In its simplest form, a payment system in Tanzania is a facility
that ensures circulation of money. This includes payment
instruments, banking and money transfer procedures, and interbank
fund transfers.
Legislation in Tanzania
Payment Systems in Tanzania are regulated by the following
legislation:
- The National Payment System Act, 2015
(The Act);
- Payment Systems (Licensing and
Approval) Regulations, 2015 (The Licensing Regulations); and
- Payment System (Electronic Money)
Regulations, 2015 (Electronic Money Regulations).
The Act
The Act provides the legal framework for payment systems to
operate in Tanzania. The Act is an all-encompassing law for
licensing, compliance, enforcement, and matters of liability for
breach of the law. It allows companies, other than banks and
financial institutions, to operate payment systems in Tanzania by
obtaining a licence from the Bank of Tanzania (the BoT).
