IMF Forecasts Reduction in Tanzanian Inflation Below 10 Percent

According to recent International Monetary Fund (IMF) estimates, Tanzania’s inflation will decrease below 10 percent by end-June 2013 thanks to a slight reduction in the growth of monetary aggregates.

Such forecast is part of the IMF Country Report on Tanzania published on 17th January 2013 according to which Tanzania’s economic activity has been strong and broad based, with growth projected at about 7%  in the medium term.

The document has been released following the Letter of Intent transmitted to IMF by the Ministry of Finance of Tanzania on 19th December 2012 describing the policies that the government  intends to implement in the context of its request for financial support from the IMF.

Tanzania Investment Guide 2026 Free Edition

Thanks to an appropriate 2012/2013 national budget, good GDP growth in 2012 and sufficient debt sustainability, IMF has allowed Tanzania to borrow money from foreign commercial banks without restrictions.

According to the IMF World  Economic Outlook published on October 2012, Tanzania’s GDP  average growth has been 6.8%  between 2007 and 2012, while the inflation average rate has been 10.8% for the same period. 

However, higher inflation rates have been a challenge in the last couple of years with a peak of 20% in December 2011.

Since then, Annual Headline Inflation Rate gradually declined to 13% in October 2012 and stayed at 12.1% in December thanks to Bank of Tanzania (BoT) tighter monetary policies. Annual Average Inflation rate for 2012 was 12.1%.

Want to know more about the Economy in Tanzania? Our free overview of the Tanzania Business and Investment Guide 2026 covers the Economy, plus key sectors and investment opportunities. The complete 141-page edition includes policies, taxation, key regulations, full macroeconomic data, and sources, and is also available at no cost upon completion of a short form.

Download Free OverviewGet the Full Edition for Free
Related Posts
IMF World Economic Outlook 2026 Tanzania
Read More

Tanzania GDP to Grow 6.0% in 2026 and 5.9% in 2027 With Inflation at 4.0%, IMF Projects

In its World Economic Outlook October 2026, the IMF projects Tanzania’s real GDP growth at 6.0% in 2026 and 5.9% in 2027, above the 4.5% sub-Saharan Africa average and Kenya’s 4.5%, while Uganda and Rwanda are projected at 6.2% and 7.4%. Tanzania’s inflation is projected at 4.0% in 2026 and 4.2% in 2027, below the 8.6% sub-Saharan Africa average and Kenya’s 6.0%.
Central Bank of Tanzania BOT CBR Interest Rate Q4 2026
Read More

BOT Maintains Tanzania Central Bank Rate at 6.25% for Q4 2026; GDP Growth Projected at 7.2% in Q4 2026, Driven by Agriculture, Construction, Mining, and Tourism

The Bank of Tanzania (BOT) released its Monetary Policy Report of October 2026, in which the Monetary Policy Committee (MPC) decided to maintain the Central Bank Rate (CBR) at 6.25% for the fourth quarter of 2026, allowing the July 2026 increase to fully transmit through the economy. The MPC will keep policy agile and flexible to limit risks to the inflation outlook from the Middle East conflict and potential El Niño-related disruptions, and keep inflation within the 3-5% target range.
Interview Jana Bricco IMF Resident Representative Tanzania no logo
Read More

Interview with Jana Bricco, New IMF Resident Representative in Tanzania, on Economic Growth, Private Investment, and Needed Reforms

In this exclusive interview with TanzaniaInvest, the new IMF Resident Representative Jana Bricco says Tanzania can sustain growth of around 6% by preserving macroeconomic stability and accelerating reforms supporting private investment, productivity and jobs. She calls for fewer regulatory obstacles, more predictable taxation, faster VAT refunds and better access to finance for businesses and SMEs, and explains how IMF support will evolve following the end of its financing programmes, with the relationship now focused on policy dialogue and capacity development.