WHY INVEST IN TANZANIA
OVERVIEW
Tanzania is one of the 10 fastest growing economies in Africa. For the past 10 years the country’s economy grew at an average of 7%. In July 2020 Tanzania was officially promoted to a lower-middle-income country by the World Bank. These achievements can be attributed to political and economic growth and stability, good and predictable policies as well as peace and tranquility.
Tanzania offers a broad range of opportunities in all sectors although the government is prioritizing on key sectors such as Agriculture, Mining, Tourism, Manufacturing, Agro-processing, Pharmaceuticals, Real Estate and Livestock & Fishing.
The 6th phase government under H. E. President Samia Suluhu Hassan is determined and committed to opening up of the country to the global economy through improved investment climate, mega infrastructures development in order to accelerate the smooth flow of the Foreign Direct Investments (FDIs) and Domestic Direct Investment (DDI) for social and economic prosperity of Tanzanians. The government has been undertaking major legal and regulatory reforms in a quest to make Tanzania one of the best investment destinations in the continent. These reforms, which cut across the board, include tax regime, automation of investment procedures and processes, harmonization of institutions, land laws as well as unlocking hurdles that impede business growth.
By the end of the year 2022 all villages in Tanzania will have access to electricity. This will guarantee investors to set up their businesses in any corner of the country. Construction of the US$3 billion Nyerere Hydro Electric Dam with the capacity to produce more than 2,000 megawatts will also guarantee investors with an affordable and reliable supply of electricity. The construction of a new electric powered Standard Gauge Railway (SGR) from Dar es Salaam Port linking it with Uganda, Rwanda, Burundi and the DRC is a game changer which is expected to greatly improve efficiency and slash cargo transport cost by 40%.
As member of the African Continental Free Trade Area (AfCFTA), we believe that with efficient transport systems, reliable and affordable electricity coupled with friendly regulatory regime, Tanzania offers the best opportunity for investors to excel.
Apart from being strategically located, Tanzania offers unbeatable markets for investors in the East African Community with seven countries (Burundi, DRC, Kenya, Rwanda, South Sudan, Tanzania and Uganda), the Southern African Development Community (SADC), the EAC-SADC-COMESA Tripartite as well as preferential trade agreements such as AGOA with the USA, EBA with the EU and bilateral trade agreements with major trading countries such as China, India and Japan.
Tanzania is committed to upholding democratic values, good governance, human rights and freedom of speech as key ingredients of our tradition rooted in the belief that if we want to reach far, we must work together with others, while upholding ethos of the international community.