The unpopular banking and mobile money transaction fees will no longer be imposed on citizens in Tanzania.
President Samia Suluhu Hassan directed the abolishment of the transaction fees according to Finance Minister Mwigulu Nchemba.
“I would like to present this report whereby we have made the following adjustments that would reduce the burden of transaction fees in the society,” the minister told MPs.
The move affects charges for transactions from bank accounts to mobile money accounts, transactions within the same bank, and transactions from one bank to another.
The changes will come into effect on 1 October.
The minister said the changes will greatly affect the government’s revenue, but ordered state agencies to cut expenditures on snacks, seminars and workshops.
Last year, the banking and mobile money transaction fees was imposed amid public outcry.