the economic survey 2010 econom… · natural resources and tourism ..... 161 growth rate ... folk...

Printed by KIUTA Dar es Salaam - Tanzania

THE UNITED REPUBLIC OF TANZANIA

______________________

THE ECONOMIC SURVEY 2010

Produced by:

The Ministry of Finance

DAR ES SALAAM – TANZANIA

August, 2011

Table of Contents

LIST OF TABLES ........................................................................................ i ABBREVIATIONS AND ACRONYMS ................................................... vii IMPORTANT ECONOMIC EVENTS IN 2010 .......................................... x

CHAPTER 1 ................................................................................................. 1 THE DOMESTIC ECONOMY .................................................................... 1

Economic Growth ..................................................................................... 1 Rebasing of the National Consumer Price Index (NCPI) ......................... 5

New weights and a new reference period ............................................. 5 Classification of Goods and Social Services ........................................ 6 NCPI Methodology ............................................................................... 7

The Link between the new and old NCPI ............................................. 8 Price Trend ............................................................................................... 8

Inflation Rate excluding Food and Energy .......................................... 8 Capital Formation ................................................................................... 10

CHAPTER 2 ............................................................................................... 40 THE STATE OF THE WORLD ECONOMY AND INTERNATIONAL

ECONOMIC CO-OPERATION ................................................................ 40

THE STATE OF THE WORLD ECONOMY ....................................... 40

World Economic Growth ................................................................... 40 Trend in World Trade ............................................................................. 40 Economic Development in Sub-Saharan Africa ..................................... 43

East African Community (EAC) ............................................................ 45 Africa Union and Economic Commission for Africa ............................. 45

Joint Permanent Commission (JPC) ....................................................... 46 Southern Africa Development Community (SADC) ............................. 46 African Peer Review Mechanism (APRM) ............................................ 47

World Economic Forum (WEF) ............................................................. 47 CHAPTER 3 ............................................................................................... 49

EXTERNAL SECTOR ............................................................................... 49

INTRODUCTION ...................................................................................... 49

MERCHANDISE EXPORTS ................................................................ 49 Coffee ................................................................................................. 50 Cotton ................................................................................................. 50 Tea ...................................................................................................... 50 Tobacco .............................................................................................. 50

Cashewnuts ......................................................................................... 51 Cloves ................................................................................................. 51 Minerals .............................................................................................. 51 Manufactured Goods .......................................................................... 52 Fish and Fish Products ........................................................................ 52

ii

Horticultural Products ........................................................................ 52

Other goods exports ............................................................................ 52 Service Receipts ................................................................................. 54

MERCHANDISE IMPORTS ................................................................. 54 Capital goods ...................................................................................... 54 Intermediate Goods ............................................................................ 54

Consumer Goods ................................................................................ 55 SERVICES PAYMENTS ....................................................................... 55 TRENDS IN SELECTED REGIONAL AND BILATERAL TRADE .. 55

BALANCE OF PAYMENTS ................................................................. 60 Balance of Merchandise Trade ........................................................... 60 Balance on Services ............................................................................ 61 Balance on Investments Receipts and Payments ................................ 61

Balance on Current Transfers ............................................................. 61 Balance on Current Accounts ............................................................. 61 Balance on Capital Transfers .............................................................. 61 Balance on Investment Payments ....................................................... 62

Overall Balance of Payments ............................................................. 62 Foreign Currency Reserves ................................................................ 62

EXCHANGE RATE ............................................................................... 62 CHAPTER 4 ............................................................................................... 76

GOVERNMENT FINANCE ...................................................................... 76 Domestic Revenue .................................................................................. 76

Expenditure ............................................................................................. 78 Sectoral Allocation of Government Budget ........................................... 79 National Debt .......................................................................................... 80

External Debt .......................................................................................... 81 External Debt Stock by Creditor Category ............................................. 81 Domestic Debt Stock .............................................................................. 82

Public Debt Service ................................................................................ 83 CHAPTER 5 ............................................................................................... 88

MONEY AND FINANCIAL INSTITUTIONS ......................................... 88 Money Supply and Domestic Credit ...................................................... 88

Deposits in Commercial Banks .............................................................. 89 Parastatal Pension Fund (PPF) ............................................................... 90 Public Service Pension Fund (PSPF) ..................................................... 90

National Social Security Fund (NSSF) ................................................... 91 Government Employees Provident Fund (GEPF) .................................. 92

National Health Insurance Fund (NHIF) ................................................ 93 Local Authorities Pensions Fund (LAPF) .............................................. 94 Tanzania Insurance Regulatory Authority (TIRA) ................................. 95

Dar es Salaam Stock Exchange (DSE) ................................................... 96 Tanzania Postal Bank ............................................................................. 97

iii

CHAPTER 6 ............................................................................................. 103

HUMAN RESOURCES ........................................................................... 103 Population and Development ............................................................... 103 Labour Force and Employment ............................................................ 105

CHAPTER 7 ............................................................................................. 108 PRIVATE SECTOR DEVELOPMENT .................................................. 108

Investment in the Country .................................................................... 108 The Regional Distribution of Projects .................................................. 109 The Improvement of Business Environment ........................................ 110

ECONOMIC EMPOWERMENT ............................................................ 111 Mwananchi Empowerment Fund ......................................................... 111 Access to Credit .................................................................................... 112

CHAPTER 8 ............................................................................................. 115

CROSS CUTTING ISSUES ..................................................................... 115 HIV/AIDS ............................................................................................. 115 Environment ......................................................................................... 115 Good Governance ................................................................................. 117

Gender .................................................................................................. 118 Public Safety ......................................................................................... 119

CHAPTER 9 ............................................................................................. 121 REVIEW OF THE IMPLEMENTATION OF NATIONAL STRATEGY

FOR GROWTH AND REDUCTION OF POVERTY (NSGRP) ............ 121 Introduction .......................................................................................... 121

Growth and Reduction of Income Poverty ........................................... 121 Improving Quality of Life and Social Well-being ............................... 123 Good Governance and Accountability ................................................. 124

CHAPTER 10 ........................................................................................... 127 EXPANDING FINANCIAL SERVICES TO THE UNBANKED

COMMUNITY ......................................................................................... 127

Introduction ...................................................................................... 127 Financial Sector in Tanzania ................................................................ 129

Mobile Phone Payment ......................................................................... 131 Development of Microfinance Institutions ........................................... 133

Challenges ............................................................................................ 135 Conclusion ............................................................................................ 137

CHAPTER 11 ........................................................................................... 140

AGRICULTURE AND COOPERATIVES ............................................. 140 Growth .................................................................................................. 140

Food Crops ........................................................................................... 140 Cash crops Production .......................................................................... 141 Production of Oil seeds ........................................................................ 142

Investment in Agriculture ..................................................................... 142 Irrigation Farming ................................................................................ 142

iv

Extension Services and Trainings ........................................................ 143

Research Activities ............................................................................... 144 Agriculture Input Trust Fund ................................................................ 145 Provision of Subsidies for Farming Inputs ........................................... 145

LIVESTOCK ............................................................................................ 146 Livestock Production and its Products ................................................. 146

Trading of Livestock and Its Products .................................................. 147 COOPERATIVES AND MARKETING ................................................. 150

Cooperative Development ................................................................ 150

Trend of Cash Crops Prices .................................................................. 151 CHAPTER 12 ........................................................................................... 161 NATURAL RESOURCES AND TOURISM .......................................... 161

Growth Rate .......................................................................................... 161

Forestry and Beekeeping ...................................................................... 161 Wildlife ................................................................................................. 164 FISHERIES .......................................................................................... 165 Tourism ................................................................................................. 168

Archives and Antiquities ...................................................................... 171 CHAPTER 13 ........................................................................................... 184

MINING ................................................................................................... 184 Growth Rate .......................................................................................... 184

Mineral Prospecting .............................................................................. 184 Mining and Mineral Sales .................................................................... 184

Diamond ............................................................................................... 184 Gold ...................................................................................................... 184 Gemstones ............................................................................................ 185

Coal ....................................................................................................... 185 The value of Mineral Exports ............................................................... 185

CHAPTER 14 ........................................................................................... 188

MANUFACTURING AND INTERNAL TRADE .................................. 188 Growth Rate .......................................................................................... 188

Small Enterprises .................................................................................. 188 Production Cost .................................................................................... 188

Production in Selected Industries ......................................................... 188 Internal Trade ....................................................................................... 189 Dar es Salaam International Trade Fair ................................................ 189

CHAPTER 15 ........................................................................................... 198 CONSTRUCTION AND LAND DEVELOPMENT ............................... 198

CONSTRUCTION ............................................................................... 198 Growth Rates .................................................................................... 198 Road Network ................................................................................... 198

Roads and Bridges Maintenance ...................................................... 199 Road Board Fund .............................................................................. 199

v

Contractors Registration Board ........................................................ 200

Engineers Registration Board ........................................................... 200 Architects and Quantity Surveyors Registration Board ................... 201 National Building Council ................................................................ 202 Tanzania Building Agency ............................................................... 202

LAND DEVELOPMENTS .................................................................. 203

Human Settlements and Rural Development ................................... 207 Housing Development ...................................................................... 209

CHAPTER 16 ........................................................................................... 210

TRANSPORT AND COMMUNICATION ............................................. 210 Introduction .......................................................................................... 210 TRANSPORT ....................................................................................... 210

Road Transport ................................................................................. 210

Urban Commuter Services ............................................................... 210 Usafiri Dar es Salaam (UDA) ........................................................... 211

RAILWAY TRANSPORT ................................................................... 212 Tanzania Railways Limited (TRL) ................................................... 212

Tanzania and Zambia Railway Authority (TAZARA) ..................... 212 AIR TRANSPORT ............................................................................... 213

Tanzania Airport Authority (TAA) .................................................. 213 METEOROLOGICAL SERVICES ..................................................... 214

WATER TRANSPORT ........................................................................ 214 Marine Transport .............................................................................. 215

The Marine Service Company Limited (MSCL) .............................. 217 SINOTASHIP ................................................................................... 217

COMMUNICATION SERVICES ....................................................... 218

Tanzania Posts Corporation (TPC) ................................................... 218 Tanzania Communication Regulatory Authority (TCRA) ............... 220

INFORMATION AND COMMUNICATION TECHNOLOGY (ICT)

.............................................................................................................. 222 National ICT Infrastructure Backbone ............................................. 222

Tele-centers ...................................................................................... 222 National Physical Address and Postal Codes ................................... 222

SCIENCE, TECHNOLOGY AND INNOVATION ............................ 223 The Development of Scientific Research in Tanzania ..................... 223 National Research Registry .............................................................. 223

Human Resource Development ........................................................ 224 Radiation Control ............................................................................. 224

CHAPTER 17 ........................................................................................... 232 ENERGY .................................................................................................. 232

Growth Rate .......................................................................................... 232

Electricity ............................................................................................. 232 Exploration of Petroleum and Gas ....................................................... 236

vi

Fuel Prices ............................................................................................ 236

ALTERNATIVE SOURCES OF ENERGY ........................................ 236 Minor Waterfalls .............................................................................. 236 Solar Power ...................................................................................... 236 Geothermal and Biofuel ................................................................... 237

CHAPTER 18 ........................................................................................... 238

WATER .................................................................................................... 238 Introduction .......................................................................................... 238 Rural Water Supply .............................................................................. 238

