Category: The Citizen

Dar es Salaam. The government has issued a stern warning to underperforming public entities, cautioning that they risk being merged or dissolved should they fail to take urgent steps to improve their performance.

The warning was delivered on Friday, December 5, 2025, by the Minister of State in the President’s Office (Planning and Investment), Prof Kitila Mkumbo, during his visit to the Office of the Treasury Registrar (OTR) in Dar es Salaam. Speaking to journalists after a closed-door meeting with OTR management, led by Treasury Registrar Nehemiah Mchechu, Prof Mkumbo said it was unacceptable that several public enterprises continued to deliver minimal dividends despite substantial government investment.

He said the institutions identified as lagging would be given a specific timeframe to improve, after which the government would decide whether to merge or dissolve them. “It is better to have fewer commercial entities that generate meaningful dividends for the government,” Prof Mkumbo stressed.

He was accompanied by the Deputy Minister for Planning and Investment, Dr Pius Chaya, and the ministry’s Permanent Secretary, Dr Tausi Kida. According to OTR, the government holds shares in 308 institutions and companies.

Out of the number, 91 operate commercially, while 217 are non-commercial. Prof Mkumbo reiterated that Tanzanians must benefit from the government’s Sh92.3 trillion investment in public enterprises.

In the 2024/25 financial year, OTR collected Sh1.028 trillion in dividends from public institutions and minority-owned companies. This was the highest amount since the office was established in 1959. However, the government maintains that the sector still holds significant untapped potential.

As part of ongoing reforms, the government has set a dividend collection target of Sh1.7 trillion for the 2025/26 financial year, while OTR has internally set a more ambitious target of Sh2 trillion. Prof Mkumbo also pledged to enhance efficiency by ensuring that appointments of executives and board members of public entities are conducted transparently and through competitive processes.

“My task is to ensure that we establish a robust Public Investment Act that will drive efficiency in public enterprises,” he said. He said that the government aims to transform the performance, image, and service delivery of public enterprises so they can provide quality services and stimulate investment.

Earlier, Mr Mchechu said OTR remained committed to strengthening the performance of public enterprises to boost efficiency in service delivery and investment. Effective supervision of public institutions and enterprises is key to reforming this sector,” Mr Mchechu noted.

He said that stronger oversight would increase productivity, strengthen the economy, and boost both tax and non-tax revenues–critical resources for the government to deliver essential public services. .

When Burna Boy stepped onto the legendary Red Rocks Amphitheatre stage in mid-November, the night was expected to mark a triumphant opening to his No Sign of Weakness North American tour. Instead, a brief but tense moment during the performance would ignite a global conversation, reshaping the early narrative of the tour and raising questions about the delicate balance between artistes, audiences and online scrutiny.

Midway through the set, Burna Boy paused, pointed toward a couple in the front section, and instructed security to remove them. “Please take her the fck home.

Fast, fast. Take her home.

I’m not doing no more songs until you take her home,” he said. The woman appeared to be asleep, and Burna Boy interpreted it as disrespect.

As security approached, sections of the audience booed, while others looked on in confusion. Within hours, video clips circulated widely across TikTok, X and Instagram, garnering millions of views.

What could have remained an isolated stage moment instead became the centre of a global debate. Among the earliest responses were emotional posts from fans who felt the ejection was unnecessarily harsh.

One user commented under a viral clip: “B calmly down, always be friendly to your customers. You’re nothing without us.

That’s my advice.” Another viewer wrote, “Poor woman kicked her out for sleeping, not knowing she was grieving, hurting and exhausted.

” Others argued that the situation could have been handled more gently: “All he had to say was, ‘Bro, your girl is sleeping. Wake her up, we’re about to party.

‘ That’s all.” The woman at the centre of the incident did not immediately make a public appearance, but screenshots shared online suggested she had recently experienced personal loss.

Many fans said this context made the moment feel more uncomfortable. Still, a minority defended Burna Boy’s reaction, noting that performers rely heavily on crowd energy.

“It’s his show, his vibe,” wrote one supporter. “Artistes need engagement.

Sleeping in the front row sends the wrong message.” Compounding the backlash was a resurfaced clip from a separate livestream, circulated with the caption: “Did I ask you all to be my fans? I’m only looking for fans with money these days.

