About FSDT

Established in 2004, the Financial Sector Deepening Tanzania (FSDT) is a donor-funded financial sector market facilitator that aims to achieve poverty reduction through a transformative financial sector that offers quality, inclusive and sustainable financial solutions to improve the livelihood, wellbeing, and empowerment of underserved Tanzanians.

FSDT has undergone four strategic phases that have provided valuable contributions to the financial sector in Tanzania. Following the market entry phase (2004-2006), FSDT’s primary focus was on microfinancing (2006-2012). From 2013-2015, projects and initiatives were introduced that focused on overcoming fundamental access barriers to financial service provision. In the recently completed strategic period (2016-2021), the emphasis shifted to driving uptake and usage of formal financial services. This shift was in alignment with the direction of the National Financial Inclusion Framework 2018-2022 (NFIF II).


Throughout this period, FSDT has established itself as a valuable partner in the financial sector, both in Tanzania and across the global network. FSDT has effectively facilitated changes that lead to a more inclusive and effective financial system. Evidence shows that the strategy has made significant contributions in efforts to provide a sound policy and regulatory environment for financial services. This in turn led to a general enhancement financial inclusion and financial sector development. In addition, FSDT has played a leading role in driving innovations and infrastructure developments for Tanzania’s financial sector.

The new FSDT strategy (2022-2026) has intentionally decided to prioritize women and youth. FSDT believes that focusing on these two underserved markets will provide the necessary weight and foundation required to contribute towards the country’s overall goal of poverty reduction through improved wellbeing, livelihood, and empowerment of women and youth. The national strategies (Tanzania Vision 2025, Five Year Development Plan (FYDP) III, FSDMP, NFIF II) also highlight the importance of women and youth in either accelerating growth or consider them as being the priority beneficiaries of various developmental responses.

The primary outcomes for the new FSDT strategy (2022-2026) are to provide improved policies and legal and regulatory frameworks that drive the utilisation of quality financial solutions.

It also aims to promote the equality, improved livelihood, and economic empowerment of women and youth, as well as to provide the improved availability of relevant financial sector infrastructures. This will equip the financial sector players with the ability to meet the needs and aspirations of women and youth, as well as Financial Services Providers (FSPs) in developing and scaling innovative and responsive financial solutions/tools for women and youth. The next FSDT strategy aims to achieve the outcomes of increased equality, improved livelihood and economic empowerment, as well as improved capabilities of women and youth in Tanzania.

As a result of these outcomes, market actors such as FSPs, functions supporters, and public and private stakeholders, will develop quality financial solutions to women and youth. These solutions must be wide ranging, affordable, responsive, relevant, and reliable, as well as be delivered in a transparent manner.This will lead to increased uptake of quality financial solutions by women and youth and, as a result, increased usage of quality financial solutions.

Once FSDT and its partners focus on unlocking access to finance and better financial management tools for women and youth, we anticipate that our target markets will improve their livelihood (health, education, water, and decent housing) and economic empowerment (growth in economic activities and agency) as a result of increased income brought about by increased productivity, resilience to shocks, wealth creation, and better financial management (lumpy incomes, expenditure, and investments in agriculture). FSDT is cognizant of the fact that access to finance will not, by itself, lead to increased income levels for women and youth. As a result of this, FSDT aims to partner with other partners and relevant stakeholders to resolve these other constraints.