Tanzania sees huge success in public financial management after reforms in the sector

BRAZZAVILLE: PRIME Minister Mwigulu Nchemba has highlighted Tanzania’s achievements in strengthening public financial management and implementing reforms in the financial sector during the launch of the African Economic Outlook 2026 report in Brazzaville, Republic of the Congo.

Speaking during the discussion held at the Kintele International Conference Centre, Dr Nchemba said Tanzania has continued taking measures to strengthen the private sector and expand domestic revenue sources as part of efforts to enhance internal resource mobilisation.

According to the PM, the measures align with President Samia Suluhu Hassan’s decision to establish a commission to review tax systems, tax administration and tax rates with the aim of making revenue collection more business-friendly while broadening the government’s revenue base.

The Premier was responding to questions from panel moderator Joy Kategekwa, who is also Director for Regional Integration Coordination and Delivery at the African Development Bank who sought to know Tanzania’s experience in public finance management and how the country managed to finance about 70 per cent of its national budget using domestic revenue.

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Elaborating, the Prime Minister stated that Tanzania improved revenue collection by enhancing the efficiency of the Tanzania Revenue Authority through digital systems such as Electronic Fiscal Devices (EFDs) and mobile money payment platforms.

He added that local government authorities were empowered to collect non-tax revenues while the government strengthened fiscal discipline to ensure prudent use of every shilling collected, enabling citizens to witness the impact of public funds through development projects.

Dr Nchemba said Tanzania remains among the beneficiaries of cooperation with the African Development Bank and has had an opportunity to share its experience in implementing major projects using domestic financing, including the Julius Nyerere Hydropower Project and various social service initiatives.