Masabo, Conrad John2017-05-152017-05-152012-12Masabo, C. J., 2012. The Bank of Tanzania as the Custodian of the Tanzania Economy: Opportunities and Challenges. Africa Tomorrow, 14(2), 171-186.ISSN 1821-8083http://hdl.handle.net/20.500.11810/4539When Tanzania embarked on fundamental transformation of its economy almost two decades ago one of the top agenda in the economic reforms was the need to overhaul the financial system. And in view of pivotal role it plays in the country’s economy, the banking sector was the first to undergo reforms. Implementation of the reforms followed recommendations of the Presidential Commission on the need to modernize the banking sector dubbed the Nyirabu Commission. The BOT Act of 1995 was a landmark in Tanzania’s monetary history by adopting a single policy objective, i.e. price stability and moving away from multiple-policy objectives. More radical changes were felt following the repealing of the BOT Act, of 1995, by enacting the BOT Act, of 2006 in 2006 which is the basis of legal framework under which the BOT operates today. In that light of reforms this paper therefore sets forward to expose how the Bank of Tanzania (BoT) is the custodian of the economy of Tanzania as well as the problems that Bank of Tanzania faces in the management of the economy.enBoT, Economy, Reforms, Corruption, GDP, FinancialJournal Article, Peer Reviewed