IN a move set to redefine the construction landscape of the Isles, NMB Bank Plc has launched a suite of enhanced banking solutions designed to empower local contractors to compete for large-scale strategic projects.

The initiative, unveiled recently at Hotel Verde, significantly slashes collateral requirements and increases financial guarantees, directly addressing the capital hurdles that have long sidelined local firms in favor of foreign entities.

Dr. Khalid Salum Mohamed, Zanzibar’s Minister of Works and Transport, graced the event who described the initiative as a fundamental pillar of President Dr Hussein Mwinyi’s vision for a self-reliant Zanzibar.

"This is not merely a gesture of goodwill; it is a strategic investment in the very fabric of our national progress," Minister Mohamed stated. "These guarantees will empower you to compete for larger tenders, which have, for too long, been dominated by foreign entities."

The Minister urged contractors to visit NMB branches in Unguja and Pemba to embrace these opportunities, noting that local capacity is essential for the sustainability of the "Blue Economy" and infrastructure development.

Filbert Mponzi, NMB’s Chief of Retail Banking, explained that the new offerings were born from extensive research into the economic bottlenecks facing local builders. The bank has implemented dramatic increases in project-related financial instruments:

The 3bn/- non-collateral ceiling applies specifically to projects under Zanzibar Government institutions, including the Zanzibar Investment Promotion Authority (ZIPA), the Social Security Fund (ZSSF), and the Housing Corporation (ZHC). For specialized projects under the Blue Economy Ministry, Mponzi noted that the bank is prepared to offer even higher, flexible limits.

To ensure that contractors can meet tight tender deadlines, NMB has overhauled its approval process. Branch Managers across the country are now empowered to approve Bid Bonds, Performance, and Advance Payment Guarantees of up to 500m/- instantly.

• Fast-Track Processing: Applications under 500m/- are now processed within 24 to 36 hours.
• Major Projects: Decisions for applications exceeding 500m/- are finalized at the headquarters within 10 working days.

The Zanzibar Contractors Registration Board (ZCRB), represented by board member Eng. Khamis Ali Omary, lauded the bank for its commitment to local empowerment. He noted that the increased financial backing would not only help firms win contracts but also ensure they have the "mobilization capital" necessary to start work without delay.

"Our skilled workforce and the entire community will undoubtedly reap the immense benefits of these expanded opportunities," Eng. Omary asserted.

As Zanzibar continues its rapid modernization, NMB’s enhanced financial suite is poised to act as a catalyst, ensuring that the archipelago's infrastructure is built for Zanzibaris, by Zanzibaris.