Learn From Tanzania On Electronic Money Transfer - ITU

International Telecommunication Union (ITU) member states have been advised to learn from Tanzania on a vibrant digital financial services system.

The system is known as interoperability which enables mobile money subscribers to transfer and receive money from multiple sources including bank accounts safely and cost-effectively.

ITU consultant Venkatesen Mapuree said the performance of Tanzania in interoperability has to, a large extent, reduced the costs of mobile money transactions and digital financial services.

He was speaking at a meeting on ITU's focus group on digital financial services in the city yesterday.

"We call upon other countries of to learn from Tanzania on cooperation between the central bank and the communication regulator in ensuring a high-level of financial inclusion through enhanced digital financial services." Earlier, Bank of Tanzania governor Benno Ndulu told a previous ITU meeting that it was proclaimed that the country was the first in interoperability under the global practice of digital financial services.

"We attained 50 percent financial inclusion by 2014 earlier than the set target to reach such level in 2016," he said. According to him, the current target under the National Financial Inclusion Framework is to attain a level of 80 per cent by next year.

The technology has enabled cost effective ways of increasing financial inclusion and transaction costs have been reduced with higher level of flexibility, safety and absence of inconveniences in accessing the financial services, said Prof Ndulu.

According to him, up to July this year 26.8 million mobile money accounts were registerd countrywide, out of them 21.9 million were active.

SOURCE:THE CITIZENS