46156 - NMB GB

Who We Are
Who We Are

IFC is the largest global development institution focused on the private sector in developing countries. By encouraging growth, IFC advances economic development, creates jobs and improves the lives of people.
More About Us
About IFC

Our Leadership

Development Partners
Accountability

Learn more about accountability
Annual Report

Download the Report
What We Do
What We Do

IFC advances economic development and improves the lives of people by encouraging the growth of the private sector in developing countries. We achieve this by investing in impactful projects, mobilizing other investors, and sharing expertise.
What We Do Overview
SOLUTIONS

Our products and services
OUR PRIORITIES

Climate Business

Fragile & Conflict Afflicted Situations

Gender

Mobilizing Private Capital

Sustainability
SECTORS & EXPERTISE

Agribusiness & Forestry

Creative Industries

Education

Financial Institutions

Funds

Health

Infrastructure

Manufacturing

Public-Private Partnerships

Tourism, Retail & Property

Trade & Supply Chain Finance

Venture Capital

Working Upstream
Where We Work
Where We Work

As the largest global development institution focused on the private sector, IFC operates in more than 100 countries around the globe. We apply lessons learned in one region to solve problems in another.
Overview
By Region

Africa

East Asia and Pacific

Europe

Latin America and the Caribbean

Middle East and Central Asia

South Asia
Our Impact
Our Impact

Our impact improves lives. IFC brings a clear set of advantages to the world’s most challenging markets. Including a history of innovation, a global mandate, and a determination to achieve measurable development impact.
Our Impact Overview
PRINCIPLES & MEASUREMENT

Impact Investing at IFC

Measuring and Monitoring (AIMM)

Evaluation

Sustainable Development Goals (SDGs)

Owned by 186 member countries and consistently rated AAA/Aaa. IFC aims to achieve our mission of promoting development by providing debt and equity to the private sector, through a range of benchmark and bespoke products.

For Partners

For Investors

Get in Touch

Summary of Investment Information

Project Number

46156

Company Name

NMB BANK PLC

Date SPI Disclosed

Apr 27, 2022

Country

Tanzania

Region

Africa

Projected Board Date

Apr 4, 2022

Environmental Category

FI-2 - Limited

Status

Completed

Last Updated Date

May 3, 2025

Department

Regional Industry - FIG Africa

Industry

Financial Markets

Previous Events

Approved : Apr 4, 2022
Signed : Apr 4, 2022
Invested : Apr 12, 2022

Sector

Commercial Banking - General

Additional Project Attributes

Blended Finance

Project Description

The Project entails a subscription/investment of up to US$10 million in Tanzanian Shilling equivalent in a gender bond issuance (“Jasiri Bond”) by NMB Bank Plc (“NMB” or the “Bank”). NMB is issuing up to TZS 25 billion with a Green Shoe Option of TZS (15) billion of a Medium-Term Note (MTN) in the form of a gender bond whose proceeds will be used to support and enhance the bank’s women-owned micro, small and medium enterprises (WMSMEs) portfolio. The gender bond is the 4th tranche of NMB’s TZS 200 billion MTN program that started in 2016.

The project is expected to be supported by IDA19 Private Sector Window Local Currency Facility (PSW LCF) as described in the Blended Finance Section

Associated Advisory Engagement

NMB continues to strengthen their existing ‘Jasiri’ proposition to on-lend finance and provide non-financial services to women and women-led businesses in Tanzania. These include building gender sensitive skills into the front-line sales team to better serve women and women-led businesses. Furthermore, enhance effective credit solutions for women and women led businesses. NMB will from time to time consider advisory services that will strengthen the overall preposition and capabilities in the bank.

Sponsor / Cost / Location

Product Line	IFC Investment (million USD)
Risk Management
Guarantee
Loan	10.0
Equity

IFC's loan to the financial institution described in this SII is targeted for on-lending to the following sector(s):

Product Type	Use of Proceeds
Straight Senior Loan	Loans to Woman-Owned SMEs

IFC's Definitions of Targeted Sectors can be found here.

Development Impact

Project Outcome: Stakeholders Effect – Improved access to finance for WMSMEs: The Project will help address the large WMSME finance gap in Tanzania, which is estimated at US$1.5 billion. NMB has been an active advocate for women financing in Tanzania, launching NMB Jasiri , its women empowerment program in 2020. IFC anticipates that the Project will provide financing for over 2,313 additional WMSME loans, growing NMB’s outstanding loan portfolio in WMSMEs by US$7 million over the next three years. The expansion of the Bank’s WSME portfolio is also expected to have job creation effects. Contribution to Market Creation: Inclusiveness: IFC anticipates that the first gender bond issued by the largest bank in the country will promote greater market inclusiveness though capital market development by introducing a replicable instrument to diversify funding sources for the underserved WMSME segment via the demonstration and replication channel.

Financial additionality: Innovative financing instrument: the proposed investment will be the first social bond in Tanzania and the region issued under the ICMA SBPs. Through the bond, WSME loans will be introduced as an investable asset class to the market, thus creating a credible capital markets solution to raise medium-term funding to support women entrepreneurs. Non-financial additionality: Non-commercial risk mitigation, including trusted partnerships: IFC’s participation and investment in the gender bond is expected to stimulate more institutional investor involvement in the future issuances.

E&S Category Rationale / Risks and Mitigation

This project has been categorized as FI-2 in accordance with IFC’s Policy IFC’s Sustainability Policy. The project proceeds will be used to support and enhance the bank’s women-owned small and medium enterprises (WSMEs) portfolio. The Bank’s SME sectors are mainly trade, hotels and restaurants, health, building and construction with overall E&S medium risks. For this project, the client will be required to screen projects against IFC Exclusion List and applicable national laws. The Project will not support coal-related activities, or higher risk business activities that may include: a) involuntary resettlement, b) risk of adverse impacts on indigenous peoples, c) significant risks to or impacts on the environment, community health and safety, biodiversity, cultural heritage or d) significant occupational health and safety risks. In addition, investments involving coal mining, coal-related activities and upstream oil and gas activities will be excluded from support.

