Tanzania’s national debt reached US$44.89 billion at the close of August 2024, marking a 1.7 percent increase from the previous month, according to the latest report from the central bank.
A significant portion of the total debt, approximately 72.8 percent, is attributed to external debt. This category saw a monthly rise of 2.1 percent, bringing the external debt total to US$32.68 billion by the end of August 2024.
During the month, the government received external loans totaling USD 433 million, primarily allocated to the central government, while the external debt service amounted to US$30.6 million. Of this amount, US$20.6 million was used for principal repayments, with the remainder allocated to interest payments. The breakdown of external debt by borrower and creditor remained stable compared to the previous month and the same period in 2023.
The central government continued to be the largest debtor, with debts issued by multilateral institutions making up 76.9 percent of the external debt. The sectors of transportation and telecommunications held the highest share of disbursed external debt at 21.3 percent, followed closely by social welfare and education.
The composition of the outstanding external debt remained consistent, with the US dollar constituting the largest share at 67.9 percent.
In terms of domestic debt, the total stock reached $14.0 billion at the end of August 2024, reflecting an increase of approximately $126.3 million from the previous month. This rise was primarily driven by the new issuance of Treasury bonds.
Treasury bonds accounted for 77.7 percent of the domestic debt portfolio, with commercial banks and social security schemes being the major holders of government domestic debt.
In August 2024, the Tanzanian government raised a total of $326.5 million from the primary domestic market to finance the budget, including $285.7 million through Treasury bonds and $40.8 million through Treasury bills. Debt service payments for the month totaled $324.8 million, consisting of $196.8 million in principal repayments and $128 million in interest payments.