JPM recognised‘Machingas’to get 10bn/-in loans through CRDB SimAccount

18Sep 2019
The Guardian Reporter
Dar es Salaam
The Guardian
JPM recognised‘Machingas’to get 10bn/-in loans through CRDB SimAccount

OFFICIAL recognition of petty traders by President John Magufuli who gave them identity cards earlier this year has attracted the attention of CRDB Bank Plc’s management which has allocated 10bn/- for ‘Machinga’ Loans.

CRDB Bank Managing Director Abdulmajid Nsekela (2nd L) exchanges a memorandum of understanding with Kigamboni Municipal Director Ng'ilabuzu Ludigija aimed at providing ‘Machinga Loans’ to the district’s over 3,000 petty traders who have since subscribed with SIMAccount at a ceremony held in Dar es Salaam yesterday. Witnessing the event are Kigamboni District Commissioner, Sarah Msafiri (C) and CRDB’s Research and Marketing Director Tully Mwambapa (L). Photo: courtesy of CRDB.

CRDB Managing Director, Abdulmajid Nsekela said in Dar es Salaam yesterday after signing an agreement with Kigamboni municipal officials that the loans will be made through mobile phones within 24 hours after application.

Nsekela said the loans which will be disbursed digitally through the bank’s SIMAccount will soon start being given out as preparations are at advanced stage. “These loans will be given out in two different ways, individuals and groups of petty traders,” Nsekela stated.

He further noted that President Magufuli’s official recognition of the petty traders has allowed his bank to identify them, their businesses and places of operations which has made it possible to recover the loans. Over 1,850,000 have officially registered with JPM’s identity cards countrywide.

“These identity cards issued by President Magufuli have meant that the ‘Machingas’ businesses are now formally recognised which has also made it easy for banks to identify and accept them,” the youthful CRDB chief added.

He also commended Kigamboni District Commissioner, Sarah Msafiri for championing the massive registration of petty traders with over 3,000 registered traders already subscribed to CRDB’s SIMAccount.

“As a local bank owned by Tanzanians we have been impressed with your commitment to economically empower the petty traders hence our decision to support such efforts with loans,” he pointed out while adding that the beneficiaries will also undergo training in basic financial management, records keeping and insurance of their businesses.

Speaking at the same function, DC Msafiri paid tribute to CRDB’s management for being the first one to back President Magufuli’s commitment to formalise petty traders’ informal businesses which employ the bulk of youth in the country.

“This is an important opportunity not only to Kigamboni district but the whole country because many petty traders will benefit from these loans and accompanying training which will ensure their contribution to national economic growth,” the DC noted.

He dared the ‘Machingas’ to be committed and run their businesses professionally so that the government’s efforts to see them graduate into small companies materialise.