GOODS and services import bill rose to 10,550.4 million US dollars in the year to March from 9,916.1 million US dollars in the corresponding period a year before, owing to increase in goods import bill.
According to Bank of Tanzania (BoT) monthly economic review for March, goods import bill recorded an annual increase of 9.0 per cent to 8,467.9 million US dollars in the year to March driven by capital and intermediate goods imports.
The significant increase recorded in the imports of capital goods reflects ongoing infrastructural development in the country.
Value of oil imports, which account for the largest share in goods imports, increased on account of both volume and price.
It increased to 2,025.9 million US dollars from 1,906.4 million US dollars, which was a 6.3 per cent change. Conversely, consumer goods import declined owing to decrease in food and foodstuffs import bill following good harvests during 2017/18 crop season.
In the year ending March, services payments declined to 2,082.5 million US dollars from 2,146.7 million US dollars in the corresponding period, largely owing to decrease in travel payments.
Noteworthy, during the period foreign payments with respect to transport activities went up by 9.9 per cent consistent with the increase in goods imports.
Primary income account, comprising of income from capital related transactions and compensation of employees, recorded a deficit of 974.4 million US dollars in the year ending March compared with a deficit of 1,060.1 million US dollars in the corresponding period following increase in receipts.
Meanwhile, secondary income account that captures unilateral current transfer between residents and non-residents registered a surplus of 453.5 million US dollars compared with a surplus of 438.6 million US dollars in year to March on account of decline in outflows.