Tanzania's financial markets closed the week to 23 October 2026 with a notable increase in Interbank Foreign Exchange Market turnover, which more than tripled to USD 60.80 million from USD 19.70 million a week earlier. The Bank of Tanzania released the figures on 26 October 2026 in its ninth Domestic Financial Markets Weekly Report. This report consolidates foreign exchange, money market, and government securities data for the trading week from 19 to 23 October 2026.
The outstanding Government Securities in Tanzania stood at TZS 34,217.52 billion as of the week to 23 October 2026. This comprised Treasury bonds worth TZS 30,537.77 billion, or 89.25%, and Treasury bills worth TZS 3,679.76 billion, or 10.75%. A Treasury bills auction, No. 1209, was held on 21 October 2026, offering 35, 91, 182, and 364-day tenors. The auction attracted 88 bids, of which 65 succeeded.
In the Treasury bills auction No. 1209, investors tendered TZS 457.58 billion against an offered amount of TZS 388.70 billion, resulting in an oversubscription of TZS 68.88 billion. The total allotment reached TZS 360.90 billion. The weighted average yields were 3.5379% for the 35-day tenor, 3.6357% for the 91-day, 5.5712% for the 182-day, and 6.1342% for the 364-day. Demand was higher for the long-end tenors.
The distribution of outstanding Government Securities by investor category showed that banks held the largest share at 34.43%, worth TZS 11,780.30 billion, followed by Pension Funds at 29.70%, worth TZS 10,162.80 billion. Retail Investors held 17.70%, worth TZS 6,055.95 billion, while Collective Investment Schemes and other official entities held 8.06%, worth TZS 2,757.91 billion, and Insurance Companies held 7.23%, worth TZS 2,475.06 billion.
The Bank of Tanzania onboarded 4,015 new clients in the current fiscal year, bringing the total number of registered investors in government securities to 35,517. The next government securities auction is scheduled for 28 October 2026, when a 20-year Treasury bond will be offered under the issuance calendar. The shilling exchange rate against the US dollar eased 0.14% over the week to close at TZS 2,636.74.
Retail foreign exchange transactions decreased to USD 575.68 million from USD 604.89 million the previous week. Trade led retail turnover at USD 172.34 million, followed by Oil & Energy at USD 80.55 million and Agriculture at USD 78.09 million. The Interbank Cash Market 7-day Weighted Average Rate closed the week at 6.59%, and the Bank injected TZS 774.96 billion through 7-day reverse repurchase agreements at the Central Bank Rate of 6.25%.
The Monetary Policy Committee maintained the Central Bank Rate at 6.25% for the fourth quarter of 2026, with GDP growth projected at 7.2%, driven by agriculture, construction, mining, and tourism.
Key points
- Interbank Foreign Exchange Market turnover tripled to USD 60.80 million.
- Outstanding Government Securities stood at TZS 34,217.52 billion.
- The shilling eased to TZS 2,636.74 against the US dollar.