Urban Water Supply ............................................................................. 239 CHAPTER 19 ........................................................................................... 241 EDUCATION AND TRAINING ............................................................. 241

Pre – primary Education ....................................................................... 241

Primary Education ................................................................................ 241 Secondary Education ............................................................................ 242 Teachers‘ Education ............................................................................. 242 Adult Education .................................................................................... 245

Schools and Colleges‘ Inspection ......................................................... 245 Vocational Training .............................................................................. 246

Technical Education ............................................................................. 247 Higher Education .................................................................................. 247

CHAPTER 20 ........................................................................................... 260 HEALTH .................................................................................................. 260

Introduction .......................................................................................... 260 Health Facilities .................................................................................... 260 Health Facilities Inspection .................................................................. 261

Community Health Education .............................................................. 262 Maternal and Child Health ................................................................... 262 Life expectancy .................................................................................... 262

National Malaria Control Programme (NMCP) ................................... 262 Food and Nutrition ............................................................................... 263

Social Welfare ...................................................................................... 264 CHAPTER 21 ........................................................................................... 269

COMMUNITY DEVELOPMENT .......................................................... 269 Folk Development Colleges ................................................................. 269 Gender and Women Development ....................................................... 269

Children Development ...................................................................... 270 Coordination of Non-Government Organisations (NGOs) .................. 271

i

LIST OF TABLES

Table A: Basic Economic Statistics – Statistics Tanzania Mainland ............ xi

Table B: Trends in Selected Macroeconomic Indicators, 2002 - 2010........xii

Table 1: Gross Domestic Product by Kind of Economic

Activity, at current prices ............................................................... 12

Table 1A: Gross Domestic Product (Monetary & non-Monetary GDP mp) by

Kind of Economic Activity, at current prices ................................ 13

Table 2: Sectoral Contribution to Overall GDP at Market Price

(at current prices)........................................................................... 14

Table 2A: Sectoral Contribution to Overall GDP Monetary &

Non-Monetary, at current prices.................................................... 15

Table 2B: Gross Domestic Product and Expenditure, at current

Market prices ................................................................................. 16

Table 3: Gross Domestic Product (GDP mp) by Kind of Economic

Activity, at constant 2001 prices ................................................... 17

Table 3A: Gross Domestic Product (Monetary & non-Monetary)

by Kind of Economic Activity, at constant 2001 prices .............. 18

Table 4: Gross Domestic Product (GDP mp) by Kind of Economic

Activity - Percentage Growth Rates, at constant 2001 prices ....... 19

Table 4A: Gross Domestic Product (Monetary & non-Monetary GDP mp) by

Kind of Economic Activity - Percentage Growth Rates, at

constant 2001 prices ...................................................................... 20

Table 4B: Sectoral Contribution to Overall GDP (%)

at constant 2001 prices .................................................................. 22

ii

Table 4C: Sectoral Contribution to Overall GDP (%) - Monetary &

non-Monetary at constant 2001 prices .......................................... 25

Table 4D: Gross Domestic Product and Expenditure, at constant 2001

market prices ................................................................................ 26

Table 5: Capital Formation by Type of Assets, at current prices ................ 27

Table 6: Capital Formation by Type of Assets, at constant 2001

prices ............................................................................................. 28

Table 7: Capital Formation by Public and Private Sectors, at current price 29

Table 8: Index of Retail Prices of goods consumed by minimum wage

earners in Dar es Salaam (2001=100). .......................................... 30

Table 9: Index of Retail Prices of goods consumed by minimum

wage earners in Dar es Salaam (2001 = 100) ............................... 31

Table 10: Cost of Living Index of goods and services consumed by middle

grade wage earners in Dar es Salaam (2001=100). ....................... 32

Table 11: Cost of Living Index of goods and services consumed by middle

grade wage earners in Dar es Salaam (2001=100). ....................... 33

Table 12: Cost of Living Index for the high income group in Dar es Salaam

(2001=100). ................................................................................... 34

Table 13: Cost of Living Index for high income group in Dar es Salaam

(2001=100). ................................................................................... 35

Table 14: Cost of Living Index of goods and services consumed by urban

dwellers in Tanzania Mainland (2001=100). ................................. 36

Table 15: Cost of Living Index of goods and services consumed by urban

dwellers Tanzania Mainland (2001=100) ..................................... 37

Table 16: Different Indices of goods and services consumed by

urban residents in Tanzania Mainland (2001 =100). ..................... 39

iii

Table 17: Value of Tanzania's Foreign Trade ................................................ 63

Table 18: Volume and Value of Domestic Exports ....................................... 64

Table 19: Volume and Value of Traditional and Non-traditional

Exports .......................................................................................... 65

Table 20: Export Prices of Principal Commodities (Tshs/Ton)......................70

Table 21: Export Prices of Principal Commodities (US$/Ton) ......................71

Table 23: Composition of Imports ................................................................. 73

Table 24: Balance of Payments ..................................................................... 74

Table 25: Trends in Government Finance ..................................................... 86

Table 26: Classification of Central Government Expenditure by

Purpose .......................................................................................... 87

Table 27: Monetary Survey: Tanzania Mainland .......................................... 99

Table 28: Growth of Money Supply and Domestic Credit:

Tanzania Mainland ..................................................................... 100

Table 29: Trend of Exchange Rates of the Tanzania Shs.

against the US$. ............................................................... ............100

Table 30: Commercial Banks Lending by Sectors ...................................... 101

Table 31: Trend of Commercial Banks Deposits ........................................ 102

Table 32: Average Nominal Interest Rates ................................................. 102

Table 33: Regional Distribution of Tanzania Population (2005 - 2010) ..... 106

Table 34: Tanzania Investment Centre (TIC): Approved Projects .............. 114

iv

Table 35: Domestic Production and Consumption of Sugar. ...................... 152

Table 36: Cotton procurement and local sales ............................................. 153

Table 37: Tea crop area, production and local sales .................................... 154

Table 38: Coffee procurement and local sales ............................................. 155

Table 39: Sisal plantations, production and local sales ............................... 156

Table 40: Tobacco procurement and local sales .......................................... 157

Table 41: Pyrethrum procurement and local sales ....................................... 158

Table 42: Cashewnuts procurement and local sales. ................................... 159

Table 43: Summary of Marketed Quantities and Value of Principal Cash

Crops ........................................................................................... 160

Table 45: Tree Planting - Seedlings planted ................................................ 173

Table 47: Exports of Forestry Products ....................................................... 174

Table 48: Export of Government Trophies ................................................ 175

Table 48A: Earnings from Tourist Hunting and Export of Live Animals ...... 176

Table 48B: Number of Tourist Hunters ......................................................... 176

Table 50: Production in the Fisheries Sector (1993 -2010) ........................ 177

Table 51: Export of Fish Products ............................................................... 178

Table 51A: Summary of Fish Export Products (1996 -2010) ....................... 179

Table 51B Trends of Nile Perch Exports (1996 – 2010) .............................. 179

v

Table 52: Number of visitors, hotel bed-nights and foreign exchange

earnings ....................................................................................... 180

Table 53: Number of Tourists and Foreign Exchange Earnings (1995-2010)...181

Table 55: Tourist Accommodation in Tanzania (2005 - 2010) ................... 182

Table 55A: Number of Tourists visited Tourist Attractions....................... 183

Table 56: Minerals Production .................................................................... 186

Table 57: Minerals Exports (2005 - 2010) .................................................. 187

Table 58: Production and Consumption of Cement .................................... 191

Table 59: Production in selected industries ................................................. 192

Table 60: Industries - Estimated number of employees .............................. 193

Table 61: Industries - Estimated labour costs .............................................. 194

Table 62: Industries - Summary Statistics ................................................... 195

Table 63: Industries - Regional Summaries................................................. 196

Table 65: Performance Indicators in the Industrial sector......................197

Table 67: Tanzania Railways Corporation (TRC). ...................................... 225

Table 68: The UHURU Railway (TAZARA). ............................................ 226

Table 69: Shipping Statistics: Dar es salaam, Tanga & Mtwara ................. 227

Table 70: Postal Services Statistics ............................................................. 230

Table 73: Air Tanzania Corporation (ATC). ............................................... 231

Table 74: Electricity: Installed Capacity and Total Units Generated

by Station ..................................................................................... 233

vi

Table 75: Electricity sales by Type of Use .................................................. 234

Table 76: Quantity of Electricity Sold by Region ....................................... 235

Table 78: Total Number of Boreholes Drilled during the year 2010........... 240

Table 79: Water Supply in Urban City Centre 2010 ................................240

Table 80: Government Secondary Schools: Number of Students by Form . 249

Table 81: Private Secondary Schools: Number of Students by Form .......... 259

Table 84: Health Facilities in the Country ................................................... 266

Table 85: Health Services: Training Output in 2010 .................................. 268

Table 87: Number of Medical Personnel ..................................................... 269

Table 87A: Number of Hospital Beds in the Country .................................... 269

