Dar es Salaam. The Bank of Tanzania (BoT) has held a series of consultative meetings with key stakeholders to deliberate on the implementation of the Foreign Currency Usage Regulations, 2025, which came into effect following their publication in Government Notice No. 198 dated 28 March 2025.
The discussions, held at the Bank’s headquarters in Dar es Salaam on May 22, 2025, brought together representatives from the Tanzania International Schools Association (TISA), the Tanzania Confederation of Tourism (TCT), the Confederation of Tanzania Industries (CTI), and audit firm ARK.
The objective was to ensure a shared understanding of the regulatory framework and smooth compliance across sectors.
Under the new regulations, all goods and services provided within the territorial boundaries of the United Republic of Tanzania must be quoted, charged, and paid for in Tanzanian Shillings.
It is now a legal offence to quote, advertise, or display prices in foreign currencies; to compel, facilitate, or accept payments in foreign currencies; or to reject payments made in Tanzanian Shillings.
The regulations also specify the nature of transactions that may be lawfully conducted in foreign currency and impose time limits on contracts that are executed in such currencies.
Importantly, from March 28 2025 onwards, entering into or renewing contracts that stipulate payments in foreign currency is prohibited.
For non-resident visitors, including tourists, the regulations require them to exchange foreign currency at licensed commercial banks or authorised bureaux de change.
However, they are still allowed to make payments using electronic cards and other familiar digital payment methods.
Speaking during the meetings, BoT officials reiterated the central bank’s commitment to working closely with stakeholders to facilitate the effective rollout of the new regulations.
The overarching goal, they noted, is to strengthen the usage of the Tanzanian Shilling and safeguard stability in the domestic financial market.
The new rules form part of broader monetary policy reforms aimed at reducing dollarisation in the local economy and enhancing fiscal sovereignty.
In recent years, the central bank has stepped up efforts to promote the local currency by tightening controls around foreign exchange transactions, improving oversight of the currency exchange sector, and encouraging digital payments.
Stakeholders from various sectors welcomed the engagement, with some raising concerns about transitional arrangements and the practical implications for sectors that traditionally rely on foreign currency transactions, such as international education and tourism.
BoT officials assured them that further guidance would be issued as necessary, including sector-specific clarifications to facilitate compliance without disrupting service delivery.
The consultations are expected to continue in the coming weeks as the central bank fine-tunes implementation strategies and strengthens public awareness around the new regulatory environment.
