Executive Summary: Tanzania's National Debt in Shillings
At the end of May 2026, Tanzania's total national debt stood at TZS 134.35 trillion. Of this, TZS 95.10 trillion (70.8%) was external debt owed to foreign creditors, and TZS 39.26 trillion (29.2%) was domestic debt owed to lenders inside Tanzania — commercial banks, pension funds, the Bank of Tanzania itself, insurance companies, and other domestic holders. TICGL converts every figure in this analysis from the Bank of Tanzania's US-dollar-denominated debt tables into Tanzania Shillings, using BOT's own end-of-period exchange rates, so the numbers are directly usable by Tanzanian readers, journalists and policymakers.
What's Next for Tanzania's Economy? The Policy Gaps Keeping TZS 1 Trillion (USD) Out of Reach by 2050
Tanzania's debt trajectory cannot be understood in isolation from its Dira 2050 growth ambitions. Read TICGL's flagship analysis of the structural gaps standing between Tanzania and its 2050 target economy — essential context for the debt numbers below.
Read the Full Policy-Gap Analysis →Tanzania's Total National Debt: The Big Picture
Tanzania's national debt is the sum of two components: external debt (owed to foreign governments, multilateral institutions like the World Bank and IMF, commercial lenders and export-credit agencies) and domestic debt (owed to Tanzanian banks, pension funds, insurance companies, and the Bank of Tanzania itself, mostly through government securities). At the end of May 2026, the combined stock stood at TZS 134.35 trillion — a marginal month-on-month decline of about TZS 0.03 trillion from April's TZS 134.32 trillion, reflecting lower utilisation of the government's overdraft facility and a slight fall in the external debt component after exchange-rate effects.
| Component | Amount (TZS Trillion) | Share of Total |
|---|---|---|
| Total national debt | 134.35 | 100.0% |
| External debt (public + private) | 95.10 | 70.8% |
| — Public external debt | 77.11 (est.) | 81.1% of external |
| — Private sector external debt | 17.99 (est.) | 18.9% of external |
| Domestic debt | 39.26 | 29.2% |
| — Government securities (T-bills & bonds) | 33.61 | 85.6% of domestic |
| — Non-securitised debt (overdraft) | 5.65 | 14.4% of domestic |
External vs Domestic Debt, End-May 2026 (TZS Trillion)
Source: Bank of Tanzania, Table A10 — TICGL conversion to TZS at the end-period exchange rate of TZS 2,609.2/USD.
How Has Tanzania's National Debt Moved Over the Past Year?
Converting the Bank of Tanzania's monthly debt-stock series into Shillings (using each month's own exchange rate) shows the debt climbing from TZS 125.70 trillion in May 2025 to TZS 134.35 trillion in May 2026 — an increase of roughly TZS 8.65 trillion (+6.9%) over twelve months. Much of the year-on-year rise in shilling terms reflects both new borrowing and the depreciation of the Shilling against the US Dollar over the period (from about TZS 2,685.6/USD to TZS 2,609.2/USD at various points, with intervening depreciation episodes), which inflates the local-currency value of dollar-denominated external debt.
Total National Debt Trend, May 2025 – May 2026 (TZS Trillion)
Source: Bank of Tanzania, Table A10 (USD figures converted to TZS Trillion by TICGL using BOT's month-by-month end-of-period exchange rates).
External Debt vs Domestic Debt Trend, May 2025 – May 2026 (TZS Trillion)
Source: Bank of Tanzania, Table A10 — TICGL conversion to TZS Trillion.
| Month | External Debt | Domestic Debt | Total Debt |
|---|---|---|---|
| May-25 | 90.20 | 35.50 | 125.70 |
| Jun-25 | 90.55 | 35.50 | 126.05 |
| Jul-25 | 89.56 | 35.35 | 124.91 |
| Aug-25 | 86.25 | 37.31 | 123.56 |
| Sep-25 | 87.07 | 37.64 | 124.71 |
| Oct-25 | 88.34 | 38.29 | 126.63 |
| Nov-25 | 85.59 | 38.36 | 123.96 |
| Dec-25 | 86.96 | 37.90 | 124.86 |
| Jan-26 | 90.38 | 38.60 | 128.98 |
| Feb-26 | 91.08 | 38.78 | 129.87 |
| Mar-26 | 92.49 | 38.45 | 130.94 |
| Apr-26 | 94.99 | 39.34 | 134.32 |
| May-26 | 95.10 | 39.26 | 134.35 |
External Debt: Who Does Tanzania Owe, and For What?
