Currency exchange in Tanzania - Where to exchange currency?

Currency exchange in Tanzania is a vital aspect of international travel and trade, and when it comes to a diverse and vibrant destination like Tanzania, understanding the dynamics of currency exchange becomes all the more important. Nestled in East Africa and renowned for its rich wildlife, stunning landscapes, and vibrant cultures, Tanzania is a popular tourist destination that attracts adventurers, wildlife enthusiasts, and cultural explorers from around the globe. 

Whether you're planning a safari in the Serengeti, a hike up Mount Kilimanjaro, or simply looking to immerse yourself in the local culture, having a grasp of the currency exchange in Tanzania is essential for a smooth and hassle-free trip.

The Tanzanian Shilling (TZS) - The Official Currency

The official currency of Tanzania is the Tanzanian Shilling, denoted as TZS. While the country is home to numerous languages and ethnicities, the use of the Tanzanian Shilling unites its diverse population under a single monetary system. As with any currency, the value of the Tanzanian Shilling fluctuates based on various factors such as economic conditions, geopolitical events, and global market trends.

The currency history of Tanzania has evolved from the German and British colonial eras, marked by various currencies. After gaining independence, Tanzania introduced the East African shilling and then its own currency, the Tanzanian shilling, in 1966. The currency has undergone design changes and modernizations while facing economic fluctuations and inflation. 

Managed by the Bank of Tanzania, its value is influenced by factors like foreign exchange reserves, monetary policies, and global economic conditions. The Tanzanian Shilling symbol is "TSh" or "Sh," and it's issued in both banknotes and coins across various denominations to facilitate transactions.

Tanzania official currency is Shilling

For a smoother travel experience, you can also check out tips for traveling to Tanzania.

Currency exchange in Tanzania - Rates and dynamics

Understanding currency exchange rates and dynamics is crucial before embarking on a trip to Tanzania.  Exchange rates determine how much of your home currency you'll receive in exchange for Tanzanian Shillings. These rates are subject to change and can vary between different exchange providers, whether you're exchanging money at banks, currency exchange offices, or even hotels. It's important to note that some places might offer less favorable rates due to additional fees or commissions. You may also want to learn about the best time of year to visit Tanzania to plan your trip more effectively.

Tanzania exchange rates can be classified into two categories: the official exchange rate and the parallel market rate. The official exchange rate is set by the government or central bank and is typically used for official transactions. The parallel market rate, on the other hand, is the rate at which currencies are traded on the open market and can sometimes differ significantly from the official rate. In Tanzania, as in many countries, there might be a difference between the official and parallel market rates, with the latter often offering a more favorable rate for travelers. Understanding the temperatures in Tanzania can also help you better plan your travel budget and activities.

Exchange money in Tanzania (According to October 2023): 

• US dollar to Tanzanian Shilling: 1 US Dollar = 2510,00 Tanzanian Shilling 
• Euro to Tanzania Shilling: 1 Euro = 2646,42 Tanzanian Shilling
• AED to Tanzania shilling: 1 AED =683.37 Tanzanian Shilling
• Kenya shilling to Tanzanian shilling = 16,59 Tanzanian Shilling
• Rand to Tanzania shilling: 1 RAND  = 132.14 Tanzanian Shilling
• Zambia kwacha to Tanzanian shilling =116.01 Tanzanian Shilling
• Pound to Tanzanian shilling = 3,063.04 Tanzanian Shilling

Where to exchange Tanzanian shilling?

Travelers to Tanzania have several options for exchanging their currency into Tanzanian Shillings. For transportation planning, you can refer to how to get around in Tanzania for a more convenient journey.

• Banks: Banks are generally considered reliable places for currency exchange in Tanzania. They offer security and transparency in the exchange process. It's advisable to compare rates between different banks before making your exchange, as rates can vary.
• Currency Exchange Offices: These are dedicated establishments that specialize in currency exchange. While they can be found in popular tourist areas, it's recommended to choose reputable and established exchange offices to ensure a fair rate.
• Hotels: Some hotels offer currency exchange services for their guests. However, the rates at hotels might not be as favorable as those at banks or exchange offices due to added convenience.
• ATMs: Using ATMs to withdraw Tanzanian Shillings is a convenient option, but it's essential to be aware of any additional fees that your bank might charge for international withdrawals. Moreover, make sure the ATM is in a secure and well-monitored location.
• Airport Exchange Counters: Exchange counters are often available at international airports in Tanzania. While these might be convenient, the exchange rates here can sometimes be less favorable due to their location. Most travelers arrive through a major airport in Tanzania, where exchange services are also available.

Here are some additional tips for getting the best Tanzania currency exchange rate:

• Exchange your currency in the morning. Exchange rates are generally better in the morning than in the afternoon.
• Exchange your currency during the week. Exchange rates are generally better during the week than on the weekend.
• Exchange currency in major cities. Exchange rates are generally better in major cities than in smaller cities.

Travelers should consider carefully where to exchange money in Tanzania

If you're planning a safari, make sure to prepare proper Tanzania safari clothing for comfort and safety.

Tips for currency exchange and money management

Here are some tips for currency exchange in Tanzania:

• Research exchange rates: Before your trip, research the current exchange rates so you have a general idea of how much Tanzanian Shillings you should expect to receive for your currency. This knowledge will help you identify whether an offered rate is fair or not.
• Notify your bank: If you plan to use your credit or debit card in Tanzania, inform your bank about your travel plans. This will prevent them from flagging your transactions as suspicious due to international activity.
• Carry small denominations: Having a mix of small and larger denominations can be helpful, especially in markets and smaller establishments where change might be hard to come by. This is especially useful when visiting places for shopping in Tanzania such as local markets.
• Be cautious with the parallel market: While the parallel market might offer better rates, it's essential to exercise caution and ensure that you are exchanging money in a safe and legitimate manner. Scams and counterfeit currency can be risks in such situations. If you plan to shop, it’s helpful to know what souvenirs to buy in Tanzania in advance.
• Use reliable exchange services: Stick to reputable banks, established currency exchange offices, and well-maintained ATMs. Avoid exchanging money on the street or with unauthorized individuals. To stay informed, you can also read more about whether Tanzania safe for tourists before your trip.
• Consider currency conversion apps: There are several smartphone apps that can help you quickly calculate currency conversions. These can be handy when you're on the go and want to ensure you're getting a fair deal.

It is advised to prepare some cash before traveling

You can also explore cultural landmarks such as churches in Tanzania during your visit.

In conclusion

Currency exchange in Tanzania is an integral part of international travelers coming to this country, and understanding how it works in Tanzania is essential for a smooth and enjoyable trip. Once your budget is planned, don’t miss exploring the best things to do in Tanzania during your visit. By researching current exchange rates, choosing reliable exchange services, and being mindful of currency fluctuations, you can ensure that you're making the most of your travel budget and avoiding unnecessary inconveniences.