Introduction to Currency in Tanzania

The Tanzanian Currency

The official currency in Tanzania is the Tanzanian Shilling (TZS), known in Swahili as Shilingi ya Tanzania. One shilling is theoretically divided into 100 senti (cents), though due to high inflation since the 1990s, senti coins are no longer in practical use.

Currently, the following banknotes are in circulation:

• 500 Shilling
• 1,000 Shilling
• 2,000 Shilling
• 5,000 Shilling
• 10,000 Shilling

The front side of the banknotes often features portraits of notable Tanzanian figures or images of the country’s rich wildlife, while the back depicts important buildings or scenic landscapes. A redesigned series of banknotes was introduced in 2011, with each note displaying a watermark of former President Julius Nyerere.

Coins are also commonly used in the following denominations:

• 50 Shilling
• 100 Shilling
• 200 Shilling
• 500 Shilling

The 500-shilling coin is the most recent addition, having been introduced in 2014. Due to ongoing inflation, travelers often carry larger amounts of cash, as even daily expenses can quickly add up to significant sums in the local currency.

Exchange Rates and Their Importance

The exchange rate between the Tanzanian Shilling and major currencies like the Euro and US Dollar can fluctuate significantly. As of February 2025, the rate stands at approximately 2.7 TZS for 1 Euro. Over the past few years, the Tanzanian Shilling has depreciated considerably against the US Dollar, losing more than 20% of its value between 2023 and 2025.

In response, the Bank of Tanzania has implemented monetary policies and tightened foreign exchange controls to stabilize the currency. However, it’s still crucial for travelers to stay updated on current exchange rates and check them before their trip and before making larger payments.

In popular tourist areas, the US Dollar is widely accepted and often preferred for larger transactions. However, for small purchases, visits to local markets, or taxi rides, it’s always best to carry a sufficient amount of Tanzanian Shillings in cash.

Payment Options for Travelers

When traveling to Tanzania, it’s essential to understand the available payment methods to ensure smooth and secure transactions throughout your stay. While cash remains the most important form of payment in many areas, travelers can also use credit cards and modern mobile payment systems. However, there are some key aspects and potential pitfalls to be aware of.

Cash in Tanzania

Cash plays a crucial role in Tanzania, especially outside major cities and tourist hotspots. For small purchases, local markets, restaurants, or tipping, Tanzanian Shillings (TZS) are the standard—and often the only—accepted form of payment. Since July 2024, a legal regulation mandates that all domestic transactions must be conducted in the local currency. While US dollars are still accepted in hotels, safari lodges, and certain tourist areas, payments in Tanzanian Shillings are now required by law.

When exchanging Euros or US dollars for Tanzanian Shillings, it’s advisable to visit authorized exchange bureaus or banks, as they typically offer the most favorable rates. Currency exchange on the street carries a high risk of fraud or counterfeit bills. Travelers should always carry small denominations, as change is often scarce. Additionally, it’s wise to check the current exchange rate beforehand to avoid unfavorable conversions.

Using ATMs

In major cities like Dar es Salaam, Arusha, and Zanzibar City, ATMs are widely available and allow travelers to withdraw Tanzanian Shillings. Visa cards are the most commonly accepted, while Mastercard is also supported at some locations. However, in rural areas and remote safari destinations, ATMs can be scarce, so it’s essential to withdraw enough cash in advance.

ATM fraud and card skimming do occur, so travelers should use machines located inside banks or well-secured shopping centers. Foreign card withdrawals often come with fees—both from the Tanzanian bank and your home bank—so it’s a good idea to check these charges beforehand.

As a precaution, carrying an emergency cash reserve is recommended in case of technical issues or empty ATMs. In rural areas, network problems can sometimes disrupt ATM services, temporarily limiting access to cash.

A well-balanced mix of Tanzanian Shillings in cash, a credit card for larger expenses, and possibly a prepaid travel card provides the best financial flexibility, ensuring that travelers remain financially secure throughout their trip.

Credit and Debit Card Payments in Tanzania

While credit and debit cards have become the norm in many parts of the world, the situation in Tanzania is slightly different. Cash remains the primary form of payment, especially in rural areas and small businesses. However, card payments are becoming increasingly common in tourist hubs. With proper preparation, travelers can take advantage of card payments while avoiding unexpected issues.

