ACB to target 1,000 customers for its HIL scheme

AKIBA Commercial Bank (ACB) is expected to dish out Tsh. 755 million in total as loans to its prospected 1,000 customers in this year. The bank's Managing Director John Lwande said during an official launching of the Home Improvement Loan (HIL) scheme held last week in Dar es Salaam. He said HIL scheme is aimed at improving the lives of low and middle income earners by enabling them to live in decent houses. The ACB undertake to issue such loans ranging between Tsh 500,000 and Tsh. 20 million to eligible customers at all levels who will meet the criteria stipulated down by the bank. However, he added that the loans given will be specifically be used for putting final touches on a newly constructed house owned by a borrower, or a house that needs refurbishment, renovation and minor repair on roofing, plastering, electricity installation and many other minor work. He said that, the eligible borrowers should be aged above 18 years and have reputable business enterprises which have lasted for one year and above, a certificate of house occupancy which is recognized by the government, as well as a letter from the local government leader from the village level, a passport and any legal national identity. He also noted that, the priority will be given to those who have good records of taking loans and return them on time. The money borrowed will be returned within 12 months with 19 percent interest rate.

Top Management staff of the Akiba Commercial Bank (ACB) during the official inauguration of the bank's Home Improvement Loan (HIL) during the occasion which took place at ACB headquarters in Dar es Salaam. Seated front row from left to right is the bank's Commercial Manager, Salehe Ramadhani, Bank's Managing Director John Lwande and Mary Mbelle, bank's Corporate Communications and Marketing Manager. “This is a strategic development concept which the bank has decided to come up with so as to help people in the country” he said adding that, the services will be made available in all 13 ACB branch offices based in Dar es Salaam and customers in upcountry regions in Arusha and in Moshi respectively. Plans are underway by the bank to extend these services to its newly branch office in Mwanza city which is to be opened in earnest therefore, the ACB Chief is kindly requesting people to come up in securing them. However, he is optimistic that through bank loans their customers would manage to conduct a decent lifestyle. HIL had been asked by bank customers since it was first introduced in early this year following its announcements through radio, television and in billboards. Sources from the Bank say that all these were the media strategies used to inform the general public. Statistics made available by the bank shows that by March this year, ACB had already dished out Tsh. 220 million HIL to its 120 customers. The Bank's Commercial Manager Salehe Ramadhani said that, this was a pilot project and now are embarking on the second quarter. Meanwhile in another development, ACB is planning to inaugurate a bank service for its customers in the country known as ACB Mobile. The service will enable its customers to quickly receive the banks services anywhere through its mobile phone. The bank is optimistic that its customers would have a good future for their development. ACB is a privately owned Tanzanian micro-finance bank that aims at providing financial services to low income earners targeting mostly small and medium enterprises (SMEs) so as to improve their living standards.