By: Tanzania Invest

The Bank of Tanzania purchased 21,710 kilograms, equivalent to 75.64% of that volume, under its Domestic Gold Purchase Programme to strengthen the country’s foreign reserves. AUGUST 13, 2026.

 Tanzania produced 67.8 tonnes of gold valued at TZS 18.4 trillion during the 2025/26 financial year, with 28,701 kilograms sold through the country’s five domestic gold refineries.

The Ministry of Minerals shared the figures in a statement posted on its official X account, reporting that 21,710 kilograms of that volume, equivalent to 75.64%, were purchased directly by the Bank of Tanzania (BOT). The Commissioner for Minerals, Dr. Abdulrahman Mwanga, presented the figures to the Parliamentary Standing Committee on Energy and Minerals held in Dodoma on 11th August 2026, where the Ministry briefed lawmakers on the performance of the mineral sector.

For his part, the Minister for Minerals, Hon. Anthony Mavunde, directed the Mining Commission to extend the operating hours of mineral markets until 9:00 p.m., to give traders and buyers more time to conduct business, making mineral markets more accessible and responsive to the needs of stakeholders across the mineral trading chain. He added that the Government is strengthening measures against mineral smuggling and taking action against licence holders who fail to develop their designated areas, including revocation of licences for non-compliance.

The Government is also reviewing the tanzanite trading system in Mirerani as part of a broader strategy to grow the tanzanite business and increase the value Tanzania derives from the gemstone. In addition, it has signed 14 Memoranda of Understanding (MoUs) with investors whose mining projects have yet to reach production, while continuing to expand access to financing for qualified small-scale miners.

The Government is also working with the Ministry of Energy to strengthen electricity supply to mining areas and incorporate strategic infrastructure into mining development planning, the statement said. And through the Mining for a Brighter Tomorrow (MBT) programme, the Government continues to expand opportunities for youth, women and people with special needs to participate in Tanzania’s mineral economy.

The Chairperson of the Parliamentary Standing Committee on Energy and Minerals, Hon. Subira Mgalu, commended the Ministry for the measures taken to strengthen the sector and urged the Government to review levies affecting small-scale miners, describing some of the charges as a significant burden on the segment.

The Deputy Minister for Minerals, Dr. Steven Kiruswa, reaffirmed the Government’s commitment to Corporate Social Responsibility (CSR) obligations, stating that mining activities should directly benefit communities living around mining areas.

 Bank of Tanzania Domestic Gold Purchase Programme

BOT launched its Domestic Gold Purchase Programme on 1st October 2024 to implement the 20% gold purchase commitment set out in Section 59 of the Mining Act (Cap 123), which requires mineral rights holders and licensed dealers to allocate a share of their gold to the central bank.

Under the programme, gold sellers deliver their gold to one of three BOT-designated refineries, after which BOT pays out within 24 hours and covers all refining costs. 

The programme offers a reduced royalty fee of 4%, down from the standard 6%, together with a waived inspection fee and zero-rated VAT on the domestic sale.