Contacts

For Inquiries About the Project, Contact

NMB Bank Plc
Mohamedhussein Alidina
Senior Manager, Financial Institutions & Correspondent Banking
+255 754444997
Mohamed.Alidina@nmbbank.co.tz

www.nmbbank.co.tz

For Inquiries and Comments About IFC, Contact

General IFC Inquiries
IFC Communications
2121 Pennsylvania Avenue, NW
Washington DC 20433
Telephone: 202-473-3800
Fax: 202-974-4384

IFC supports its clients in addressing environmental and social issues arising from their business activities by requiring its real sector clients to set up and administer appropriate grievance mechanisms and/or procedures to address complaints from Affected Communities in relation to environmental and social issues arising from IFC's clients' business activities. Since 2012, IFC's Financial Intermediary clients applying the Performance Standards are required to develop External Communications Mechanisms to receive and review inquiries or complaints from any interested party regarding the E&S risks and impacts of their operations.

For IFC projects that are active or under consideration, individual(s), or their authorized representative(s), who allege they have been or will be adversely affected by E&S risks or impacts arising from IFC's clients' business activities, may submit a complaint to IFC directly for consideration. When receiving an E&S complaint, IFC engages with complainants and works with its clients to find solutions to E&S concerns as quickly and efficiently as possible.

Complaints can be submitted to IFC online at www.ifc.org/escomplaints or by email to EScomplaints@ifc.org.

IFC complaint response is separate from and complementary to IFC’s clients’ project level grievance mechanisms and IFC’s Independent Accountability Mechanism (CAO). Lodging a complaint directly with IFC does not, at any time, restrict access to CAO.

Affected communities have unrestricted access to the Compliance Advisor Ombudsman (CAO), the independent accountability mechanism for IFC and MIGA. CAO facilitates the resolution of complaints related to IFC and MIGA projects and sub-projects, undertakes reviews of IFC’s and MIGA’s environmental and social compliance, fosters public accountability for their commitments, and enhances the environmental and social performance of IFC and MIGA.

Independent of IFC and MIGA management and reporting directly to the IFC and MIGA Boards of Executive Directors, CAO helps resolve issues raised about the environmental and social impacts of projects through a neutral, collaborative, problem-solving approach via its Dispute Resolution function. It also reviews IFC’s and MIGA’s compliance with environmental and social policies, assesses related harm, and recommends remedial actions through its Compliance function. Additionally, CAO provides advice to IFC, MIGA, and their Boards to enhance environmental and social sustainability performance and minimize the risk of harm.

Complaints may relate to environmental and social harm regarding any aspect of the planning, implementation, or impact of a project or sub-project, and can be made by any individual, group, community, entity, or other party affected or likely to be affected by the environmental or social impacts of an IFC- or MIGA-financed business activity.

Complaints can be submitted by any of the following methods:

Online form: available at https://www.cao-ombudsman.org/
Mail/Hand Delivery to: 2121 Pennsylvania Avenue, NW, Washington, DC 20433, USA
Voice mail: +1 202 458 1973
Email: cao@worldbankgroup.org
SMS, WhatsApp, Telegram, and Signal: +1 202 650 2627

CAO receives and addresses complaints in accordance with the CAO Policy, which can be accessed at: https://www.cao-ombudsman.org/policies-guidelines.

This Summary of Investment Information (SII) is prepared by IFC to disclose a factual summary of the main elements of the potential investment. It also includes findings and recommendations related to environmental and social considerations regarding this potential investment. The purpose of the SII is to enhance the transparency of IFC’s activities. For any project documentation or data included or attached herein, whether prepared by the project sponsor or otherwise, authorization has been given for public release by the project sponsor. IFC considers that this SII is of adequate quality for release to the public, but has not necessarily independently verified all of the project information therein. It is distributed in advance of IFC Board of Directors’ consideration and may be periodically updated thereafter. Board dates are estimates only and this document should not be construed as presuming the outcome of the Board Directors’ decision. The following SII is disclosed in accordance with IFC's Access to Information Policy (AIP) that went into effect on January 1, 2012.

The map is for illustrative purposes and does not imply the expression of any opinion on the part of the World Bank, concerning the legal status of any country or territory or concerning the delimitation of frontiers or boundaries. Country borders or names do not necessarily reflect the World Bank Group's official position. In some cases, available project location information is limited to the country of the project's activities. Locations are approximate.

Projects

Summary of Investment Information

Project Description

Associated Advisory Engagement

Sponsor / Cost / Location

Development Impact

E&S Category Rationale / Risks and Mitigation

Similar Projects

Contacts

Projects

Summary of Investment Information

Project Description

Associated Advisory Engagement

Sponsor / Cost / Location

Project Sponsor and Major Shareholders of Project Company

Total Project Cost and Amount and Nature of IFC's Investment

Blended Finance

IFC's Investment as Approved by the Board

FIG Use of Proceeds/Beneficiaries

Location of Project and Description of Site

Development Impact

Anticipated Impact Measurement & Monitoring (AIMM) Assessment

IFC's Role and Additionality

E&S Category Rationale / Risks and Mitigation

Environmental & Social Categorization Rationale / Key Risks & Potential Impacts

Press-Release

Related Environmental Document

Similar Projects

Contacts

Information on E&S Complaints and Grievance Mechanisms

Disclaimer