Tanzania Stockpiles 28 Tonnes of Gold to Fortify Reserves

The Bank of Tanzania has accumulated approximately 28 tonnes of gold over the past 18 months, a strategic move to strengthen foreign exchange reserves and support the local currency. Governor Emmanuel Tutuba disclosed the figures on July 7, 2026, during a session on central bank gold operations at the 2026 African Caucus meeting of the World Bank Group and the IMF in Banjul, Gambia.

The disclosure, relayed through a statement by Tanzania's Ministry of Finance, marks one of the most significant reserve diversification efforts by an African central bank in recent years.

فہرست

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A Deliberate Reserve Strategy

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Paying Miners Within 24 Hours

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Economic Fundamentals Provide Support

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A Model for Resource-Rich Economies

A Deliberate Reserve Strategy

The gold purchasing programme is part of a broader government strategy to reinforce foreign exchange buffers, stabilise the Tanzanian shilling, and enhance financial sector stability. By shifting reserves into physical gold, the central bank reduces exposure to currency fluctuations while holding an asset that has historically retained value during periods of global uncertainty.

Governor Tutuba emphasised that the initiative goes beyond reserve management. The programme has actively promoted the formalisation of Tanzania's mining sector, bringing small-scale miners and traders into the regulated financial system.

Paying Miners Within 24 Hours

A key feature is the speed of payment. The Bank of Tanzania pays gold miners and traders within 24 hours at the prevailing London market price, encouraging sellers to channel gold through the central bank rather than informal markets.

The response has been significant. More than 4,000 accounts have been opened for gold traders and miners across various financial institutions, reflecting strong uptake driven by the central bank's initiatives.

Economic Fundamentals Provide Support

Tanzania's broader economic picture lends context to the strategy. GDP growth reached 6.0 percent in the first quarter of 2026, while inflation stood at 4.0 percent as of June 2026. The Central Bank Rate was set at 6.25 percent for the third quarter. The IMF also approved a disbursement of US$443.9 million to Tanzania.

As of August 6, 2026, the Bank of Tanzania's indicative exchange rate for gold stood at a buying price of 11,052,319.08 Tanzanian shillings and a selling price of 11,162,842.27 shillings.

A Model for Resource-Rich Economies

Tanzania's approach offers a template for other resource-rich African nations seeking to leverage domestic mineral wealth for macroeconomic stability. By purchasing gold directly from local producers at competitive international prices and integrating miners into the formal banking system, the central bank has created a mechanism that serves both reserve management and financial inclusion objectives.

The programme's early results suggest that when central banks act as reliable buyers, informal gold flows can be redirected into official channels, strengthening national reserves while broadening access to financial services for communities long excluded from them.