Economy of Tanzania

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Economy - overview: Tanzania is one of the poorest countries in the world. The economy is heavily dependent on agriculture, which accounts for half of GDP, provides 85% of exports, and employs 80% of the work force. Topography and climatic conditions, however, limit cultivated crops to only 4% of the land area. Industry is mainly limited to processing agricultural products and light consumer goods. The World Bank, the International Monetary Fund, and bilateral donors have provided funds to rehabilitate Tanzania's deteriorated economic infrastructure. Growth in 1991-2000 featured a pick up in industrial production and a substantial increase in output of minerals, led by gold. Natural gas exploration in the Rufiji Delta looks promising and production could start by 2002. Recent banking reforms have helped increase private sector growth and investment. Continued donor support and solid macroeconomic policies should allow Tanzania to achieve real GDP growth of 6% in 2001 and in 2002.

GDP: purchasing power parity - $25.1 billion (2000 est.)
GDP - real growth rate: 4% (1999 est.), 5.2% (2000 est.)
GDP - per capita: purchasing power parity - $710 (2000 est.)
GDP - composition by sector:
agriculture: 49%
industry: 17%
services: 34% (1996 est.)
Population below poverty line: 51.1% (1991 est.)
Household income or consumption by percentage share:
lowest 10%: 2.9%
highest 10%: 30.2% (1993)
Inflation rate (consumer prices): 8.8% (1999 est.)
Labor force: 13.495 million
Labor force - by occupation: agriculture 90%, industry and commerce 10% (1995 est.)
Budget:
revenues: $1 billion
expenditures: $1.3 billion (1999 est.)
Industries: primarily agricultural processing (sugar, beer, cigarettes, sisal twine), diamond and gold mining, oil refining, shoes, cement, textiles, wood products, fertilizer, salt
Industrial production growth rate: 8.4% (1999 est.)
Electricity - production: 1.7 billion kWh (1998)
Electricity - production by source:
fossil fuel: 29.41%
hydro: 70.59%
nuclear: 0%
other: 0% (1998)
Electricity - consumption: 1.625 billion kWh (1998)
Electricity - exports: 0 kWh (1998)
Electricity - imports: 44 million kWh (1998)
Agriculture - products: coffee, sisal, tea, cotton, pyrethrum (insecticide made from chrysanthemums), cashew nuts, tobacco, cloves (Zanzibar), corn, wheat, cassava (tapioca), bananas, fruits, vegetables; cattle, sheep, goats
Exports: $828 million (f.o.b., 1999 est.)
Exports - commodities: coffee, manufactured goods, cotton, cashew nuts, minerals, tobacco, sisal (1996)
Exports - partners: India 9.8%, Germany 8.9%, Japan 7.8%, Malaysia 6.5%, Rwanda 5.2%, Netherlands 4.7% (1997)
Imports: $1.44 billion (f.o.b., 1999 est.)
Imports - commodities: consumer goods, machinery and transportation equipment, industrial raw materials, crude oil
Imports - partners: South Africa 12.9%, Kenya 9.6%, United Kingdom 8.7%, Saudi Arabia 6.6%, Japan 4.9%, China 4.6% (1997)
Debt - external: $7.7 billion (1999 est.)
Economic aid - recipient: $963 million (1997)
Currency: 1 Tanzanian shilling (TZS) = 100 cents

SOURCE: The World Factbook

Mother Earth Travel > Country Index > Tanzania > Map Economy History