CRDB Bank, BPIFrance grants the Government of Zanzibar TZS 115 billion for a Land Management System

In support of the Government’s efforts to bring sustainable development to its people, CRDB Bank, in collaboration with Bpifrance, a French public investment bank, has signed a financing agreement with the Revolutionary Government of Zanzibar (RGoZ) amounting to EUR 37.5 million (TZS 115 billion) for the establishment of the Land Administration and Registration Information System (LARIS). The facility, which aims to address long-standing challenges in land management — particularly land disputes among different groups — is jointly financed by CRDB Bank, contributing EUR 7.949 million, and Bpifrance, providing EUR 29.55 million. Speaking during the signing ceremony held at the Zanzibar State House, His Excellency Dr. Hussein Ali Mwinyi, President of Zanzibar and Chairman of the Revolutionary Council, emphasized that land is a vital resource for national development. He commended CRDB Bank for supporting the Government’s vision to enhance the management and economic value of land. “I thank CRDB Bank for standing with us in this vision. What the Government is doing is creating an enabling environment for every citizen to benefit from the land they own. With the implementation of the LARIS system, ownership and land management information will be easily accessible, eliminating border disputes and other land-use challenges,” said President Mwinyi. President Mwinyi further noted that digitization of land records will empower citizens to leverage their land as collateral for accessing loans from banks and other financial institutions to invest in various projects and businesses, thus accelerating inclusive development. “This system will speed up the issuance of land titles and end encroachment on public and investment areas. I urge all Zanzibaris to embrace the opportunities that will arise from this system and prepare to benefit economically from formalized land ownership,” added President Mwinyi. On her part, Hon. Rahma Kassim Ali, Zanzibar’s Minister for Lands, highlighted that the system will also enhance the Government’s capacity to identify all landowners across the islands, improving efficiency in land tax collection and administration. “Once the system becomes operational, land tax revenues will significantly increase at both municipal and national levels. The Ministry and its officers will be able to track payments and remind owners who have defaulted, ensuring that all due revenues are collected,” she explained. Signing on behalf of CRDB Bank, Group CEO Abdulmajid M. Nsekela said the system will transform Zanzibar’s land sector by establishing a robust, digital framework for land management and ownership. He emphasized that the project will also unlock new financial and economic opportunities, as land formalization will strengthen confidence among financial institutions, including banks, to extend credit and other financial services to citizens. “This initiative will improve the welfare of citizens through better access to financial services, stimulate investments, and promote an inclusive economy that benefits all Zanzibaris,” Nsekela stated. He further added that the participation of Bpifrance reflects strong international confidence in the Government of Zanzibar and CRDB Bank’s capability to manage strategic national projects. In its 2023–2027 medium-term business strategy, CRDB Bank has prioritized strategic partnerships with global financial institutions to facilitate funding for major development projects in Tanzania and across the regions where the Bank operates. Nsekela noted that through such collaborations, CRDB Bank has successfully contributed to landmark national projects including the Julius Nyerere Hydropower Project (JNHPP) and the Standard Gauge Railway (SGR). In Zanzibar, the Bank has already invested TZS 484 billion in financing infrastructure such as roads, modern schools, and the Pemba Airport. Highlighting the Bank’s continued innovation in financial products, Nsekela cited the Green Bond and the Samia Infrastructure Bond, which together raised over TZS 494 billion to support sustainable infrastructure projects in partnership with TARURA. “Recently, we also issued the CRDB Al Barakah Sukuk, an Islamic finance-compliant bond, through which we raised TZS 125.4 billion and USD 32.3 million. These funds are directed towards boosting development in key sectors such as entrepreneurship, agriculture and fisheries, education, health, tourism, and other strategic national initiatives,” Nsekela said. Commenting on BPIFrance’s commitment to Africa, the Vice President - Structured Export Finance of BPIFrance, Alienor Daugreilh said they have extensive experience in supporting development projects, and upon receiving SMZ’s request, they responded promptly given their understanding of Zanzibar’s strong and fast-growing economy. “This is just the beginning. BPIFrance will continue to collaborate with the Revolutionary Government of Zanzibar to support its development agenda. Together with our strategic partner, CRDB Bank, I believe we can achieve many great things for the benefit of the people of Zanzibar and Tanzania as a whole,” said the BPIFrance Daugreilh.