External debt makes up the larger share of Tanzania's national debt at TZS 95.10 trillion. Multilateral institutions (the World Bank Group, IMF, African Development Bank and similar bodies) are by far the largest creditor group, holding TZS 54.65 trillion (57.5%) of external debt, followed by commercial lenders at TZS 34.65 trillion (36.4%), bilateral creditors (foreign governments) at TZS 4.07 trillion (4.3%), and export-credit agencies at TZS 1.73 trillion (1.8%).
External Debt by Creditor Category, May 2026 (TZS Trillion)
External Debt by Currency of Denomination, May 2026 (%)
External Debt by Use of Funds, May 2026 (% share)
Balance-of-payments/budget support (21.8%) and transport & telecommunication (21.8%) are the two largest uses of Tanzania's disbursed external debt, followed by social welfare & education (19.0%) and energy & mining (13.1%). Source: Ministry of Finance & Bank of Tanzania, Table 2.6.3.
| Creditor | Amount (TZS Trillion) | Share (%) |
|---|---|---|
| Multilateral institutions | 54.65 | 57.5 |
| Commercial lenders | 34.65 | 36.4 |
| Bilateral (foreign governments) | 4.07 | 4.3 |
| Export credit agencies | 1.73 | 1.8 |
| Total external debt | 95.10 | 100.0 |
Domestic Debt: Who Holds Tanzania's Debt Inside the Country?
Tanzania's domestic debt of TZS 39.26 trillion is held mainly by commercial banks (TZS 11.15 trillion, 28.4%) and pension funds (TZS 10.44 trillion, 26.6%) — meaning ordinary Tanzanians' retirement savings are directly financing government borrowing. The Bank of Tanzania itself holds TZS 7.46 trillion (19.0%), largely through the government overdraft facility, insurance companies hold TZS 2.03 trillion (5.2%), and other holders (public institutions, private companies, individuals and non-residents) account for TZS 7.38 trillion (18.8%).
Domestic Debt by Creditor Category, May 2026 (TZS Trillion)
Domestic Debt by Instrument, May 2026 (TZS Trillion)
| Creditor | Amount (TZS Trillion) | Share (%) |
|---|---|---|
| Commercial banks | 11.15 | 28.4 |
| Pension funds | 10.44 | 26.6 |
| Bank of Tanzania (mainly overdraft) | 7.46 | 19.0 |
| Others (public institutions, private firms, individuals, non-residents) | 7.38 | 18.8 |
| Insurance companies | 2.03 | 5.2 |
| BOT's special funds | 0.80 | 2.0 |
| Total domestic debt | 39.26 | 100.0 |
📌 Why the Government Overdraft Cut Matters
The FY2026/27 budget includes an amendment to the Bank of Tanzania Act (Cap. 197) that will reduce the Central Bank overdraft limit from 18 percent to 14 percent of the previous year's actual revenue — a fiscal-discipline measure that, if sustained, should slow the growth of the TZS 7.46 trillion the Bank of Tanzania currently holds in government domestic debt.
Debt Servicing: What Does Tanzania Actually Pay Each Month?
In May 2026 alone, Tanzania paid TZS 0.494 trillion (about TZS 494.2 billion) to service its external debt — of which TZS 0.365 trillion was principal repayment and TZS 0.129 trillion was interest. On the domestic side, debt servicing totalled TZS 0.368 trillion (TZS 367.7 billion), comprising TZS 0.106 trillion in principal and TZS 0.262 trillion in interest payments. Combined, Tanzania serviced roughly TZS 0.86 trillion in debt obligations during May 2026 alone — equivalent to over TZS 28.7 billion every single day.
Debt Servicing Breakdown, May 2026 (TZS Trillion)
Source: Bank of Tanzania, Tables 2.6.1 and 2.6.5, TICGL conversion to TZS.
| Item | Principal | Interest | Total |
|---|---|---|---|
| External debt | 0.365 | 0.129 | 0.494 |
| Domestic debt | 0.106 | 0.262 | 0.368 |
| Combined total | 0.471 | 0.391 | 0.862 |
If Tanzania's National Debt Were Divided Among Working-Age Tanzanians, How Much Would Each Person Owe?
