The Board of Directors
The Board of Directors is the
supreme policy decision making hierarchical structure in the Bank of
Tanzania. In terms of the Bank of Tanzania Act, 2006, the Board of
Directors is responsible for determining policies of the Bank, approving its
budget and allocation of profits arising from its operations.
The Board consists of ten
persons, four of whom are executive directors appointed by the President. In
addition, there are two ex-officio members, and, four non-executive
Directors appointed by the Minister of Finance of the United Republic.
Secretary to the Board is also an ex-officio member, responsible for
provision of secretariat services.
current composition of the Board is as follows:
Governor (the Chairman)
Three Deputy Governors,
Deputy Chairmen in the order determined by the Governor;
The Representative of the
Ministry of Finance of the Government of the United Republic and
Principal Secretary to the Treasury of the Revolutionary Government of
Four non-executive Directors;
Secretary to the Board
Board consists of persons knowledgeable or experienced in economics,
business and finance, banking, corporate law, accountancy or other
disciplines relevant to the functions of the Bank. Members of the National
Assembly, House of Representatives, Local Government Authorities,
public servants (other than Representative of the Ministry of Finance of the
United Republic and the Principal Secretary Treasury of the Revolutionary
Government of Zanzibar), office bearers of any political party, and
directors, employees, consultants or shareholders of banks and financial
institutions in respect of which the Bank may exercise regulatory powers are
disqualified from being Directors of the Bank.
Governor and Deputy Governors are appointed for a period of five years.
Their tenure of office is statutorily limited to two-five year terms.
Non-executive Directors are appointed for a period of three years, and are
eligible for a reappointment.
Board meetings are held regularly as the conduct of business of the Bank
requires but not less than once in every two months. Where there is an
urgent matter which cannot await the convening of a meeting consisting of
the requisite quorum, the Chairman may table such matter at a meeting of the
Chairman, and at least two Deputy Governors and one non-executive Director.
Decisions arising out of that meeting are valid and binding on the Bank but
shall be reported to an extra-ordinary Board meeting immediately thereafter.
The decisions of the Board are made by consensus, failing which decisions
shall be reached by casting of votes. In the event that voting is necessary,
Representative of Ministry of Finance of the Government of the United
Republic and Principal Secretary Treasury of the Revolutionary Government of
Zanzibar are not eligible for voting.
In its functioning, the Board is
currently assisted by four Committees, two of which are statutory creations.
These are the Monetary Policy Committee and Audit Committee. Under the
Bank’s statute, the Board reserves power to appoint other committees as it
deems fit. In addition to the statutory committees, the Board has delegated
some of its functions to two other committees, namely, the Banking
supervision Committee, and, the Finance and Investment Committee.
Monetary Policy Committee assist the Board in the review of monetary policy
targets; review of research papers and major economic and monetary policy
changes before adoption by the Board. The Committee’s mandate also cover
review of the Governments’ revenue and expenditure patterns; review of debt
management operations and statutory reports of the Bank related to
implementation of monetary and financial policies. The Monetary Policy
Committee reviews bi-monthly performance of monetary policy measures and
sets targets for the following two months. The composition of this Committee
is provided for under the provision of Section 12(1) of the Bank of Tanzania
Act, 2006. It includes the Governor as the Chairman, Deputy Governors and
two non-executive Directors. The Committee meetings are held bi-monthly.
Audit Committee is another statutory creation whose composition is
determined by the Board. Established under the provisions of Section 12(1)
of the Bank of Tanzania Act 2006, the Audit Committee is largely composed of
Non-Executive Directors. This Committee is currently chaired by a
Non-executive Director. The Deputy Governor-Administration and Internal
Controls is the only Executive member of the Committee.
The Terms of Reference for the
Audit Committee cover Internal Control, Financial Reporting, Internal Audit
and External Audit. Under Internal Control, the Committee evaluates the
adequacy of the internal control systems and compliance with International
Financial Reporting Standards in preparation of financial statements; the
overall effectiveness of the internal control and risk management
frameworks; and the effectiveness of the system for monitoring compliance
with laws and regulations. The Committee’s mandate on Financial Reporting
requires it to review significant accounting and reporting issues and their
impact on the financial reports. The Committee also ensure the adequacy of
the financial reporting process and reviews the Bank’s annual accounts
before approval by the Board and release
Committee’s mandate on Internal Audit covers review of the activities and
resources of the internal audit function; effectiveness, standing and
independence of internal audit function within the Bank ; review of the
internal audit plan; and follow up of implementation of internal auditors’
findings and recommendations. With regard to External Audit, the Audit
Committee reviews the external auditors’ proposed audit scope, approach and
audit deliverables; and review draft accounts before submission to the
External Auditors for audit.
composition of the Banking Supervision Committee is within the discretion of
the Board. Members of the Banking Supervision Committee comprises the
Governor who is the Chairman, the Deputy Governors, Representative of
Ministry of Finance (United Republic of Tanzania), Principal Secretary to
the Treasury, Revolutionary Government of Zanzibar and two Non-Executive
directors. The Banking Supervision Committee is responsible for review of
internal control and systems in banks and financial institutions; the
Banking Supervision function; adequacy of the prevailing legal and
regulatory framework; operating performance of banks, financial institutions
and bureaux de change with a view to ensuring safety and soundness in the
banking system. It also reviews financial stability reports before
publication and emerging supervisory issues. The Committee advises the Board
on appropriate policy, legislative and regulatory measures that promote a
safe and sound banking system and high supervisory standards and practices.
Members of the Finance and
Investment Committee include the Governor who is the Chairman, the Deputy
Governors, and three Non- Executive Members of the Board. The Finance and
Investment Committee is responsible for review of the proposed budgets,
reallocation of funds and supplementary budget requests; quarterly budget
performance reports; Financial Regulations and Staff by- Laws; and Annual
Bank’s Corporate Plan. The Committee also reviews financial and other
internal policies and changes thereto; the appropriateness of the Bank’s
investment policy and assets allocation strategy; Risk Management Framework
for the Bank’s operations; and Project Management framework.
Juma H. Reli
Administration and Internal Controls (AIC)
Natu E. Mwamba
Economic and Financial Policies (EFP)
Financial Stability and (Financial) Deepening (FSD)
Mr. G.S. Shallanda from the Treasury (URT)
Principal Secretary to the Treasury (RGZ)
Mr. Yusto E
Secretary to the Bank