The Central Bank of Tanzania decided to maintain its key interest rate at 6% during its monetary policy meeting on Friday, April 4. This decision, taken for the fourth time in a row, aims to contain inflation while supporting economic growth.

In the final statement, Deputy Governor Yamungu Kayandabila said that while inflation was under control, global trade tensions were a risk. This was the fourth consecutive monetary policy meeting in which the rate was maintained.

“Maintaining the central bank rate will help minimize the negative effects of tariffs and geopolitical conflicts on the economy,” central bank deputy governor Yamungu Kayandabila said at a press conference.

This week, U.S. President Donald Trump unveiled sweeping tariffs that have caused global financial markets to plummet and drawn condemnation from other leaders who believe it is the end of a decades-old era of trade liberalization.

The Bank of Tanzania is aiming for 5% inflation and consumer inflation (TZCPIY=ECI), opens a new tab, and has hovered around 3% since the launch of its key rate in January 2024.