Electronic banking and related financial transactions in Tanzania: an examination of the Law and Practice

This Dissertation examines the legal basis for e-banking and related financial transactions in Tanzania. It looks at issues concerning lack of a clear legal framework as regards to adoption and advancement of e-banking technologies in the banking industry. Lack of legal back up has consequently led to breed of challenges that are difficult to handle. The main approach to collection of information in this research has been literature review albeit field research was also employed but limitedly. Through this main approach it has been observed that e-banking is increasingly causing a number of problems to consumers the major ones being theft and fraud. These have caused big losses to customers using e-banking technologies. It has been observed further that the laws governing banking business in Tanzania do not address issues raised by e-banking technologies, in particular those concerning allocation of losses. This flaw has far reaching effects to customers who use different e-banking distribution channels for transacting banking business in that they are left without adequate legal buttress. A comparative study has also been undertaken and on account of which several recommendations have herein been made. One of these is to enact an efficient and responsive legal framework with a view to addressing the legal issues above with a further view to enhancing customer confidence. This will, ultimately, contribute to building trust in e-banking transactions. Tailoring of efficient and adequate laws which, not only address issues raised by e-banking technologies but also keep pace with the advancing technologies; may be undertaken.