NBC advises truck owners to use its loan insurance cover against risks

23Sep 2019
The Guardian Reporter
The Guardian
NBC advises truck owners to use its loan insurance cover against risks

TRUCK owners will be better cushioned against risks if they make use of National Bank of Commerce’s newly launched business insurance loan.

Minister for Works, Transport and Communications, Isack  Kamwele (L) talking to National Bank of Commerce’s Director of Business Banking, Elvis Ndunguru (C) and other employees of the bank during a Tanzania Track Owners Association annual general meeting in Dar es Salaam during the weekend.

Addressing Tanzania Truck Owners Association members during their 2019 annual general meeting in Dar es Salaam during the weekend, NBC’s Director of Business Banking, Elvis Ndunguru said that the product has been in place since last months is meant to support the government’s initiatives in strengthening the transportation sector.

The loan insurance cover which range between 1m/ and 3bn/- came into effective about a month ago. The insurance loans are offered at all NBC branches across the country. The bank has so far disbursed 5bn/- through the new loan scheme since the product came to market. About 20,000 beneficiaries are targeted in this scheme as of the end of December this year with 50bn/- allocated for the purpose.

“The loans are available at an affordable interest rate and don’t need collateral to secure the insurance loan. We are committed to continue supporting government’s efforts in growing rapidly this important sector,” Ndunguru said.

Meanwhile Ndunguru said in a bid to ease transactions with the state, NBC has been working with the government through its electronic payment system to enable the public pay for services and tax to Treasury and other public utilities. “So far, more than 100 public institutions are working with NBC in this way,” he added.

Through digitization, the Dar es Salaam based lender has more than 2,000 agents across the country backed by 2,500 point of sales machines which are directly connected to Government Electronic Payment Gateway (GePG).

Engineer Isack Kamwele, Minister of Works, Transport and Communications, who graced the event, commended NBC for playing an important role to back development of the transport sector.

“NBC used to work closely with large enterprises but now is going for the semi and mid size entrepreneurs. We have signed already an MoU with the bank that allows them to have their services at all offices of Tanzania Posta Corporation across the country,” Kamwelwe noted.