vii

ABBREVIATIONS AND ACRONYMS

APRM - African Peer Review Mechanism

ASDP - Agricultural Sector Development Programme

ARVs - Anti-retroviral

TAA - Tanzania Airports Authority

AU - African Union

ATMS - Automatic Teller Machine

BEST - Business Environment Strengthening for Tanzania

BRELA - Business Registration and Licensing Authority

BoT - Bank of Tanzania

Cif - Cost insurance and freight

COSTECH - Tanzania Commission for Science and Technology

CARMATEC - Centre for Agricultural Mechanisation and Rural Technology

CPI - Consumer Price Index

CRDB - CRDB Bank

COICOP - Classification of Individual Consumption by Purpose

COMESA - Common Market for Eastern and Southern Africa

DAWASCO - Dar es Salaam Water and Sewerage Corporation

D by D - Decentralization by Devolution

DSM - Dar es Salaam

DSE - Dar es salaam Stock Exchange

DADPs - District Agricultural Development Plan

DITF - Dar es Salaam International Trade Fair

DIT - Dar es Salaam Institute of Technology

ECA - Economic Commission for Africa

EAC - East African Community

EPZ - Economic Processing Zone

EWURA - Energy and Water Utilities Regulatory Authority

f.o.b - free on board

FDI - Foreign Direct Investment

GEPF - Government Employees Provident Fund

GBS - General Budget Support

GDP - Gross Domestic Product

HESLB - Higher Education Students Loan Board

HBS - Household Budget Survey

viii

ISO - International Organization for Standardization

ILFS Intergrated Labour Fource Survey

JPC - Joint Program Commissions

IFMS - Integrated Financial Management System

LUKU - Lipa Umeme Kadri Unavyotumia

LSRP - Legal Sector Reform Programme

LAPF - Local Authorities Pensions Fund

LGRP - Local Government Reform Program

LGA - Local Government Authority

M2 - Broad Money Supply

M3 - Extended Broad Money Supply

IMF - International Monetary Fund

MDGs - Millennium Development Goals

MKUKUTA - Mkakati wa Kukuza Uchumi na Kupunguza Umasikini Tanzania

MACEP - Marine and Coastal Environmental Management Project

MAIR - MKUKUTA Annual Implementation Report

MMS - MKUKUTA Monitoring System

MSCL - Marine Service Company Ltd

MRCC - Maritime Rescue Coordination Centre

MSMEs - Medium, Small and Micro Enterprises

MW - Mega Watts

NAIC - The National Artificial Insemination Centre

NSSF - National Social Security Funds

NASCAP - Anti-Corruption Strategy and Action Plan

NEMC - National Environmental Management Council

NEPAD - New Partnership for Africa‘s Development

NGO‘s - Non-Governmental Organisations

NHIF - National Health Insurance Fund

NIC - National Insurance Corporation

NMB - National Microfinance Bank

PHDR Poverty and Human Development Report

PSRP - Public Service Reform Program

PSPF - Public Service Pensions Fund

PPF - Parastatal Pensions Fund

PFMRP - Public Financial Management Reform Program

PCCB - Prevention Combating of Corruption Bureau

PEDP - Primary Education Development Program

RAHCO - Railway Holding Company

RITES - RITES Company of India

ix

RITA - Registration, Insolvency and Trusteeship Agency

SACCOS - Savings and Credit Cooperative Societies

SADC - Southern Africa Development Community

SCULT - Savings and Co-operatives Union League of Tanzania

SMEs - Small and Medium Enterprises

SUMATRA - Surface and Marine Transport Regulatory Authority

TaESA - Tanzania Employment Service Agency

TANESCO - Tanzania Electricity Supply Company

TANROADS - Tanzania Roads Agency

TAZARA - Tanzania Zambia Railway Authority

TEUS - Twenty Equivalent Units

TDHS - Tanzania Demographic and Health Survey

TIRA - Tanzania Insurance Regulatory Authority

TCAA - Tanzania Civil Aviation Authority

TMA - Tanzania Meteorology Agency

TCRA - Tanzania Communications Regulatory Authority

TICTS - Tanzania International Container Terminal Services

TRA - Tanzania Revenue Authority

TRC - Tanzania Railways Corporation

TRL - Tanzania Railways Company Limited

TTCL - Tanzania Telecommunications Company Limited

Tshs - Tanzanian Shilling

UAE - United Arab Emirate

UFI - Global Association of the Exhibition Industry – Formerly known,

Union Des Foires Internationales

VAT - Value Added Tax

WEF - World Economic Forum

WDL - Williamson Diamonds Limited

WMO - World Meteorological Organization

WSDP - Water Sector Development Program

x

IMPORTANT ECONOMIC EVENTS IN 2010

Date Month Events

5 – 7 May World Economic Forum – WEF

May The Southern Agricultural Growth Corridor

(SAGCOT) was Launched

08 July Tanzania signed Comprehensive Africa Agriculture

Development Program – CAADP Compact

1-7 July The Dar es Salaam International Trade Fair took

place in Dar es Salaam, Tanzania

August The Public Private Partnership PPP Act Na. 19 of

2010 was enacted

September Tanzania awarded a certificate for good

performance in primary schools enrolment, that

indicates the way of reaching MDGs targets in

2015, during MDGs Summit

31 October Tanzania National Election

17 December Central Bank of Tanzania printed new currency

whereby its circulation started on 01st January 2011

xi

Table A

2004 2005 2006 2007 2008 2009 2010

% Change

2009/10

Population (millions) 35.3 36.2 37.5 38.3 39.5 40.7 41.9 2.9

Gross Domestic Product, at current prices (Shs. million) 13971592 15965294 17941268 20948403 24754457 28212646 32293479 14.5

Gross Domestic Product, at constant 2001 prices (Shs. million) 11239735 12068090 12881163 13801921 14828345 15721301 16828563 7.0

GDP per capita, at current prices (Shs.) 395796 441030 478434 547081 627097 693470 770464 11.1

GDP per capita, at constant 2001 prices (Shs.) 318406 333373 343498 360446 375642 386431 401499 3.9

Consumer Price Index (%) 4.2 4.3 7.3 7.0 10.3 12.3 5.5

Balance of merchandise trade (US$ million) -1009.7 -1321.8 -1946.5 -2634.0 -3433.5 -2539.5 -2828.3 11.4

Current Account balance (US$ million) -383.2 -867.6 -1143.2 -1580.1 -2595.4 -1768.3 -1853.5 4.8

Consumption of cement ('000 Tons) 1280.9 1375.2 1421.5 1629.9 1755.8 1940.8 2312.0 19.1

Electricity sold (KWH million) 3686.0 3623.0 2464.0 3057.0 3369.0 4802.1 5138.0 7.0

Tourist earnings (US$ million) 746.0 823.0 862.0 1198.0 1354.0 1159.8 1254.5 8.2

Railways: Cargo transportation ('000 Tons) 1300 1467 1073 1012 727 535 563 5.2

Education: Students in Primary Schools ('000)* 48276.0 72035.0 79598.8 83169.3 84372.4 84415.5 84193.0 -0.3

Education: Students in Secondary Schools ('000)* 432.6 524.3 675.7 1020.5 1222.4 1466.4 1638.7 11.7

Education: Students in Higher Learning Institutions (number)1

- - - - - - -

Hospitals: Number of beds 49074 37048 37228 37228 37228 40118 45241 12.8

Doctors (number) - - 862 1198 1354 1159.8 578

Exports of Cash Crops (Mill.US$)

Traditional Commodities

Coffee 49.80 74.30 61.40 98.10 103.32 111.66 117.31 5.1

Cotton 74.60 111.50 55.80 66.40 80.87 111.15 97.79 -12.0

Sisal 7.20 7.30 6.10 6.80 0.00 0.00 8.51

Tea 30.10 25.60 31.00 28.70 41.96 34.50 47.32 37.2

Tobacco 57.60 80.80 65.20 72.90 175.92 127.29 129.19 1.5

Cashewnuts 68.10 46.60 39.40 13.20 69.37 71.51 125.34 75.3

Cloves 10.30 8.50 8.20 4.20 13.52 14.73 8.14 -44.7

Non-Traditional Commodities

Minerals 680.20 711.30 836.80 886.50 42.52 1114.80 1560.10 39.9

Manufactured goods 110.10 156.10 155.90 309.20 94.19 98.70 93.40 -5.4

Other exports 385.10 454.40 436.30 520.70 2163.84 2163.17 2072.40 -4.2

Monetary Aggregates 2004/05 2005/06 2006/07 2007/08 2008/09 2009/10 2010/11p

Money supply (Shs. billion)2

2603.0 3266.5 5317.2 6527.8 7834.1 9801.8

Net domestic credit (Shs. billion) 1123.6 1504.2 2169.5 2477.7 4771.7 6124.1

Government Finance

Government Recurrent Revenue (Shs. billion) 1716.3 2066.8 2739.0 3502.6 4293.1 4661.5 6003.6 28.8

Government Recurrent Expenditure (Shs. billion) 2017.5 2649.9 3137.5 3796.9 4681.5 5562.4 6950.6 25.0

Government Development Expenditure (Shs. billion) 1091.6 1385.2 1337.2 2201.1 2130.4 2611.3 3819.1 46.3

Source: Ministry of Finance

* For Government and Private Schools

** From 1998, Base year is 2001

1 Academic year ending in the respective years

2 Extended Broad Money (M3)

- Not available

BASIC ECONOMIC STATISTICS - TANZANIA MAINLAND

xiii

Table No. B: TRENDS IN SELECTED MACROECONOMIC INDICATORS, 2002 - 2010

2002 2003 2004 2005 2006 2007 2008 2009 2010

NATIONAL ACCOUNTS

Real GDP growth at market price 7.2% 6.9% 7.8% 7.4% 6.7% 7.1% 7.4% 6.0% 7.0%

Agriculture, Hunting and Forestry 4.9% 3.1% 5.9% 4.3% 3.8% 4.0% 4.6% 3.2% 4.2%

Fishing 6.8% 6.0% 6.7% 6.0% 5.0% 4.5% 5.0% 2.7% 1.5%

Industry and Construction 9.4% 10.9% 10.9% 10.4% 8.5% 9.5% 8.6% 7.0% 8.2%

Manufacturing 7.5% 9.0% 9.4% 9.6% 8.5% 8.7% 9.9% 8.0% 7.9%

Construction 11.9% 13.8% 13.0% 10.1% 9.5% 9.7% 10.5% 7.5% 10.2%

Services 7.7% 7.8% 7.8% 8.0% 7.8% 8.1% 8.5% 7.2% 8.2%

Trade and Repair 8.3% 9.7% 5.8% 6.7% 9.5% 9.8% 10.0% 7.5% 8.2%

Communications 10.4% 15.6% 17.4% 18.8% 19.2% 20.1% 20.5% 21.9% 22.1%

Money 10.1% 10.7% 8.3% 10.8% 11.4% 10.2% 11.9% 9.0% 10.1%

GDP growth at current prices 14.8% 15.9% 15.4% 14.3% 12.4% 16.8% 18.3% 13.8% 14.5%

PRICES AND INTEREST RATES

CPI Inflation (annual Average) 4.5% 5.3% 4.7% 5.0% 7.3% 7.0% 10.3% 12.1% 5.5%

GDP deflator inflation (market price) 7.1% 8.4% 7.0% 6.4% 5.3% 9.0% 10.1% 7.4% 4.9%

Short – term lending rate 15.9% 15.6% 14.2% 15.7% 15.7% 15.0% 13.6% 14.0% 14.4%

Long term lending rate 13.2% 12.5% 12.6% 14.1% 14.9% 16.7% 16.5% 14.5% 14.6%

12 months deposit rate 5.7% 5.0% 5.8% 7.7% 8.8% 10.1% 8.3% 9.0% 7.1%

Deposit rates 2.7% 2.5% 2.6% 2.6% 2.6% 2.7% 2.7% 2.8% 2.4%

MONEY

M3 growth rate 25.6% 18.0% 13.5% 34.8% 21.5% 20.5% 19.8% 17.7% 25.4%

M2 Growth rate 21.6% 17.8% 19.8% 33.9% 16.7% 27.2% 24.4% 20.8% 21.8%

Growth rate of credit to private sector 41.5% 42.8% 32.8% 29.3% 40.1% 43.1% 44.6% 9.6% 20.0%

BALANCE OF PAYMENTS (RATIO TO GDP)

Exports of Goods 9.1% 10.5% 11.5% 11.9% 12.2% 12.0% 15.0% 15.7% 18.4%

Exports of goods and Services 17.6% 18.6% 20.3% 20.9% 22.9% 23.1% 24.7% 24.4% 27.6%

Imports of Goods 14.0% 16.6% 19.3% 21.2% 27.1% 28.8% 33.8% 27.3% 30.4%

Imports of goods and Services 19.8% 22.8% 26.9% 29.8% 35.8% 37.1% 41.8% 35.3% 38.2%

Reserves (Months of Imports) 8.8 9.3 7.7 6.0 5.0 4.8 4.3 5.6 6.3

GOVERNMENT BUDGETARY OPERATIONS (Ratio to GDP)

2001/2 2002/03 2003/04 2004/05 2005/06 2006/07 2007/08 2008/09 2009/10

Revenue 10.7% 10.8% 11.2% 11.9% 12.4% 14.1% 15.9% 16.2% 15.2%

Expenditure 21.9% 21.8% 26.6% 29.4% 31.9% 31.7% 22.8% 25.7% 26.9%

Recurrent Expenditure 18.4% 18.9% 20.9% 22.2% 24.2% 24.8% 14.9% 17.7% 18.3%

Development Expenditure 3.5% 2.9% 5.7% 7.2% 7.7% 6.9% 7.9% 8.0% 8.6%

Deficit (exl. Grants) -4.3% -5.3% -8.3% -9.7% -11.4% -9.9% -8.6% -9.3% -11.0%

Deficit (inl. grants ) -0.4% -1.0% -2.9% -4.9% -5.5% -4.9% -1.7% -4.5% -6.4%

Foreign Borrowing 1.2% 1.4% 3.3% 3.9% 3.3% 3.7% 3.2% 3.6% 4.5%

Source: Ministry of Finance and Bank of Tanzania

1

CHAPTER 1

THE DOMESTIC ECONOMY

Economic Growth

1. In 2010, the real GDP grew by 7.0 percent compared to 6.0 percent in

2009. This growth resulted from increased growth rates in economic activities

that have substantial contribution to GDP including agricultural; trade and

repair; and construction. Economic activities that recorded the highest growth

were: communication (22.1 percent); construction (10.2 percent); electricity

and gas (10.2 percent); financial intermediation (10.1 percent) and

manufacturing (7.9 percent). However, manufacturing and fishing were the

only economic activities that recorded lower rates of growth in 2010 compared

to 2009. The share of services; and industry and construction economic

activities to overall GDP continued to increase in 2010 whereas that of

agricultural activities declined, implying diversification of economic activities

to other sectors.

