Mortgage finance in Tanzania – new rules

With effect from 8 February 2018 there are new constraints for mortgage finance in Tanzania (as per Part IV Written Laws (Miscellaneous Amendments) Act 2018).

In short, finance from local or foreign banks (or financial institutions) obtained by mortgages of:

  1. any Tanzanian land, must be invested in Tanzania;
  2. any un/under developed Tanzanian land, must be used to develop that specific land; and
  3. any developed Tanzanian land, can be used to further develop that specific land, or for investments, or for other purposes.

Breach of this is a breach of the Right of Occupancy.

Please contact us if you have any comments or questions.

Latest News

Mining – Local Content Regulations 2019
New Mining (Local Content) (Amendments) Regulations 2019 have made some changes to the Mining (Local Content) Regulations 2018, which include: Local shareholding requirement for...

Microfinance Business service providers in Tanzania
Microfinance Act 2018 was enacted by National Assembly on 16 November 2018 (see VELMA Law earlier post) and now the Bank of Tanzania (BOT)...

Statistics information law in Tanzania
Statistics Act 2015 amended (as of September 2018), including as follows: A person shall not collect statistics through surveys or censuses, and shall not disseminate...