Financial literacy

Train women in financial literacy, loan officers said

The Vice President of the Opposition Alliance for Change and Transparency-Wazalendo (Mainland), Dorothy Semu, said this recently during the just-concluded one-day workshop on empowerment Women’s Economics and Justice through Financial Inclusion in Tanzania, including a reflection on political party election manifestos.

The event was organized by Women’s Action for Economic Development and involved members of ACT Wazalendo, Civic United Front (CUF) and representatives of the ruling Chama Cha Mapinduzi party.

To achieve this, the political leader advised loan officers to carry out loan analysis before approving an application for a personal or group loan to women or youth in order to avoid the risk of default and helping more women to benefit.

“If a borrower has high creditworthiness, there is a high probability that the loan application will be accepted by the bank, normally a credit assessment is carried out to avoid the risk of default on loans,” she said. .

Apart from this, she urged the government to create a loan app to help women in district councils across the country.

The Executive Director of the Human Dignity and Environmental Protection Foundation (HUDEFO), Sarah Pima, called on loan officers to build the capacity of women on how to use loans properly.

“Before approving loans for them, make sure they understand how to benefit from it, it will help them repay their loans and help more women across the country to benefit,” she said.

She added that women should also be educated on the customs and traditions that affect them so that they can understand their rights, utilize the business opportunities and loan services available in their localities and contribute to the social and economic development of the community. same way as men.

Advocate Clarence Kipobota mentioned the challenges women face in accessing loans and using financial services from financial institutions and district councils, including lack of sufficient financial information, high level of financial illiteracy, inappropriate services that do not meet women’s needs.

Research that was conducted by him and others indicates that despite the fact that Tanzania does not have a specific law and policy on financial inclusion, quite progressive achievements have been recorded in recent years.

These achievements include increasing the number of low-income people who have access to financial services and products; and improved economic well-being through increased access to financial services.