A man walks out of the Central Bank of Tanzania building in Dar es Salaam, Tanzania January 15, 2019.A man walks out of the Central Bank of Tanzania building in Dar es Salaam, Tanzania January 15, 2019.
Tanzania’s central bank will reduce liquidity in the economy in September and October to slow rising inflation in the east African country, a statement from the bank’s monetary policy committee published on Saturday said. “In the context of high inflation and commodity prices, which has contributed to rising inflationary pressures in the country, the MPC approved for the bank to continue with gradual reduction of liquidity in September and October 2022,” the statement said.
“The policy decision aims at reducing inflationary pressures, while safeguarding economic activities.” Inflation in Tanzania rose to 4.6% in August from 4.5% the previous month, while the country’s economy was facing a range of challenges, including weak global growth, high commodity prices, tight financial conditions and the recurrence ofCOVID-19 in some countries, the statement said.
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