By The Respondent ReporterVice President Dr. Philip Mpango has hailed the Bank of Tanzania (BoT) for developing a world-class Integrated Core Banking System (iCBS) using local expertise saving the nation over TSh 81 billion in the process.
Speaking during the official launch of the system at the BoT headquarters in Dar es Salaam, Dr. Mpango described the achievement as a groundbreaking milestone, making Tanzania the first country in Africa to build such an advanced financial infrastructure in-house at a fraction of the cost of similar systems globally.
“This is a proud moment for Tanzania. It proves our capacity to innovate and execute complex digital solutions without relying on expensive foreign contractors,” said Dr. Mpango.
The iCBS will enable the Central Bank to oversee and manage financial transactions across the country more efficiently and securely, with real-time monitoring and fewer operational delays.
The Vice President directed the BoT to collaborate with other key institutions including the Tanzania Communications Regulatory Authority (TCRA), the e-Government Agency (e-GA), and line ministries to ensure proper management and sustainability of the system.
He emphasized the need to deepen the use of digital platforms in financial services to reduce reliance on cash and improve transparency.
Dr. Mpango also sounded the alarm over unregulated digital moneylenders who exploit citizens through excessive interest rates, privacy violations, and harassment. He urged the Central Bank to take firm action.
“These online lenders are threatening the financial wellbeing of our people. BoT must act decisively to protect citizens and ensure that borrowers are not abused or misled,” he stressed, urging the bank to educate the public about responsible borrowing and legitimate lending options.
In addition, Dr. Mpango called for the protection of the intellectual property behind the iCBS system. He encouraged government institutions to foster a culture of innovation by rewarding local inventors whose work saves foreign exchange and boosts national productivity.
“Let’s support our own talent. The government is committed to increasing research funding, expanding innovation hubs, and strengthening ties between academia, government, and the private sector,” he said.
BoT Governor Emmanuel Tutuba said the new system is already delivering results by improving the accuracy of government financial reports, automating account reconciliation, and streamlining the movement of funds.
He added that Tanzania’s economy continues to show signs of resilience, with inflation under control and the shilling maintaining its value. By June 2025, the country’s foreign reserves had reached USD 6.2 billion the highest level ever recorded.
Governor Tutuba also revealed that, following legal reforms that allowed the Central Bank to purchase gold using local currency, BoT had acquired 6.6 tonnes of pure gold worth over USD 706 million—exceeding its annual target.
At the same event, Vice President Mpango officially closed the Bank’s Museum and launched a new Online Library that allows Tanzanians to access books and research materials digitally.
“These initiatives show that BoT is not only modernizing its systems but also preserving its legacy and promoting financial literacy across the nation,” he said.