The World - News from Nov. 6, 1988

Tanzania devalued its currency 18% after President Ali Hassan Mwinyi indicated that his government had yielded to “harsh” terms of a new International Monetary Fund credit. The central bank of the East African nation said the shilling will be devalued again in June, to 138 to the dollar. Addressing government and party leaders, Mwinyi said Tanzania had no alternative if it was to receive $800 million in aid and grants this year to rehabilitate its economy. “We had to agree with the IMF conditions so that the country does not return to the pre-1986 era, where shops were empty and essential goods were not available,” the president said.