Mobile-based online lending firm Tala has announced plans to shut down operations in Tanzania.
The US-based company did not give explanation but said they will issue a statement in the near future to explain.
“We regret to inform you that Tala is currently not offering loans in Tanzania. We appreciate the opportunity to serve you, and we wish our loyal customers continued success in your financial journeys,” reads a statement issued by the company.
Tala, which currently operates in Kenya, Mexico, India and Philippines, provides fast personalised loans to approved borrowers mainly self-employed as no collateral is required, attracting over 27 million people around the globe.
An official from the company confirmed the announcement posted on social media.
“Yes, we are no longer offering loans in Tanzania. Unfortunately, due to legal reasons, we cannot divulge any more information other than what was communicated on social media,” the official said.
The company urged its customers with outstanding balances to repay the loans.