- Jul 4, 2007
Najua BOT watarevise hii situation kwa kusema uchumi UNAKUA. This is too much wakuuTanzanias shilling headed for a sixth week of declines against the dollar as commercial banks bought the U.S currency before
The currency of East Africas second-biggest economy retreated as much as 0.3 percent to 1,628.45 per dollar, and traded at 1,622 by 10:20 a.m. in Dar es Salaam, the commercial capital, taking its weekly retreat to 0.1 percent, according to data compiled by Bloomberg.
Commercial banks have been buying dollars to build up their stock for month-end, Yonoh Mtengule, chief economist at National Bank of Commerce Ltd., Absa Group Ltd. (ASA)s local unit, said by phone. Banks expect clients to seek dollars next month to pay dividends to their parent companies.
Tanzanias shilling has depreciated 8.5 percent this year, making it Africas third-worst performer against the dollar after Uganda and Kenyas currencies. The shilling fell to 1,633.2, the weakest since 1994, as Tanzanias inflation rate climbed to 13 percent in July, the fastest pace in 15 months, on higher on higher energy and food costs.
Tanzania vies with Mali to be Africas third-biggest gold producer after Ghana and South Africa, and has the worlds only known deposit of tanzanite.
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