In order to get forex, the Tanzania economy currently relies on agricultural exports, tourism as well as donor inflows and, while the recent signs of recovery in the Tanzania shilling are still too remote to ensure the confidence of importers, investors and consumers, the gaining strength of the shilling over the first few weeks of March are indicators of a possible change in the economic stability of the country.
Based on the report by the Citizen last month, in commercial banks and at bureau de change the Tanzania shilling had grown for three consecutive weeks by the middle of March.
Currently, the Citizen is responsible for conducting a weekly review and based on the findings from last month, the average exchange rate for the shilling was TZS 1,316.48 per dollar last and TZS 1,896.57 per pound, both of which were increases from the previous weeks.
In addition, while the shilling was strengthening against the dollar and the pound, the euro was also losing against the shilling with an average exchange rate of TZS 1,688.55 per euro.
At the same time, the South African rand also depreciated against the shilling, showing an average exchange of TZS 137.28 per rand.
According to the Citizen report, the currency which did gain slightly against the Tanzania shilling was the Kenya shilling, with an exchange rate of TZS 17.02.
During this time, the quotations for exporters and importers of goods coming to and going from the country continued to be lowered by the Tanzania Revenue Authority.
In one week, the quotations for importers in March were lowered from TZS 1,309 to TZS 1,294 and, at the same time, the quotations for exporters were lowered from TZS 1,282.82 to TZS 1,268.12.
The charges for imports coming from the UK differ from other charges, but were also lowered TZS 1,856.55 to TZS 1,797.36, while charges for exports to the same location were also reduced from TZS 1,818.78 to TZS 1,760.91.
Based on the Citizen report, the majority of the charges were lowered, however charges on imports and exports to some locations did experience increases.
Charges on imports to European Union locations other than the UK were increased from TZS 1,647.11 per euro to TZS 1,669.64 at the same time as the charges on exports to these countries were also increased from TZS 1,613.78 to TZS 1,636.
In addition, the charges on imports for goods coming from South Africa were also increased from TZS 124.26 per rand to TZS 129.52 and charges on exports were increased from TZS122.75 per rand to TZS 128.22.