Tanzania's green finance framework combines Bank of Tanzania climate-risk guidelines for banks (2022, replaced in January 2025), sustainability bond regulations of May 2025, carbon trading rules and a climate fund pipeline in which CRDB Bank is an accredited Green Climate Fund entity. Two banks and a water utility have issued green or sustainability bonds, but no data on green lending to agriculture had been published by October 2026.
7.1
What is in force
The Bank of Tanzania issued Guidelines on Climate-Related Financial Risks Management in 2022 and replaced them in January 2025 with guidelines on management and disclosure that apply to all banks and financial institutions12. Companion guidelines phase in sustainability reporting under IFRS S1 and S2 between 2025 and 20293. In March 2026 the Bank published a climate risk analysis of the banking sector4. The Capital Markets and Securities Authority's sustainability bond regulations of May 2025 define green, blue, social and sustainability-linked bonds and list climate change adaptation, sustainable land use and agricultural credit and insurance among eligible uses5. No national green finance taxonomy was found in official sources by October 2026.
CRDB Bank's Kijani Bond raised TZS 171.8 billion in 2023 at a coupon of 10.25% and was admitted to the Luxembourg Stock Exchange in 2025, NMB Bank's Jamii sustainability bond raised TZS 400 billion according to a partner release that shows no date, and the Tanga water utility raised TZS 53.12 billion with a green bond listed in May 20246789. CRDB Bank is a direct access entity of the Green Climate Fund, and the Fund's US$100 million programme with CRDB for agricultural adaptation technology, approved in October 2021, had disbursed 65% of its financing by October 20261011.
Building the green-finance framework
Oct 2021
GCF approves FP179 with CRDB Bank (US$100 m)11Finance
2022
Bank of Tanzania climate-related financial risk guidelines1Finance
Tanga UWASA green bond listed on the Dar es Salaam Stock Exchange9Market
Jan 2025
Revised climate risk and sustainability reporting guidelines for banks23Finance
Mar 2025
Environmental Management (Amendment) Act on climate change and carbon trading13Law
May 2025
Sustainability bond regulations (GN No. 302)5Finance
Jun 2025
Kijani Bond listed on the Luxembourg Stock Exchange6Market
Environmental Management Act, 2004Act No. 20 of 2004Assent 8 February 2005, commenced 1 July 2005
The Act is the framework law on environmental management and repealed the National Environment Management Act14. It commenced on 1 July 2005 by commencement notice14.
Recent changes: The Environmental Management (Amendment) Act, 2025 (Act No. 5 of 2025, assent 4 March 2025, gazette 14 March 2025) adds climate change to the Act and establishes a National Carbon Monitoring Centre to register carbon projects, verify credits and manage carbon trading transactions13. Earlier amendments date from 2016 and 202114.
Environmental Management (Control and Management of Carbon Trading) RegulationsGN No. 636 of 2022, made under the Environmental Management ActPublished 28 October 2022, amended in 2023 (official text of the amendment not available)
The Regulations set the rules for registering and operating carbon projects and for sharing their revenue12. For land-based projects the managing authority receives 61% of gross revenue from the sale of certified emission reductions, of which 51% goes to the village government and 10% to the council where the authority falls under a council12. Fees include a registration fee of 1% of expected certified emission reductions and annual charges of 3% and 5% of income from credits sold12. The Regulations were amended in 2023, and the official text of the amendment was not available, so the shares given here are those of the Regulations as made and may have changed12.
Bank of Tanzania Guidelines on Climate-Related Financial Risks Management and DisclosuresGuidelines under section 71 of the Banking and Financial Institutions Act, 2006January 2025, replacing the 2022 guidelines
The Guidelines apply to all banks and financial institutions and cover governance, internal controls, risk management, scenario analysis and stress testing, and disclosure of climate-related risks, in line with the Basel Committee principles of 20222. They revoke the Guidelines on Climate-Related Financial Risks Management of 202221. Companion guidelines of January 2025 phase in sustainability reporting under IFRS S1 and S2 and greenhouse gas disclosure between 2025 and 20293.
Capital Markets and Securities (Corporate and Subnational Sustainability Bonds) RegulationsGN No. 302 of 2025, under section 148(1) of the Capital Markets and Securities Act, Cap. 79Published 23 May 2025
The Regulations define green, blue, social and sustainability-linked bonds issued by companies and subnational bodies5. Eligible green categories include climate change adaptation and mitigation and the sustainable management of natural resources and land use, and social categories include food security with sustainable farming, agricultural credit and insurance5. Proceeds are held in a trust account with a licensed custodian bank, and the Authority evaluates applications within forty-five days5.
National Climate Change Response Strategy 2021–2026Strategy, Vice President's Office2021
The Strategy describes the bimodal and unimodal rainfall zones and projects national food production to fall by 8–13% by 205017. Its indicative budget is TZS 326.5 billion, of which TZS 228.5 billion for adaptation, including TZS 14 billion for crops and TZS 28 billion for livestock17. It cites forest depletion of 469,420 hectares a year and aims to reduce it by 20% by 2026, which is a target17.
