Tanzania



                 

Tanzania is one of the world's poorest economies in terms of per capita income, however, it has achieved high overall growth rates based on gold production and tourism. Tanzania has largely completed its transition to a liberalized market economy, though the government retains a presence in sectors such as telecommunications, banking, energy, and mining. The economy depends on agriculture, which accounts for more than one-quarter of GDP, provides 85% of exports, and employs about 80% of the work force. The World Bank, the IMF, and bilateral donors have provided funds to rehabilitate Tanzania's aging economic infrastructure, including rail and port infrastructure that are important trade links for inland countries. Recent banking reforms have helped increase private-sector growth and investment, and the government has increased spending on agriculture to 7% of its budget. The financial sector in Tanzania has expanded in recent years and foreign-owned banks account for about 48% of the banking industry''s total assets. Competition among foreign commercial banks has resulted in significant improvements in the efficiency and quality of financial services, though interest rates are still relatively high, reflecting high fraud risk. All land in Tanzania is owned by the government, which can lease land for up to 99 years. Proposed reforms to allow for land ownership, particularly foreign land ownership, remain unpopular. Continued donor assistance and solid macroeconomic policies supported a positive growth rate, despite the world recession. In 2008, Tanzania received the world''s largest Millennium Challenge Compact grant, worth $698 million, and in December 2012 the Millennium Challenge Corporation selected Tanzania for a second Compact. Dar es Salaam used fiscal stimulus and loosened monetary policy to ease the impact of the global recession. GDP growth in 2009-12 was a respectable 6% per year due to high gold prices and increased production.

                                                                                                                                                                                        

GDP (purchasing power parity):                                                                                      

$75.07 billion (2012 est.)

country comparison to the world: 85

$70.26 billion (2011 est.)

$66 billion (2010 est.)

note: data are in 2012 US dollars

                                                                                                                                                                                        

GDP (official exchange rate):                                                                                          

$28.25 billion (2012 est.)

                                                                                                                                                                                        

GDP - real growth rate:                                                                                                    

6.9% (2012 est.)

country comparison to the world: 30

6.4% (2011 est.)

7% (2010 est.)

                                                                                                                                                                                        

GDP - per capita (PPP):                                                                                                   

$1,600 (2012 est.)

country comparison to the world: 201

$1,500 (2011 est.)

$1,500 (2010 est.)

note: data are in 2012 US dollars

                                                                                                                                                                                        

Gross national saving:                                                                                                      

25.1% of GDP (2012 est.)

country comparison to the world: 44

17.6% of GDP (2011 est.)

20.1% of GDP (2010 est.)

                                                                                                                                                                                        

GDP - composition, by end use:                                                                                      

household consumption: 63.9%

government consumption: 21.5%

investment in fixed capital: 36.9%

investment in inventories: 0.4%

exports of goods and services: 40%

imports of goods and services: -62.8%

(2012 est.)

                                                                                                                                                                                        

GDP - composition, by sector of origin:                                                                          

agriculture: 27.7%

industry: 25.1%

services: 47.2% (2012 est.)

                                                                                                                                                                                        

Agriculture - products:                                                                                                     

coffee, sisal, tea, cotton, pyrethrum (insecticide made from chrysanthemums), cashew nuts, tobacco, cloves, corn, wheat, cassava (tapioca), bananas, fruits, vegetables; cattle, sheep, goats

                                                                                                                                                                                        

Industries:                                                                                                                         

agricultural processing (sugar, beer, cigarettes, sisal twine); mining (diamonds, gold, and iron), salt, soda ash; cement, oil refining, shoes, apparel, wood products, fertilizer

                                                                                                                                                                                        

Industrial production growth rate:                                                                                   

6.8% (2012 est.)

country comparison to the world: 31

                                                                                                                                                                                        

Labor force:                                                                                                                      

24.75 million (2012 est.)

country comparison to the world: 27

                                                                                                                                                                                        

Labor force - by occupation:                                                                                            

agriculture: 80%

industry and services: 20% (2002 est.)

                                                                                                                                                                                        

Unemployment rate:                                                                                                         

NA%

                                                                                                                                                                                        

Population below poverty line:                                                                                         

36% (2002 est.)

