Executive summary

The Government of Tanzania has introduced the Electronic Transactions (Mandatory Electronic Payments for Specified Transactions) Order, 2026, (the Order) published under Government Notice No. 158C on 30 June 2026. Made pursuant to Section 13(2) of the Electronic Transactions Act (Cap. 442), the Order came into operation on 1 July 2026, requiring payments for specified transactions to be made and received electronically.

The following are the key highlights of the Order.

Electronic payment methods recognized

Under the Order, all payments relating to specified transactions must be made and received through electronic means. Electronic payment methods include mobile money services, bank transfers, electronic funds transfers, payment cards, electronic wallets, point-of-sale devices, internet banking, mobile banking and Government electronic payment systems.

Transactions covered

Transactions affected by the Order include:

• Payments for public transport services such as Bus Rapid Transit, ferries, bridges, long-distance passenger bus services, online taxi services, air transport, railway transport and parking services
• Payments for goods and services in shopping malls, gymnasiums, cinema theaters, filling stations, conference and event venues, sports arenas and international trade exhibitions such as those for the Saba Saba and Nane Nane holidays
• All fees and contributions payable to pre-primary, primary, secondary schools, tertiary institutions and universities
• Payments for accommodation, food, beverages and tourism-related services
• Payments relating to high-value transactions, including the sale, purchase and rental of buildings, plots and farms, as well as motor vehicle sales and purchases
• Payments relating to cooperative unions and Agricultural Marketing Cooperative Societies for strategic crops such as cotton, cashew nuts, coffee, tea, sisal and tobacco, together with agricultural inputs and pesticides

Transitional/compliance period

Recognizing that some businesses and institutions may need time to adapt, the Order provides a transitional period of six months from its commencement date, that is, until the end of December 2026. During this period, persons already receiving payments for the above-mentioned specified transactions are required to establish and implement appropriate electronic payment systems.

The Order does not affect contracts or payment arrangements entered into before it came into force.

Implications

The implementation of the Order will likely push the economy into a largely cashless economy and improve payment traceability and financial accountability. Businesses may wish to consider the potential increased costs associated with different electronic payment methods such as bank, card or mobile money charges. The effect of these charges will vary according to the payment method, transaction value and service provider.

Implementation will require access to functioning electronic payment channels during the six-month transitional period. Practical compliance will therefore depend on the availability and reliability of payment infrastructure, the cost of using payment services and access to those services, including in rural areas.

Businesses, institutions and individuals that receive payments for the specified transactions must establish and implement appropriate electronic payment systems by the end of the transitional period in December 2026. Existing contracts and payment arrangements entered into before the Order came into force remain unaffected.