By Costantine Muganyizi
Tanzania has secured over TSh5.8 trillion (US$2.2 billion) in financial support from the International Monetary Fund (IMF) since joining in 1962, according to the Fund’s records and reports.
As of March 2025, the country’s outstanding IMF loans stood at US$1.35 billion (TSh3.58 trillion).
This funding has supported economic stability, improved public services, and driven infrastructure development. Recent disbursements have focused on fiscal reform, climate resilience, and sustaining essential services.
Since mid-2022, Tanzania has received US$754.3 million through the Extended Credit Facility (ECF), including a US$148.6 million disbursement in December 2024. A fifth review completed in April 2025 is expected to unlock an additional US$441 million.
Under the Resilience and Sustainability Facility (RSF), launched in 2024, Tanzania has received US$55.9 million, with more expected following ongoing reviews. This facility targets green infrastructure, sustainable agriculture, and disaster preparedness.
“Tanzania’s economic management has been commendable,” said IMF Resident Representative Sebastian Acevedo. “Inflation remains low at around 3.1%, while key investments in health and education continue.”
The IMF has also provided policy advice and technical assistance, helping improve public service delivery, tax collection, and spending efficiency.
For citizens, the reforms have led to more stable prices, better roads, expanded access to healthcare and education, and improved public services – especially in rural areas.
However, some experts caution that IMF conditions, such as spending cuts or tax changes, can burden households if not carefully implemented.
The impact depends on how well reforms protect vulnerable groups,” noted a University of Dar es Salaam academic on condition of anonymity.
Pending board approval, Tanzania’s total ECF support will reach US$907.4 million, and RSF funding will rise to US$343.6 million. The IMF says this backing is a vote of confidence in the country’s economic direction and commitment to reform.
During their April 2025 visit, IMF officials led by Nicolas Blancher met with Finance Minister Dr. Mwigulu Nchemba, Bank of Tanzania Governor Emmanuel Tutuba, and other stakeholders to review progress and plan next steps. According to him, “the ongoing financial assistance aims to preserve macroeconomic stability, promote prudent fiscal policies, and ensure continued investments in critical sectors such as education, health, and rural infrastructure.