2. The GDP in 2010 amounted to shs. 32,293,479 million at current market

prices or shs. 16,828,563 million at 2001 constant prices. Meanwhile,

according to the population growth rate of 2.9, the total population of

Tanzania Mainland was estimated at 41,914,311 in 2010. Thus, the per capita

income was shs. 770,464.3 in 2010 at current market prices compared to shs.

693,185 in 2009, equivalent to an increase of 11.1 percent.

3. The growth rate of agriculture economic activities increased to 4.2 percent

in 2010 compared to 3.2 percent in 2009. This growth was mainly attributed to

increased crop production due to good weather in the 2009/10 agricultural

season; improved irrigation infrastructure; Government initiative on input

subsidies; and the implementation of ASDP. The growth rate of crop sub

activity increased from 3.4 percent in 2009 to 4.4 percent in 2010. This was a

result of improved crop production particularly maize, millet, sorghum and

cassava. The growth rate of livestock sub activity increased from 2.3 percent

in 2009 to 3.4 percent in 2010. The increase in the growth rate of livestock

2

includes availability of adequate pasture and increase in livestock extension

services. Forest and hunting sub activities grew by 4.1 percent in 2010

compared to 3.5 percent in 2009. This was due to increase in the production of

forest products and tourist hunting.

4. The growth rate of monetary agriculture increased to 5.3 percent in 2010

compared with 2.2 percent in 2009. With regard to non-monetary agriculture,

the growth rate decreased to 2.0 percent in 2010 compared with 5.0 percent in

2009. The decrease reflects an increase in monetary agricultural activities vis-

à-vis subsistence agriculture. The contribution of agricultural activities to GDP

was 24.1 percent in 2010 compared to 24.6 percent in 2009.

5. Fishing activities grew by 1.5 percent in 2010 compared with 2.7 percent

in 2009. The slowdown in growth rate was caused by decreased demand for

fish and fish products in the foreign markets; decrease in fish harvest

particularly in lakes as a result of destruction of marine ecosystems in fish

hatcheries; overfishing; illegal fishing practices; and use of poor fishing gears.

The share of fishing activities to overall GDP remained the same at 1.4 percent

in 2010 as it was in 2009.

6. Industry and construction economic activities grew by 8.2 percent in 2010

compared to 7.0 percent in 2009. This growth was attributed to improved

performance in: construction; water supply; and electricity and gas economic

activities. However, the rate of growth of manufacturing sub activity declined

marginally in 2010. The share of industry and construction economic activities

to GDP increased marginally to 22.4 percent in 2010 from 22.0 percent in

2009.

7. The growth rate for manufacturing sub activity was 7.9 percent in 2010

compared with 8.0 percent in 2009. The slowdown in growth was a result of

increased cost of production. Nonetheless, the contribution of manufacturing

sub activity to GDP increased to 9.0 percent in 2010 from 8.6 percent in 2009.

3

8. The growth rate of the mining and quarrying sub activity increased from

1.2 percent in 2009 to 2.7 percent in 2010. This growth was attributed to

increase in gold production, exacerbated by the rise in prices of gold in the

world market after being destabilized by the Global Financial Crisis. The

contribution of mining and quarrying sub activity to GDP remained at 3.3

percent in 2010 as it was in 2009.

9. Construction sub activities grew by 10.2 percent in 2010 compared to 7.5

percent in 2009. This growth was attributed to an increase in the construction

and rehabilitation of roads and bridges; residential and non residential

buildings; airports; and water infrastructure. The share of construction sub

activity to GDP was 8.0 percent in 2010 compared with 7.9 percent in 2009.

10. The growth rate of electricity and gas sub activities was 10.2 percent in

2010 compared to 8.4 percent in 2009. This was attributed to an increase in

hydro-electric power generation; and the government initiatives to install gas-

fired machines. Electricity and gas sub activity accounted for 1.8 percent of

the total GDP in 2010 compared to 1.7 percent in 2009.

11. The water supply sub-activity grew by 6.3 percent in 2010 compared to 5.6

percent in 2009. The increase was attributed to the continued efforts by the

Government to improve water infrastructure in the rural and urban areas and

increase in the number of people supplied with water. The contribution of

water supply sub activity to GDP continued to be 0.4 percent since 2003.

12. The growth rate of service economic activities was 8.2 percent in 2010

compared to 7.2 percent in 2009. The growth rate of all services sub economic

activities increased in 2010 owing to the recovery of activities that were

affected by the GFC such as financial intermediation; hotels and restaurants;

trade and repair; and transport. The share of services activities to GDP was

43.9 percent in 2010 compared with 43.6 percent in 2009.

4

13. The trade and repairs sub activity grew by 8.2 percent in 2010, compared

to 7.5 percent in 2009. The growth was mainly attributed to increased demand

on the account of recovery in the GFC. The contribution of the trade and

repairs sub activity to GDP was 12.1 percent in 2010, compared to 11.8

percent in 2009.

14. The hotel and restaurants sub activity (including tourism), grew by 6.1

percent in 2010, compared to 4.4 percent in 2009. The growth was mainly

attributed to recovery of the global economy and initiatives to promote tourist

attractions both locally and in the foreign countries. The contribution of the

hotel and restaurants sub activity to GDP was 2.3 percent in 2010, as it was in

2009.

15. The transport sub activity grew by 7.0 percent in 2010 compared to 6.0

percent in 2009. This growth was due to increase in cargo freight on road and

marine; and increase in passengers in domestic and international flights. The

contribution of transport sub activity to GDP was 5.1 percent in 2010,

compared to 5.0 percent in 2009.

16. In 2010, communication sub activity recorded highest growth compared to

other economic activities. The growth rate for this sub economic activity was

22.1 percent in 2010 compared to 21.9 percent in 2009. The growth was

attributed to increase in customers of mobile phone services. The contribution

of communication sub-activity to GDP continued to be 2.1 percent in 2009 as

it was in 2009.

17. The financial intermediation services sub activity grew by 10.1 percent in

2010 compared to 9.0 percent in 2009. The growth emanated from successful

implementation of the Second Generation Financial Sector Reform Program;

increase in credit to private sector; increase in the demand for money for

investment purposes; insurance; and business services. The contribution of

financial intermediation sub activity to GDP was 1.8 percent in 2010


5

18. The growth rate of real estate and business services sub activity was 7.0

percent in 2010 compared to 6.8 percent in 2009. The growth rate of non

monetary real estate and business services decreased to 6.1 percent in 2010

compared to 9.0 percent in 2009. However, the growth rate of monetary real

estate and business service activities increased to 7.5 percent in 2010 from 5.7

percent in 2009. This was attributed to the successful implementation of the

Business and Property Formalization Program as well as increase in growth of

business services related to non residential and residential buildings. The

contribution of real estate and business services to GDP was 8.8 percent in

2010 compared to 9.0 percent in 2009.

19. In 2010, public administration sub-activity grew by 6.5 percent compared

to 4.4 percent in 2009. The growth of this sub-activity was due to continued

implementation of the Public Sector Reform Program Phase II and increase of

new employment in defence, security and judiciary. The share of public

administration sub-activity to GDP in 2010 decreased marginally to 8.0

percent compared to 8.1 percent in 2009.

20. The rates of growth in education and health sub-activities were 7.3 and 6.9

percent in 2010 compared to 7.1 and 6.7 percent in 2009 respectively. The

growth in education sub-activity was due to implementation of education

development programs in Primary and Secondary Education Phase II and

increase in recruitment of teachers. Likewise, the growth in health sub-activity

was attributed to improvement in immunization programmes; control of

malaria; Tuberculosis (TB) and HIV/AIDS. The contribution of education and

health sub-activities to GDP continued to be 1.4 and 1.6 percent respectively

in 2010 as it was in 2009.

Rebasing of the National Consumer Price Index (NCPI)

New weights and a new reference period

21. The National Bureau of Statistics has updated the NCPI market basket

weights from 2001 to 2007 using results of the 2007 Household Budget

6

Survey. The new NCPI weights are based on monetary expenditures relating

to consumption for all survey types of households in the 21 geographic regions

of Tanzania mainland. The new index weights are based on expenditures of all

types of private household from both urban and rural areas, while the old

index covered only private urban households. The reference period for the

NCPI has been changed from December, 2001=100 to September 2010=100.

Classification of Goods and Social Services

22. The rebased NCPI follows the internationally recommended Classification

of Individual Consumption by Purpose (COICOP). The use of COICOP

results in a change in the publication format for the NCPI. The composition of

the 12 major groups of COICOP is different from the composition of the

major groups of the old NCPI. As seen in the table below, these major groups

have been analysed further and form four additional index aggregations, which

are: 1) Food and Non -alcoholic Beverages - combining food consumed at

home and food consumed in restaurants; 2) Energy and Fuels—combining

electricity and other fuels for use at home with petrol and diesel; 3) All Items

Less Food and Non -alcoholic Beverages and 4) All Items Less Food, Energy

and Fuels.

7

Table No. 1.1: NCPI Linked Index Series

NEW NCPI OLD NCPI

SNO

. MAIN GROUP WEIGHT MAIN GROUP WEIGHT

1

Food and Non Alcoholic

Beverages 47.8

Food 55.9

2

Alcoholic Beverages and

Tobacco 3.3

Beverages and Cigarettes 6.9

3 Clothing and Foot wear 6.7 Clothing and Foot wear 6.4

4

Housing, Water, Electricity,

Gas and Other Fuel 9.2

Rent 1.4

5

Furnishing, Housing

Equipment and Routine

Maintenance of the House

6.7 Electricity, Kerosene and

Water

8.5

6 Health 0.9 Health Services 2.1

7 Transport 9.5 Transport 9.7

8 Communication 2.1

Furniture and Household

Utensils 2.1

9 Recreation and Culture 1.3 Recreation and Entertainment 0.8

10 Education 1.7 Education 2.6

11 Restaurants and hotels 6.4

Services and other Household

Requirements 2.1

12

Miscellaneous goods and

services 4.5

Others 1.5

TOTAL – ALL ITEMS

INDEX 100

TOTAL – ALL ITEMS

INDEX 100

1

Food and Non-alcoholic Beverages - combining food consumed at home and

food consumed in restaurants 51.0

2

Energy and Fuels - combining electricity and other fuels for use at home with

petrol and diesel 5.7

3 All Items Less Food 49.0

4 All Items Less Food and Energy 43.3

NCPI Methodology

23. Apart from being based on new classification system, the new NCPI

incorporates a number of methodological improvements including the use of

geometric means as opposed to arithmetic average for compiling elementary

index aggregates and improved procedures for collecting and processing

prices. The modified Laspeyres index formula continues to be used for

computing higher level aggregates for the NCPI. The sample of goods and

services has been updated to include many new items and eliminate those

items that have become less representative of current consumption patterns.

