"Tanzania has decided to withdraw for reasons of security and lack of funds," a statement said.
President Magufuli announced the decision yesterday at a meeting of top diplomats in Dar es Salaam, the country's biggest city.
Tanzania informed the United Nations High Commissioner for Refugees (UNHCR) in January that it was suspending the granting of citizenship to some Burundian refugees and that it would discourage new asylum applications.
Tanzania has long been considered a safe haven for refugees, particularly from Burundi and the Democratic Republic of Congo.
According to UNHCR, the "comprehensive refugee response framework" approach is based on the idea that refugees should be included in their host communities.
When refugees have access to education and the right to work legally, they can develop their skills and be more self- reliant, contributing to the local economy.
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