The shilling has continued to lose 
against the US dollar as importers’ demand outweighs inflows of the hard
 currencies in the local market. 
National Microfinance Bank (NMB) said in
 Dar es Salaam the local market was still liquid although the shilling 
lost the battle against the greenback, sliding by 5/- compared to the 
end of last week.  
Standard Chartered Bank said the dollar was picking up against 
the shilling due to increased demand in the market.
“We saw increased activities in the 
interbank market yesterday and we expect the trend to continue today,” 
the bank said.  
According to the Bank of Tanzania’s July Monthly 
Economic Review, the shilling has remained relatively stable for the 
last one month. 
The central bank data show an exchange rate of 1,584/13 
per US dollar at the end of June compared to 1,584/84 of the preceding 
month. 
“On annual basis, the shilling 
depreciated by 1.5 per cent from 1,560/08 recorded in June 2011,” the 
report said.  
In June, 114.2 million US dollars were traded in the 
Inter-bank foreign exchange market (IFEM) slightly higher than the 106.5
 million US dollars transacted in May. 
BoT participated in the market by 
selling 28.3 million US dollars on net basis compared to 45.9 million US
 dollars sold in the preceding month.  Meanwhile, interbank volume 
doubled to 31.8bn/- from 15.8bn/-. 
“The market is expecting the volume
 to remain around this region for the next two days before slowing on 
the back of the bills auction which is forecast to be oversubscribed,” 
Standard Chartered Bank said. 
The highest rate was flat at five per 
cent whilst the lowest rate dropped to its usual low of 0.5 per cent 
from 3.5 per cent. Average rate decreased to 4.46 per cent from 4.63 per
 cent. 
Source: The Daily News,http://dailynews.co.tz, reported by Abduel Elinaza

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