8

The Link between the new and old NCPI

24. The new NCPI has been compiled with a 12 month overlap in order to

facilitate the calculation of 12 month index changes based on the same index

market basket and weights. However, the new NCPI with a reference base of

September 2010=100, only became the official Index starting in October 2010.

The NCPI for the previous period will be maintained up to September 2010.

Although the old NCPI has been linked to the new NCPI at the all items level,

it is not feasible to construct linked index series for the new major groups of

the new NCPI due to significant differences in the composition of these major

groups relative to those of the old NCPI.

Price Trend

25. Inflation during the period ended October 2010 was 4.2 percent using the

geometric mean compared to 4.5 percent recorded in September 2010 using

the old methodology of arithmetic mean. If the arithmetic mean was used,

inflation would have been 4.1 percent in October 2010 compared with 4.2

percent for the same month using the geometric means. In general terms, when

comparing the inflation results using the two methodologies, the difference is

insignificant. The annual headline inflation increased from 5.6 percent for the

year ended December 2010 to 6.4 percent in January 2011 and continued

upwards to 8.6 percent in April 2011. This rate of increase in inflation was

largely attributed to increased price indices of electricity, water and food.

Inflation Rate excluding Food and Energy

26. This type of NCPI excludes food consumed at home and restaurants, non

alcoholic beverages, petrol, diesel, gas, kerosene, charcoal and electricity.

Excluding food and energy which are the most volatile components in the total

NCPI provides a more stable Inflation figure for policy makers. The Annual

Inflation rate which excludes food and energy for the year ended March 2011

using the rebased NCPI increased to 6.3 percent from 5.2 percent in February

2011. The annual Inflation rate for energy increased to 17.2 percent while food

inflation decreased to 8.3 percent in March 2011 compared to 13.0 percent and

8.6 percent registered in February 2011 respectively. Tables 8 – 16 show the

9

price indices for various goods and services. Since the new NCPI is used for

the first time, the new classification has been shown for 2010 only.

Figure No. 1.1: The trend of price index January – December 2010

97

.82

98

.99

99

.9

10

0.4

7

10

0.1

2

99

.89

99

.56

99

.94

10

0

99

.9

10

0.2

10

1.7

10.9

9.6 9

9.4

7.9 7.2

6.3 6.6

4.5 4.2

5.5 5.6

95

96

97

98

99

100

101

102

0

2

4

6

8

10

12

Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec

Pri

ce In

dex

Per

cen

t

2010

Price Index Inflation

10

Figure No. 1.2: Monthly NCPI Movements and Inflation Rate (2010)

Capital Formation

27. Capital formation at current prices increased to shs. 10,342,536 million in

2010 from shs 8,173,221 million in 2009, equivalent to an increase of 26.5

percent. Further, capital formation in 2001 prices increased from shs.

3,982,283 million in 2009 to shs. 4,385,837 million in 2010, equivalent to an

increase of 10.1 percent. The ratio of capital formation to Gross Domestic

Product at current prices was 32.0 percent in 2010 compared to 29.0 percent in

2009.

28. Capital formation which includes buildings, other construction works and

equipment increased from sh. 3,928,805 million in 2009 to sh. 4,332,960

million in 2010 at 2001 constant prices, equivalent to 10.0 percent increase.

Capital formation in building activities at 2001 constant prices increased from

sh. 1,211,008 million in 2009 to sh. 1,284,866 million in 2010, equivalent to

6.1 percent increase. The growth rates of residential building, rural own

account and non residential buildings were 6.6, 5.4 and 6.3 percent in 2010

respectively as it was in 2009.

10.90

9.60 9.00

9.40

7.90 7.20

6.30 6.60

4.50 4.20

5.50 5.60

0

2

4

6

8

10

12

80

85

90

95

100

105

Jan-10 Mar-10 May-10 Jul-10 Sep-10 Nov-10

I

n

f

l

a

t

i

o

n

(

%)

C

o

n

s

u

m

e

r

P

r

i

c

e

I

n

d

e

x

Food and Non-alcoholic Beverages Energy and Fuels

All Items Less Food All Items Less Food and Energy

Inflation Rates

11

29. Other construction works including land improvement, roads and bridges, and

water supply increased from sh. 952,312 million in 2009 to sh. 1,004,548 million in

2010, at 2001 constant prices, equivalent to an increase of 5.5 percent. The growth

rate of land improvement and water supply were 5.3 and 6.3 percent in 2010 as it was

in 2009 respectively. However, capital formation in roads and bridges activities grew

by negative 10.2 percent in 2010 compared to negative 6.5 percent in 2009.

30. Importation of capital equipment increased from sh. 1,765,485 million in 2009 to

sh. 2,043,546 million in 2010 at 2001 constant prices, equivalent to an increase of

15.7 percent. The import value of transport equipment increased by 27.5 percent

compared to 38.5 percent in 2009. In addition, imports of machinery and other

equipment increased by 8.5 percent in 2010 compared to 4.9 percent in 2009. On the

other hand, importation of capital equipment at current prices increased by 41.5

percent from sh. 2,561,532 million in 2009 to sh. 3,624,582 million in 2010.

31. The value of change in stock decreased by 1.1 percent to sh. 52,877 million in

2010 compared to sh. 53,478 million in 2009 at 2001 constant prices. In addition, the

value of change in stock at current prices increased by 8.3 percent from sh. 152, 252

million in 2009 to sh. 164,843 million in 2010.

32. Capital formation in the public sector (including central government, institutions

and parastatals) increased from sh. 2,241,507 million in 2009 to sh. 2,607,525

million in 2010 at current prices, equivalent to an increase of 16.3 percent. The public

sector‘s contribution to capital formation decreased to 25.2 percent in 2010 compared

to 27.4 percent in 2009. Capital formation in private sector increased from sh.

5,779,463 million in 2009 to sh. 7,570,168 million in 2010, at current prices,

equivalent to an increase of 31.0 percent. Contribution of private sector to capital

formation increased to 73.2 percent in 2010 compared to 70.7 percent in 2009.

12

Table No.1

ECONOMIC ACTIVITY2001 2002 2003 2004 2005 2006 2007 2008 2009 2010

%change

2009/10

Agriculture, Hunting and Forestry 2636193 2988383 3479646 4116444 4410478 4708556 5413257 6374476 6945213 7782138 12.1%

Crops 1945945 2236209 2641586 3122896 3272143 3452690 3983327 4700326 5187080 5757659 11.0%

Livestock 459448 502800 563136 669021 791823 867772 990996 1169375 1135527 1239996 9.2%

Hunting and Forestry 230800 249374 274924 324527 346512 388094 438934 504774 622606 784484 26.0%

Fishing 153660 172989 187693 207025 225658 241454 277189 296592 399715 459673 15.0%

Industry and construction 1638459 2051559 2538485 2899263 3316757 3723978 4431057 5194434 6193765 7225731 16.7%

Mining and quarrying 159979 220000 288200 357368 457431 576363 742932 839513 941094 1072847 14.0%

Manufacturing 762400 866228 1002827 1129558 1269145 1395282 1625504 1935975 2434754 2899094 19.1%

Electricity, gas 196860 209640 227081 244977 271925 276915 335898 421216 479768 571130 19.0%

Water supply 43840 48666 53925 61474 68605 75809 84982 93310 104263 113691 9.0%

Construction 475380 707025 966452 1105886 1249651 1399609 1641741 1904420 2233885 2568968 15.0%

Services 4139962 4617402 5174913 5870447 6786597 7773898 9076622 10846587 12300072 14188185 15.4%

Trade and repairs 1182797 1298349 1454527 1593717 1752826 2044421 2416506 2875642 3341496 3909550 17.0%

Hotels and restaurants 250978 269120 286883 319365 394417 459584 559722 649278 635414 754037 18.7%

Transport 487062 526710 577977 637720 706291 769830 886844 1037608 1409636 1646704 16.8%

Communications 112783 130496 161623 206877 277216 374241 487132 611350 596230 691627 16.0%

Financial intermediation 140000 179715 204766 229370 265261 299734 345000 403727 477492 567822 18.9%

Real estate and business services 936440 1008089 1135252 1270108 1520109 1723571 1982107 2378528 2532770 2848855 12.5%

Public administration 640649 754654 866917 1076215 1278881 1440913 1652556 2026815 2282763 2579522 13.0%

Education 188733 211372 223409 236813 251022 268594 289617 333060 392507 455308 16.0%

Health 118972 151993 174789 200933 233032 275726 327658 383360 454990 532339 17.0%

Other social and personal services 81548 86904 88770 99329 107542 117284 129482 147221 176775 202422 14.5%

Gross value added before adjustments 8568274 9830333 11380737 13093179 14739490 16447886 19198125 22712088 25838765 29655726 14.8%

less FISIM -80000 -90400 -105382 -120588 -141723 -169661 -208281 -260029 -328478 -358049 9.0%

Gross value added at current basic prices 8488274 9739933 11275355 12972591 14597767 16278225 18989844 22452059 25510287 29297677 14.8%

add Taxes on products 612000 704574 831707 999001 1367527 1663043 1958559 2329620 2702359 2995802 10.9%

GDP (At current market prices) 9100274 10444507 12107062 13971592 15965294 17941268 20948403 24781679 28212646 32293479 14.5%

Source : National Bureau of Statistic

Shs.million

GROSS DOMESTIC PRODUCT BY KIND OF ECONOMIC ACTIVITY

At current prices

13

Table No.1A

ECONOMIC ACTIVITY 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010%change

2009/10

A. MONETARY

Gross Domestic Product at market prices 7638099 8795422 10214161 11680834 13431438 15152834 17761462 20834475 24325365 27474463 12.9%


Crops 1151820 1324078 1523553 1743041 1831665 1901931 2250434 2638184 2904765 3259561 12.2%

Livestock 307313 336310 399611 447491 529630 580430 631254 744879 982709 991996 0.9%

Forestry and hunting 151842 164062 180871 213505 227968 255325 272575 313461 551820 235345 -57.4%

Fishing 149760 168598 182929 201771 219930 235045 269831 288719 389105 436863 12.3%


Mining and quarrying 159979 220000 288200 357368 457431 576363 742932 839513 941094 1072847 14.0%

Manufacturing 762400 866228 1002827 1129558 1269145 1395282 1625504 1935975 2434754 2899094 19.1%

Electricity, gas 196860 209640 227081 244977 271925 276915 335898 421216 479768 571130 19.0%

Water supply 29840 32421 37597 42697 47696 54872 57816 63482 70934 79584 12.2%

Construction 401281 629265 881554 1002374 1103096 1212496 1411592 1635146 1921141 2241647 16.7%

Services 3795004 4230646 4763613 5419639 6247148 7170793 8413349 9884310 11275394 13048643 15.7%

Trade and repairs 1182797 1298349 1454527 1593717 1752826 2044421 2416506 2875642 3341496 3909550 17.0%