” The context of the remark remains debated, but its timing deepened the criticism. Commentators such as DJ Akademiks and Joe Budden amplified the conversation, framing the episode within Burna Boy’s broader history of tense interactions with audiences.

Online users revisited older controversies, from his late arrival at a 2022 Lagos concert to previous sharp exchanges with fans, reinforcing a narrative of unpredictability. Soon after the Denver incident, updates appeared on ticketing platforms announcing the cancellation of Burna Boy’s scheduled shows in Minneapolis (November 28) and Chicago (December 1).

Promoters did not publicly attribute the decision to the Red Rocks controversy, and Burna Boy’s camp did not offer a detailed explanation. However, online trackers noted softening demand for certain US dates, while videos from later shows suggested smaller crowds than expected.

Even a slight dip in attendance can affect promoter confidence, tour logistics, and venue scheduling. A music promoter familiar with US touring economics, speaking anonymously, suggested that controversies can have rapid commercial consequences.

“When an artiste is trending for the wrong reasons,” he says, “people hesitate. Even fans who love the music may decide to wait and see.

” In the days following the backlash, Burna Boy addresses the situation through several posts. Initially defending his reaction, he compared the role of a performer to that of a pilot, “If you make the pilot uncomfortable in a plane you bought a ticket for, you will be deboarded or arrested once you land.

” The analogy was criticised as dismissive, but his tone shifted soon afterward. In a later post, he writes, “I sincerely apologise if I’m wrong.

I’m not always right, but I felt right about this. Anyway, I’m just human.

” During an Instagram livestream, Burna Boy elaborated further, acknowledging that the controversy had influenced public perception and possibly ticket sales. He also referenced personal challenges, saying the pressure of being a global figure sometimes intersects with mental strain.

Fan responses to the apology were mixed. Some accepted the explanation as a moment of vulnerability.

Others felt the apology was hedged and failed to fully acknowledge the emotional impact on the ejected fan. The incident also reignites discussion about the evolving economics of Afrobeats.

Given his repeated seven-figure grosses at arenas in the US and Europe, it appears that international markets now represent a major source of touring income, though precise revenue breakdowns by region are not publicly disclosed. Burna Boy’s international concerts have regularly smashed records.

For instance, in March 2024, his show at Capital One Arena in Washington DC grossed roughly USD 1.72 million, among the highest single-show revenues by any African artiste in the US.

Across eight major international concerts between 2022 and 2023, industry tracking data reports earnings totalling around USD12.3 million. What is clear is that his global touring success underscores how international markets, fuelled by overseas fans, have become key to the financial engine of top Afrobeats artistes.

While Nigerian fans remain core to his identity, their purchasing power is not as decisive in determining tour viability. As of publicly available tour listings, there is no record of a paid concert by Burna Boy in Nigeria since 2022, reflecting a shift toward global stages.

This means that when American and European fans voice displeasure, the financial effects can be immediate. Ticket cancellations, even in the hundreds, can influence promoter decisions, and online sentiment increasingly informs venue expectations.

Music journalist Joey Akan noted that trust is essential to the touring business. “The artistfan relationship is financial as well as emotional,” he writes.

“When fans feel disrespected, even momentarily, their response affects real-world outcomes.” A larger conversation about African artists abroad As Afrobeats continues its expansion, African artistes navigating global stages face heightened expectations.

Performers carry not only their personal brand but also, at times, the symbolic weight of a continent’s rising influence in global pop culture. In this context, a moment of misjudgment can quickly magnify.

Critics argue this creates unfair pressure; others say it comes with global visibility. In Burna Boy’s case, the Denver moment has become more than an isolated incident, it sits at the intersection of cultural expectation, artist responsibility and the realities of global touring economics.

For now, Burna Boy continues the North American leg of his tour while working to restore momentum. Industry insiders say the coming weeks will be critical in determining whether the controversy fades or becomes a defining feature of this tour cycle.

What is clear is that the incident underscores how quickly narratives shift in the age of viral media and how deeply fans’ voices now shape an artist’s trajectory. As one Denver concertgoer put it after the show: “I still love his music.

