What you need to know:
- NMB Bank has introduced a special banking solution at the weekend called “NMB Kwetu” that will cater for the needs of its customers who live and work abroad.
Dar es Salaam. NMB Bank has come up with a new banking solution for the diaspora in its quest to boost diaspora remittances, which stood at $1.1 billion (about Sh2.5 trillion) in 2022.
Official figures from the Ministry of Foreign Affairs and East African Cooperation show there were 1.5 million Tanzanians in the diaspora who sent home $1.1 billion (about Sh2.5 trillion) last year.
Tanzanians in diaspora also made investments in the purchase of houses and plots worth Sh4.4 billion. They also invested Sh2.5 billion in stocks in 2022, according to figures produced by the Ministry.
NMB Bank has introduced a special banking solution at the weekend to cater for the needs of its customers who live and work abroad.
Codenamed ‘NMB Kwetu’, the solution allows them to digitally open accounts, transact, and invest back home through the bank.
Gracing the ‘NMB Kwetu’ launch, the Permanent Secretary in the Ministry of Foreign Affairs and East African Cooperation, Mr Stephen Mbundi, said the product will facilitate the flow of remittances and boost Tanzania’s foreign exchange inflows.
“NMB Kwetu is a vital service that complements efforts of the government to ensure readily availability of financial services to Tanzanians wherever they are, including those living in the diaspora,” Mr Mbundi noted.
He said members of the diaspora would also invest their money in the recently floated NMB Jamii Bond, citing how they have been active in the local securities market, whereby in 2022 they invested Sh2.3 billion in schemes run by the Unit Trust of Tanzania.
He added that the life insurance cover provided as part of the package solves the challenges many members of the diaspora encounter in cases of death and permanent disabilities.
NMB Bank CEO, Ruth Zaipuna said apart from death and disability benefits, the up to Sh29 million insurance policy underwritten by Sanlam Life Insurance also caters for body repatriation at no additional cost.
She said the other major benefit of NMB Kwetu was its digital on-boarding aspect.
“This service is a digital document collection portal offering the best turnaround time in account opening for our diaspora customers,” Ms Zaipuna said, noting that the accounts will also not be charged monthly service fees.
She added that the remittances part of the package will be complemented by the Worldwide Pesa service, which NMB silently launched in June last year to help facilitate money transfer from across the globe.
To date, the service operated in conjunction with Thunes na Terrapay has handled over 35,000 transactions worth Sh52 billion, Ms Zaipuna explained.
“Offering investment opportunities to fellow Tanzanians abroad is also our priority, therefore, through NMB Kwetu, diaspora customers will be offered services such as mortgage loans as well as investing in short and long term deposit products,” she pointed out.