Hotels and restaurants 250978 269120 286883 319365 394417 459584 559722 649278 635414 754037 18.7%

Transport 487062 526710 577977 637720 706291 769830 886844 1037608 1409636 1646704 16.8%

Communications 112783 130496 161623 206877 277216 374241 487132 611350 596230 691627 16.0%

Financial intermediation 140000 179715 204766 229370 265261 299734 345000 403727 477492 567822 18.9%

Real estate and business services 591482 621333 723952 819300 980660 1120466 1318834 1416251 1508091 1709313 13.3%

Public administration 640649 754654 866917 1076215 1278881 1440913 1652556 2026815 2282763 2579522 13.0%

Education 188733 211372 223409 236813 251022 268594 289617 333060 392507 455308 16.0%

Health 118972 151993 174789 200933 233032 275726 327658 383360 454990 532339 17.0%

Other social & personal services 81548 86904 88770 99329 107542 117284 129482 147221 176775 202422 14.5%

Gross value added before adjustments 7106099 8181248 9487836 10802421 12205634 13659452 16011184 18764884 21951483 24836710 13.1%

less FISIM -80000 -90400 -105382 -120588 -141723 -169661 -208281 -260029 -328478 -358049 9.0%

Gross value added at current basic prices 7026099 8090848 9382454 10681833 12063911 13489791 15802903 18504855 21623005 24478661 13.2%

Add Taxes on products 612000 704574 831707 999001 1367527 1663043 1958559 2329620 2702359 2995802 10.9%

Non-monetary

Gross domestic product at market prices 1462175 1649085 1892899 2290757 2533855 2788434 3186941 3947204 3887282 4819016 24.0%


Crops 794125 912131 1118034 1379855 1440478 1550759 1732893 2062143 2282315 2498098 9.5%

Livestock 152135 166490 163524 221530 262193 287342 359742 424496 152818 247999 62.3%

Forestry & hunting 78958 85312 94053 111022 118544 132769 166360 191313 70786 549139 675.8%

Fishing 3900 4391 4764 5254 5727 6409 7358 7873 10610 22810 115.0%


Water supply 14000 16245 16327 18777 20909 20937 27166 29828 33330 34107 2.3%

Construction 74099 77760 84897 103512 146555 187113 230149 269274 312744 327321 4.7%

Services 344958 386756 411300 450807 539449 603105 663273 962277 1024678 1139542 11.2%

Real estate & business services 344958 386756 411300 450807 539449 603105 663273 962277 1024678 1139542 11.2%

Total GDP (at market prices) 9100274 10444507 12107060 13971591 15965293 17941268 20948403 24781679 28212646 32293479 14.5%

Source: National Bureau of Statistic

Shs.million At current prices

GROSS DOMESTIC PRODUCT (Monetary & Non-monetary GDPmp) BY KIND OF ECONOMIC ACTIVITY

14

Table No. 2 PercentagesECONOMIC ACTIVITY 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010

Agriculture, Hunting and Forestry 29.0 28.6 28.7 29.5 27.6 26.2 25.8 25.7 24.6 24.1

Crops 21.4 21.4 21.8 22.4 20.5 19.2 19.0 19.0 18.4 17.8

Livestock 5.0 4.8 4.7 4.8 5.0 4.8 4.7 4.7 4.0 3.8

Hunting and Forestry 2.5 2.4 2.3 2.3 2.2 2.2 2.1 2.0 2.2 2.4

Fishing 1.7 1.7 1.6 1.5 1.4 1.3 1.3 1.2 1.4 1.4

Industry and construction 18.0 19.6 21.0 20.8 20.8 20.8 21.2 21.0 22.0 22.4

Mining and quarrying 1.8 2.1 2.4 2.6 2.9 3.2 3.5 3.4 3.3 3.3

Manufacturing 8.4 8.3 8.3 8.1 7.9 7.8 7.8 7.8 8.6 9.0

Electricity, gas 2.2 2.0 1.9 1.8 1.7 1.5 1.6 1.7 1.7 1.8

Water supply 0.5 0.5 0.4 0.4 0.4 0.4 0.4 0.4 0.4 0.4

Construction 5.2 6.8 8.0 7.9 7.8 7.8 7.8 7.7 7.9 8.0

Services 45.5 44.2 42.7 42.0 42.5 43.3 43.3 43.8 43.6 43.9

Trade and repairs 13.0 12.4 12.0 11.4 11.0 11.4 11.5 11.6 11.8 12.1

Hotels and restaurants 2.8 2.6 2.4 2.3 2.5 2.6 2.7 2.6 2.3 2.3

Transport 5.4 5.0 4.8 4.6 4.4 4.3 4.2 4.2 5.0 5.1

Communications 1.2 1.2 1.3 1.5 1.7 2.1 2.3 2.5 2.1 2.1

Financial intermediation 1.5 1.7 1.7 1.6 1.7 1.7 1.6 1.6 1.7 1.8

Real estate and business services 10.3 9.7 9.4 9.1 9.5 9.6 9.5 9.6 9.0 8.8

Public administration 7.0 7.2 7.2 7.7 8.0 8.0 7.9 8.2 8.1 8.0

Education 2.1 2.0 1.8 1.7 1.6 1.5 1.4 1.3 1.4 1.4

Health 1.3 1.5 1.4 1.4 1.5 1.5 1.6 1.5 1.6 1.6

Other social and personal services 0.9 0.8 0.7 0.7 0.7 0.7 0.6 0.6 0.6 0.6

Gross value added before adjustments 94.2 94.1 94.0 93.7 92.3 91.7 91.6 91.6 91.6 91.8

less FISIM 0.9- 0.9- 0.9- 0.9- 0.9- 0.9- 1.0- 1.0- 1.2- 1.1-

Gross value added at current basic prices 93.3 93.3 93.1 92.8 91.4 90.7 90.7 90.6 90.4 90.7

add Taxes on products 6.7 6.7 6.9 7.2 8.6 9.3 9.3 9.4 9.6 9.3

GDP (At current market prices) 100.0 100.0 100.0 100.0 100.0 100.0 100.0 100.0 100.0 100.0


At market current prices

SHARES OF GROSS DOMESTIC PRODUCT BY KIND OF ECONOMIC ACTIVITY

15

Table No. 2A PercentagesECONOMIC ACTIVITY 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010

A. MONETARY

Gross domestic product at market prices 83.9 84.2 84.4 83.6 84.1 84.5 84.8 84.1 86.2 85.1


Crops 12.7 12.7 12.6 12.5 11.5 10.6 10.7 10.6 10.3 10.1

Livestock 3.4 3.2 3.3 3.2 3.3 3.2 3.0 3.0 3.5 3.1

Forestry and hunting 1.7 1.6 1.5 1.5 1.4 1.4 1.3 1.3 2.0 0.7

Fishing 1.6 1.6 1.5 1.4 1.4 1.3 1.3 1.2 1.4 1.4


Mining and quarrying 1.8 2.1 2.4 2.6 2.9 3.2 3.5 3.4 3.3 3.3

Manufacturing 8.4 8.3 8.3 8.1 7.9 7.8 7.8 7.8 8.6 9.0

Electricity, gas 2.2 2.0 1.9 1.8 1.7 1.5 1.6 1.7 1.7 1.8

Water supply 0.3 0.3 0.3 0.3 0.3 0.3 0.3 0.3 0.3 0.2

Construction 4.4 6.0 7.3 7.2 6.9 6.8 6.7 6.6 6.8 6.9

Services 41.7 40.5 39.3 38.8 39.1 40.0 40.2 39.9 40.0 40.4

Trade and repairs 13.0 12.4 12.0 11.4 11.0 11.4 11.5 11.6 11.8 12.1

Hotels and restaurants 2.8 2.6 2.4 2.3 2.5 2.6 2.7 2.6 2.3 2.3

Transport 5.4 5.0 4.8 4.6 4.4 4.3 4.2 4.2 5.0 5.1

Communications 1.2 1.2 1.3 1.5 1.7 2.1 2.3 2.5 2.1 2.1

Financial intermediation 1.5 1.7 1.7 1.6 1.7 1.7 1.6 1.6 1.7 1.8

Real estate and business services 6.5 5.9 6.0 5.9 6.1 6.2 6.3 5.7 5.3 5.3

Public administration 7.0 7.2 7.2 7.7 8.0 8.0 7.9 8.2 8.1 8.0

Education 2.1 2.0 1.8 1.7 1.6 1.5 1.4 1.3 1.4 1.4

Health 1.3 1.5 1.4 1.4 1.5 1.5 1.6 1.5 1.6 1.6

Other social & personal services 0.9 0.8 0.7 0.7 0.7 0.7 0.6 0.6 0.6 0.6

Gross value added before adjustments 78.1 78.3 78.4 77.3 76.5 76.1 76.4 75.7 77.8 76.9

less FISIM -0.9 -0.9 -0.9 -0.9 -0.9 -0.9 -1.0 -1.0 -1.2 -1.1

Gross value added at current basic prices 77.2 77.5 77.5 76.5 75.6 75.2 75.4 74.7 76.6 75.8

Add Taxes on products 6.7 6.7 6.9 7.2 8.6 9.3 9.3 9.4 9.6 9.3

B. NON MONETARY 0.0 0.0 0.0

Gross domestic product at market prices 16.1 15.8 15.6 16.4 15.9 15.5 15.2 15.9 13.8 14.9


Crops 8.7 8.7 9.2 9.9 9.0 8.6 8.3 8.3 8.1 7.7

Livestock 1.7 1.6 1.4 1.6 1.6 1.6 1.7 1.7 0.5 0.8

Forestry & hunting 0.9 0.8 0.8 0.8 0.7 0.7 0.8 0.8 0.3 1.7

Fishing 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.1


Water supply 0.2 0.2 0.1 0.1 0.1 0.1 0.1 0.1 0.1 0.1

Construction 0.8 0.7 0.7 0.7 0.9 1.0 1.1 1.1 1.1 1.0

Services 3.8 3.7 3.4 3.2 3.4 3.4 3.2 3.9 3.6 3.5

Real estate & business services 3.8 3.7 3.4 3.2 3.4 3.4 3.2 3.9 3.6 3.5

Total GDP at market prices 100.0 100.0 100.0 100.0 100.0 100.0 100.0 100.0 100.0 100.0


At current prices

SHARES OF GROSS DOMESTIC PRODUCT BY KIND OF ECONOMIC ACTIVITY - Monetary & Non-monetary

16

Table No. 2B Sh. Million

2001 2002 2003 2004 2005 2006 2007 2008 2009 2010

Gross Domestic Product (GDPmp) 9100274 10444508 12107061 13971593 15965296 17941268 20948403 24837930 28212646 32293479

Final Consumption 7901761 8885098 10300882 11714438 13386429 15340093 18270124 20838037 23403570 25417627

Households 6822466 7512354 8442113 9352717 10581908 12195212 14231135 16516318 18476811 20209449

Government 1079295 1372744 1858769 2361721 2804521 3144881 4038989 4321718 4926759 5208178

Investment 1587743 1795412 2320538 3153367 4001088 4957782 6209741 7381257 8173221 10342536

Gross Fixed Capital Formation 1547100 1750816 2277151 3095522 3936683 4883490 6119013 7274314 8020970 10177693

Changes in Inventory 40643 44596 43387 57845 64405 74292 90728 106943 152252 164843

