Banks and Financial Institutions Must Display Key Information in Public

The Bank of Tanzania has issued new regulations requiring banks and financial institutions to display key information in public, aiming to enhance transparency and accountability in the financial sector.

Key Requirements

• All banks and financial institutions must display required information in a conspicuous position in their principal places of business, branches, agencies, ATMs, and websites.
• The information includes:
  • Details on charges and fees for various services
  • Information on customer complaint redressal mechanisms
• Banks and financial institutions must publish and submit the required information to the Bank within five working days after publication. Additionally, any material changes must be published and submitted to the Bank immediately.

Compliance with International Financial Reporting Standards

• Banks and financial institutions are also required to comply with international financial reporting standards.
• This means that they must publish their financial statements in a format that is consistent with internationally accepted accounting standards.

Disclosure of Customer Charges and Fees

• The regulations require banks and financial institutions to disclose charges and fees for various services, including:
  • Current accounts
  • Savings accounts
  • Electronic banking
  • Foreign exchange transactions
  • Personal loans
• This includes details on:
  • Monthly service fees
  • ATM withdrawal fees
  • Other charges

Penalties for Non-Compliance

• Banks and financial institutions that fail to comply with the regulations may face penalties, including fines and other administrative sanctions.

Revocation of Previous Regulations

• The Banking and Financial Institutions (Publication of Financial Statements) Regulations, 2008 have been revoked and replaced by the new regulations.

Schedule of Minimum Disclosures

• A schedule outlining the minimum disclosures required for charges and fees is included in the regulations.
• This includes details on:
  • Current accounts
  • Savings accounts
  • Electronic banking
  • Foreign exchange transactions
  • Personal loans

By requiring banks and financial institutions to display key information in public and comply with international financial reporting standards, the Bank of Tanzania aims to promote transparency and accountability in the financial sector, which will ultimately benefit consumers and investors alike.