Tanzania - CRDB Bank Plc

Project Summary

Approval Date 08 Sep 2021
Signature Date 23 Dec 2021
Sovereign / Non-Sovereign Non Sovereign
Sector Finance
DAC Sector Code 24030
Environmental Category FI-A
Commitment U.A 52,453,478.01
Status Approved

Project General Description

The proposed project consists of a USD 50 million 7-year subordinated debt to CRDB Bank PLC (CRDB) with a 5-year grace period and a USD 10 million line of credit (LOC). CRDB was established in 1996 and listed on the Dar es Salaam Stock Exchange in 2009. It is the second largest bank in Tanzania in terms of overall loans, assets and customer deposits as at Q4 2020. It is therefore a leading bank in the country and has a subsidiary in Burundi. The project includes a USD 125,000 technical assistance (TA) grant from the Women's Enterprise Finance Initiative (We-Fi) under the Affirmative Action for African Women in Finance (AFAWA) programme.

Project Objectives

The subordinated debt is expected to help CRDB strengthen its current capital base as it seeks to expand its operations in the Central and East African region (Burundi, Democratic Republic of Congo and Kenya) mainly in the agricultural and manufacturing sectors. The CDL should exclusively target CRDB loans to eligible women-owned/led enterprises. The objective of the TA is to ensure the sustainability, growth and profitability of women-owned/led enterprises while incorporating a monitoring and evaluation framework, and thus guiding effective market issuance of CRDB's women's product Malkia. Specifically, the technical assistance will support CRDB's strategy to increase its current portfolio of loans to women and SMEs to USD 60 million from the current size of USD 6 million, as well as to increase the number of women-owned/led commercial borrowers to 5,200 from 1,500 over the next five years.


The main beneficiary is CRDB. The proposed facility will contribute to the operations of the CRDB in several ways: (i) the bank's presence in the region and thus its access to businesses in several countries will foster regional integration; (ii) its business volumes will generate higher profits and thus more direct and indirect taxes; iii) its sectoral focus on agriculture (and its value chains) and manufacturing will be strengthened, thus contributing to food security, value addition, access to climate adaptation technologies and improved incomes for farmers; and iv) it will provide better access to finance for women entrepreneurs through the portfolio guarantee and credit line.

Participating Organization

African Development Bank
CRDB Bank Limited


IATI identifier 46002-P-TZ-HAB-014
Last Update 24 Mar 2023


Contact Details

Name Julius Karuga MACHARIA
Email j.karuga@afdb.org

Geographic Location

Country Tanzania, United Republic of
Coordinates Location Name
-6.82349 39.26951 Dar es Salaam