IMF to disburse $153m as part of loan deal with Tanzania
The International Monetary Fund on Monday approved the first review of Tanzania’s three-year extended credit facility, allowing immediate disbursement of about $153 million in budgetary support, the IMF said in a statement.
The international financial lender said Tanzania’s economic reform program was progressing well in a challenging global economic environment, but authorities must work to boost domestic revenues, while stepping up structural reforms to streamline bureaucracy and combat corruption.
“Program performance has been strong. All quantitative performance criteria and indicative targets for December 2022 were met, and two of the three structural benchmarks for December 2022 were completed on time,” IMF Deputy Managing Director Antoinette Sayeh said.
Efforts to enhance domestic revenue mobilization and improve spending efficiency would help Tanzania finance priority investment and social spending while safeguarding debt sustainability, she added.
The decision brings total disbursements under the $1.04 billion loan arrangement approved for Tanzania last year to about $305 million, the IMF said.
“Strengthening public finance management and oversight of state-owned enterprises is critical to contain fiscal risks,” and authorities should clear domestic arrears and prevent accumulation of new ones by strengthening cash management and commitment controls, she said.
Tanzania’s broad-based growth is believed to be turning the country into one of the fastest growing economies in Africa, while a planned liquefied natural gas (LNG) project could become its biggest-ever industrial investment.
There is a good reason why you should support the African Editors. Not everyone can afford to pay for news right now. That is why we keep our journalism open for everyone to read, including in Ghana. If this is you, please continue to read for free. But if you are able to, then there are three good reasons to support us today.
1. Our quality, journalism is a scrutinising force at a time when the rich and powerful are getting away with more and more.
2. We are independent and have no billionaire owner pulling the strings, so your money directly powers our reporting.
3. It doesn’t cost much, and takes less time than it took to read this message.
Help power the African Editors' journalism for the years to come, whether with a small sum or a larger one. If you can, please support us on a monthly basis from just 1 Ghana Cedi through mobile money number: 0599896099/ +23359989609 and you can be rest assured that you’re making a big impact every single month in support of open, independent journalism. Thank you.
