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IMF approves $443.8 million for Tanzania's economic reforms
Photo: The Citizen
2026-07-12 06:06   Economy   10

IMF approves $443.8 million for Tanzania's economic reforms

The International Monetary Fund (IMF) has approved $443.8 million for Tanzania following the completion of final reviews of its economic reform programs under the Extended Credit Facility (ECF) and the Resilience and Sustainability Facility (RSF).This approval allows Tanzania to access $154.1 million under the ECF and $289.7 million under the RSF.With this disbursement, Tanzania has received a total of $1.063 billion under the ECF and $636.5 million under the RSF.

The IMF noted Tanzania's reform program remains on track, with all June 2025 performance criteria met and most September and December 2025 targets achieved.However, the Fund highlighted delays in three structural reforms and outstanding energy sector measures.Tanzania's economy showed strong growth, with GDP expanding by 5.9% in 2025 and inflation remaining at 4.0% in June 2026.

The IMF warned that prolonged Middle East conflicts could impact growth and inflation, urging accelerated reforms to ensure fiscal sustainability and job creation.

Deputy Managing Director Bo Li emphasized the need for continued fiscal consolidation, improved public financial management, and climate resilience to support Tanzania's Vision 2050 goals.

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