Tanzania: Central Bank On Fresh Move to Control Bureaux De Change

Jun 26, 2017 | The Citizen; All Africa

The Bank of Tanzania (BoT) has instituted new measures to curb operations of bureaux de change as a move regarded by some analysts as part of the government's crackdown on grand corruption and money laundering.

On Wednesday BoT issued new licensing conditions to foreign currency (forex) dealers operating in the country as part of the implementation of President John Magufuli's directives he gave during an impromptu visit to the bank's premises on March 10 last year. During the visit he urged BoT governor Benno Ndulu to scrutinise forex bureaux de change to check money laundering. Among the measures taken on Wednesday included revising minimum capital thresholds for all bureaux de change and increase its non-interest bearing deposits. "The minimum capital threshold has been increased from Sh100 million to Sh300 million for class A and from Sh250 million to Sh1 billion for class B," said BoT's statement. BoT has also increased the non-interest bearing deposit from $50,000 to $100, 000, the statement adds. New capital levels are scheduled to take effect three months from June 2 this year as per the Government Notice 223 to give time to forex dealers to apply afresh for licenses. Read more on All Africa. Source: All Africa