The Bank of Tanzania (BOT) Monthly Economic Review – May 2021 indicates that during the year ending April 2021, exports continued to gain momentum as the global impact of the Covid-19 pandemic wanes and the global economy gradually recovers.
The current account deficit narrowed to USD 1,177.2 million from USD 1,443.6 million recorded in the corresponding period of 2020, driven by exports of gold and horticultural products along with a reduction in imports value of oil and transport equipment.
The overall balance of payments was a deficit of USD 290.2 million, compared to a surplus of USD 995.2 million in the corresponding period of 2020, on account of a decrease in financial inflows.
Value of Tanzania Exports YE April 2021
The value of exports of goods and services amounted to USD 8,544.4 million during the year ending April 2021, lower than USD 9,557.3 million recorded in the corresponding period in 2020, largely explained by a decrease in services receipts.
During the year ending April 2021, the value of goods exports amounted to USD 6,349.2 million, an increase of 12% compared to the amount recorded in the corresponding period in 2020, owing to satisfactory performance in non-traditional exports.
Value of Tanzania Non-Traditional Exports YE April 2021
The value of non-traditional exports increased to USD 5,471.2 million from USD 4,333.8 million registered in the corresponding period in 2020, mainly attributed to the good performance of manufactured goods, horticultural products particularly edible vegetables and fruits, and all minerals except diamonds.
Gold exports, which accounted for 50.1% of all non-traditional exports, increased by USD 594.0 million to USD 3,030.5 million, owing to higher prices in the world market and the Government’s efforts to closely monitor the mining sector.
On a month-to-month basis, the export value of non-traditional exports rose to USD 481.0 million from USD 420.0 million in April 2020, mostly explained by an increase in mineral exports.
Value of Tanzania Traditional Exports YE April 2021
Conversely, the value of traditional exports decreased to USD 576.3 million from USD 1,009.0 million in the corresponding period in 2020, on account of low values of all exported cash crops save for sisal and coffee.
The increase in the value of coffee exports was mainly due to a rise in the price of coffee in the world market.
On a monthly basis, the export value of traditional goods also decreased to USD 16.1 million from USD 30.5 million in the corresponding month of 2020, mainly due to low export values of tobacco, cotton, tea, and cloves.
Value of Tanzania Travel Receipts YE April 2021
Services receipts amounted to USD 2,195.2 million during the year ending April 2021, lower than USD 3,890.0 million in the corresponding period in 2020, largely explained by a decrease in travel receipts.
Travel receipts declined by 67.3% to USD 735.7 million, due to containment measures instituted by various countries against the Covid-19 pandemic including lockdowns and travel restrictions.
Consequently, the number of international arrivals declined to 551,328 from 1,423,836 in the year to April 2020.
During April 2021, services receipts increased to USD 193.0 million compared with USD 114.5 million in April 2020, owing to an increase in travel receipts.