Financial Sector Overview
Income Group: Low Income
Tanzania’s financial sector is broadly at the same level of development as the country’s income-group peers, but smaller than the regional average.
Based on a cross-country comparison, net interest margins, bank cost-income ratios and bank overhead costs show that the efficiency of the banking system is broadly in line with income-group and regional peers. However, the ability of the financial sector to channel funds to the private sector, as indicated by the ratio of private sector credit to GDP, remains limited.