Tanzania has secured $408.9 million (TSh 1.1 trillion) from the $722.6 million pledged at COP29 for environmental conservation and climate initiatives, according to local news source The Citizen.
The funds are now available for implementation, with projects having commenced in March 2025.
Announcing the development in Parliament on April 25, Minister of State Hamad Masauni highlighted key COP29 outcomes, including the operationalization of the Loss and Damage Fund, approval of tree planting for carbon trading, and the development of a transparent carbon trading framework.
He urged institutions to integrate carbon trading into their development strategies, noting that citizens in ten districts had already received $16.8 million from carbon credit sales.
Relevant: Carbon Tanzania Released Its Latest Impact Report For 2023
However, a report by the Controller and Auditor General (CAG) revealed significant setbacks in Tanzania’s carbon trading sector.
From January 2023 to July 2024, only $13.4 million was generated from carbon credits—just 3% of the $468.4 million potential revenue.
According to The Citizen, the report cited poor coordination, limited awareness, and inadequate government guidance as key challenges. Of 56 registered carbon projects, only four were implemented.
Despite these issues, the government remains committed to strengthening climate resilience.
The 2025/26 budget proposal includes $30.4 million for initiatives such as ecosystem restoration, biodiversity conservation, and climate adaptation in woodland communities across mainland Tanzania and Zanzibar.
On Union matters, $18.3 million was disbursed to Zanzibar by March 2025, with $743.5 million allocated to development projects in sectors like health, education, and infrastructure.
Parliamentary Committee Chairman Dr Joseph Mhagama urged the government to ensure timely funding and improve monitoring of Union projects.
