Cull, RobertSpreng, Connor P.2012-05-222012-05-222008-12https://hdl.handle.net/10986/6330Profitability improvements after the privatization of a large state-owned bank might come at the expense of reduced access to financial services for some groups, especially the rural poor. The privatization of Tanzania's National Bank of Commerce provides a unique episode for studying this issue. The bank was split into the "new" National Bank of Commerce, a commercial bank that assumed most of the original bank's assets and liabilities, and the National Microfinance Bank, which assumed most of the branch network and the mandate to foster access to financial services. The new National Bank of Commerce's profitability and portfolio quality improved although credit growth was slow, in line with privatization experiences in other developing countries. Finding a buyer for the National Microfinance Bank proved very difficult, although after years under contract management by private banking consultants, Rabobank of the Netherlands emerged as a purchaser. Profitability has since improved and lending has slowly grown, while the share of non-performing loans remains low.CC BY 3.0 IGOACCESS TO BANKINGACCESS TO BANKING SERVICESACCESS TO FINANCIAL SERVICESACCESS TO SERVICESACCOUNTINGAGRICULTURAL BANKASSET ALLOCATIONASSET PORTFOLIOATMSBALANCE SHEETBALANCE SHEETSBANK BRANCHESBANK DEPOSITSBANK LENDINGBANK MERGERSBANK OF TANZANIABANK PORTFOLIOBANK PRIVATIZATIONBANK REGULATIONBANKING ASSETSBANKING SECTORBANKING SECTOR ASSETSBANKING SECTOR STABILITYBANKING SECTORSBANKING SERVICESBANKING SYSTEMBANKING SYSTEMSBANKSBIDBIDSBIG BANKBRANCH NETWORKBRANCH NETWORKSBUSINESS PLANBUYERBUYERSCAPACITY BUILDINGCHANGES IN OWNERSHIPCHECKSCOLLATERALCOMMERCIAL BANKCOMMERCIAL BANKSCOMMUNITY BANKCOMPETITOR BANKSCONTRACT MANAGEMENTCONTRIBUTIONSCOOPERATIVE BANKCORPORATE GOVERNANCECREDIBILITYCREDIT COOPERATIVESCREDIT GROWTHCREDIT RATINGSCREDIT RISKCROSS-BORDER BANKINGDEPENDENTDEPOSITDEPOSITORSDEPOSITSDEVELOPING COUNTRIESDEVELOPMENT BANKDOMESTIC BANKDOMESTIC BANKSDONOR FUNDINGDUMMY VARIABLEDUMMY VARIABLESEARNINGSECONOMIC CRISISECONOMIC LIBERALIZATIONECONOMIC POLICIESEMERGING ECONOMIESEMERGING MARKETSENABLING ENVIRONMENTENTREPRENEURSEXPATRIATESFINANCE CORPORATIONFINANCIAL DATAFINANCIAL DEVELOPMENTFINANCIAL INSTITUTIONSFINANCIAL INTERMEDIATIONFINANCIAL SECTORFINANCIAL SECTOR DEVELOPMENTFINANCIAL SECTOR REFORMSFINANCIAL SERVICESFINANCIAL SUPPORTFISCAL DEFICITSFOREIGN BANKFOREIGN BANKSFOREIGN ENTRYFOREIGN INVESTORFOREIGN OWNERSHIPGLOBALIZATIONGOVERNMENT BANKSGOVERNMENT OWNERSHIPGOVERNMENT SECURITIESGROUP OF BANKSHOLDINGHOLDING COMPANYINCOMEINCOME STATEMENTINFLATIONINFLATION RATESINTEREST RATESINTERESTED PARTIESINTERNATIONAL BANKINTERNATIONAL FINANCEINVESTINGINVESTMENT CLIMATELABOR UNIONSLOANLOAN AMOUNTSLOAN DEFAULTLOAN DEFAULT RATESLOAN PORTFOLIOLOAN PORTFOLIOSLOSS-MAKINGMACROECONOMIC STABILITYMACROECONOMIC STABILIZATIONMANDATEMANDATESMARKET SHAREMERGERMICRO-LOANSMICROFINANCEMICROFINANCE LOANSMONEY TRANSFERNATIONAL BANKNEGOTIATIONNEGOTIATIONSNEW ENTRANTSNON-PERFORMING LOANNON-PERFORMING LOANSNPLNUMBER OF BANKSORIGINAL CONTRACTOTHER ASSETSOUTREACHPAYMENT DISCIPLINEPAYMENTS SYSTEMPORTFOLIO QUALITYPRIVATE BANKINGPRIVATE BANKSPRIVATE CAPITALPRIVATE INVESTORPRIVATE INVESTORSPRIVATIZATIONSPROBABILITIESPROBABILITYPRODUCTIVITYPROFITABILITYPRUDENTIAL REGULATIONPUBLIC BANKSRAPID GROWTHRECAPITALIZATIONREPAYMENTREPAYMENT RATESRESTRUCTURING PLANRETURNRETURN ON ASSETSRETURNSSALESALESSAVINGSSENIORSHARE OF ASSETSSHARE OF GOVERNMENT SECURITIESSHAREHOLDERSHAREHOLDERSSMALL BANKSMALL BANKSSMALL BUSINESSSMALL BUSINESS LENDINGSTATE BANKSTATE BANKSSTOCK EXCHANGESTOCK MARKETSTRATEGIC INVESTORSTRUCTURAL ADJUSTMENTSUPERVISION OF BANKSTRAINING COURSESTRANSACTIONTREASURYTREASURY OPERATIONSUNEMPLOYMENTURBAN BANKWorld Bank10.1596/1813-9450-4804