The Bank of Tanzania has set charge limits for interbank transfers made through retail platforms based on the amount being transferred.
In a circular addressed to all banks by the Deputy Governor in charge of Financial Stability and Deepening at the Bank Of Tanzania Sauda K. Msemo, the central bank noted that it had observed that high charges were imposed on customers for transferring funds from one bank to another through retail platforms and channels, which tended to increase the burden to the consumer of these services.
This, she noted, had necessitated an intervention from the central bank to set charge limits for interbank transfers made through retail platforms based on the amount being transferred.The directive from the central bank is effective 1st May,2024.
For incoming Transfers, there shall be zero charges to the end user for incoming transfer. While for outgoing transfers, the following charges shall apply:
- TZS 0 – 500 for transfers of value between TZS 1 to 50,000.
- TZS 0 – 1,000 for transfers of value between TZS 50,001 to 500,000.
- TZS 0 – 1,500 for transfers of value between TZS 500,001 to 5,000,000.
- TZS 0 – 2,000 for transfers of value between TZS 5,000,001 to 20,000,000.
“Please be informed that banks and financial institutions shall observe and comply with the above charges for interbank Electronic Fund Transfers (EFT) and interbank Instant Transfers through retail platforms and channels, ”noted the circular.
The circular was issued pursuant to Section 56(3) of the National Payment Systems Act, 2015.