The Bank of Tanzania issued a public notice rejecting social media claims that it has printed and distributed money to finance elections and discouraging online calls for the public to withdraw deposits from certain commercial banks. It stated the reports are false and urged the public to continue using banking services with confidence. The central bank said currency is printed under Section 26 of the Bank of Tanzania Act, Cap. 197 and issued into circulation based on economic activity and the need to replace worn-out banknotes returned through commercial bank deposits. It pointed to recent macroeconomic and financial indicators, including average inflation of 3.3% in the first ten months of 2025, projected economic growth of 6% in 2025, a current account deficit of 2.4% of GDP as of September 2025, an 8.8% strengthening of the shilling over the year ending September 2025, and foreign exchange reserves of USD 6.7 billion covering 5.4 months of imports. The Bank of Tanzania also said banks remain well-capitalized, adequately liquid and profitable, with non-performing loans at 3.3% as of September 2025, below the 5.0% regulatory threshold, and that payment systems continue to operate safely and efficiently. The notice warned that keeping cash at home is risky and urged citizens to keep savings in banks, citing benefits such as interest or profit, safety and deposit insurance coverage, while calling on those spreading misinformation online to stop.
Bank of Tanzania 2025-10-17
Bank of Tanzania rebuts misinformation on election-related currency printing and calls to withdraw money from banks
The Bank of Tanzania refuted claims of printing money for elections and discouraged withdrawing bank deposits, affirming banking system stability. It highlighted 3.3% inflation, 6% projected economic growth, and a 2.4% GDP current account deficit, noting banks' strong capitalization and liquidity. The central bank urged public confidence in banking services and warned against keeping cash at home.