Dar es Salaam, Tanzania | By Michael Wandati | In accordance with a government directive, Tanzania’s Ministry of Tourism and Natural Resources has mandated that all fees and charges within the tourism industry must now be paid in the local currency, the Tanzanian shilling.
This regulation encompasses a range of fees including Tourism Business Licence fees, filming permits, and visiting charges.
Previously, many of these payments were made in US dollars. However, moving forward, such transactions will be converted to Tanzanian shillings using the exchange rate provided by the Bank of Tanzania (BoT).
The government is also working on establishing a permanent payment system in consultation with relevant stakeholders, according to a statement from the ministry.
“All tourism business operators, tour guides, individuals or institutions issued with Control Number in US dollars before July 1, 2024 will need to pay based on the currency specified in perspective Control Number until August 1, 2024,” the notice added.
Starting July 1, Tanzania National Parks implemented a policy shift requiring all transactions to be conducted in Tanzanian shillings. Tourist companies and other service providers are also required to adhere to this new directive.
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This change follows Finance Minister Mwigulu Nchemba’s announcement during his 2024/2025 Annual Budget speech in June, where he banned the use of dollars in local transactions. The primary goal of this policy is to stabilize the Tanzanian shilling.
Tourists and non-resident customers are encouraged to exchange their foreign currency for Tanzanian shillings to ease their transactions and bolster the local economy.
The tourism sector in Tanzania, which has seen rapid growth and high dollar usage, will now transition to predominantly using the local currency for all services.
