Dar es Salaam, 11 July 2023
The Bank of Tanzania and Frontclear launch efforts to strengthen domestic market resilience

The Bank of Tanzania and Frontclear organized a 2-day workshop to launch the feasibility of an Umbrella Guarantee Facility (UGF) for the Tanzanian market. The UGF – or Tradeclear – is a systemic approach to reducing counterparty credit risk in the market, the key challenge behind market segmentation. This launch reflects the third activity under the Memorandum of Understanding signed on 30 October 2022. Since the signing, Frontclear has completed the Money Market Diagnostic Framework (MMDF) with the extensive participation of the BOT and market practitioners and has nearly rounded off a thorough regulatory gap analysis and recommendations towards GMRA and ISDA enforceability.