Dar es Salaam. Tanzania is expected to face a 39.1 percent decline in grants from development partners in the 2026/27 financial year, prompting the government to intensify domestic revenue mobilisation and reduce reliance on external financing.
Presenting the 2026/27 budget in Parliament on Thursday, June 11, 2026 Finance Minister Khamis Mussa Omar said Official Development Assistance (ODA), particularly grants, has been declining and is becoming an unreliable source of budget financing.
He said the trend is largely driven by policy shifts among development partners, forcing countries to rethink financing strategies and strengthen internal revenue systems.
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