But this was a moment where he misread the room. Artists have power, but so do fans.

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Manyara. A wildfire has swept across Mount Hanang’ near Katesh in Manyara Region, raising concern among residents who initially questioned whether the blaze signalled volcanic activity at the summit.

Mount Hanang’, located in Hanang’ District, is Tanzania’s fifth-highest peak after Kilimanjaro, Meru, Loolmalasin and Oldonyo L’engai. The mountain rises 3,420 metres above sea level and forms the core of the 5,871-hectare Mount Hanang Forest Reserve neighbouring Katesh town.

The Manyara Regional Commissioner, Queen Sendiga, said the fire was likely caused by human activity, including illegal entry into the forest by people cutting trees for firewood and charcoal production. “Efforts to contain the fire are in progress, but strong winds at times spread the flames,” she said.

She added that beekeeping inside the reserve also increases the risk of fires. The Regional Commissioner dismissed claims of volcanic activity, stating that the blaze was a bushfire that had destroyed large areas of vegetation.

She confirmed that experts had been deployed to conduct a detailed assessment. A Hanang’ resident, Petro Joseph Akko, said the fire had burned for more than three days and had not been extinguished by the rainfall received in parts of the district.

The incident has revived memories of the December 3, 2023 disaster, when a landslide from Mount Hanang’ destroyed homes downhill and killed more than 100 villagers. The Conservation Officer for the Mount Hanang’ Reserve at the Tanzania Forestry Service, Abubakar Mpapa, acknowledged the destruction of both plant and animal life caused by the fire.

“We are using every available measure to suppress the fire,” he said. The Acting Regional Commander of the Manyara Fire and Rescue Brigade, Emmanuel Kibona, said boy scouts had been mobilised to assist in containing the blaze.

Preliminary assessments by the fire department show that more than 170 hectares have already been burned. Authorities reported that response efforts were difficult because the fire ignited in the middle of the night on December 3, 2025. .

Arusha. Tanzanians in the diaspora, in partnership with the National Museum of Tanzania, have launched a coordinated effort to recover the remains of traditional chiefs and priests, along with priceless cultural artefacts seized during the colonial era and transported to Europe.

The Senior Curator and Head of the Collection Department at the National Museum of Tanzania, Achiles Mafure, said the initiative follows extensive studies conducted in more than ten communities across the country.”We consulted tribes that resisted colonial rule, including those involved in the Abushiri uprising and the Majimaji war,” he said.

“They unanimously demanded the return of their heroes and leaders so they can finally be accorded proper customary burials.” He added that many community members want the remains of their ancestors–some of which were taken abroad and preserved as mummies–brought home so that “their spirits may rest in peace”.

Mr Mafure was addressing delegates at the 7th Annual Pan-African Diaspora Conference 2025, held in Arusha under the theme Reclaiming Our African Future: Unity, Repatriation, and Restitution in the Spirit of Bandung. The event was organised by the Bandung Conference Africa Institute, based in Kenya, in collaboration with the 6th Region African Diaspora Alliance Tanzania, and attracted participants from across the global African diaspora.

According to Mr Mafure, the Tanzanian government has already established a special committee to guide the repatriation mission. The Director of the Diaspora, Engagement and Opportunities Unit at the Ministry of Foreign Affairs and East African Cooperation, Salvator Marcus Mbilinyi, said members of the diaspora are strategically positioned to amplify Tanzania’s demands in the countries where the items currently reside.

“As diasporans, we are championing this mission abroad to ensure that Africa’s icons, artefacts, and invaluable treasures–looted and taken overseas–are returned intact,” he said. He cited examples including dinosaur fossils taken from Tanzania and now earning revenue for a German museum, from which Tanzania gains no benefit.

Other significant items include the Queen’s throne of the Kingu people in Singida, Zaramo artefacts transported to Germany, heritage belonging to Chagga chiefs such as Chief Marealle, the skull of Mangi Meli, Wahehe battle relics, and artefacts seized from the Ngoni and Ngindo communities following the Majimaji war. The Chairperson of the 6th Region African Diaspora Alliance, Nana Abena James, said the conference is intended to strengthen regional civil society initiatives by uniting voices from across Africa and its diaspora–including human rights advocates, climate activists, and conservationists–to support ongoing efforts on the continent.

