Tanzanian Mobile Money Transactions Surge by 28.3% to 255.1tri/-

• Mobile money transactions surged by 28.3% to 255.1tri/- in 2025, driven by both wider access and increased frequency of use.
• The value of mobile payments has increased at a compound annual rate of about 22% since 2021, with transaction volumes rising 24.1% to 7.96bn/- in 2025.
• Person-to-business payments reached 2.30 billion transactions worth 37.52tri/- in 2025, with the number of merchants accepting digital payments more than doubling to 2.79 million.

The expansion is also creating a wider payments ecosystem, benefiting mobile network operators, payment providers, agents, merchants, and institutions alike.

Tanzania's mobile money transactions have seen a significant surge in recent years, with a 28.3% increase to 255.1tri/- in 2025. This growth is not limited to the number of users, but also reflects an increase in transaction frequency and value. According to the Bank of Tanzania's National Payment Systems Annual Report 2025, mobile-payment transactions have been increasing at a compound annual rate of about 22% since 2021. The report highlights that this surge is driven by both wider access and more frequent use of digital payments. In 2024, active mobile-money subscriptions rose to 63.21m/-, while the agent network expanded to 1.48m/-, extending digital financial services into rural and underserved markets.

The increasing adoption of digital payments in Tanzania has significant implications for the country's economy and financial regulations. As mobile money becomes a core payments channel linking consumers, businesses, banks, and government, it is changing where and how transactions take place. The expansion of digital payments is creating a wider payments ecosystem, benefiting mobile network operators, payment providers, agents, merchants, and institutions alike. Moreover, the growing digital trail could improve collections, administration, and service delivery for government. However, it's essential to note that transaction value measures money moving through the system, not value added to the economy.

The rapid growth of mobile payments in Tanzania may lead to changes in financial regulations and laws governing mobile money transactions. As more merchants, households, and institutions adopt digital payments, it is crucial for lawyers and compliance officers to monitor these developments closely. The potential economic payoff lies in lower transaction costs, faster settlement, better recordkeeping, wider participation in formal finance, and less friction in everyday commerce. If the current pace is sustained, mobile payment value could rise from roughly 255tri/- in 2025 to about 440tri/- within three years and more than 630tri/- within five years.

Lawyers and compliance officers should watch for the increasing adoption of digital payments in Tanzania, which may lead to changes in financial regulations and laws governing mobile money transactions.

Source: Original reporting via Bank of Tanzania's National Payment Systems Annual Report 2025