Browsing: Tanzania Foreign Exchange Regulations

The Tanzania Foreign Exchange Regulations, Government Notice No. 294 published on 13/5/2022 (the “Tanzania Foreign Exchange Regulations”) are creating quite some noise in Tanzania amongst traders and investors.

Given the efforts that the government of Tanzania has been undertaking to lure foreign investors to Tanzania (#RoyalTour) and reassure them of a conducive and easy business environment, the regulations come as a surprise since they seem to somehow contradict some of these efforts.

Tanzania, being a member of the International Monetary Fund (IMF), has the obligation under Article VIII of the International Monetary Fund Articles of Agreement to enable currency convertibility for current transactions—goods, services, travel, interest, and dividend payment and this is a condition of its membership of good standing.

Read: What does it mean for regional trade, investment after DRC became EAC’s 7th Member State?

The Articles of Agreement remain silent with regards to obligations of