She also noted the important role of the African diaspora in development, highlighting that in 2024 they remitted 94 billion US dollars to the continent–far exceeding the 64 billion dollars provided through official development assistance. Recognised by the African Union as its Sixth Region, the diaspora holds significant economic, social, and cultural influence.

Delegates therefore emphasised the need for stronger frameworks to boost cooperation and accelerate Africa’s development. .

Dodoma. The Tanzania Police Force has prohibited demonstrations allegedly scheduled for December 9, 2025 across the country, stating that they lack the legal authorisation required to take place.

According to the police, no letter has been submitted to or received by any District Police Commissioner’s office notifying them of the intended demonstrations. The decision follows reports of unlimited peaceful protests being promoted through social media.

On December 2, 2025 the police identified twelve matters that are reportedly being organised online ahead of December 9, 2025 warning organisers and promoters of acts that could disturb public order to desist, or face legal consequences. This repeated emphasis by the police on urging citizens to refrain from actions that disrupt peace comes after President Samia Suluhu Hassan addressed the nation, outlining how the government remains prepared at all times to manage criminal activity.

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Minneapolis. People of Somali origin are among those arrested in an immigration crackdown in Minneapolis, federal officials said on Thursday, two days after President Donald Trump hurled insults at immigrants from the Horn of Africa country and said he wanted them out of the United States.

The Minneapolis arrests began on Monday, the Department of Homeland Security said in its first statement on the operation. Officials did not give a total arrest figure but gave profiles of 12 people apprehended, five of them from Somalia, the rest from Mexico and El Salvador.

In the statement, Homeland Security Assistant Secretary Tricia McLaughlin portrayed them all as dangerous criminals with convictions ranging from fraud and vehicle theft to criminal sexual conduct and driving under the influence. Minneapolis Mayor Jacob Frey, a Democrat, has strongly criticized Trump’s attacks on the city’s Somali population and on Thursday called on Americans to “love and respect” Minnesota’s Somali immigrant community, which is the largest in North America.

Trump’s racist rhetoric against Somalis, and attacks on Minnesota politicians who defend them, has been applauded by his allies. On Tuesday, during a televised cabinet meeting, he reacted to reports of government fraud among pockets of Minnesota’s large Somali population by calling immigrants there “garbage” and saying he wanted them sent “back to where they came from.

” Anti-immigration rhetoric was a major part of Trump’s campaign. Since taking office in January he has overseen aggressive operations by masked federal agents across the country in a bid to drive deportations to record levels.

Along the way, Trump’s public language when speaking about immigrants has grown harsher. Crackdown in new orleans Also on Thursday, federal officials said they had arrested dozens of people in New Orleans, another Democratic-run city.

On day two of the New Orleans operation, protesters disrupted a city council meeting to demand councillors declare city property “ICE Free” zones where federal immigration agents could not stage operations. Protesters accused federal agents of indiscriminately targeting people of color, including U.

S. citizens, with no criminal record, an allegation the Department of Homeland Security denies.

New Orleans Mayor-elect Helena Moreno said in a statement, opens new tab on Wednesday the operation had created a culture of fear among the city’s most vulnerable residents. “We must do what we can to protect New Orleans and ensure due process is followed for all of our residents,” she said, announcing an online portal for citizens to report abuse from federal immigration officers.

Louisiana Governor Jeff Landry, a Republican, has supported federal immigration enforcement efforts. .

Dar es Salaam. The Government of Tanzania has acknowledged a series of statements issued over the past week by various development partners and foreign governments regarding the events of October 29, 2025, saying it has taken note of the concerns raised.

In a press release issued by the Ministry of Foreign Affairs and East African Cooperation, the government confirmed that it is aware of remarks made by a wide range of partners, including Belgium, Canada, Denmark, the European Union Delegation, Finland, France, Ghana, Germany, Ireland, Italy, the Netherlands, Norway, Poland, Slovakia, Spain, Sweden, Switzerland, the United Kingdom, as well as the United Nations Human Rights Council, the United States of America, and the Thabo Mbeki Foundation. According to the statement, the government expressed particular concern about the tone and content of some of the international comments, noting that these came despite a candid engagement between the Minister of Foreign Affairs and East African Cooperation and members of the Diplomatic Corps during a meeting held on November 28, 2025. The Ministry emphasised that while Tanzania recognises the role of the international community in supporting democracy and political development, it is equally important for partners to consider the steps the government has already taken–specifically highlighting the establishment of a Commission of Inquiry to investigate the post-election violence.

