Tanzania Achieves $6.56 Billion Investment Milestone

Tanzania is celebrating a banner year in investments, having smashed its annual targets for 2023/2024 with a remarkable $6.56 billion in total capital inflows.

This achievement includes $3.5 billion in Foreign Direct Investment (FDI) and $3.1 billion in Domestic Direct Investment (DDI), far exceeding the initial goals of $1 billion and $0.7 billion, respectively.

The figures were unveiled during a recent board meeting of the Tanzania Investment Centre (TIC), where Executive Director Gilead Teri presented the center’s annual performance report. According to Teri, the success is a testament to government reforms and a robust focus on creating a business-friendly environment.

The registered investments, spread across 707 projects, span crucial sectors such as manufacturing, transportation, agriculture, tourism, and real estate. Manufacturing led the charge, attracting $2.46 billion in investments and creating over 41,000 jobs. Agriculture followed closely, contributing $710 million and supporting more than 103,000 employment opportunities. Transportation and commercial real estate also saw strong activity, showcasing the breadth of Tanzania’s economic growth.

Collectively, these investments generated 226,585 direct jobs and an estimated 400,000 indirect positions. The employment boom underscores the importance of these projects in tackling unemployment and fostering inclusive economic growth.

Dar es Salaam emerged as the hotspot for investments, but other regions, including Pwani, Arusha, and Dodoma, also experienced increased activity. The spread highlights the government’s efforts to ensure development reaches beyond the capital.

Also Read; Tanzania, UAE Celebrate 50 Years of Diplomacy

TIC attributes this performance to the elimination of bureaucratic barriers and incentives to both foreign and local investors. “We’ve focused on making the investment process seamless and predictable,” said Teri, noting that enhanced collaboration between public and private sectors has played a key role.

With the manufacturing sector at the forefront, Tanzania is advancing its industrialization agenda. Meanwhile, agriculture remains a vital pillar, driving rural employment and food security. The year also marked significant strides in infrastructure development, a foundation for sustained economic expansion.

This milestone firmly establishes Tanzania as a leading investment destination in East Africa, setting the stage for even greater achievements in the coming years