National debt stock drops marginally to $ 9.6 billion
The national debt stock slightly decreased by 0.7 per cent to $9,6 billion at the end of May this year from the amount recorded the previous month, the Bank of Tanzania (BoT) report says.
The BoT monthly economic review for June says the decrease was due to exchange rates fluctuation, adding that out of the total national debt stock, $7.7 billion was external debt and $2 billion was domestic debt. But the external debt stock has dropped to $7.7 billion at the end of May, this year.
“Out of the external debt stock, 79.2 per cent or $6.1 billion was disbursed outstanding debt [DOD] and the remaining portion was interest arrears,” the report says.
The profile of external debt by creditor category shows that the debt owed to multilateral creditors was equivalent to 52.9 per cent of the total external debt.
During the period under review, the profile of outstanding debt by use of funds indicates that 32.4 per cent was disbursed for balance of payments and budget support, followed by social welfare and education, and energy and mining with 13.4 per cent and 11.7 per cent, respectively.
Disbursements received and recorded during the month amounted to $29.2 million, hence external debt service was $4.5 million, out of which $3.4 million was principal repayments and $1.1 million was interest payments.
On the other hand, domestic debt rose to Sh2.64 trillion in May this year from Sh2.58 trillion recorded in April. Out of the domestic debt stock, government securities accounted for 99.7 per cent and the remaining portion was other government debts.
New domestic debt issued during the month amounted to Sh91.8 billion, out of which Sh31.8 billion were treasury bills and Sh60 billion government bonds.
Domestic debt service was Sh40.6 billion , out of which principal amounting to Sh29.6 billion was rolled over while interest amounting to Sh11 billion was paid by the government.
Source – The Citizen