Tanzania strengthens foreign reserves with 28-ton gold acquisition

Wednesday 08 July 2026 - 11:30

By: Sahili Aya

Tanzania strengthens foreign reserves with 28-ton gold acquisition

Tanzania has significantly expanded its official gold reserves, with the Bank of Tanzania purchasing approximately 28 metric tons of gold over the past 18 months as part of a broader strategy to reinforce foreign exchange reserves and support the national currency.

According to central bank Governor Emmanuel Tutuba, the accumulated bullion is currently valued at around $3.68 billion, reflecting the sharp appreciation of global gold prices. The governor outlined the programme during discussions held alongside an International Monetary Fund–World Bank meeting in The Gambia, with details later released by the country's finance ministry.

Gold strategy aimed at strengthening reserves

The initiative forms part of Tanzania's ongoing efforts to diversify its reserve assets while improving resilience against external economic pressures. The central bank has been steadily acquiring domestically produced gold since around 2023, positioning the precious metal as an increasingly important component of its reserve management policy.

In 2024, the government reinforced this approach by requiring mining companies and gold exporters to allocate at least 20% of their exportable gold for sale to the central bank. The measure has helped secure a consistent domestic supply while reducing reliance on international markets for reserve accumulation.

Positive impact on the mining and financial sectors

Beyond strengthening reserve assets, officials say the programme has encouraged greater financial inclusion within Tanzania's mining industry. More than 4,000 new financial accounts have reportedly been opened by mineral traders and small-scale miners since the policy was introduced, expanding participation in the formal banking system.

The initiative is also expected to improve transparency in gold transactions while strengthening links between the country's mining sector and financial institutions.

Strong reserve position supports economic outlook

Tanzania remains among Africa's ten largest gold producers, giving the country a strategic advantage as demand for gold continues to rise globally.

At the latest monetary policy briefing, the central bank indicated that Tanzania's international reserves stood at approximately $6 billion, providing coverage for around 4.3 months of imports. Officials view the continued accumulation of gold as an important pillar of long-term macroeconomic stability and currency support.