Tanzania's Ministry of Finance launches Sema na BoT consumer complaints system and Bank of Tanzania fintech regulatory sandbox

Tanzania's Ministry of Finance announced the launch of the Sema na BoT financial services consumer complaints handling system and the Bank of Tanzania Fintech Regulatory Sandbox. At the launch, Minister of Finance Mwigulu Lameck Nchemba instructed the Bank of Tanzania (BoT) to oversee and ensure that all banks and financial institutions in Tanzania connect to the Sema na BoT system. The Sema na BoT system is intended to provide a dedicated channel for resolving consumer complaints more efficiently and transparently, including complaints linked to abusive lending products described as “kausha damu”. The Ministry also called on financial service providers to deliver financial education to customers and the wider public in line with the 2019 BoT Financial Consumer Protection Regulations. On the sandbox, the initiative was presented as a framework to support fintech experimentation and create a more enabling environment for technology investment and participation in the digital economy; BoT Governor Emmanuel Tutuba described the complaints platform as designed to be accessible to users regardless of location or level of technological literacy and to help financial institutions identify and address complaints more quickly.