Tanzania Builds Gold Reserves with 28-Tonne Purchase to Strengthen Economy and Currency

Tanzania’s central bank has accumulated approximately 28 metric tonnes of gold over the past 18 months as part of an ambitious strategy to strengthen the country’s international reserves, stabilize the Tanzanian shilling, and enhance long-term financial resilience.

The announcement was made by Bank of Tanzania Governor Emmanuel Tutuba during the 2026 African Caucus meeting of the International Monetary Fund (IMF) and World Bank in Banjul, Gambia, where central bank officials discussed monetary policy, reserve management, and economic stability across the continent.

According to the Bank of Tanzania, the accumulated gold is currently valued at approximately US$3.68 billion, reflecting the sharp rise in global gold prices and the growing importance of bullion as a reserve asset for central banks worldwide.

Strengthening Foreign Exchange Reserves

The gold purchases form part of Tanzania’s Domestic Gold Purchase Programme, which encourages local miners to sell part of their production directly to the central bank.

Officials say the initiative is designed to:

• Increase foreign exchange reserves.
• Diversify reserve assets beyond foreign currencies.
• Support the value of the Tanzanian shilling.
• Improve resilience against global economic and financial shocks.

Gold has increasingly become an attractive reserve asset as many central banks seek protection from currency volatility, geopolitical uncertainty, and inflationary pressures.

Supporting Economic Stability

Governor Tutuba said building the country’s gold reserves is a strategic move aimed at strengthening Tanzania’s financial position while enhancing confidence in the national economy.

The initiative aligns with broader government efforts to reinforce macroeconomic stability as Tanzania continues to benefit from strong performance in its mining sector. The country is among Africa’s leading gold producers, making domestic purchases an efficient way to build reserve assets while supporting local mining operations.

Part of a Global Central Bank Trend

Tanzania joins a growing number of central banks that have significantly increased their gold holdings in recent years.

Many monetary authorities have accelerated gold purchases as they seek to diversify reserve portfolios traditionally dominated by U.S. dollar-denominated assets. Gold is widely regarded as a safe-haven asset during periods of financial market uncertainty and geopolitical tensions.

Analysts note that Tanzania’s programme represents one of the most significant reserve diversification efforts undertaken by an African central bank in recent years.

Outlook

With nearly 28 tonnes of gold now held by the Bank of Tanzania, the country has substantially strengthened its reserve position while reinforcing the government’s broader economic strategy.

As global central banks continue increasing bullion holdings, Tanzania’s growing gold reserves are expected to provide an additional buffer against external economic shocks and contribute to long-term monetary and financial stability.

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