Exports 1547644 1836223 2247385 2745596 3324425 4047990 5078248 6230729 6553198 8988306

Goods 746080 946834 1263064 1551554 1891705 2176987 2748509 3636824 3833992 6003332

Services 801564 889389 984321 1194042 1432720 1871003 2329739 2593906 2719206 2984974

Imports -1936874 -2072225 -2761744 -3641808 -4746646 -6404597 -8609710 -9612093 -9917343 -12454990

Goods -1367474 -1460825 -2008052 -2615149 -3383801 -4837467 -6606784 -7698354 -7622953 -9898943

Services -569400 -611400 -753692 -1026659 -1362845 -1567130 -2002926 -1913739 -2294390 -2556047


At current market prices

GROSS DOMESTIC PRODUCT AND EXPENDITURE

17

Table No.3

ECONOMIC ACTIVITY

2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 Change

2009/2010

Agriculture, Hunting and Forestry 2512170 2636193 2766479 2850956 3017988 3148384 3268238 3399648 3554488 3669646 3824428 4.2%

Crops 1847572 1945945 2055634 2122361 2262725 2361930 2457373 2567955 2698921 2790684 2913474 4.4%

Livestock 441860 459448 472500 483001 503000 525109 537498 550398 564708 577922 597572 3.4%

Hunting and Forestry 222738 230800 238345 245594 252263 261345 273367 281295 290859 301039 313382 4.1%

Fishing 146675 153660 164049 173892 185543 196676 206510 215734 226521 232637 236126 1.5%

Industry and construction 1536952 1638459 1792024 1988081 2204619 2433261 2639902 2889519 3138241 3357703 3633664 8.2%

Mining and quarrying 140400 159979 187000 219000 254000 295000 341000 377559 386998 391642 402331 2.7%

Manufacturing 726358 762400 819200 893000 977000 1071000 1162000 1263435 1388515 1499596 1618064 7.9%

Electricity, gas 185847 196860 209000 223953 240708 263218 258347 286507 301978 327344 360733 10.2%

Water supply 42363 43840 45084 47128 49557 51700 54905 58474 62333 65824 69955 6.3%

Construction 441984 475380 531740 605000 683354 752343 823650 903544 998416 1073297 1182581 10.2%

Services 3890050 4139962 4460699 4806587 5182094 5596784 6035932 6527561 7085136 7594661 8214209 8.2%

Trade and repairs 1111165 1182797 1281544 1405698 1486931 1585906 1736631 1906821 2097503 2254816 2439711 8.2%

Hotels and restaurants 239528 250978 267162 275836 285732 301873 314921 328859 343658 358779 380664 6.1%

Transport 464481 487062 516000 541901 588574 627951 661000 703965 752539 797691 853529 7.0%

Communications 103716 112783 124549 144039 169158 200900 239537 287684 346659 422577 515967 22.1%

Financial intermediation 131000 140000 154108 170643 184775 204694 228000 251280 281120 306339 337356 10.1%

Real estate and business services 898961 936440 1003260 1068732 1141014 1226790 1316000 1408120 1508097 1610647 1723392 7.0%

Public administration 580000 640649 699561 766760 871169 970786 1033488 1102951 1180158 1232313 1312414 6.5%

Education 169462 188733 202000 207606 215910 224547 235774 248742 265905 284704 305402 7.3%

Health 112629 118972 129229 140437 151370 163572 177520 193142 210525 224654 240058 6.9%

Other social and personal services 79108 81548 83286 84935 87461 89765 93061 95998 98974 102141 105716 3.5%

Gross value added before adjustments 8085847 8568274 9183251 9819516 10590244 11375105 12150582 13032462 14004385 14854646 15908427 7.1%

less FISIM -78049 -80000 -87000 -97154 -106931 -119497 -137287 -158292 -175704 -190990 -208370 9.1%

Gross value added at current basic prices

8007798 8488274 9096251 9722362 10483313 11255608 12013295 12874170 13828681 14663656 15700057 7.1%

add Taxes on products 577542 612000 655926 701372 756422 812482 867868 927751 999664 1057645 1128507 6.7%

GDP (market prices) 8585340 9100274 9752177 10423734 11239735 12068090 12881163 13801921 14828345 15721301 16828563 7.0%


GROSS DOMESTIC PRODUCT BY KIND OF ECONOMIC ACTIVITY

Shs. million At constant 2001 prices

18

Table No.3A

ECONOMIC ACTIVITY

2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 Change

2009/2010

A. MONETARY

Gross Domestic Product at market prices 7172563 7638006 8223867 8833128 9525201 10300744 11021170 11852682 12767259 13536636 14566980 7.6%


Crops 1070541 1151820 1225544 1259304 1312030 1399662 1446975 1510406 1587437 1617938 1723526 6.5%

Livestock 295549 307313 316043 323067 334237 351232 359519 371398 379387 388264 400373 3.1%

Forestry and hunting 147324 151842 156806 161575 165963 171937 179847 185827 191750 198686 206832 4.1%

Fishing 142999 149760 159886 169479 180834 191684 201269 210259 220772 225658 229043 1.5%


Mining and quarrying 140400 159979 187000 219000 254000 295000 341000 377559 386998 391642 402331 2.7%

Manufacturing 726358 762400 819200 893000 977000 1071000 1162000 1263435 1388515 1499596 1618064 7.9%

Electricity, gas 185847 196860 209000 223953 240708 263218 258347 286507 301978 327344 360733 10.2%

Water supply 28654 29748 30569 32062 33903 35417 37950 40841 43536 45418 48969 7.8%

Construction 372013 401281 453980 525013 601075 661783 723531 792529 875190 944502 1040671 10.2%

Services 3563385 3795004 4096913 4422457 4775960 5166826 5580151 6044462 6567737 7030934 7616302 8.3%

Trade and repairs 1111165 1182797 1281544 1405698 1486931 1585906 1736631 1906821 2097503 2254816 2439711 8.2%

Hotels and restaurants 239528 250978 267162 275836 285732 301873 314921 328859 343658 358779 380664 6.1%

Transport 464481 487062 516000 541901 588574 627951 661000 703965 752539 797691 853529 7.0%

Communications 103716 112783 124549 144039 169158 200900 239537 287684 346659 422577 515967 22.1%

Financial intermediation 131000 140000 154108 170643 184775 204694 228000 251280 281120 306339 337356 10.1%

Real estate and business services 572296 591482 639474 684602 734880 796832 860219 925021 990697 1046921 1125486 7.5%

Public administration 580000 640649 699561 766760 871169 970786 1033488 1102951 1180158 1232313 1312414 6.5%

Education 169462 188733 202000 207606 215910 224547 235774 248742 265905 284704 305402 7.3%

Health 112629 118972 129229 140437 151370 163572 177520 193142 210525 224654 240058 6.9%

Other social & personal services 79108 81548 83286 84935 87461 89765 93061 95998 98974 102141 105716 3.5%

Gross value added before adjustments

6673070 7106007 7654941 8228910 8875710 9607759 10290589 11083223 11943299 12669982 13646844 7.7%

less FISIM -78049 -80000 -87000 -97154 -106931 -119497 -137287 -158292 -175704 -190990 -208370 9.1%


6595021 7026007 7567941 8131756 8768779 9488262 10153302 10924931 11767595 12478992 13438474 7.7%

Add Taxes on products 577542 612000 655926 701372 756422 812482 867868 927751 999664 1057645 1128507 6.7%

B. NON MONETARY

Gross domestic product at market prices 1412775 1462268 1528311 1590607 1714533 1767345 1859993 1949239 2061086 2184664 2261583 3.5%


Crops 777030 794125 830090 863057 950694 962268 1010398 1057549 1111484 1172746 1189948 1.5%

Livestock 146311 152135 156457 159934 168763 173877 177979 179000 185322 189658 197199 4.0%

Forestry & hunting 75413 78958 81539 84019 86301 89407 93520 95468 99109 102353 106550 4.1%

Fishing 3676 3900 4164 4414 4709 4992 5241 5475 5749 6979 7084 1.5%


Water supply 13709 14093 14515 15066 15654 16283 16955 17633 18797 20405 20987 2.8%

Construction 69971 74099 77760 79987 82279 90560 100119 111015 123227 128796 141910 10.2%

Services 326665 344958 363786 384130 406133 429958 455781 483099 517399 563726 597907 6.1%

Real estate & business services 326665 344958 363786 384130 406133 429958 455781 483099 517399 563726 597907 6.1%

Total GDP (At constant 2001 prices)8585338 9100274 9752178 10423735 11239734 12068089 12881163 13801921 14828345 15721301 16828563 7.0%


Shs. million At constant 2001 prices

GROSS DOMESTIC PRODUCT (Monetary & Non-monetary GDPmp) BY KIND OF ECONOMIC ACTIVITY

19

Table No.4 Percentages

ECONOMIC ACTIVITY 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010

Agriculture, Hunting and Forestry 4.5 4.9 4.9 3.1 5.9 4.3 3.8 4.0 4.6 3.2 4.2

Crops 4.7 5.3 5.6 3.2 6.6 4.4 4.0 4.5 5.1 3.4 4.4

Livestock 3.9 4.0 2.8 2.2 4.1 4.4 2.4 2.4 2.6 2.3 3.4

Hunting and Forestry 4.8 3.6 3.3 3.0 2.7 3.6 4.6 2.9 3.4 3.5 4.1

Fishing 2.9 4.8 6.8 6.0 6.7 6.0 5.0 4.5 5.0 2.7 1.5 Industry and construction 4.5 6.6 9.4 10.9 10.9 10.4 8.5 9.5 8.6 7.0 8.2

Mining and quarrying 14.3 13.9 16.9 17.1 16.0 16.1 15.6 10.7 2.5 1.2 2.7

Manufacturing 4.8 5.0 7.5 9.0 9.4 9.6 8.5 8.7 9.9 8.0 7.9

Electricity, gas 6.2 5.9 6.2 7.2 7.5 9.4 1.9- 10.9 5.4 8.4 10.2

Water supply 3.4 3.5 2.8 4.5 5.2 4.3 6.2 6.5 6.6 5.6 6.3

Construction 0.8 7.6 11.9 13.8 13.0 10.1 9.5 9.7 10.5 7.5 10.2

Services 5.4 6.4 7.7 7.8 7.8 8.0 7.8 8.1 8.5 7.2 8.2

Trade and repairs 4.3 6.4 8.3 9.7 5.8 6.7 9.5 9.8 10.0 7.5 8.2

Hotels and restaurants 4.1 4.8 6.4 3.2 3.6 5.6 4.3 4.4 4.5 4.4 6.1

Transport 4.3 4.9 5.9 5.0 8.6 6.7 5.3 6.5 6.9 6.0 7.0

Communications 5.6 8.7 10.4 15.6 17.4 18.8 19.2 20.1 20.5 21.9 22.1

Financial intermediation 3.9 6.9 10.1 10.7 8.3 10.8 11.4 10.2 11.9 9.0 10.1

Real estate and business services 4.9 4.2 7.1 6.5 6.8 7.5 7.3 7.0 7.1 6.8 7.0

Public administration 10.7 10.5 9.2 9.6 13.6 11.4 6.5 6.7 7.0 4.4 6.5

Education 4.0 11.4 7.0 2.8 4.0 4.0 5.0 5.5 6.9 7.1 7.3

Health 5.1 5.6 8.6 8.7 7.8 8.1 8.5 8.8 9.0 6.7 6.9

Other social and personal services 3.1 3.1 2.1 2.0 3.0 2.6 3.7 3.2 3.1 3.2 3.5

Gross value added before adjustments 4.9 6.0 7.2 6.9 7.8 7.4 6.8 7.3 7.5 6.1 7.1

less FISIM 1.4 2.5 8.7 11.7 10.1 11.8 14.9 15.3 11.0 8.7 9.1


4.9 6.0 7.2 6.9 7.8 7.4 6.7 7.2 7.4 6.0 7.1

add Taxes on products 4.9 6.0 7.2 6.9 7.8 7.4 6.8 6.9 7.8 5.8 6.7

GDP (Constant prices) 4.9 6.0 7.2 6.9 7.8 7.4 6.7 7.1 7.4 6.0 7.0


At constant 2001 prices

GROSS DOMESTIC PRODUCT BY KIND OF ECONOMIC ACTIVITY - ANNUAL GROWTH RATES

20

Table No. 4A percentages


A. MONETARY

Gross domestic product at market prices 5.0 6.5 7.7 7.4 7.8 8.1 7.0 7.5 7.7 6.0 7.6


