Rabobank Consortium Acquires Interest in Tanzanian Bank
Thursday, August 25, 2005
The Tanzanian government announced that it has selected a consortium, led by Rabobank, as the winner in a tender for the purchase of the National Microfinance Bank (NMB). The purchase means that Rabobank, together with its partners, will acquire 49% of the shares in NMB. The agreement also stipulates that, following the share transfer, Rabobank will provide management and technical assistance for the further development of NMB, one of the largest banking institutions in
By making funds and knowledge available, Rabobank seeks to enable the Tanzanian bank to achieve further development, particularly in relation to providing services in rural areas and optimising its nationwide outreach. The financial partnership is intended to signal the start of a long-term relationship between Rabobank and rural development in
The Tanzanian government, which until now has been the only shareholder in NMB, sought to privatise NMB in order to maximise the outreach and scope of services of the financial sector in
Four billion people around the globe currently do not have access to financial services. As a socially responsible and committed co-operative bank, Rabobank sees it as its mission to combat this deficiency, with a primary focus on the rural areas of developing countries. Rabobank has been actively supporting the development of smaller credit co-operatives for many years. Within the framework of the Rabobank Development Program, Rabobank is now also dedicating its resources to the development of nationwide rural banks. The ultimate aim is to develop rural banks in fifteen developing countries. The program was launched in the beginning of 2005 with an initial capital of 25 million euros. It focuses on banks that have a predominantly rural presence, proven long-term viability and directors that are highly ambitious.