The Commission’s report, the statement noted, is expected to clarify the circumstances surrounding the October 29 events and guide future constructive engagement between Tanzania and its partners. “Tanzania remains committed to constructive international cooperation for peace and development,” the release read, calling on all stakeholders to allow national mechanisms to proceed with implementing measures already initiated by the government.

The government further reassured development partners of its ongoing willingness to engage on issues of mutual interest, stressing that such cooperation should be grounded in mutual respect and equality. .

Dar es Salaam. Authorities have moved swiftly to balance the supply and demand of upcountry passenger buses as holiday travel surges, prompting fare hikes and exposing ticketing loopholes.

The Land Transport Regulatory Authority (Latra) announced on December 3, 2025 that bus operators can now apply for short-term licences to operate additional services on high-demand routes. The move aims to ease congestion during the festive season and boost the availability of buses for travellers heading upcountry.

According to Latra, applicants must meet strict requirements to ensure safety and reliability, including a minimum carrying capacity of 40 passengers, a valid Special Hire Bus licence, connection to the Vehicle Tracking System (VTS), valid insurance, and an up-to-date Vehicle Inspection Report (VIR). All buses must hold a valid operational licence, and drivers are required to have a registered Identification Button (i-button) and sell tickets through the official online platform, Tiketi Mtandao, to reduce fraud.

“All applications must be submitted through the Licensing System with the required attachments,” Latra said, stressing that adherence to these standards is crucial to safeguard passengers during periods of high demand. Passengers and operators are encouraged to contact Latra for guidance via the toll-free lines 0800 110 019 and 0800 110 020 or at its offices at Magufuli Bus Terminal.

The decision comes as the surge in passengers has revealed ticket scalping, where some individuals purchase tickets only to resell them at inflated prices. Fares from Dar es Salaam to Njombe have jumped from S8,000 to Sh65,000; DarIringa from Sh35,000 to Sh55,000; and DarMtwara from S0,000 to Sh55,000. Speaking anonymously, one young reseller admitted the practice is driven by high demand.

“It’s coordinated by bus owners. I sell tickets to Njombe at Sh65,000 instead of S8,000. I keep Sh10,000, and the bus owner takes the rest,” he said, adding that passengers who cannot pay the higher fare are left behind.

Tanzania Bus Owners Association (Taboa) director Mustapha Mwalongo acknowledged the problem but said passengers also contribute. “These practices happen discreetly, but passengers insist on travelling even when buses are full.

That is the source of the issue,” he said, advising passengers to avoid buying from unknown sellers. The Officer-in-Charge at Latra’s Magufuli Terminal, Ms Rukia Kibwana, said authorities monitor offenders and refer them to the police.

She also encouraged passengers to book tickets online and be patient if buses are full. To manage demand, Latra has issued short-term permits to operators serving Iringa, Dodoma, Tanga, and Morogoro, with more than a dozen permits granted since 1 December.

Passengers report that despite online systems showing sold-out services, young resellers at terminals continue to sell tickets for cash. Ms Sabina Milinga, travelling to Njombe, paid Sh65,000 for a ticket officially priced at S8,000. Mr Helman Gelrad, going to Iringa, paid Sh55,000 for a ticket costing Sh35,000, while Mr Meshack Mbangula had to postpone his trip to Tanga after failing to pay the inflated fare.

Ms Kibwana advised passengers heading north to consider rail transport, with trains departing Mondays and Fridays to ease bus congestion. Travelling to Zanzibar At Zanzibar, large crowds were reported at ticket offices and waiting areas.

Ms Jasmine Hashimu said students and workers are rushing to visit relatives during the holidays. “Many schools have closed, so students are returning home while others visit family and friends,” she said.

