Tanzania’s economy grows with stability, vision

DODOMA: OVER the past five years, Tanzania has achieved significant economic growth with real GDP rising from 4.8 per cent in 2020 to 5.4 per cent by May 2025, while inflation consistently maintained within single digit.

Driven by robust economic diplomacy, the country also recorded a remarkable increase in exports, which soared to 14.66 billion US dollars (about 39tri/-) in 2024, up from 8.81 billion US dollars (about 24tri/-) in 2020.

These developments were highlighted in a documentary report presented yesterday by Deputy Prime Minister and Minister for Energy, Dr Doto Biteko, during the Extraordinary General Congress of the ruling Chama Cha Mapinduzi (CCM).

The report reviewed the implementation of the party’s 2020–2025 Election Manifesto. Dr Biteko, who presented the report on behalf of Prime Minister Mr Kassim Majaliwa, said inflation remained stable, averaging between 3.0 and 5.0 per cent over the fiveyear period.

As of May 2025, the country’s real GDP has grown by 5.4 per cent.

The sixth phase government, under the leadership of President Dr Samia Suluhu Hassan, has made significant strides in improving citizens’ livelihoods.

Per capita income rose from 2.654m/- in 2020 to approximately 3.056m/- in 2025.

The report attributed the country’s economic progress to substantial investment across key sectors, including energy, water, health, education and transportation.

Domestic revenue reached 15.8 per cent of GDP in the 2024/2025 financial year.

In terms of job creation, Tanzania generated 8,084,204 jobs in both public and private sectors, surpassing the target of 8 million set in the CCM manifesto. Sector-specific growth was particularly strong in tourism.

The number of tourist arrivals jumped from 1.7 million in 2021 to about 5.3 million in 2024.

Tourism revenue surged from 700 million US dollars (about 2tri/-) to 3.3 billion US dollars (about 9tri/-) during the same period.

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This growth was fuelled in part by high-profile promotional efforts, including The Royal Tour and The Amazing Tanzania films, which showcased the country’s scenic and cultural attractions.

As a result, Tanzania received several international awards, including Africa’s Leading Destination 2024 and World’s Leading Safari Destination.

Serengeti National Park was ranked the world’s top tourism destination for five consecutive years, while Mount Kilimanjaro remained one of Africa’s most iconic landmarks.

In its pursuit of an industrial economy, the country also made notable progress in manufacturing.

This included the establishment of 12 new big privately-owned factories, among them three pharmaceutical and medical equipment facilities.

The government also launched the Kwala Industrial Park in the Coast Region, which is now home to textile and cosmetics industries.

Consequently, the value of goods produced by the manufacturing sector rose from 21bn/- in 2020 to over 26bn/- by May 2025.