                                                                                                                                                                                        

Household income or consumption by percentage share:                                                

lowest 10%: 2.8%

highest 10%: 29.6% (2007)

                                                                                                                                                                                        

Distribution of family income - Gini index:                                                                     

37.6 (2007)

country comparison to the world: 77

34.6 (2000)

                                                                                                                                                                                        

Budget:                                                                                                                             

revenues: $5.571 billion

expenditures: $6.706 billion (2012 est.)

                                                                                                                                                                                        

Taxes and other revenues:                                                                                                

19.7% of GDP (2012 est.)

country comparison to the world: 165

                                                                                                                                                                                        

Budget surplus (+) or deficit (-):                                                                                      

-4% of GDP (2012 est.)

country comparison to the world: 140

                                                                                                                                                                                        

Public debt:                                                                                                                      

36.4% of GDP (2012 est.)

country comparison to the world: 97

40.4% of GDP (2011 est.)

                                                                                                                                                                                        

Fiscal year:                                                                                                                        

1 July - 30 June

                                                                                                                                                                                        

Inflation rate (consumer prices):                                                                                       

16.1% (2012 est.)

country comparison to the world: 213

12.7% (2011 est.)

                                                                                                                                                                                        

Central bank discount rate:                                                                                              

8.25% (31 December 2010 est.)

country comparison to the world: 97

3.7% (31 December 2009 est.)

                                                                                                                                                                                        

Commercial bank prime lending rate:                                                                               

15.5% (31 December 2012 est.)

country comparison to the world: 48

14.96% (31 December 2011 est.)

                                                                                                                                                                                        

Stock of narrow money:                                                                                                   

$4.143 billion (31 December 2012 est.)

country comparison to the world: 103

$3.471 billion (31 December 2011 est.)

                                                                                                                                                                                        

Stock of broad money:                                                                                                     

$8.285 billion (31 December 2011 est.)

country comparison to the world: 113

$7.568 billion (31 December 2010 est.)

                                                                                                                                                                                        

Stock of domestic credit:                                                                                                 

$7.03 billion (31 December 2012 est.)

country comparison to the world: 110

$5.665 billion (31 December 2011 est.)

                                                                                                                                                                                        

Market value of publicly traded shares:                                                                           

$1.539 billion (31 December 2011)

country comparison to the world: 105

$1.264 billion (31 December 2010)

$1.293 billion (31 December 2008)

                                                                                                                                                                                        

Current account balance:                                                                                                  

-$3.946 billion (2012 est.)

country comparison to the world: 157

-$3.872 billion (2011 est.)

                                                                                                                                                                                        

Exports:                                                                                                                            

$5.997 billion (2012 est.)

country comparison to the world: 107

$5.098 billion (2011 est.)

                                                                                                                                                                                        

Exports - commodities:                                                                                                    

gold, coffee, cashew nuts, manufactures, cotton

                                                                                                                                                                                        

Exports - partners:                                                                                                            

India 14.1%, China 11%, Japan 6.1%, Germany 5%, UAE 4.9% (2012)

                                                                                                                                                                                        

Imports:                                                                                                                            

$10.33 billion (2012 est.)

country comparison to the world: 95

$9.828 billion (2011 est.)

                                                                                                                                                                                        

Imports - commodities:                                                                                                    

consumer goods, machinery and transportation equipment, industrial raw materials, crude oil

                                                                                                                                                                                        

Imports - partners:                                                                                                            

China 21.1%, India 16.1%, Kenya 6.6%, South Africa 5.6%, UAE 4.8% (2012)

                                                                                                                                                                                        

Reserves of foreign exchange and gold:                                                                          

$4.053 billion (31 December 2012 est.)

country comparison to the world: 98

$3.726 billion (31 December 2011 est.)

note: excludes gold

                                                                                                                                                                                        

Debt - external:                                                                                                                 

$11.58 billion (31 December 2012 est.)

country comparison to the world: 97

$10.04 billion (31 December 2011 est.)

                                                                                                                                                                                        

Stock of direct foreign investment - at home:                                                                  

$NA

                                                                                                                                                                                        

Stock of direct foreign investment - abroad:                                                                   

$NA

                                                                                                                                                                                        

Exchange rates:                                                                                                                

Tanzanian shillings (TZS) per US dollar -

1,583 (2012 est.)

1,572.1 (2011 est.)

1,409.3 (2010 est.)

1,320.3 (2009)

1,178.1 (2008)