Tanzania's total national debt stock reached USD 51,067.2 million at the end of April 2026, a 0.5% increase from USD 50,803.5 million at the end of March 2026. External debt accounts for 70.4% of the total national debt stock, with domestic debt comprising the remaining 29.6%.

The external debt stock (public and private) stood at USD 35,949.6 million at the end of April 2026. Of this, public external debt — that is, obligations of the central government and public corporations — represented 82.7%, while the private sector held the remaining 17.3%. During April 2026, external loans disbursed amounted to USD 54 million, mainly to the central government, while external debt service payments totalled USD 242 million, of which USD 190.4 million was for principal repayments.

Tanzania's external debt is classified by borrower into three main categories: Central Government, Public Corporations, and Private Sector. As of April 2026, the central government remains the dominant external borrower with a disbursed outstanding debt (DOD) of USD 29,717.5 million — representing 82.4% of total disbursed external debt. This reflects Tanzania's strategy of centralising external borrowing for development financing under the central government's authority.

Public corporations — which include entities such as TANESCO, ATCL, TRC, TPA, TFC, and DAWASA — recorded zero outstanding external debt as at April 2026, indicating that all outstanding obligations of these entities have been cleared or transferred. The private sector holds USD 5,785.9 million in disbursed external debt, representing 16.1% of the total — a significant share reflecting the growing role of private investment and PPP financing in Tanzania's development.

The composition of Tanzania's external debt by creditor remained broadly unchanged in April 2026. Multilateral institutions — including the World Bank Group (IDA), African Development Bank, International Monetary Fund, and others — continue to dominate at 58.3% of total disbursed external debt (USD 20,926.1 million). This is a structurally positive feature as multilateral lending typically offers concessional terms with low interest rates (often 0.5–2%) and long maturities (25–40 years), reducing debt service pressure.

Commercial lenders — including commercial banks and bond markets — account for 34.3% (USD 12,345.0 million), representing the most expensive component of Tanzania's external debt in terms of interest rates. Bilateral creditors (government-to-government) account for 4.1% (USD 1,478.3 million), while export credits contribute the remaining 1.9% (USD 673.8 million).

The sectoral allocation of Tanzania's disbursed outstanding external debt reveals the country's investment priorities as financed through external borrowing. As of April 2026, Transport & Telecommunication leads at 22.4% (USD 7,928.3 million) — up from 21.5% in April 2025 — reflecting continued investment in roads, railways, ports, and telecommunications infrastructure including the Standard Gauge Railway (SGR) and TANZAM highway improvements.

Balance of Payments and Budget Support is the second-largest category at 22.3% (USD 7,901.5 million), reflecting programme and general budget support lending from multilateral institutions such as the World Bank and IMF. Social Welfare & Education takes third place at 19.3% (USD 6,848.2 million), financing health, education, and social protection programmes. Energy & Mining accounts for 12.0%, reflecting investment in the power sector including the Julius Nyerere Hydropower Project and rural electrification initiatives.

The currency composition of Tanzania's external debt is a critical determinant of currency risk exposure. As of April 2026, the US Dollar dominates, accounting for 66.0% of disbursed outstanding debt — equivalent to approximately USD 23,396.4 million. This represents a slight decline from 66.6% in April 2025, but remains the overwhelmingly dominant currency.

The Euro is the second-largest currency at 17.7% (approximately USD 6,253.0 million), followed by the Chinese Yuan (CNY/RMB) at 6.6% (USD 2,333.0 million) — reflecting growing Chinese development finance through concessional loans. All other currencies combined account for 9.7% (USD 3,440.8 million).

This currency concentration in USD (66%) creates significant exchange rate risk: a depreciation of the Tanzanian shilling against the US dollar directly inflates the local-currency value of debt and debt service obligations. The shilling's 2.7% appreciation against the USD in April 2026 (TZS 2,612 vs TZS 2,684 a year earlier) provides some relief but does not eliminate this structural vulnerability.

Monitoring actual external debt flows — disbursements inward and debt service payments outward — provides a clearer picture of Tanzania's debt management dynamics than stock figures alone. In April 2026, net external debt flows were negative at −USD 136.4 million (debt service exceeded disbursements), meaning Tanzania repaid more than it borrowed during the month.

Total external debt arrears (principal + interest) stood at USD 2,191.9 million at the end of April 2026, representing 6.2% of total disbursed external debt. Arrears are concentrated in the commercial creditor category, which holds USD 1,273.0 million in principal arrears and USD 365.1 million in interest arrears — reflecting historical difficulty in servicing Eurobond and commercial loan obligations during periods of fiscal stress. Multilateral arrears are those owed by the private sector, not the government, per BOT notes.