Tanzania Tells Fitch Ratings Economy Set to Grow 6.3% in 2026

Tanzania told Fitch Ratings that its economy is projected to grow by 6.3% in 2026, up from 5.9% in 2025 and 5% in 2024, driven by investment in mining, gas, energy, agriculture and infrastructure.

The Minister for Finance, Ambassador Khamis Mussa Omar (MP), made the remarks while opening an online meeting with analysts from Fitch Ratings, held as part of a review of Tanzania’s economic performance.

Omar said the Government has continued to improve the business and investment environment, including acting on the recommendations of the Tax Reform Commission.

He acknowledged that the growth rate had not yet returned to pre-COVID-19 levels.

“On economic growth, we moved from 5% in 2024, we went to 5.9% last year, and this year we expect the economy to grow by 6.3%; we have not reached the levels that existed before COVID-19, but we are progressing well,” Omar said.

Omar noted that developments in the mining and mineral processing sector were among the key areas discussed with Fitch, pointing to large projects at various stages of preparation.

“There are other big projects, including the Nyanzaga gold mining project in Mwanza which is expected to attract investment of more than USD 500 million, there are other projects proceeding on the aluminium side in Songea, iron in Liganga, iron in Dodoma, and other projects, so overall in this sector there is significant investment expected to give a big push to our economy,” Omar said.

He added that the Liquefied Natural Gas (LNG) project is among the ventures expected to give a major boost to the economy, alongside a niobium mining project that has already been signed and is expected to attract around USD 442 million.

Omar stated that the Government has continued to take measures to cushion the impact of changes in fuel and other essential commodity prices through various economic policies and systems.

On the Fitch side, the discussions were led by the lead analyst responsible for Tanzania, José Mantero, and focused on giving the analysts detailed information on the trajectory of Tanzania’s economy, the implementation of fiscal and monetary policies, and the Government’s national debt management strategies.

The analysts also examined the impact of the conflict involving Iran on Tanzania’s economy, particularly the movement of fuel and fertilizer prices, and the measures being taken by the Government to manage potential effects.

The meeting was also attended online by the Deputy Permanent Secretary in the Ministry of Finance, Elijah Mwandumbya, and the Assistant Commissioner in the National Debt Management Department, Nuru Ndile.

Fitch Ratings Sovereign Review of Tanzania

The engagement forms part of Fitch Ratings’ second 2026 Sovereign Credit Rating Review of Tanzania, one of a series of structured engagements the agency holds with Government institutions on fiscal policy, debt management and economic performance.

Earlier in 2026, Fitch reaffirmed Tanzania’s long-term foreign-currency issuer default rating at ‘B+’ with a stable outlook, citing the country’s growth trajectory and fiscal resilience following the 2025 General Election.

The assessment noted that Tanzania’s credit profile is supported by real GDP growth projected at 6% in both 2026 and 2027, above the B-rated peers’ median of 4.5%, driven by expansion in agriculture, mining and infrastructure investment, including the Standard Gauge Railway and the East African Crude Oil Pipeline.

Analysts have characterized the rating as reflecting a balance between ongoing reforms and persistent vulnerabilities.