Economy - overview:

Tanzania is one of the poorest countries in the world. The economy depends heavily on agriculture, which accounts for more than 40% 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 traditionally featured the processing of agricultural products and light consumer goods. The World Bank, the IMF, and bilateral donors have provided funds to rehabilitate Tanzania's out-of-date economic infrastructure and to alleviate poverty. Long-term growth through 2005 featured a pickup in industrial production and a substantial increase in output of minerals led by gold. Recent banking reforms have helped increase private-sector growth and investment. Continued donor assistance and solid macroeconomic policies supported real GDP growth of nearly 7% in 2007.

GDP (purchasing power parity):

$48.94 billion (2007 est.)

GDP (official exchange rate):

$16.18 billion (2007 est.)

GDP - real growth rate:

7.3% (2007 est.)

GDP - per capita (PPP):

$1,300 (2007 est.)

GDP - composition by sector:

agriculture: 42.8%
industry: 18.4%
services: 38.7% (2007 est.)

Labor force:

20.04 million (2007 est.)

Labor force - by occupation:

agriculture: 80%
industry and services: 20% (2002 est.)

Unemployment rate:

NA%

Population below poverty line:

36% (2002 est.)

Household income or consumption by percentage share:

lowest 10%: 2.9%
highest 10%: 26.9% (2000)

Distribution of family income - Gini index:

34.6 (2000)

Inflation rate (consumer prices):

7% (2007 est.)

Investment (gross fixed):

21.3% of GDP (2007 est.)

Budget:

revenues: $3.148 billion
expenditures: $3.577 billion (2007 est.)

Public debt:

19.7% of GDP (2007 est.)

Agriculture - products:

coffee, sisal, tea, cotton, pyrethrum (insecticide made from chrysanthemums), cashew nuts, tobacco, cloves, corn, wheat, cassava (tapioca), bananas, fruits, vegetables; cattle, sheep, goats

Industries:

agricultural processing (sugar, beer, cigarettes, sisal twine); diamond, gold, and iron mining, salt, soda ash; cement, oil refining, shoes, apparel, wood products, fertilizer

Industrial production growth rate:

8.2% (2007 est.)

Electricity - production:

1.88 billion kWh (2005)

Electricity - consumption:

1.199 billion kWh (2005)

Electricity - exports:

0 kWh (2005 est.)

Electricity - imports:

136 million kWh (2005)

Oil - production:

0 bbl/day (2005 est.)

Oil - consumption:

25,000 bbl/day (2005 est.)

Oil - exports:

0 bbl/day (2004)

Oil - imports:

24,800 bbl/day (2004)

Oil - proved reserves:

0 bbl (1 January 2006 est.)

Natural gas - production:

0 cu m (2005 est.)

Natural gas - consumption:

0 cu m (2005 est.)

Natural gas - exports:

0 cu m (2005 est.)

Natural gas - imports:

0 cu m (2005)

Natural gas - proved reserves:

21.73 billion cu m (1 January 2006 est.)

Current account balance:

-$1.495 billion (2007 est.)

Exports:

$2.134 billion f.o.b. (2007 est.)

Exports - commodities:

gold, coffee, cashew nuts, manufactures, cotton

Exports - partners:

China 9.6%, India 9.2%, Netherlands 6.1%, Germany 6%, UAE 4.6% (2006)

Imports:

$4.835 billion f.o.b. (2007 est.)

Imports - commodities:

consumer goods, machinery and transportation equipment, industrial raw materials, crude oil

Imports - partners:

China 10.8%, South Africa 9.4%, Kenya 7.5%, India 6.5%, UAE 5.5%, Zambia 5.5% (2006)

Economic aid - recipient:

$1.505 billion (2005)

Reserves of foreign exchange and gold:

$2.908 billion (31 December 2007 est.)

Debt - external:

$4.379 billion (31 December 2007 est.)

Stock of direct foreign investment - at home:

$NA

Stock of direct foreign investment - abroad:

$NA

Market value of publicly traded shares:

$587.9 million (2005)

Currency (code):

Tanzanian shilling (TZS)

Exchange rates:

Tanzanian shillings per US dollar - 1,255 (2007), 1,251.9 (2006), 1,128.93 (2005), 1,089.33 (2004), 1,038.42 (2003)

Fiscal year:

1 July - 30 June