Nationally Determined Contribution (updated)Submitted to the UNFCCC30 July 2021
The updated NDC commits to reduce economy-wide greenhouse gas emissions by 30–35% relative to business as usual by 2030, about 138–153 Mt CO2-equivalent, and states that implementation depends on adequate and predictable international support, without separating unconditional and conditional parts18. Its agricultural adaptation measures include climate-smart agriculture, crop and livestock insurance for smallholders, research, extension and climate services18. It estimates the total implementation budget at US$19.23 billion18. No later NDC had been located in the Climate Watch register in October 202619.
National Adaptation Plan 2025–2035Plan, Vice President's Office, submitted to the UNFCCCNovember 2025, posted on NAP Central on 14 January 2026
The first National Adaptation Plan sets out 36 programmes costed at US$37 billion, of which US$28 billion for the Mainland, US$8.6 billion for Zanzibar and US$0.8 billion for cross-cutting programmes2021. Mainland agriculture needs are put at US$6.1 billion, including US$4.0 billion for agricultural water security and irrigation and US$0.5 billion for agricultural risk management and financial inclusion20. The plan states that more than 80% of agriculture is rain-fed20.
Source: BII / AVCA · LuxSE · CMSA · Joint press release — Amounts as published by the issuers, exchanges and partners. The Kijani Bond was oversubscribed 429% according to the Luxembourg Stock Exchange (430% in the CMSA annual report).
Green Climate Fund projects
GCF financing approved, US$ million, selected projects covering Tanzania
Project
GCF financing (US$ m)
FP269 Dairy (4 countries)
150
FP041 Simiyu
115
FP179 Agriculture technology (CRDB)
100
FP220 Rural adaptation finance (4 countries)
55
FP218 Kigoma landscapes
19
Source: GCF — Approved amounts, not disbursements. FP220 and FP269 cover Kenya, Rwanda, Tanzania and Uganda, and their totals are not split by country. 65% of FP179 financing had been disbursed in October 2026.
Adaptation finance needs
National Adaptation Plan 2025–2035, cost estimates by sector, US$ billion
Sector
Cost estimate (US$ bn)
Infrastructure, Mainland
8.8
Agriculture, Mainland
6.1
Water, Mainland
6
Livestock, Mainland
2
Fisheries, Mainland
0.8
Agriculture, Zanzibar
0.5
Livestock, Zanzibar
0.3
Fisheries, Zanzibar
0.3
Source: VPO NAP — Needs, not funded amounts. The plan costs 36 programmes at US$37 billion in total, of which US$28 billion for the Mainland and US$8.6 billion for Zanzibar.
Green and sustainability bonds
Bond
Issuer
Type
Amount
Dates and listing
Kijani Bond
CRDB Bank
Green, first tranche of a US$300 million programme
TZS 171.8 billion, coupon 10.25%
Offer 31 Aug–6 Oct 2023, DSE, Luxembourg Stock Exchange from 30 Jun 2025
Jamii Bond
NMB Bank
Sustainability, shilling and dollar tranches
TZS 400 billion
DSE, date not shown in the source
Water Infrastructure Green Bond
Tanga UWASA
Green, subnational
TZS 53.12 billion
Launched 22 Feb 2024, listed on DSE 15 May 2024
Source: LuxSE · FSD Africa · CMSA · BII / AVCA · Joint press release — Amounts as published by the exchanges, issuers and partners. IFC stated at the 2023 launch that it intended to invest in the Kijani programme, and no confirmed IFC amount was found.
FP220 Rural adaptation finance mechanism, East Africa (4 countries)
IFAD
25 Oct 2023
55.0
–
FP269 Dairy interventions for mitigation and adaptation (4 countries)
IFAD
3 Jul 2025
150.0
6
Source: GCF — The GCF country page listed 12 projects with US$358 million of GCF financing for Tanzania in October 2026, including Tanzania's share of multi-country projects. FP179 combines a US$70 million loan, a US$10 million guarantee and a US$20 million grant.
Revenue sharing for land-based carbon projects, GN No. 636 of 2022 as made (before the 2023 amendment)
Recipient
Share of gross revenue from certified emission reductions
Managing authority
61%
of which village government or mtaa
51 of the 61 points
of which council, where the managing authority is under the council
10 of the 61 points
Remaining with the project proponent
39%
of which paid by the proponent to the designated national authority
9 of the 39 points
Source: GN 636 of 2022 — GN No. 636 of 28 October 2022, shares as made. GN No. 721 of 2023 amended these Regulations, and its official text was not available, so the shares in force may differ.
7.2
What it means for agricultural lenders
Climate risk became a supervisory topic in 2025
The 2025 guidelines require banks to manage, stress-test and disclose climate-related risks, and they apply to agricultural loan books as to other lending2.
Bond rules name agricultural credit
The 2025 sustainability bond regulations list agricultural credit and insurance and sustainable farming among eligible social and green uses of proceeds5.
Climate funds through a domestic bank
GCF's FP179 with CRDB Bank combines a US$70 million loan, a US$10 million guarantee and a US$20 million grant for farm adaptation technology11.
Large adaptation needs in agriculture
The National Adaptation Plan puts Mainland agricultural adaptation needs at US$6.1 billion, including US$0.5 billion for agricultural risk management and financial inclusion20.
AI-assisted content, human-reviewed: This page was generated with the assistance of artificial intelligence and reviewed by a human editor. (last review: October 2026) Despite review, errors or outdated values may remain; please verify critical figures against the linked primary sources before relying on them. Nothing here is investment, legal or financial advice.
