I just tested this and it seems to work fine in current devel:

----dump.j2
{% for host in groups['all'] %}

{{host}}:
{% for k in hostvars[host] %}
    {{k}}: {{ hostvars[host][k]}}
{% endfor %}
{% endfor %}
--- play.yml

- hosts: localhost
  tasks:
    - template: src=templates/dump.j2 dest=/tmp/dump.txt
      connection: local

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