The Rufiji Delta hosts 53,255 hectares (46% of the country’s mangrove coverage) of mangroves in Tanzania, constituting an integral component of the livelihoods of the communities who have settled within and around the delta for generations. The delta presents a complex human-natural system where communities benefit from the extractive use and conversion of mangroves and associated resources to sustain their livelihoods. However, traditional dependence on mangroves and associated resources exposes them to degradation and habitat loss. While the state nominally governs the extractive exploitation of mangroves, enforcement has been far from full and effective. Sustainable conservation and utilization measures are complicated by a complex governance framework that gives communities little opportunity to influence decisions and participate. As such, new strategies that would incentivize and promote a sense of responsibility are needed to engage and empower mangrove-dependent local communities, state institutions, and local authorities for balanced conservation and socio-economic welfare. While the Participatory Forest Management (PFM) strategy offers an opportunity to realize such co-management arrangements, this has not been well defined or demonstrated for mangrove forests, considering the uniqueness and complexities of the habitats, actors, and actor interests.