Dar es Salaam. Tanzania is set to host the prestigious World Travel Awards 2025 Africa & Indian Ocean Gala Ceremony in Dar es Salaam on June 28. In a significant move to attract more private sector engagement in the tourism industry, the government has announced major reductions in licensing fees cutting them by up to 80% and scrapped several operational charges. These changes are aimed at making it easier for local businesses to operate and are now payable in Tanzanian Shillings.
The new fee structure, announced on May 19, 2025, by the Minister for Natural Resources and Tourism, Dr. Pindi Chana, during the 2025/26 budget presentation in Dodoma, categorizes fees by hotel star rating and significantly lowers the cost of doing business. For instance, five-star hotels will now pay $1,500 instead of $2,500, four-star hotels will pay $1,000 (down from $2,000), and three-star establishments will see a drop from $1,500 to $500. Two-star and one-star hotels will pay $300 and $200, respectively, a sharp decline from the previous $1,200 and $1,000.
Mountain climbing agents will benefit from a reduced fee of TZS 3 million (about $1,100), down from TZS 5.3 million (roughly $2,000). Similarly, the Tanzania Tourism Business License (TTBL) fee for tour guides has been lowered from $50 (about TZS 130,000) to TZS 35,000 (approximately $12). Licensed tour guides will also enjoy exemption from park entry fees when accompanying clients.
Dr. Chana emphasized the government’s commitment to working hand-in-hand with private stakeholders through the Tanzania National Business Council (TNBC) and regular consultation meetings to improve the tourism and conservation sectors.
Tourism Revenue Performance
By March 2025, Tanzania had generated TZS 877.39 billion in tourism revenues representing over 90% of its annual target. International tourism earnings surged from $1.3 billion in 2021 to $3.9 billion in 2024, while domestic tourism revenues also grew significantly from TZS 46.3 billion in 2021 to TZS 209.8 billion in 2024. This performance has placed Tanzania among the top global and African leaders in post-pandemic tourism recovery, ranking 9th worldwide and 3rd in Africa for tourism revenue growth.
