TAMFI and Water.org: Pioneering Water and Sanitation Financing in Tanzania

A revolutionary stride towards better water and sanitation facilities is underway in Tanzania. The Tanzania Association of Microfinance Institutions (TAMFI) lauds the commitment of microfinance institutions that have taken the mantle to offer financial resources to Tanzanian households and SMEs. This move allows residents to secure essential amenities, such as modern toilets, handwashing stations, and efficient water storage and connection facilities – underpinning the broader ambition of community health enhancement.

In a recent capacity-building meeting in Dar es Salaam, Winnie Terry, CEO of TAMFI, disclosed the extent of the program’s impact. “More than five thousand Tanzanians have reaped the benefits of our water and sanitation loan project. No longer do they bear the burden of traveling vast distances to access water,” she announced.

Echoing the core philosophy of the program, Terry added, “Financial inclusion surpasses mere numerical representation and transaction rates. It embodies an ethos where every individual is entitled to clean water and sanitation – not as a luxury but a basic human right.”

TAMFI’s ambitious vision is championed under the banner of the Water Credit Adoption Program (WCAD). This initiative reflects the collective effort of TAMFI, Water.org, and a consortium of Tanzanian financial institutions specializing in microfinance services. Their joint objectives, delineated in a Memorandum of Understanding (MOU), aim to extend affordable financial solutions tailored for water and sanitation in Tanzania. Beyond funds, the WCAD initiative is designed to arm participating financial institutions with training and technical support, ensuring the successful rollout of specialized lending products.

Regions from Zanzibar to Mwanza, Kilimanjaro, Pwani, Sumbawanga in Rukwa, Mufindi in Iringa, Arusha, and the metropolis of Dar es Salaam are among the beneficiaries. “The crux of our water loan requirements focuses on facilitating the connection of government water pipelines to residences and drilling deep water wells in close proximity,” elucidated Terry.

Highlighting the broader implications, Terry stated, “Such milestones exemplify the transformative capacity of multi-sector collaborations – uniting the public and private sectors with non-profits to confront pressing challenges.”

Pendo Massawe, representative of Water.org, championed the necessity of investing in sanitation and clean water facilities. “Empowering communities through water credit financing,” Massawe shared, “is our mantra at Water.org. The strides we’ve taken with TAMFI underpin the scale of transformation achievable when we consolidate resources and dedication.”

Massawe outlined the pivotal role of financial institutions in bridging the infrastructural gap. “Despite commendable governmental initiatives in water systems and sanitation, a chasm persists in direct household financing. The responsibility extends beyond mere state infrastructures. Each household deserves piped water and a toilet.”

Casting a spotlight on the massive scale, Massawe emphasized, “We’re talking millions of households. Each statistic represents a life awaiting transformation. Financial institutions can spearhead this change, ensuring every home boasts piped water and modern sanitation. It’s not just altruism; it’s smart economics.”

Two testimonies, from Ms. Geraldine Mashele of MMCL Financial Limited and Mr. Victor Alfayo of the Tanzania Microfinance Bank, further illustrated the tangible impact on the ground.

The World Bank’s statistics present a clear mandate: millions in Tanzania await access to safe drinking water, functional sanitation, and basic hygiene facilities.

About TAMFI: A linchpin in Tanzania’s financial landscape, TAMFI acts as an umbrella for the nation’s microfinance institutions. Its ethos revolves around ingraining best practices and standardization within the sector.

About Water.org: As a global nonprofit, Water.org is at the vanguard of confronting the worldwide water crisis. Central to its mission is enabling access to clean water and sanitation through innovative financing solutions.