DAR ES SALAAM, July 13 -- THE International Monetary Funds (IMF) approval of a 443.8 million US dollars (about 1.17tri/-) disbursement to Tanzania is welcome news, providing additional external financing and reaffirming confidence in the countrys economic reform programme.

Coming at a time of heightened geopolitical tensions and climate-related disruptions, the financing provides valuable fiscal space, enabling Tanzania to strengthen economic resilience and support priority development and climate adaptation programmes without excessive reliance on costly commercial borrowing.

Yet the data underpinning the Funds latest review tells a more nuanced story. Behind the successful review are signs that both fiscal and monetary policy are oper...