THE Bank of Tanzania (BoT) has dismissed reports labeling the Tanzanian Shilling as the world's worst-performing currency, clarifying that such claims are misleading and fail to capture the full picture of the country's economic trajectory.

In a statement released on March 19, 2025, BoT underscored that, contrary to the allegations, the Shilling has demonstrated resilience, depreciating by only 3.6 percent over the past twelve months. 

The central bank further noted that between July and December 2024, the currency appreciated by 9.51 percent making it the best-performing currency globally before reversing its trend in early 2025 due to seasonal foreign exchange flows.

BoT also refuted claims that the depreciation is linked to increased imports, public debt, and infrastructure projects such as the Bagamoyo Port, whose construction has yet to commence.

 Instead, the central bank reaffirmed that Tanzania’s economy remains strong, with a 5.4% growth rate in 2024, stable inflation at 3.1percent in February 2025, and a narrowing current account deficit from 3.7 percent in 2023 to 2.7 percent of GDP in 2024. The national debt remains sustainable, with a debt-to-GDP ratio of 41.1 percent, well below the IMF’s 50 percent threshold.

Reassuring the public, BoT emphasized its commitment to ensuring price stability and supporting a stable Shilling through appropriate monetary policies.

 The bank’s position aligns with assessments by global financial institutions, including the World Bank, IMF, and international credit rating agencies.