Title: Making Green Finance Work for Everyone in Tanzania: A Case Study of Iringa Municipality
Authors: Theobald Francis Kipilimba
Volume: 10
Issue: 2
Pages: 67-71
Publication Date: 2026/02/28
Abstract:
The concept of "inclusive green growth" aims to simultaneously advance environmental health and economic equity. Achieving this requires channeling capital-green finance-towards sustainable projects like renewable energy and climate-resilient agriculture. This study investigates whether such financial innovations genuinely reach and benefit marginalized communities in Iringa Municipality, Tanzania. Employing a mixed-methods approach with a sample size of 198 respondents, data was gathered through surveys and in-depth interviews. Findings reveal a landscape of constrained potential. General awareness of green finance products is only moderate, with nearly one-third (30.3%) of respondents having little to no knowledge of their existence. Significant accessibility barriers persist, primarily stringent collateral requirements, complex application procedures, and a digital skills gap. For the minority who accessed these services, benefits were evident: approximately 30% reported meaningful income increases, and the tools promoted eco-friendly practices. However, benefits were unevenly distributed due to poorly tailored products, unreliable digital infrastructure, and institutional distrust. The study identifies a strong foundation for growth, including widespread mobile money use and robust community networks. To realize inclusive green growth, deeper structural issues must be addressed: inconsistent policy implementation and the systematic exclusion of vulnerable groups like women. Key recommendations include designing low-collateral financial products, leveraging popular digital channels for dissemination, integrating financial literacy into programs, and improving policy coordination. The study concludes that for green finance to be a true engine of inclusive and sustainable development, it must be fundamentally redesigned around the lived realities and needs of the communities it intends to serve.