Tanzania is withdrawing several bank notes from Monetary circulation

The Central Bank of Tanzania is withdrawing several types and denominations of bank notes from circulation, an official statement from the institution has affirmed.

A statement from the Bank of Tanzania (BoT) titled the ‘Withdrawal of old Tanzanian Banknotes Shilling from Circulation,’ was circulated in reference to the Government Notice Number 857 and 858 to that effect.

Signed by the Central Bank Governor, Emmanuel Tutuba, the dispatch read; “… communicating the call in, deposit or exchange, and cessation of old banknotes.”

Bank of Tanzania is removing from legal tender all bank notes in denominations of twenty (20), two hundred (200), five hundred (500), one thousand (1000), two thousand (2000), five thousand (5000) and ten thousand (10,000) shillings issued from 1985 to 2003, and five hundred (500) banknotes issued in 2010.

The news come at the time when the 500 denominated green bank notes had disappeared from circulation with rumors speculating that the paper money was so valuable that a single leaf could fetch thousands in exchange.

“The deposit or exchange of old banknotes shall last for a period of three months from 06 January 2025 to 05 of April 2025 upon which they shall cease to be legal tender.”

“The Bank of Tanzania (BoT) hereby, instructs all banks and financial institutions to accept deposits and facilitate over the counter exchange of calls in notes from public and make the payment of face value thereof.”

The exercise shall only be undertaken at head offices and branches of banks and financial institutions across the country and in any case shall not be facilitated through other points of financial services such as agents also known as “wakala”.

“Prior to the commencement of this exercise, the Bank will train personnel from banks and financial institutions with the view of ensuring that only genuine old banknotes are honored during deposit or exchange of calls in banknotes.”

“Hence, you will be required to observe the security features of the calls in banknotes and adhere to Guidelines for Sorting, Counting, Packaging, Cash Depositing and Counterfeit Detection issued by the Bank in 2015. Exceptions will be made to deposit loose pieces which cannot aggregate to a full bundle over the cashiers’ counter at the Bank of Tanzania.”