The United Republic of Tanzania has introduced a new regulation called the Business Licensing (Prohibition of Business Activities for Non-Citizens) Order, 2025. This law aims to control the types of business activities that non-citizens can engage in within the country. It emphasizes the importance of national ownership and seeks to promote local businesses by restricting certain economic activities to Tanzanian citizens only.
These activities include the wholesale and retail sale of goods, excluding supermarkets and specialized outlets, mobile money transfers, repair services for mobile phones and electronic devices, and certain hospitality services such as salons unless conducted within a hotel or for tourism purposes. Additionally, non-citizens are barred from engaging in small-scale mining, postal services, tour guiding, and the ownership or operation of radio and television stations.
The regulation further restricts the operation of museums, curio shops, real estate brokerage, clearing and forwarding services, and agricultural purchasing activities. It also prohibits non-citizens from owning or operating gambling machines outside casino premises and from owning micro and small industries.
The law also sets consequences for non-compliance. Non-citizens who carry out prohibited activities may face fines of at least (10) ten million Tanzanian shillings, imprisonment for up to (6) six months, and the revocation of their visas or residence permits. Tanzanian citizens who assist or help non-citizens in violating these rules can be fined up to (5) five million shillings or imprisoned for up to (3) three months.
Existing licenses held by non-citizens for activities covered under this order will remain valid until they expire. After that, these activities will only be permitted if carried out by Tanzanian citizens, aligning with the government’s goal to encourage local entrepreneurship and reduce foreign control in certain sectors.
This is a significant step towards fostering local business development and safeguarding national interests. It encourages Tanzanians to participate actively in the economy while regulating foreign involvement in key industries.
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