As of March 2025, Tanzania’s domestic debt reached TZS 34,255.4 billion, reflecting a modest increase from TZS 34,014.1 billion in February, largely due to net Treasury bond issuances amounting to TZS 163.5 billion. The largest share of the debt was held by commercial banks, amounting to TZS 9,948.4 billion (29%), followed closely by pension funds with TZS 9,091.5 billion (26.5%), and the Bank of Tanzania holding TZS 6,883.9 billion (20.1%). Other significant creditors included insurance companies (5.4%), BOT special funds (1.6%), and a diverse group of public institutions, individuals, and others (17.3%). This composition highlights a stable and diversified domestic financing structure, with key institutional investors playing a central role in funding government operations.
1. Government Domestic Debt Stock (March 2025)
2. Domestic Debt by Creditor Category (March 2025)
Creditor | Amount (TZS Billion) | Share (%) |
Commercial Banks | 9,948.4 | 29.0% |
Bank of Tanzania | 6,883.9 | 20.1% |
Pension Funds | 9,091.5 | 26.5% |
Insurance Companies | 1,845.5 | 5.4% |
BOT Special Funds | 555.7 | 1.6% |
Others* | 5,930.3 | 17.3% |
Total | 34,255.4 | 100% |
*Others include public institutions, private companies, and individuals.
Interpretation: What the Data Tells Us
As of March 2025, Tanzania's government domestic debt stood at TZS 34.26 trillion, with commercial banks, pension funds, and the central bank as the main creditors. The composition reflects a stable and diversified domestic debt market, supporting the government's financing needs through long-term and market-based instruments.
1. Domestic Financing Is Heavily Market-Based
This shows: The government relies significantly on the financial sector for short- to medium-term funding, which can influence interest rates and credit availability for the private sector.
2. Pension Funds Are Strategic Long-Term Lenders
This shows: A strong link between public savings (retirement funds) and government financing, supporting fiscal stability over time.
3. The Bank of Tanzania Supports Liquidity and Stability
This shows: The BoT acts as a fiscal backstop, helping manage cash flow needs and stabilize the bond market.
4. Broadening Participation in Domestic Debt Market
This shows: The domestic debt market is maturing, becoming more inclusive and diversified, which reduces overreliance on any single creditor group.
Tanzania’s domestic debt structure as of March 2025 reveals a healthy mix of commercial banks, pension funds, and the central bank as major creditors, supported by increasing participation from other entities. This structure reflects a stable and increasingly diversified domestic financing base, essential for sustainable debt management and macroeconomic stability.