Mr Khalfan Ahmad, returning to Dar es Salaam, noted that universities reopened last week, prompting increased travel. Another passenger said early school closures meant the holiday travel rush began sooner than usual.

Mariam, a food vendor at the terminal, said demand for meals had surged, particularly in mornings and evenings. “People are so many that seating is limited, but we are grateful as it brings income,” she said.

Reported by Helen Nachilongo, Tuzo Mapunda and Mariam Mbwana .

Mbeya. The government has called for greater utilisation of geoscientists to accelerate economic growth, noting that their work has been central to Tanzania surpassing its goal key resources to contribute at least 10 percent to the national income.

It said members of the Geological Society of Tanzania (TGS) form a core professional group whose discoveries–ranging from minerals and geothermal resources to groundwater, oil and gas–continue to underpin national development. Speaking in Mbeya while opening the TGS annual general meeting, Chief Secretary and Secretary to the Zanzibar Revolutionary Council, Ms Zena Ahmed Said, said the society’s contribution comes at a critical moment as Tanzania begins implementing its Vision 2050. She urged TGS to reflect on how its expertise can support the execution of the long-term strategy, particularly under the pillar on Wealth and Natural Resources, where geoscientists play a pivotal role.

“Geoscientists have been instrumental in enabling the implementation of Pillar Four under Vision 2050. Their work has contributed significantly to the discovery and development of mineral deposits, groundwater, oil and gas,” she said. “Today, we would not be celebrating the achievement of surpassing the 10 percent contribution to the national income without the major discoveries made in the minerals sector,” she added.

She also emphasised the sector’s importance as the world transitions from fossil fuels to clean energy, calling on geoscientists to continue guiding the government on identifying resources that support the clean energy agenda. “We should not forget to discuss the use of technology to improve our efficiency as geoscientists, including the application of Artificial Intelligence (AI) in locating minerals and oil,” she said.

For his part, TGS president Dr Elisante Mshiu said the gathering is part of the society’s annual tradition and praised Mbeya Region’s natural attractions, which delegates had a chance to explore during field excursions. Since its establishment in 1969, he said, TGS has recorded numerous achievements, including strengthening regional and international cooperation and expanding professional development opportunities for its more than 4,000 members through conferences, seminars, training and study tours.

“These activities have enabled us to build the capacity of our members and contribute to public education–from schools to communities–while supporting the discovery and development of minerals, energy, geothermal resources, oil and gas,” Dr Mshiu said. He noted, however, that the society continues to face challenges, including the ongoing process of establishing a geoscientists’ registration board in collaboration with the government.

Delivering regional greetings, Assistant Administrative Secretary for Production and Economy, Ms Anna Mwambene, underscored the importance of geoscientists in assessing land suitability for settlement and mining. “I recall floods that occurred in Itezi some years ago.

Had we had experts who had assessed the soil composition of Mount Kawetere, we would have detected the risk early and taken precautions,” she said. “Our region is the second-largest in mining activities.

We need research from geoscientists to help identify safe residential and mining zones. This will boost our regional economy and enhance public awareness,” she added.

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Dar es Salaam. In the bustling streets of Dar es Salaam, amid the noise of traders and the rush of shoppers, a silent financial system has taken hold–one that operates outside the law yet thrives openly on every street corner.

A trend that has taken root far from the polished halls of Tanzania’s Central Bank or the neat ledgers of licensed financial institutions. It is fast, ruthless, convenient, and increasingly indispensable for thousands of Tanzanians who can no longer access credit from formal banks.

In recent years, informal lenders–commonly known as shylocks–have spread across Tanzania’s urban and rural landscapes, offering fast loans with little bureaucracy. Interest rates in this unregulated market range from 20 percent per month to as high as 50 percent with some hitting 100 percent.

These figures dwarf the Central Bank of Tanzania’s (BoT) legal limits and expose borrowers to cycles of unmanageable debt. A system fueled by desperation For small business owners like food vendors, boda-boda drivers, and market traders, emergencies rarely wait for bank processes.

Many have no collateral, no formal employment, and no bankable history. With commercial lenders demanding documentation and guarantees they cannot provide, borrowers turn to the only option available: the informal lenders who offer money “now, even yesterday,” as one trader puts it.

