Payment System Objectives
- To minimize payment, clearing and settlement risks and achieve reliable, secure, convenient, cost effective, universal and integrated systems to meet the needs of the economy.
- To improve microeconomic management capabilities of a country by supplying timely and accurate information on stock and flow of funds.
- To facilitate faster, the exchange and settlement of funds and securities in order to reduce floats and improve efficiency on the circulation and transmission of funds.
- To expand flexibility in the long term and allow the adoption of, and migrate to modern modes of payment mechanisms at the same time be responsive to user needs; and
- To establish an efficient and effective legal and institutional framework capable of regulating payment systems.
Functions of the Bank of Tanzania in National Payment Systems
- To develop overall national payment clearing and settlement systems policies in line with various payment needs of all sectors in the country.
- To identify the basic payment system roles that the various stakeholders, including the Bank of Tanzania, are expected to play in the development, implementation, operation, administration and overseeing payment and settlement systems in Tanzania.
- To advise the Government Management and the General Public on all Payment and clearing issues.
- To coordinate the harmonization process and the adoption of common payment system standards and strategies at national, regional and international levels.
- To represent the country at all national international forums on payment system issues.
- To liaise and keep in touch with all stakeholders directly or through NPS Committees as well as with international bodies including BIS, IMF, World Bank, SADC, EAC, other consultants…etc.
- To ensure that the payment systems in place including their structures network and legal provisions are appropriately administered maintained and adhered to.
- To grant payment systems licences and approvals to in accordance with the National Payment Systems Act
- To vet and advise on any new payment systems product as well as to develop guidelines for the use and establish of the products.
- To organize sensitization and awareness sessions and campaigns for any new payment systems product introduced.