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The IMF Executive Board completed the fourth review under Tanzania’s Extended Credit Facility (ECF) arrangement and the first review under the Resilience and Sustainability Facility (RSF), approving immediate disbursements totalling USD 204.5M. The ECF focuses on economic stability and growth, while the RSF supports climate reform.
The International Monetary Fund (IMF) Executive Board has concluded the fourth review of Tanzania’s Extended Credit Facility (ECF) arrangement and the first review under the Resilience and Sustainability Facility (RSF) arrangement, resulting in immediate disbursements of approximately USD 148.6 million and USD 55.9 million, respectively. The ECF arrangement, approved in July 2022 for a total of SDR 795.58 million (about USD 1,046.4 million at the time), aims to preserve macroeconomic stability, strengthen recovery, and promote sustainable and inclusive growth. Total disbursements under the ECF now amount to US$ 754.3 million.
The RSF arrangement, approved in June 2024 with a total access of US$ 791.6 million, supports Tanzania’s climate reform agenda to address risks associated with climate change and enhance economic resilience. The IMF explains that Tanzania’s economy demonstrated growth momentum in 2024, with real GDP rising to 5.4% in the first half of the year compared to 5.1% in 2023. Inflation remains within the central bank’s target, supported by a narrowing current account deficit driven by robust service exports and reduced imports. Pressures in the foreign exchange market eased due to tight monetary policy, exchange rate flexibility, and seasonal current account flows. The Tanzanian government’s economic reform program under the ECF remained on track, meeting all quantitative performance criteria and indicative targets for June 2024.
However, mixed performance on structural benchmarks led to requests for extensions on incomplete reforms to March 2025. Growth is expected to strengthen in the medium term, contingent on the successful implementation of reforms supported by the ECF and RSF arrangements. Near-term priorities include fiscal consolidation while preserving social spending, enhancing monetary policy effectiveness, and maintaining exchange rate flexibility. Tanzania Holds First Tanzanite Auction Since 2017, Showcasing 184 Kilograms Worth TZS 3.1 billion
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Tanzania Holds First Tanzanite Auction Since 2017, Showcasing 184 Kilograms Worth TZS 3.1 Billion The Tanzanian government held its first Tanzanite auction since 2017 in Mirerani, featuring 184 kilograms of gemstones worth TZS 3.1 billion. Nearly 200 participants, including brokers, dealers, and miners, joined via an electronic platform. The event aligns with Tanzania’s Vision 2030 to formalize the gemstone trade and boost its economic impact.