Pros and Cons of Travel Credit Cards

Travel credit cards from major providers like Visa and MasterCard are the best option for Tanzania, as they are widely accepted in upscale hotels, restaurants, and larger stores in cities like Dar es Salaam, Arusha, and Zanzibar. Many souvenir shops and tour operators in popular tourist areas also accept card payments. However, travelers should be aware that some businesses and hotels apply a surcharge of up to 10% on card transactions. Additionally, banks may charge foreign transaction fees ranging from 1.75% to 4% per purchase.

One major advantage of travel credit cards is that some specialized providers offer fee-free withdrawals or international transactions, significantly reducing costs compared to standard credit cards. It is highly recommended to bring at least two different cards—ideally a Visa and a MasterCard—since acceptance issues or technical failures can occasionally occur. Regularly checking transaction statements is also advisable, as incidents of card fraud or ATM tampering have been reported.

Using Debit Cards and Bank Cards

Debit cards and European Girocards (formerly EC cards) are far less useful in Tanzania than credit cards. Many hotels and larger businesses do not accept them at all, and ATMs often only support Visa- or MasterCard-enabled credit cards.

Even where Girocards work, the fees can be steep—typically between €5 and €10 per withdrawal, plus an additional foreign transaction fee, which varies by bank. For this reason, Girocards should only be considered as a backup option. Travelers relying on debit cards should check with their bank in advance to confirm whether their card is authorized for use in Tanzania and what fees apply.

Regardless of the card type, cash remains essential. Particularly in rural areas or local markets, card payments are rarely accepted. To stay financially secure, travelers should carry a mix of cash (Tanzanian Shillings and some US Dollars), a credit card, and possibly a debit card for backup.

Security and Precautions When Handling Money

Ensuring the safe handling of money is crucial for travelers in Tanzania to avoid financial losses and scams. While the country is generally considered safe, theft and fraudulent activities can occur, particularly in larger cities and tourist areas. By following a few essential security measures, travelers can significantly reduce their risk.

Cash Safety Measures

Since cash is the most widely used form of payment in Tanzania, especially outside major cities, travelers should always carry enough Tanzanian Shillings (TZS) or US Dollars. At the same time, taking precautions to store money securely is essential:

• Keep cash out of sight: Displaying large amounts of money in public can attract unwanted attention from thieves. It’s best to keep only small amounts readily accessible and store larger sums discreetly on your body.
• Use concealed money holders: Money belts, neck pouches, or hidden pockets provide extra protection against pickpockets. Handbags or backpacks should be carried securely, especially in crowded places like markets or bus stations.
• Utilize hotel safes: Important documents, large amounts of cash, and unused credit cards should be securely stored in a hotel safe whenever possible.
• Exchange money only at official bureaus: Currency exchange should always be conducted at banks or authorized forex bureaus. Street vendors may offer attractive rates but often deal in counterfeit money or impose hidden fees.
• Be cautious when using ATMs: Withdraw cash during daylight hours and in well-trafficked areas. While ATM fraud is not widespread, tampered machines do exist—always check the card slot for unusual attachments.
• Keep a foreign currency reserve: Since ATMs may sometimes experience outages, it’s advisable to carry a small reserve in Euros or US Dollars as a backup.

Precautions for Credit and Debit Card Use

Using credit and debit cards in Tanzania requires extra vigilance. While major hotels, restaurants, and lodges accept card payments, smaller businesses often do not. Additionally, certain risks are associated with card transactions:

• Carry multiple cards: Having at least two cards from different providers (e.g., Visa and MasterCard) is recommended. European Girocards (EC cards) rarely work in Tanzania.
• Never lose sight of your card: Always keep your card in view when making a payment. In rare cases, card details have been copied for fraudulent transactions.
• Monitor credit card statements: Regularly checking your account activity helps detect unauthorized transactions quickly.
• Avoid dynamic currency conversion: Some merchants or ATMs offer to process transactions in your home currency (e.g., Euros) instead of Tanzanian Shillings. This option should be declined, as the exchange rate is usually much worse than your bank’s rate.
• Never share sensitive information: PIN codes or card details should never be disclosed, even if requested by someone claiming to be a bank employee or hotel staff.
• Enable online banking security features: Many banks offer temporary card blocking or limit adjustments for international use, which can be useful in case of suspicious activity.

