The International Monetary Fund (IMF) has approved the immediate disbursement of approximately US$443.9 million to Tanzania following the successful completion of reviews under two financial support programmes being implemented in the country.

The programmes are the Extended Credit Facility (ECF), which provides concessional financing to support economic growth through productive sectors and the delivery of social services, and the Resilience and Sustainability Facility (RSF), which helps countries address the impacts of climate change and strengthen economic resilience.

In a statement issued on 10 July, the IMF said the decision followed the completion of the sixth and seventh reviews under the ECF arrangement and the third and fourth reviews under the RSF arrangement. The approved financing comprises approximately US$158.75 million under the ECF and US$298.37 million under the RSF.

The IMF noted that Tanzania's economy has continued to demonstrate resilience, with real GDP growth reaching 5.9 percent in 2025 and projected to rise to around 6.2 percent over the medium term. The mining, agriculture, and tourism sectors were identified as key drivers of this outlook.

According to the assessment, Tanzania has maintained macroeconomic stability, with inflation remaining low at 4.0 percent in June 2026. However, the IMF cautioned that rising global oil prices continue to exert pressure on the cost of living and the broader economy.

The report also indicated that implementation of the country's economic reform programme has been broadly satisfactory. Most performance targets were achieved on schedule, although some objectives and reforms—particularly in the areas of energy, VAT administration, central bank governance, and public investment management—were delayed or not completed as initially planned.

IMF Deputy Managing Director and Acting Chair of the Executive Board, Mr. Bo Li, said Tanzania has successfully maintained macroeconomic stability despite both domestic and external challenges.

He noted that further efforts are needed to strengthen domestic revenue mobilization, improve public financial management, and increase investment in key sectors such as education and health.

The IMF also advised Tanzania to continue implementing reforms aimed at improving the business environment, strengthening the private sector, and enhancing the country's capacity to respond to the impacts of climate change.

Despite the positive economic outlook, the IMF emphasized that Tanzania still faces significant challenges in reducing poverty, achieving the Sustainable Development Goals (SDGs), and creating sufficient opportunities for a population that is expected to double by 2050.

Overall, the IMF's decision is viewed as a strong indication of the institution's continued confidence in Tanzania's economic performance while providing renewed momentum for the Government to accelerate reforms and strengthen economic resilience.

The Minister for Finance, H.E. Ambassador Khamis Mussa Omar (MP), welcomed the IMF's decision, expressing appreciation for the institution's continued confidence in the country's far-reaching economic and social reforms, which have made significant progress and continue to receive IMF support.

Tanzania has maintained a long-standing partnership with the IMF since joining the institution on 10 September 1962. To date, the IMF's total financial commitments to Tanzania—including loans and financial assistance—have reached US$4.578 billion, of which the current active portfolio amounts to US$2.52 billion.