Mastercard has successfully hosted its inaugural Tanzania Industry Forum in Dar es Salaam, marking a significant step forward in the company’s ongoing commitment to fostering economic growth through innovative digital payment solutions and strategic collaborations in Tanzania. The forum brought together key stakeholders, thought leaders, and industry experts to explore the dynamic financial and technology landscape in the country, with a particular focus on expanding access to financial services and driving economic empowerment.

Tanzania’s Economic Resilience and the Role of Fintech

Tanzania’s economy has shown remarkable resilience, with real GDP growth projected to reach 5.7% in 2024, according to recent reports. Despite global economic challenges, the country’s services sector—especially financial and insurance services—has been a major contributor to this economic expansion. A World Bank report highlighted that these sectors are instrumental in driving Tanzania’s growth, underscoring the importance of continued innovation and investment in financial technologies.

Fintech companies are at the forefront of this transformation, revolutionizing the payments landscape with cutting-edge solutions such as mobile payments, digital wallets, and blockchain transactions. These innovations are playing a crucial role in enhancing financial accessibility, particularly for unbanked and underserved populations. Mastercard’s collaborations with local partners and its deployment of advanced technology solutions are integral to these efforts, ensuring secure, seamless payment experiences that bolster financial inclusion and economic participation across Tanzania.

Mastercard’s Vision for Digital Transformation

During the forum, Mark Elliott, Division President for Africa at Mastercard, emphasized the company’s commitment to driving digital transformation and economic empowerment in Tanzania. He noted that the Tanzania Industry Forum was not only about addressing the current challenges facing the financial sector but also about paving the way for a future where every Tanzanian has access to secure and seamless financial services.

“The Tanzania Industry Forum highlights Mastercard’s commitment to driving digital transformation and economic empowerment in Tanzania. By convening industry leaders and innovators, we are not only creating a collaborative environment to address the current challenges but also paving the way for a future where every Tanzanian has access to secure and seamless financial services. Our goal is to leverage our technology and local collaborations to create a robust financial ecosystem that drives sustainable growth and prosperity for all,” said Elliott.

Government Support for Financial Inclusion

The forum also featured remarks from Sadiki Nyanzowa, Acting Director of Financial Deepening and Inclusion, who represented the Deputy Governor of the Bank of Tanzania. Nyanzowa underscored the increasing importance of financial inclusion and the role of emerging payment technologies in Tanzania’s growing digital economy. He highlighted the government’s efforts to create an enabling environment for these technologies to flourish, further reinforcing Tanzania’s position as a leader in financial innovation in the region.

Panel Discussions: Bridging the Financial Inclusion Gap

One of the standout sessions at the forum was the panel discussion titled “Bridging the Gap: Financial Inclusion Driving Economic Empowerment.” This session brought together industry and government leaders to explore the pivotal role of technology in expanding access to financial services. The panel focused on several key areas:

Support for MSMEs: The discussion highlighted initiatives aimed at supporting micro, small, and medium-sized enterprises (MSMEs), which are the backbone of Tanzania’s economy. The panelists discussed how digital payment solutions and financial technologies are enabling these enterprises to thrive by providing them with easier access to capital, efficient payment systems, and innovative financial products.
Innovations in Mobile Money: The panel also delved into the role of mobile money in reaching underserved communities, particularly in rural areas. Mobile money has been a game-changer in Tanzania, offering a lifeline to individuals who previously had no access to formal financial services. The discussion centered on how continued innovation in this space can further enhance financial inclusion.
Regulatory Frameworks: The panel emphasized the importance of collaborative programs and regulatory efforts that promote financial inclusion. The need for public-private partnerships was a recurring theme, with panelists agreeing that such collaborations are essential for creating an inclusive economy that benefits all Tanzanians, especially women and youth.

Addressing Cybersecurity Challenges

The event also featured a session titled “Fly Me to the Earth: Combating Payment Scams,” which addressed key cybersecurity issues within Tanzania’s payment industry. This session was particularly timely given the increasing prevalence of digital transactions and the associated risks. The panelists explored the factors contributing to persistent data breaches, including:

Inadequate Investment: The discussion revealed that one of the significant challenges in combating cybersecurity threats is the lack of sufficient investment in advanced security technologies. Without adequate resources, financial institutions and fintech companies are vulnerable to cyberattacks.
Skill Shortages: The shortage of skilled cybersecurity professionals in Tanzania was highlighted as another critical issue. The panelists noted that this skill gap leaves many organizations ill-prepared to defend against sophisticated cyber threats.
Insider Risks: Insider threats were also a key focus, with discussions on how organizations can better protect themselves from internal risks through improved employee training, stricter access controls, and enhanced monitoring systems.

The session also examined the dual role of AI in cybersecurity, weighing its benefits against potential vulnerabilities. While AI can significantly enhance cybersecurity measures, it also poses new risks if not properly managed. The panelists called for a balanced approach to AI implementation, ensuring that its benefits are maximized while minimizing the associated risks.

Mastercard’s Strategic Efforts and Future Goals

Shehryar Ali, Senior Vice President and Country Manager for East Africa and Indian Ocean Islands at Mastercard, concluded the forum by emphasizing the importance of fostering collaboration to achieve sustained economic development. He reiterated Mastercard’s commitment to leveraging advanced technologies and forming strategic partnerships to build a secure and accessible payment ecosystem across Tanzania and the broader African continent.

“This forum is a vital step towards building a strong, inclusive financial ecosystem in Tanzania. By leveraging cutting-edge technologies and fostering strategic collaborations, we aim to create a secure and accessible payment ecosystem that empowers underserved and unbanked communities across Africa,” said Ali.

The Mastercard Tanzania Industry Forum served as a platform to showcase the company’s strategic efforts in building a secure and inclusive financial ecosystem in Tanzania. Through innovative digital solutions and local partnerships, Mastercard is dedicated to providing secure, accessible payment systems that empower underserved and unbanked communities across the continent. These efforts are aligned with Mastercard’s global mission to bring one billion people into the digital economy by 2025.

For more information, visit www.Mastercard.com.