This is an original TICGL calculation — not a figure published by the Bank of Tanzania. Reporting the national debt only as "TZS 134.35 trillion" is abstract for most Tanzanians. To make it meaningful, TICGL divides the debt by the estimated working-age population (18 years and above) — whether currently employed or not — rather than Tanzania's entire population of roughly 70 million, which includes a very large share of children and youth under 18 who cannot yet work or pay taxes.
Tanzania's total national debt at end-May 2026 was TZS 134.35 trillion.
Four Population Scenarios, All in Tanzania Shillings
Because the Bank of Tanzania's review does not publish an official labour-force figure, TICGL applies four population scenarios based on Tanzania's demographic structure (where roughly half the population is under 18) to show a sensitivity range rather than a single, potentially misleading number.
Whole Population (All Ages)
Scenario A — Adults 18+
Scenario B — Broad Labour Force
Scenario C — Employed Workforce Only
National Debt Per Person Under Different Population Scenarios (TZS Million)
TICGL computation based on total national debt of TZS 134.35 trillion, end-May 2026. Population and labour-force figures are TICGL demographic estimates, not official NBS Labour Force Survey statistics.
| Scenario | Estimated Population Base | Debt per Person (TZS) | Debt per Person (TZS Million) | Multiple vs Whole-Population Figure |
|---|---|---|---|---|
| Whole population (all ages) | ~70,000,000 | 1,919,346 | 1.92 | 1.0x (baseline) |
| A. Adults 18+ (working-age) | ~36,400,000 (52% of population) | 3,691,051 | 3.69 | 1.9x |
| B. Broad labour force (employed + unemployed) | ~30,000,000 | 4,478,474 | 4.48 | 2.3x |
| C. Employed workforce only | ~27,500,000 | 4,885,608 | 4.89 | 2.5x |
⚠️ Why This Matters — and Its Limits
Sovereign debt is not literally billed to individual citizens — it is serviced from the national budget through tax revenue, export earnings and economic growth. The purpose of this exercise is to illustrate the real fiscal weight per income-generating Tanzanian, which is a far more honest lens than dividing debt by the entire population, including millions of children who cannot yet contribute tax revenue. Because the population figures used here are TICGL demographic estimates rather than official NBS Integrated Labour Force Survey data, the exact figures should be read as indicative of scale and direction, not as an official government statistic.
Frequently Asked Questions
How much is Tanzania's national debt in 2026, in Tanzania Shillings?
Tanzania's total national debt stood at TZS 134.35 trillion at the end of May 2026, of which TZS 95.10 trillion (70.8%) was external debt and TZS 39.26 trillion (29.2%) was domestic debt.
Who is Tanzania's biggest external creditor?
Multilateral institutions (such as the World Bank Group, IMF and African Development Bank) are Tanzania's largest external creditor group, holding TZS 54.65 trillion — 57.5% of external debt — as of May 2026.
Who holds Tanzania's domestic debt?
Commercial banks hold the largest share (TZS 11.15 trillion, 28.4%), followed by pension funds (TZS 10.44 trillion, 26.6%) and the Bank of Tanzania itself (TZS 7.46 trillion, 19.0%), mainly via the government overdraft facility.
How much national debt does each working Tanzanian carry?
Using TICGL's estimate of Tanzania's working-age population (18+, roughly 36.4 million people), the national debt works out to approximately TZS 3.69 million per adult — nearly double the TZS 1.92 million obtained by dividing across Tanzania's entire population of about 70 million, since roughly half of that population is under 18.
How much does Tanzania pay to service its debt each month?
In May 2026, Tanzania paid approximately TZS 0.86 trillion (TZS 862 billion) in combined external and domestic debt servicing — equivalent to more than TZS 28.7 billion per day.
Muhtasari kwa Kiswahili
Primary source: Bank of Tanzania, Monthly Economic Review — June 2026 (debt data as at end-May 2026), Table A10 and Section 2.6. All USD-denominated figures in the original BOT tables have been converted to Tanzania Shillings by TICGL using BOT's own reported end-of-period exchange rates for each respective month. Population and labour-force figures used in the debt-per-worker analysis are TICGL estimates for illustrative purposes and are not official BOT/NBS labour-force statistics. This page is prepared by the Tanzania Economic Research Institute (TERI), the research arm of TICGL, for general informational purposes and does not constitute investment or financial advice.