The Central Bank prohibits Operating Payment Systems Instruments Without Approval: On 15th October, 2019 the Central Bank of Tanzania (Bank of Tanzania) issued a Circular No. LB.178/179/01/8 to all Operating Banks and Financial Institutions in Tanzania warning against engaging, partnering or enter into agreements with other entities to operate payment systems instruments without the Central Bank’s prior approval. The Central Bank further warned that, failure to comply with such directive will result in severe penalties.
Thus, according to Regulation 22 and 29 of the Payment Systems Licensing and Approvals Regulation, 2015 read together with section 15 of the National Payment Systems Act, 2015, a Payment Systems Provider, must apply in writing to the Central Bank for a license or approval to engage or partner with other entities to operate a payment systems instrument.
Download BoT Circular 2019 -PROHIBITION OF OPERATING PAYMENT SYSTEMS INSTRUMENTS WITHOUT THE BANKS APPROVAL
