By Alfred Zacharia
Tanzania has recorded remarkable growth in domestic revenue under President Samia Suluhu Hassan, with collections expected to reach TZS 33 trillion in the 2025/26 fiscal year.
This is a substantial increase from TZS 20.59 trillion in 2020/21, reflecting the impact of strategic reforms, disciplined implementation, and improved efficiency in revenue mobilization.
Monthly revenue trends show steady upward momentum.
In 2020/21, Tanzania collected an average of TZS 1.72 trillion per month.
By 2023/24, the monthly average rose to TZS 2.49 trillion, and currently, collections reach approximately TZS 3 trillion per month.
Between July 2024 and May 2025, the monthly average stood at TZS 2.83 trillion, showing sustained growth over consecutive years.
This data highlights not only increased revenue but also the government’s ability to maintain consistency in mobilization.
The revenue-to-GDP ratio has also improved, rising from 13.7% in 2020/21 to 15% in 2023/24.
A higher revenue-to-GDP ratio strengthens the government’s capacity to fund development priorities, reduce dependence on external borrowing, and maintain macroeconomic stability.
Several key factors have driven this growth including reforms in revenue collection systems, including digitization and automation, have reduced leakages and improved compliance, expansion of the taxpayer base has brought more businesses and individuals into the formal tax system and improved oversight of public institutions has ensured better accountability and efficiency in revenue management.
Comparatively, Tanzania’s monthly revenue growth of nearly 75% over five years surpasses the pace observed in many East African peers.
Such performance reflects deliberate policy choices aimed at strengthening fiscal resilience while supporting long-term development goals.
The sustained revenue growth is essential for funding critical infrastructure, education, health services, and other social programs.
It also provides the government with greater flexibility in fiscal planning, allowing for strategic investments without over-reliance on foreign aid or loans.
Under President Samia, Tanzania’s domestic revenue trajectory reflects effective governance, disciplined fiscal management, and a commitment to reform.
Continued focus on modernized systems, broader taxpayer engagement, and robust oversight is expected to consolidate gains and propel the country toward sustainable economic growth in the coming years.