China Dasheng Bank comes to town

28Nov 2018
By Financial Times Reporter
DAR ES SALAAM
Business
Financial Times
China Dasheng Bank comes to town

WITH a start-up capital of $40 million (about 100 billion/-), the China Dasheng Bank opened its doors to customers in Tanzania last Monday, promising to bridge remaining trade and business gaps between the country and Asian countries.

Chinese Ambassador to Tanzania, Wang Ke (middle), joins Dar es Salaam Regional Commissioner, Paul Makonda (2nd-L), senior official from Central Bank of Tanzania (BoT), Saadat Musa (1st-R), Board Chairman of China Dasheng Bank Limited, Yu Jiaqin (2nd-R) and Chairman of Chinese Business Community in Tanzania Zhujin Feng (1s-L), to cut a ribbon to signify the inauguration of China Dasheng Bank Limited in Dar es Salaam over the Weekend.

The bank acting chief executive Nunu Saghaf told Financial Times during the official launch that the amount of capital showcases the seriousness which China Dasheng Bank attaches to its Tanzanian business.

“The Bank of Tanzania (BoT) requires a start-up capital of 15bn/- while we have put in more than 100bn/- to begin with. We are determined to provide adequate and quality services to our customers,” she said.

The bank’s chairman, Yu Jiaqin, said it will serve both individual and corporate clients,with stronger focus on those who do business between Tanzania and China.

“We are also set to provide financial solutions for all Chinese-funded projects in Tanzania,” he added.

China Dasheng Bankwas established by six state-owned and private companies from the cities of Shanghai and Jiangsu in the Yangtze River Delta region, the most economically developed province in China.

According to Jiaqin, the bank got its provisional license for operations in Tanzania from BoT in November last year, and after one year of preparations managed to meet all the set conditions.

This led to BoT issuing a commercial banking license on November 8 this year for the bank to formally start its operations in the country.

“The bank will provide all the usual products such as demand, call and time deposit accounts, overdrafts, and loans in Tanzanian shillings and all major foreign currencies,” said Jiaqin.

Officiating at Monday’s launch, Dar es Salaam regional commissioner Paul Makonda described it as testimony that Chinese investors in Tanzania really mean business.

“From my experience when I visited China, all the past allegations that the Chinese are unscrupulous people focused on producing fake products are not true. The Chinese are hard-working people who are ready to deliver what the customer requires,” Makonda said.

The RC noted that, among other things, the new bank will provide employment opportunities to many Tanzanians as well as pay taxes to the government.

“But I would like to warn Tanzanians who gain employment with this bank that the Chinese are people who value time. You should copy and practice this if you want to survive working with a Chinese outfit,” he stated.

China’s ambassador to Tanzania, Wang Ke,said the opening of the bank’s Tanzanian branch marks another milestone in the strengthening of bilateral trade relations between the two countries.

“This move shows the confidence that China investors have in Tanzania,” Wangasserted.

She added that the bank will open the way for improved financial connectivity among traders, businessmen, and investors from the two countries.