Tanzania can borrow money from foreign markets at fair rates if the government’s efforts to improve its credit rating are successful.
Tanzania’s credit rating will affect the cost of its borrowing from foreign markets due to a rise in lender trust in the country’s capacity to repay debts, according to independent financial expert Mr. Christopher Makombe.
Moody’s upgraded Tanzania’s economic outlook from stable to positive in October of last year (2022), crediting the improvement to President Hassan’s pro-business stance.
The country’s economic and financial climate may be improved, and Tanzania’s capacity to deal with the effects of the global shocks following the Ukrainian conflict may be supported by such signals of decreased political risk, according to the report.