By staying alert, diversifying cash and card storage, and choosing reliable service providers, travelers can minimize the risk of theft or fraud and enjoy a worry-free trip to Tanzania.

Regional Differences and Payment Practices

Tanzania is a diverse travel destination, offering everything from bustling cities to remote safari regions and tropical island getaways. This geographic and tourist variety is also reflected in the preferred payment methods across different areas. Depending on where you travel, the acceptance of cash, credit cards, and foreign currencies can vary significantly. Being prepared for these regional differences can help you avoid financial hiccups and manage your travel budget with ease.

Payment Preferences by Region

In major cities like Dar es Salaam, Arusha, and Zanzibar, credit card acceptance is relatively common. Hotels, restaurants, and many shops frequently accept Visa and MasterCard. ATMs operated by international banks such as Barclays, CRDB, or the National Bank of Commerce (NBC) are also widely available in urban areas. On Zanzibar, particularly in tourist-heavy spots, both US dollars and euros are often accepted alongside the Tanzanian Shilling.

In contrast, rural areas and remote regions rely heavily on cash. In small villages or places far from popular tourist trails, ATMs are scarce, and card payments are often not an option. If you’re traveling to Tanzania’s interior or visiting less-developed national parks, it’s essential to carry enough Tanzanian Shillings in cash.

Safari destinations like the Serengeti or Ngorongoro Crater present a mixed picture. Many lodges, camps, and tour operators accept card payments. However, cash is still expected for smaller expenses like tips or purchases at local markets. Travelers should always have a cash reserve to avoid any inconveniences.

US Dollar as a Preferred Currency

The US dollar plays a significant role as an unofficial secondary currency in Tanzania, especially in tourist-centric areas. National parks, Zanzibar, and many safari lodges frequently prefer—or even require—payment in dollars. Park fees, guided tours, and larger hotel bills are often easiest to settle in USD.

That said, it’s important to bring crisp, undamaged bills, preferably issued after 2006 or 2010. Older or worn-out notes are often rejected. While US dollars work well for tourist services, smaller shops and local markets typically only accept Tanzanian Shillings. Having both currencies on hand ensures you’re prepared for any situation.

For a smooth travel experience, it’s best to carry a combination of Tanzanian Shillings for daily expenses and US dollars for major costs like park fees and lodging. This approach offers maximum flexibility and ensures you stay financially prepared, even in remote parts of the country.

Planning and Budgeting Tips for Your Trip

Careful budget planning is key to ensuring a stress-free journey through Tanzania. Travel costs can vary greatly—from budget-friendly backpacking adventures to high-end safari experiences. To avoid unexpected financial difficulties, it’s important to research accommodation, food, and activity prices in advance and set aside sufficient financial reserves.

Avoiding Financial Shortages

To prevent running into money problems, especially in remote areas, it’s best to carry a mix of Tanzanian Shillings and US Dollars in cash. US Dollars are widely accepted in tourist regions and often serve as a reliable backup. Euros can also be exchanged, but converting them back can be difficult—so it’s usually better to swap them for Tanzanian Shillings upon arrival.

Plan to withdraw the majority of your cash while in major cities, as ATMs are scarce in rural areas and national parks. Visa and MasterCard are generally accepted in hotels and lodges, though transaction fees are common. Keep your cash divided into smaller amounts and store it in different places—some on your person and some in your luggage—for added security.

Additional Tips to Stay Financially Secure:

• Always keep an emergency cash reserve—ideally in US Dollars or Euros.
• Notify your bank before departure to avoid your cards being blocked due to foreign transactions.
• Monitor your credit card transactions regularly and use ATMs located in secure areas, such as banks or those with guards.
• Use cash (TZS) in rural areas where cards are often not accepted.
• Confirm prices for tours and transfers upfront—and don’t hesitate to negotiate if necessary.
• Be prepared for higher prices on imported goods; shopping at local markets is often cheaper.
• Know your emergency options—services like Western Union can be a lifeline if you need money urgently.

With solid budget planning and these practical precautions, you can fully enjoy Tanzania’s breathtaking landscapes, extraordinary wildlife, and rich cultural experiences—without worrying about your finances along the way.