Tanzania GDP Expanded by 7.1% in 2017

Tanzania GDP 2007-2017

The Tanzania National Bureau of Statistics (NBS) has recently released the Gross Domestic Product (GDP) data for 2017, showing a growth of +7.1% compared to 2016 (+7.0%).

The value of Annual Gross Domestic Products at 2007 constant prices in absolute terms increased to TZS 50.5 trillion in 2017 from 47.1 trillion in 2016, while the Annual Gross Domestic Products at current prices in absolute terms for 2017 increased to TZS 116.1 trillion from to TZS 103.1 trillion in 2016.

The economic activities that increased at significant rates in 2017 include Mining and Quarrying (+17.5%), Water Supply (+16.7%), Transportation and Storage (+16.6%), Information and Communication (+14.7%) and Construction (+14.1%).

Mining and Quarrying
In 2017, the value added of mining and quarrying activities increased to TZS 1.98 trillion from TZS 1.68 trillion in 2016 equivalent to an increase of +17.5%.

The growth of this activity was attributed to an increase in natural gas production, diamond, and coal.

In addition, coal production increased due to the Government decision of banning coal importation.

Also, natural gas production increased to meet the demand of gas for electricity generation and new industries connected to the gas pipeline.

Construction
The value added of the construction activity increased to TZS 6.159 trillion in 2017 from TZS 5.396 trillion in 2016 equivalent to an increase of +14.1%.

This increase was attributed to the construction of commercial and residential buildings, on-going infrastructure construction projects, that includes Standard Gauge Railway (SGR), expansion of Mwanza airport, construction of bridges at TAZARA and Ubungo intersection in Dar es Salaam, as well as the construction of Manyoni road – Tabora, and other upgraded roads to tarmac in the country.

RELATED:  Tanzania Face Downside Macroeconomic Risks, IMF Warn

Manufacturing
The activity value added increased to TZS 3.719 trillion in 2017 from TZS 3.473 trillion recorded in 2016, equivalent to an increase of +7.1%.

The growth rate was attributed to an increase in production of food products; chemical and cement; and wood products and paper products.

Agriculture, Livestock, Forestry, and Fishing

The overall agricultural activity increased by a mere +3.6%.

The largest activity, crop production, increased it value-added to TZS 5.3 trillion from TZS 5.1 trillion recorded in the year 2016, equivalent to an increase of +3.7%.

The growth was attributed to the availability of sufficient rainfall in crop production areas.

A table with the gross domestic product and percentage growth rates by kind of economic activity (at constant 2007 prices) is available here: https://nbs.go.tz/nbs/takwimu/na/GDP_Jan_Dec_2017.pdf