Tanzania Mobile Money Fees Explained
Mobile money in Tanzania is everywhere, but the fees aren't always obvious. On top of each operator's base fee, Tanzania adds a 10% excise duty and 18% VAT, and withdrawing cash at an agent attracts a separate government levy. This guide explains the layers and shows worked examples.
Reviewed by the Calculator editorial team · Last updated 6 September 2026
The fee has three layers
Mobile money charges in Tanzania are built from three parts: the operator's base fee (set by amount band and operator), a 10% excise duty plus 18% VAT on top of it (about 1.298× the base fee), and, for cash withdrawals only, a banded government withdrawal levy.
Sending is cheaper than withdrawing
Sending money (person-to-person, cross-network, or to a bank) is exempt from the government withdrawal levy, so you only pay the base fee plus the 10% excise and 18% VAT. Withdrawing cash at an agent adds the levy, which is why cash-out costs more.
Which operator is cheapest?
It depends on the amount and what you're doing. M-Pesa is often cheapest for small sends (free up to 10,000 TZS), while the cheapest withdrawal varies by operator and amount. Use the calculator to compare for your exact amount.
Worked example
Withdrawing 10,000 TZS from M-Pesa at an agent costs about 1,552 TZS (base fee 1,450 + levy 102), so you'd receive about 8,448 TZS. Sending 50,000 TZS via Airtel Money costs about 883 TZS (base 680 + tax 203), so you'd pay 50,883 TZS.
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Frequently asked questions
How are mobile money fees calculated in Tanzania?
The operator charges a base fee by amount band, then Tanzania adds a 10% excise duty and 18% VAT (about 1.298× the base fee). Withdrawing cash at an agent also adds a banded government levy.
Is there a levy on sending money?
No. The government withdrawal levy applies only to agent cash-out; sending money (P2P, cross-network, to bank) is exempt from the levy.
Which provider has the lowest fees?
It depends on the amount. M-Pesa is often cheapest for small sends (free up to 10,000 TZS); use the calculator to compare for your exact amount.