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VP Mpango Calls on Tanzanian Banks to Embrace AI While Strengthening Cybersecurity

Vice-President Dr Philip Mpango urges Tanzanian banks to adopt AI while prioritizing cybersecurity. He highlights AI’s role in boosting efficiency and expanding rural financial services.

2 min read
FinanceInsurance
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VP Calls on Tanzanian Banks to Adopt AI with a Focus on Security

Vice-President Dr Philip Mpango has urged Tanzania’s banking sector to responsibly integrate artificial intelligence (AI) into their operations. Speaking at the CRDB Bank shareholders’ seminar, he emphasized the need to balance innovation with cybersecurity to safeguard the industry against increasing digital threats.

Dr Mpango highlighted AI's potential to boost efficiency, cut operational costs, and expand financial services to underserved rural areas. “Investment in technology, specifically AI, will enhance productivity, reduce costs, and bring banking services closer to the people,” he said.

However, he warned that growing digital reliance requires stronger cybersecurity measures to protect against cyber-attacks, data breaches, and fraud. “Banks should start investing in AI to protect their capital and expand their customer base,” Dr Mpango added.

Referencing a recent OECD study, Dr Mpango noted that over $10 trillion is expected to be invested worldwide to fight cybercrime. The report also projects that AI and robotics will heavily influence future employment in banking and insurance.

He encouraged banks to explore digital assets and blockchain technologies and to work with the Tanzania Bankers Association (TBA) and Bank of Tanzania (BoT) to develop appropriate legal frameworks for these emerging technologies.

CRDB Bank's Digital Leadership

Dr Mpango praised CRDB Bank for its pioneering role in digital banking, pointing to services like SimBanking and CRDB Wakala, which have improved financial inclusion in remote areas.

CRDB CEO Abdulmajid Nsekela shared the bank’s journey from 19 branches in 1996 to 260 branches today, driven by continuous investment in digital infrastructure and customer-focused innovation.

CRDB has introduced many firsts in the Tanzanian market, including:

  • TemboCard, ATMs, and PoS services (2002)
  • SimBanking (2011)
  • CRDB Wakala (2013)
  • Insurance services before the Bancassurance framework (2016)
  • Islamic banking through CRDB Al Barakah (2021)

The bank has also expanded regionally, operating in Burundi and the Democratic Republic of Congo (DRC).

Support from International Partners

Danish Ambassador Jesper Kammersgaard acknowledged CRDB’s growth into a leading commercial bank in Tanzania. He noted that DANIDA, through its investment fund, is committed to supporting CRDB’s resilience against financial, operational, and strategic challenges.

For finance professionals looking to deepen their understanding of AI applications in banking, exploring specialized courses can be valuable. Resources such as Complete AI Training’s finance-focused AI tools offer practical insights into leveraging AI securely and effectively.

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