THE INSTITUTE OF FINANCE MANAGEMENT

FACULTY OF INSURANCE AND BANKING (FIB)

DEPARTMENT OF BANKING AND FINANCIAL SERVICE

BACHELOR OF BANKING AND FINANCE (YEAR III)

BACHELOR OF ECONOMICS AND FINANCE (YEAR III)

BACHELOR OF ACCOUNTANCY (YEAR III)

BFU08101: CORPORATE GOVERNANCE

CLASS ASSIGNMENT

ACADEMIC YEAR 2023/2024

SUBMISSION DATE: DURING TUTORIAL SESSIONS [11/12/2023 - 15 /12/2023]

GENERAL INSTRUCTIONS: -
1. This assignment is to be done & submitted INDUVIALLY though you are encouraged to
discuss in your tutorial subgroups. You have one week to finish the assignment.
2. Submission time and place [DURING RESPECTIVE TUTORIAL SESSIONS OF
11/12/2023 TO 15 /12/2023]
3. You are encouraged to provide examples/evidence when attempting this question.

1
QUESTION ONE:

Kadosh Bank Limited is a successful bank in Tanzania. It has a turnover of more than $1 million
annually. The bank proud itself as one of the most successful banks in the country with more
than 2,000 customers in the country and 200 branches nationwide. Its board of director construe
of Mr. Abdulmalick who a founder and major shareholder with is more than 10% of shares
outstanding. Further, other shareholders are PPF holding 7%, Miss Daniellah 5% and the rest
78% of shares outstanding. Recently Bank of Tanzania has requested them to transform to
adhere to Bank of Tanzania guidelines. They are confused since such model has been working
successfully for many years (est. 22 years since establishment). Now as an analyst appointed by
the Bank of Tanzania you are asked to guide them to: -

Required:
a) Explain the five (5) function of board of directors for Kadosh Bank Limited?

b) Explain the five (5) role of the Chief Executive officer towards the company?

c) Explain the meaning and importance of nomination and audit committee and its
composition in accordance with Bank of Tanzania guidelines?
d) Provide the regulatory process that they may take place in converting the company into a
bank?