville, the government announced that no entrance fee will be charged in the match, the objective being to attract as many fans as possible.

To set a date with Congo- Brazzaville, Serengeti Boys eliminated Seychelles by 9-0 goals on aggregate, before seeing off South Africa’s Amajimbos by 3-1 goal on aggregate.

After a 1-1 draw in South Africa, Serengeti Boys won 2-0 in the return leg held in Chamazi Complex in Dar es Salaam.

Congo-Brazzaville saw off Namibia on a 5-1 goal aggregate. Serengeti Boys is the only team from the East African Community (EAC) remaining in contention for a place in next year’s AYC finals set for Antananarivo

VP to grace women entrepreneurs fair

VICE-PRESIDENT, Ms Samia Suluhu Hassan, is expected to grace women entrepreneurs’ exhibition in Dar es Salaam at the end of October.

The event, among others, will be a platform for encouraging women entrepreneurs to use Electronic Fiscal Devices (EFDs), thus contributes to national income.

The exhibition, under the programme dubbed ‘Month of Women Entrepreneurs’ (MOWE) Tanzania is scheduled to take place for six days and over 450 entrepreneurs expect to participate.

This would be 10th MOWE’s exhibition which is conducted annually in the country. National Coordinator for women entrepreneurship and economic empowerment programme of the ILO, Ms Noreen Toroka, said different from previous exhibitions, this year the Tanzania Revenue Authority (TRA) has been invited to create awareness among the entrepreneurs to use the EFDs.

"Though majority of these are still running their activities with low capital, they need to know how to use them as a way of making them be part in increasing the tax base for the country's development,” he said.

She noted that since its introduction ten years ago, the exhibition managed to enable the women grow up to the level of participating in big exhibitions. "Entrepreneurship is crucial area for creating new jobs and develop Tanzanian products,” she said.

Chairperson of the MOWE, Ms Elihaika Mrema, pointed out that major objective of the exhibition was to bring together the entrepreneurs and government's institutions dealing with providing services for developing businesses.

Apart from local participants, the event would also attract other attendants from neighbouring countries of Kenya, Uganda and Malawi. The MOWE programme is part of the Women Entrepreneurship Development and Gender Equality which is implemented by the Ministry of Industry and Trade in collaboration with the International Labour Organisation (ILO).

Improved coffee brings change in Tarime

THE introduction of improved coffee varieties and the technology of inter-cropping in Tarime District in Mara region has immensely contributed to increased farmers’ incomes.

The Tanzania Coffee Research Institute (TaCRI) introduced improved coffee varieties and inter-cropping technology in the area to boost the income of smallholder farmers. “The new improved coffee varieties are helpful.

It has boosted our incomes. We now can educate our children and meet other basic needs,” 84-year-old Marwa Roswe, a coffee grower at Nyamwaga village said. “We have no problems of markets for selling our coffee and bananas.

The market is here and buyers are coming to the farm themselves,” he explained.

Another farmer, Elias Juma,(72), of Nyansincha village said “we have improved our houses through coffee and banana farming.” “Apart from building a modern house, I have bought a television set to what is happening in the world around us.”

Fourty-two-year-old Bhoke Sagamo of Gwitryo village said TaCRI had turned coffee to be another gold in the district. “The education provided by TaCRI through groups had reached many people after realising that coffee is profitable. For example, I was living in a grass-thatched house.

Now I am living in a modern house,” he said. This year, TaCRI marks 15 years in its campaign to revive coffee in Tarime. TaCRI’s Manager in Mara Zone, Sheila Mdemu, said she was happy of the achievements in the revival of the coffee industry.

Since 2007 TaCRI has been working with groups of farmers to increase production through seed propagation. The aim has been to rejuvenate the coffee industry by producing improved coffee varieties to replace old coffee plants.

Around 2,775 farmers, 84 farmers promoters and 76 extension officers had been trained under the initiative being supported by the European Union and the government. According to Mdemu, farmers had multiplied over 300,000 seedlings in the area.

“We had also distributed more than 7,252 extension materials conveying different messages, and over 50 demonstration plots had also been established,” she said. Improved coffee varieties are resistant to diseases such as Coffee Berry Diseases (CBD). Tarime is the leading producer of Arabica coffee in Mara region.

Meanwhile the Tarime District Council has generated more than 100m/- from coffee buyers last season, according to the District Coffee Inspector Stanley Rubalila.