The Tanzanian government has introduced mandatory electronic payments for a broad range of transactions, including tourism services, hotels, restaurants, public transport and property transactions, as part of a nationwide push to accelerate the country’s digital economy, improve transparency and strengthen revenue collection.
According to Daily News, the new requirements, introduced under amendments to the Electronic Transactions Act (Cap. 442) through the Finance Act 2026, took effect on July 1, 2026. Under the regulations, payments for specified transactions must be made through approved electronic channels such as mobile money, bank transfers, payment cards, point-of-sale (POS) machines, internet banking or government electronic payment systems.
The reform covers a wide range of sectors, including tourism, hospitality, education, transport, shopping malls, fuel stations, cinemas, gyms, real estate transactions and the sale and purchase of motor vehicles. It is designed to reduce reliance on cash, curb tax evasion and money laundering, and improve the efficiency of financial transactions across the economy. For the tourism industry, the policy marks a significant operational shift. Hotels, restaurants, tour operators and other tourism service providers are now required to have compliant digital payment systems in place. Businesses must also demonstrate they have approved electronic payment facilities, such as Lipa Namba or TANQR, to obtain or renew their business licences.
The government has granted businesses already operating before the regulations came into force a six-month transition period to install and operationalise compliant digital payment infrastructure. Existing contracts signed before July 1, 2026, remain unaffected by the new rules.
Authorities say the initiative is expected to promote financial inclusion, improve tax compliance, enhance accountability and support Tanzania’s broader ambition of building a modern, cash-lite economy driven by secure and transparent digital transactions.
