This study aimed to identify leadership practices that contribute to Ilala, Tanzanias SME success and sustainability. The study examined how sustainable leadership affected Tanzanias Ilala SMEs long-term performance. The study focuses on successful SME leaders in micro, small, medium, and large firms with one to 100 employees and 5 million to 800 million Tanzanian shillings in capital investment (Tshs). This study links variables using quantitative data. Validate the models accuracy. Using t-tests and path values, PLS validates hypotheses. We concluded from the data: Research shows that organizational learning affects SMEs long-term leadership. Sustainable leadership improved Tanzanias Ilala SMEs social performance. The research found that sustainable leadership helped SMEs in Tanzanias Ilala region. Organizational learning improves SMEs long-term social performance in Tanzanias Ilala. According to research, sustainable leadership does not affect economic success. Sustainable leadership seems to indirectly promote sustainable economic success. Organizational learning moderates sustainable leadership and environmental performance. Organizational learning (OL) alters the link between sustainable leadership (SL) and sustainable social performance (SSP). Organizational learning (SECP) moderates sustainable leadership and economic performance. The government may promote leadership development. Training and mentoring can make SMEs more productive and sustainable.