Dar es Salaam, Jan 9 – Tanzania’s central bank left its benchmark interest rate unchanged for a second consecutive policy meeting, signalling confidence in the economy’s growth trajectory as inflation remains contained.
The Bank of Tanzania held its key rate at 5.75%, with policymakers saying the stance would help support economic activity amid favorable domestic conditions. The Monetary Policy Committee said inflation is expected to stay within its target band of 3% to 5%, giving it room to prioritize growth.
Inflation in the East African nation has hovered close to 3% for nearly two years. Annual consumer price inflation stood at 3.4% in November, easing slightly from 3.5% in October, underscoring price stability.
The central bank projects economic growth of 5.9% in 2025, driven largely by stronger performance in agriculture, mining, and construction. Officials said these sectors are expected to continue underpinning expansion, supported by steady financial conditions and public investment.
