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Tanzania’s real-time payment transactions surged in 2024, with the Tanzania Instant Payment System (TIPS) processing TSh29.9 trillion (US$11.6 billion) by year-end—more than double the TSh12.5 trillion (US$4.9 billion) recorded in 2023, according to the Bank of Tanzania’s (BoT) latest financial stability report.
Launched in 2020, TIPS enables instant fund transfers between banks, mobile money wallets, and other licensed financial institutions, forming a cornerstone of the country’s strategy to unify its payments ecosystem and enhance interoperability.
The platform processed 454 million transactions in 2024, nearly double the 236 million recorded the previous year, driven by an expansion in participating institutions to 46. BoT highlighted TIPS as a critical element of Tanzania’s digital financial infrastructure, advancing instant payments and fostering financial inclusion—especially in underserved communities.
Unlike Kenya’s market-led approach—where Safaricom’s M-Pesa continues to dominate—Tanzania has adopted a centralised model, with the central bank operating TIPS as a national clearing system. However, Kenya’s mobile money market remains far larger, processing KES8.7 trillion (US$67.3 billion) in 2024, equivalent to more than half of its GDP.
Tanzania has also enhanced its Financial Services Registry with geospatial mapping capabilities to monitor access to financial services and address persistent rural gaps. By December 2024, the country had over 52,000 access points, including mobile money agents, bank branches, and ATMs. Yet, distribution remains uneven—rural districts often fall below the national average of 4.8 access points per 10,000 adults, compared to Dar es Salaam’s 15 per 10,000.
The regulator plans to leverage the mapping tool to guide investments toward underserved regions. For comparison, Kenya had more than 320,000 mobile money agents in 2024, averaging 11 access points per 10,000 adults, according to the Central Bank of Kenya.
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