The Bank of Tanzania (BoT) has injected USD 20 million into the Interbank Foreign Exchange Market (IFEM) as part of its 2023 Foreign Exchange Intervention Policy, aiming to boost liquidity and stabilize the Tanzanian shilling.
The auction, conducted at a weighted average rate of TZS 2,575.22 per US dollar, attracted strong participation from the banking sector, with 13 banks successfully securing their bids.
The intervention saw total tenders of USD 21.25 million, of which the full USD 20 million offered by the central bank was allocated, reflecting robust demand for foreign currency.
The Bank of Tanzania stressed that the move was intended to ensure adequate availability of US dollars in the market, enabling commercial banks to meet customer demand while maintaining stability in the foreign exchange market. The highest bid rate accepted was TZS 2,586, while the lowest rate was TZS 2,560.
BoT officials confirmed that the central bank continues to monitor market developments closely and stands ready to take further measures if necessary, reaffirming its commitment to safeguarding financial stability and supporting sustained economic growth in Tanzania.
