While some Members of Parliament have expressed concern over the rising trajectory of national debt, the government has reaffirmed its position that it will continue borrowing cautiously, while closely monitoring debt sustainability through ongoing fiscal and economic assessments.
Responding to the concerns during the debate on the 2026/2027 National Budget on June 23, 2026, in Parliament in Dodoma, the Minister for Finance, Ambassador Khamis Mussa Omar, stated that all new borrowing will be directed toward national development priorities that have direct impact on economic growth.
He explained that the government continues to use borrowing as part of budget financing, but within a structured Debt Sustainability Assessment (DSA) framework that manages fiscal risks and ensures debt remains within safe economic thresholds.
According to him, more than 40 percent of the currently serviced national debt originates from loans invested in the water, energy, and railway sectors—areas considered critical for reducing production costs and improving overall economic efficiency.
Tags
Front Pages
Kurasa za Magazeti
Magazeti
Magazeti ya Leo
Magazetini
Magazetini leo
Newspapers
Newspapers Today
Yaliyojiri Magazetini Leo