Access to finance remains one of the biggest obstacles facing small and medium-sized businesses in Tanzania.
In response, the Bank of Tanzania (BoT) is moving to establish a new credit guarantee company aimed at unlocking capital for entrepreneurs and exporters.
The planned firm, to be known as Tanzania Credit Guarantee PLC, is expected to improve access to loans by reducing the risks that financial institutions face when lending to businesses without sufficient collateral.
Announcing the plan during a joint meeting of the Tanzania National Business Council (TNBC) and the Tanzania Chamber of Commerce, Industry and Agriculture (TNCCIA) in Dar es Salaam on April 20, 2026, BoT Deputy Governor Sauda Kassim Msemo said the initiative is designed to strengthen efficiency, boost innovation and speed up the delivery of credit guarantee services.
She noted that for over 20 years, credit guarantee schemes have been managed directly by the central bank.
The new arrangement will separate regulatory and operational roles, a shift intended to remove conflicts of interest and improve performance.
The new company is also aligned with the country’s long-term ambitions under the Tanzania Development Vision 2050, which seeks to transform Tanzania into a competitive and inclusive economy.
It is expected to support key drivers of transformation such as energy, transport, science and technology, research and innovation, and digitalisation.
By lowering credit risks, the scheme is set to attract more investment into productive sectors including agriculture, manufacturing, the blue economy, and export-oriented businesses.
This could open new opportunities for growth, particularly for MSMEs that have historically been locked out of formal financing.
Ms Msemo urged private sector players to take advantage of the opportunity by actively participating as partners in development.
She said a public-private partnership model will allow local enterprises to expand and compete globally while ensuring the benefits of growth reach more Tanzanians.
She stressed that achieving the goals of Vision 2050 will depend on strong cooperation between the public and private sectors, with businesses expected to play a leading role in driving economic growth.
