Dar shuts five community banks to protect financial stability

Tanzania President John Pombe Magufuli; he is on record ordering his central bank to take action against failing financial institutions

Dar, Tanzania: Tanzania’s central bank on Thursday revoked the licenses of five “critically undercapitalised” community banks to protect financial stability.

There are about 40 commercial banks and a dozen community banks, which target savings from specific communities or sectors such as farming, but the financial sector is largely dominated by just a handful of big banks.