Micro Provident Tanzania Limited was registered in 2005 and is a Tanzania registered company (registration number 52622) trading as FAIDIKA with 15% local shareholding. It is a subsidiary of Micro Provident Botswana Limited, a listed company on the Botswana Stock Exchange.
Our primary business is consumer lending.
Commercial banks in Tanzania are more focused on financing corporate clients and high net worth individuals, leaving those who fall into the lower income bracket with no access to capital. Tanzania is considered to be one of the most important and exciting target markets, hence our committed investment of up to US$80 million. Access to credit will promote economic activity and lead to development and growth in the small business sector of Tanzania.
It operates with a business license and is not governed by any act.
Our mandate is:
- to provide loans to formally employed government and parastatal staff, at approved pricing and within the risk profile, of approved products
- to provide access to capital to the previously overlooked sectors on Tanzania who have not been able to access credit
- to contribute to the economic development, provide affordable financial assistance with reasonable payment terms,
- to adhere to good corporate citizenship through visible social responsibility
Our business model is a direct salary deduction at source by the employer, and provide affordable loans to people who have previously been excluded from loan finance. Collection at source reduces risk and allows us to offer unsecured loans at greatly reduced rates, thus assisting people to obtain finance to fund education, health care etc. Loan proceeds are transferred directly to employee’s bank accounts to eliminate the risk of carrying cash. Employers do not have to stand as guarantor for any credit extended, financial risk is carried by FAIDIKA.
Our initial target market is central and local government employees, due to the fact that the company has a registered deduction code with the Central Payments Office which gives direct access to our clients salaries administrator. We do intend to extend our service to parastatal employees and the private sector in the near future.
FAIDIKA offers a minimum loan of TZS 100 000 to a maximum of TZS5 million over periods ranging from 6 months to 36 months. The installment payable depends on the amount of money borrowed and the period. The net take home pay determines the maximum amount that the client is allowed to borrow, and is governed to a maximum loan deduction of 50% of net salary.
Currently the qualifying criteria used in granting the loan is :
- Clients have to be an actively working government employee
- Minimum take home pay of TS40 000
- At least six months service record and a confirmed member of staff
- Clients must produce two latest salary advises
- Two month current bank statement on an active bank account
- ID
- Passport sized photograph
FAIDIKA have seven branches currently; in Dar es Salaam (Head Office) Dodoma, Mbeya, Mtwara, Arusha, Tanga, and Kilimanjaro. The opening of countrywide branches is an extension of our strategy to take business to the people and is operated and staffed by primarily local citizens. Promised processing time is 48 hours to process the application and make transfer of the funds electronically to the loan holder’s account
As part of our social responsibility our rates are inherently reduced due to our value added benefits of free debt write off against death should the client pass away and free funeral cover of TS200 000 for funeral expenses..
VISION
To become the largest retail financial services business in Tanzania, providing financial products to formally employed Tanzanians.
MISSION STATEMENT
To maximise stakeholder wealth by being a market leader in the financial services industry, offering competitive, diversified and innovative products to Tanzanian citizens, using our skilled work force to provide quality service, and practise good corporate governance, in all that we do.
STRATEGIC MESSAGE
We will improve the quality of lives of all who come into contact with the FAIDIKA experience.
CORE VALUES
We are wholly committed to the following values that we associate with our vision and mission
Integrity
To manage our affairs committed to good corporate governance, honesty and ethical practice within the framework of applicable legislation.
Customer care
We are a customer centric organization and we strive to exceed our customer’s expectations, and In order to do this we need to know what our clients needs are, and give them value.
Team Work
We believe that the key to FAIDIKA’a success is the sharing of ideas and working together towards a common goal, with respect, training and value for our employees. We will invest in our staff by providing training, use of human resources tools and incentives.
Quality Service
We will always find a way to deliver on what we say when we say. We will not tolerate failure, and will grow as a company in our ability to improve our delivery standards all the time
Focus
We will eliminate the competition and build market share
