The Bank of Tanzania has reduced its liquid reserves while increasing its gold holdings, indicating a strategic shift in managing the country's foreign assets amid global economic uncertainties. As of May, the central bank's cash and cash equivalents were at 3.99 trillion Tanzanian shillings, a slight decrease from 4.03 trillion shillings at the end of the previous month, according to Daily News.

According to Tanzania Affairs, the Bank of Tanzania is positioned to sustain the stability of the shilling due to its strong gold reserves. This stability is attributed to the leadership of President Dr. Samia, who has carefully managed initiatives to support the economy in 2026.

According to the Bank of Tanzania's May 2026 review, Tanzania's exports increased by 13.5% to USD 18.9 billion for the year ending April 2026, driven primarily by gold and tourism. The report also noted a rise in headline inflation to 4% due to higher fuel prices, a 23.6% growth in private sector credit, and an appreciation of the Shilling by 2.7%. Foreign exchange reserves reached USD 5.7 billion, sufficient to cover 4.4 months of imports.

The Monetary Policy Committee (MPC) of the Bank of Uganda (BoU) decided to keep the Central Bank Rate (CBR) at 9.75 percent during its meeting on 14 May 2026. The Committee noted that while risks from the Middle East conflict could increase inflation, the current monetary policy is deemed appropriate for the existing macroeconomic conditions. Inflation has remained below the medium-term target of 5 percent over the past year, ending in April 2026.

As of July 2, Kenya's foreign exchange reserves stood at USD 14.047 billion, which is sufficient to cover six months of imports. This amount exceeds the statutory minimum requirement set by the Central Bank of Kenya (CBK). The information was detailed in the CBK's latest Weekly Bulletin released on July 3, indicating that the reserves provide a strong buffer against external economic pressures.

Gold prices are facing challenges due to rising interest rates, as analyzed in the latest updates from Growthpoint, Nedbank, and Vunani's return to profitability. The impact of these economic factors on the gold market is significant, influencing investor behavior and market dynamics.