mwanamichakato
JF-Expert Member
- Mar 20, 2015
- 1,188
- 1,090
The challenge is that companies are not accessing the forex they require for the importation of raw materials.This is basically the mismatch between the forex and available supply on the formal market.
This means a lot of businesses are having to seek recourse to the parallel market to get foreign exchange and this explains the depreciation of the TZS due to the strong demand for the US$ which is not matched by the supply on the official market.
Businesses and manufacturers are failing to access forex from banks with some securing only 5-10% of their forex requirement notwithstanding the assurances given by the BOT.
This means a lot of businesses are having to seek recourse to the parallel market to get foreign exchange and this explains the depreciation of the TZS due to the strong demand for the US$ which is not matched by the supply on the official market.
Businesses and manufacturers are failing to access forex from banks with some securing only 5-10% of their forex requirement notwithstanding the assurances given by the BOT.