Public Awareness

Liquidation

Section 41 of the Banking and Financial Institution Act 2006 gives power to the Bank of Tanzania to appoint DIB as liquidator of failed banks and financial institutions. Since its establishment, the DIB has been appointed to liquidate nine banks; Greenland Bank (T) Ltd, Delphi’s Bank (T) Ltd, FBME Bank Ltd, Mbinga Community Bank PLC, Njombe Community Bank Ltd, Meru Community Bank Ltd, Covenant Bank for Women Ltd, Kagera Farmers’ Cooperative Bank and Efatha Bank Ltd.

Insured deposits are paid during the pay-out exercise with the maximum coverage limit of TZS 1,500,000. Depositors and other creditors are subject to liquidation procedures and will be notified about payment of their claims in due course.

To facilitate the liquidation of the closed banks and financial institutions (under liquidation), DIB is currently engaging independent Valuation Firms (“Consultants”) to undertake valuation of the assets and the results of the valuation will be used for sale purposes to enable the completion of the liquidation process