Tanzania's financial markets closed the week to 2 October 2026 with the 15-year Treasury bond yield rising to 10.7907%, up from 10.5515% at the previous auction of the same tenor. The Bank of Tanzania released the figures on 5 October 2026 in its sixth Domestic Financial Markets Weekly Report. This report brings together foreign exchange market, money market and government securities data for the week in a single release.
The 12.25% 15-year Treasury bond No. 696, maturing on 19 February 2041, attracted 312 bids at the auction held on 30 September 2026, of which 208 were successful. Investors tendered TZS 504.13 billion against an offered amount of TZS 207.27 billion, an oversubscription of TZS 296.86 billion that produced a bid-to-cover ratio of 2.43x. Total allotment reached TZS 196.51 billion.
The minimum successful price was 109.6647 and the weighted average price 110.5120, leaving the weighted average yield to maturity 23.92 basis points above the level recorded at the preceding auction of the same tenor. Banks submitted 51.05% of subscriptions and were allotted TZS 94.66 billion, equivalent to 48.17% of the total amount allotted at the auction.
Individuals and Companies accounted for 22.87% of subscriptions and received TZS 55.71 billion, or 28.35% of the allotment, the second largest share taken at the issue. Collective Investment Schemes submitted 12.24% of subscriptions and were allotted TZS 21.56 billion, representing 10.97% of the total. Pension Funds took 7.18% and Insurance Companies 5.33%.
Outstanding Government Securities stood at TZS 33,407.97 billion, comprising Treasury bonds worth TZS 29,980.22 billion, or 89.74% of the total, and Treasury bills worth TZS 3,427.75 billion, or 10.26%. Banks held the largest share of that stock at 33.62%, worth TZS 11,232.82 billion, followed by Pension Funds at 30.28%, worth TZS 10,117.52 billion.
The shilling appreciated 0.15% over the week to close at TZS 2,641.42 against the US dollar, from TZS 2,645.45 at the end of the previous week. Turnover on the Interbank Foreign Exchange Market fell to USD 29.90 million from USD 44.80 million a week earlier. Retail foreign exchange transactions eased to USD 536.19 million from USD 542.93 million.
The Bank of Tanzania onboarded 2,639 new clients in the current fiscal year, lifting the total number of registered investors in government securities to 34,141. The next government securities auction is scheduled for Wednesday 7 October 2026, when Treasury bills will be offered in line with the issuance calendar.
Key points
- The 15-year Treasury bond yield rose to 10.7907%.
- The shilling appreciated to TZS 2,641.42/USD.
- Outstanding Government Securities stood at TZS 33,407.97 billion.
