In 2015, CDC and the International Finance Corporation (IFC) invested $24 million ($12 million from CDC) to acquire a 5 per cent holding in CRDB. The funding will enable the bank to continue its growth and expand access to financial services in under-served markets.
In Tanzania, only 19 per cent of the adult population has access to formal financial services. Yet, while the poor do not have the same access to financial products as wealthier individuals, their need for these services may be even greater.
Following the capital raise, CRDB is well-placed to address this deficit and aims to expand its branch network to cover three-quarters of the country.
As well as its branch network, it also runs a fleet of mobile banking vehicles and an agent network that reaches outlying and under-served areas. The firm employs over 2,300 staff and provides livelihoods for 1,067 agents.
By providing much-needed and accessible finance in these communities, CRDB will help to drive business growth and create direct and indirect jobs to support wider economic growth.
Environmental and social aspects
CDC has delivered capacity building to CRDB to strengthen its current E&S management system and we will continue to provide this support.
Since 2012, we’ve only invested in Africa and South Asia. Investments outside these regions are from our pre-2012 portfolio.
- Africa, East Africa
We have seven priority sectors. However, we continue to invest outside these sectors, largely in the most challenging regions, as new investment supporting any sector helps to underpin the private sector, and create jobs and livelihoods for people.
- Financial services
- Investment type
We provide capital in three broad ways: direct equity, debt, and intermediated equity (principally through investment funds).
- Direct Equity
- Start date
For direct investments, this is the date CDC committed capital to the business or project.
For funds, this is the date that CDC committed capital to the fund.
For underlying fund investments, this is the date that the fund invested capital into the business.e
- August 2015
For direct investments, this is the total amount that CDC has committed to the business or project (it may be a combination of equity and debt).
For funds, this is the total amount that CDC has committed to the fund.
This is the investee company’s place of incorporation; or a fund’s jurisdiction.