Tanzania highest currency denomination of Sh10,000 has been around for too long, and it’s time the Bank of Tanzania introduced a higher denomination.

The purchasing power of the shilling has fallen at least four-fold since the Sh10,000 denomination was introduced in 1993 due to inflation and the devaluation of the Tanzanian currency.

The result is that one has to carry around bulky bundles of cash to make high-value purchases beating in mind that the vast majority of transactions in Tanzania are made in cash.

We should follow in the footsteps of neighbouring Uganda, where the highest currency denomination is Ush50,000.  This is equivalent to Sh25,000.

Kenya’s highest currency denomination of Ksh1,000 is equivalent to Sh18,000 at current exchange rates.
BoT should introduce a Sh20,000 bank note to make life a bit easier for cash users in Tanzania.

S.Malik,
Dar es Salaam.

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