Legal gaps and challenges in Tanzania’s financial consumer protection: The missing role of alternative dispute resolution

The expansion of Tanzania’s financial sector has led to an increase in disputes between banks and consumers, particularly regarding issues of fairness, transparency, and accountability. Despite this, the Bank of Tanzania (Financial Consumer Protection) Regulations of 2019 provide for complaint determination. Still, they fail to integrate Alternative Dispute Resolution (ADR) mechanisms, such as mediation, conciliation, and arbitration. This article examines the legal gaps and challenges within Tanzania’s consumer protection framework, focusing on the absence of structured ADR procedures. Drawing on doctrinal and international standards, it argues that the lack of ADR integration not only limits access to justice but also hinders consumer’s confidence in financial services. This article concludes by recommending regulatory reforms, including the establishment of an independent financial complaint desk, which will comply with international consumer protection guidelines and enhance awareness and fairness in financial dispute resolution.