“It’s not that these guys hide,” says Fred Sanga, a trader in Kariakoo. “They are very clear about their terms from day one.

They tell you what you qualify for, what you don’t, and how fast you must pay. Apart from the fact that they are outside the law, I don’t see why they should be considered a problem.

” Mr Sanga insists that the real issue is the absence of a friendly credit environment for small businesses. “If banks were accessible, affordable, and responsive, these people wouldn’t exist,” he says.

His view is echoed–almost unexpectedly–by economists. Prof Abel Kinyondo, an economist and lecturer, says the shylock phenomenon is less a sign of criminality and more evidence of a financial system that has failed to serve the majority.

“Rather than calling it a danger, we should ask: why are they here in the first place?” he says. “If the formal system was adequate, affordable, and quick, people would run away from informal lenders.

But banks are slow, risk-averse, and often inaccessible. These guys simply fill a gap.

” Prof Kinyondo argues that lenders exist because the demand for emergency, flexible credit far outweighs what banks can offer. “People want money now, not next week.

No bank can do that. Informal lenders can,” he says.

Even those who qualify for formal loans sometimes opt for informal borrowing because of its convenience–no paperwork, no collateral, no bureaucracy. “They take trust as collateral.

Sometimes just someone to reference you. That convenience is missing in the formal system,” Prof Kinyondo adds.

Debt that follows you home But convenience comes at a punishing price. Borrowers who default often lose household items, tools of trade, or even business stock.

Ms Amina Makanza, a food vendor in Buguruni, knows this reality too well. Desperate after her son fell ill, she borrowed Sh 500,000 and agreed to repay Sh 750,000 in 30 days.

When she failed, the lender confiscated her cooking utensils and ingredients–leaving her not just indebted, but jobless. Her story is one of thousands.

Tanzania’s laws require all lenders to be registered and licensed, with interest rates capped by the Bank of Tanzania (BoT). But enforcement remains another issue.

Many shylocks operate openly, advertising loans on posters, WhatsApp groups, and even through employers. Borrowers often fear retaliation, and some lenders allegedly enjoy informal protection from local authorities.

Prof Kinyondo is cautious with the word “danger,” but agrees the system is harmful–especially when borrowers lack financial literacy. “Yes, interest rates go to 50 percent or even 100 percent,” he says.

“But borrowing beyond your ability to repay also fuels the problem. It takes two to tangle.

” But the wider economic consequences are hard to ignore Unchecked, the shylock economy poses a series of deep and far-reaching risks. As more households become trapped in cycles of costly debt, a growing share of their income is diverted away from productive activities, ultimately depressing productivity and limiting economic mobility.

Experts say that with increasing volumes of money circulating outside regulatory oversight, the effectiveness of national monetary policy is also compromised. And as more borrowers lose property, businesses, and even their sense of dignity through harsh recovery practices, the system risks fuelling social unrest–turning private financial distress into a wider public crisis.

Why people still choose them In many cases, borrowers don’t see shylocks as criminals–they see them as reliable and convinient. “They are sincere,” Sanga says.

“They tell you their terms clearly. Banks don’t.

” Borrowers also speak of speed, convenience, and proximity. The shylock is your neighbour, your colleague, or the man at the electronics shop whose phone is always reachable.

Many operate discreetly but efficiently, collecting payments through mobile money or sending agents to workplaces. To dismantle the shylock economy, experts say Tanzania must fix its formal financial system rather than simply criminalize borrowers and lenders.

Prof Kinyondo believes the responsibility lies heavily with the Bank of Tanzania. “My real issue goes back to government–and the BoT in particular,” he says.

“Commercial banks must be supported to provide accessible, affordable, and timely credit. As long as that doesn’t happen, people will keep going to informal lenders.

” Tanzania now stands between two possible futures: One where the shylock economy becomes the dominant source of credit, deepening poverty and inequality; or another where financial reform extends dignity and stability to the millions locked out of the banking system. A survey by The Citizen shows that the shylocks are not a mystery.

They are a response. And unless the formal system evolves to meet the needs of ordinary Tanzanians, the informal one will continue to flourish–at an unbearable cost.

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