Crops 5.8 7.6 6.4 2.8 4.2 6.7 3.4 4.4 5.1 1.9 6.5

Livestock 1.0- 4.0 2.8 2.2 3.5 5.1 2.4 3.3 2.2 2.3 3.1

Forestry and hunting 6.0 3.1 3.3 3.0 2.7 3.6 4.6 3.3 3.2 3.6 4.1

Fishing 2.9 4.7 6.8 6.0 6.7 6.0 5.0 4.5 5.0 2.2 1.5

Industry and construction 4.5 6.7 9.6 11.4 11.3 10.4 8.4 9.4 8.5 7.1 8.2

Mining and quarrying 14.3 13.9 16.9 17.1 16.0 16.1 15.6 10.7 2.5 1.2 2.7

Manufacturing 4.8 5.0 7.5 9.0 9.4 9.6 8.5 8.7 9.9 8.0 7.9

Electricity, gas 6.2 5.9 6.2 7.2 7.5 9.4 1.9- 10.9 5.4 8.4 10.2

Water supply 3.8 3.8 2.8 4.9 5.7 4.5 7.2 7.6 6.6 4.3 7.8

Construction 0.1 7.9 13.1 15.6 14.5 10.1 9.3 9.5 10.4 7.9 10.2

Services 5.4 6.5 8.0 7.9 8.0 8.2 8.0 8.3 8.7 7.1 8.3

Trade and repairs 4.3 6.4 8.3 9.7 5.8 6.7 9.5 9.8 10.0 7.5 8.2

Hotels and restaurants 4.1 4.8 6.4 3.2 3.6 5.6 4.3 4.4 4.5 4.4 6.1

Transport 4.3 4.9 5.9 5.0 8.6 6.7 5.3 6.5 6.9 6.0 7.0

Communications 5.6 8.7 10.4 15.6 17.4 18.8 19.2 20.1 20.5 21.9 22.1

Financial intermediation 3.9 6.9 10.1 10.7 8.3 10.8 11.4 10.2 11.9 9.0 10.1

Real estate and business services 5.1 3.4 8.1 7.1 7.3 8.4 8.0 7.5 7.1 5.7 7.5

Public administration 10.7 10.5 9.2 9.6 13.6 11.4 6.5 6.7 7.0 4.4 6.5

Education 4.0 11.4 7.0 2.8 4.0 4.0 5.0 5.5 6.9 7.1 7.3

Health 5.1 5.6 8.6 8.7 7.8 8.1 8.5 8.8 9.0 6.7 6.9

Other social & personal services 3.1 3.1 2.1 2.0 3.0 2.6 3.7 3.2 3.1 3.2 3.5

Gross value added before adjustments 4.9 6.5 7.7 7.5 7.9 8.2 7.1 7.7 7.8 6.1 7.7

less FISIM 1.4 2.5 8.7 11.7 10.1 11.8 14.9 15.3 11.0 8.7 9.1


5.0 6.5 7.7 7.5 7.8 8.2 7.0 7.6 7.7 6.0 7.7

Add Taxes on products 4.9 6.0 7.2 6.9 7.8 7.4 6.8 6.9 7.8 5.8 6.7

B. NON MONETARY

Gross domestic product at market prices 4.7 3.5 4.5 4.1 7.8 3.1 5.2 4.8 5.7 6.0 3.5


Crops 3.2 2.2 4.5 4.0 10.2 1.2 5.0 4.7 5.1 5.5 1.5

Livestock 15.4 4.0 2.8 2.2 5.5 3.0 2.4 0.6 3.5 2.3 4.0

Forestry & hunting 2.7 4.7 3.3 3.0 2.7 3.6 4.6 2.1 3.8 3.3 4.1

Fishing 3.1 6.1 6.8 6.0 6.7 6.0 5.0 4.5 5.0 21.4 1.5

Industry and construction 4.3 5.4 4.6 3.0 3.0 9.1 9.6 9.9 10.4 5.1 9.2

Water supply 2.5 2.8 3.0 3.8 3.9 4.0 4.1 4.0 6.6 8.6 2.8

Construction 4.6 5.9 4.9 2.9 2.9 10.1 10.6 10.9 11.0 4.5 10.2

Services 4.7 5.6 5.5 5.6 5.7 5.9 6.0 6.0 7.1 9.0 6.1

Real estate & business services 4.7 5.6 5.5 5.6 5.7 5.9 6.0 6.0 7.1 9.0 6.1

Total GDP at market prices 4.9 6.0 7.2 6.9 7.8 7.4 6.7 7.1 7.4 6.0 7.0



GROSS DOMESTIC PRODUCT (Monetary & Non-monetary GDPmp) BY KIND OF ECONOMIC ACTIVITY - ANNUAL GROWTH RATES

21

4.1

4.8 4.9

6.0

7.2 6.9

7.8

7.4

6.7 7.1

7.4

6.0

7.0

-

1.0

2.0

3.0

4.0

5.0

6.0

7.0

8.0

9.0

1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010

pe

rcen

t

year

GDP Growth Rate at constant 2001 prices

22

Table No. 4B

ECONOMIC ACTIVITY

2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010

Agriculture, Hunting and Forestry 29.3% 29.0% 28.4% 27.4% 26.9% 26.1% 25.4% 24.6% 24.0% 23.3% 22.7%

Crops 21.5% 21.4% 21.1% 20.4% 20.1% 19.6% 19.1% 18.6% 18.2% 17.8% 17.3%

Livestock 5.1% 5.0% 4.8% 4.6% 4.5% 4.4% 4.2% 4.0% 3.8% 3.7% 3.6%

Hunting and Forestry 2.6% 2.5% 2.4% 2.4% 2.2% 2.2% 2.1% 2.0% 2.0% 1.9% 1.9%

Fishing 1.7% 1.7% 1.7% 1.7% 1.7% 1.6% 1.6% 1.6% 1.5% 1.5% 1.4%

Industry and construction 17.9% 18.0% 18.4% 19.1% 19.6% 20.2% 20.5% 20.9% 21.2% 21.4% 21.6%

Mining and quarrying 1.6% 1.8% 1.9% 2.1% 2.3% 2.4% 2.6% 2.7% 2.6% 2.5% 2.4%

Manufacturing 8.5% 8.4% 8.4% 8.6% 8.7% 8.9% 9.0% 9.2% 9.4% 9.5% 9.6%

Electricity, gas 2.2% 2.2% 2.1% 2.1% 2.1% 2.2% 2.0% 2.1% 2.0% 2.1% 2.1%

Water supply 0.5% 0.5% 0.5% 0.5% 0.4% 0.4% 0.4% 0.4% 0.4% 0.4% 0.4%

Construction 5.1% 5.2% 5.5% 5.8% 6.1% 6.2% 6.4% 6.5% 6.7% 6.8% 7.0%

Services 45.3% 45.5% 45.7% 46.1% 46.1% 46.4% 46.9% 47.3% 47.8% 48.3% 48.8%

Trade and repairs 12.9% 13.0% 13.1% 13.5% 13.2% 13.1% 13.5% 13.8% 14.1% 14.3% 14.5%

Hotels and restaurants 2.8% 2.8% 2.7% 2.6% 2.5% 2.5% 2.4% 2.4% 2.3% 2.3% 2.3%

Transport 5.4% 5.4% 5.3% 5.2% 5.2% 5.2% 5.1% 5.1% 5.1% 5.1% 5.1%

Communications 1.2% 1.2% 1.3% 1.4% 1.5% 1.7% 1.9% 2.1% 2.3% 2.7% 3.1%

Financial intermediation 1.5% 1.5% 1.6% 1.6% 1.6% 1.7% 1.8% 1.8% 1.9% 1.9% 2.0%

Real estate and business services 10.5% 10.3% 10.3% 10.3% 10.2% 10.2% 10.2% 10.2% 10.2% 10.2% 10.2%

Public administration 6.8% 7.0% 7.2% 7.4% 7.8% 8.0% 8.0% 8.0% 8.0% 7.8% 7.8%

Education 2.0% 2.1% 2.1% 2.0% 1.9% 1.9% 1.8% 1.8% 1.8% 1.8% 1.8%

Health 1.3% 1.3% 1.3% 1.3% 1.3% 1.4% 1.4% 1.4% 1.4% 1.4% 1.4%

Other social and personal services 0.9% 0.9% 0.9% 0.8% 0.8% 0.7% 0.7% 0.7% 0.7% 0.6% 0.6%

Gross value added before adjustments 94.2% 94.2% 94.2% 94.2% 94.2% 94.3% 94.3% 94.4% 94.4% 94.5% 94.5%

less FISIM -0.9% -0.9% -0.9% -0.9% -1.0% -1.0% -1.1% -1.1% -1.2% -1.2% -1.2%


93.3% 93.3% 93.3% 93.3% 93.3% 93.3% 93.3% 93.3% 93.3% 93.3% 93.3%

add Taxes on products 6.7% 6.7% 6.7% 6.7% 6.7% 6.7% 6.7% 6.7% 6.7% 6.7% 6.7%

Total GDP (at constant 2001 market price) 100.0% 100.0% 100.0% 100.0% 100.0% 100.0% 100.0% 100.0% 100.0% 100.0% 100.0%



SHARES OF GROSS DOMESTIC PRODUCT BY KIND OF ECONOMIC ACTIVITY

23

Agriculture, Hunting and

Forestry 24.0%

Fishing 1.5%

Industry and construction

22.8%

Services 51.6%

SHARE OF GROSS DOMESTIC PRODUCT BY KIND OF ECONOMIC ACTIVITIES - 2010

At 2001 Constant Prices

* Excluding Bank services Charges

24

Agriculture, Hunting and

Forestry 24.7%

Fishing 1.6%

Industry and construction

22.6%

Services 51.1%

SHARE OF GROSS DOMESTIC PRODUCT BY KIND OF ECONOMIC ACTIVITIES - 2009

At 2001 Constant Prices

* Excluding Bank Services Charges

25

Table No.4C

ECONOMIC ACTIVITY

2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010

A. MONETARY

Gross domestic product at market prices 83.5% 83.9% 84.3% 84.7% 84.7% 85.4% 85.6% 85.9% 86.1% 86.1% 86.6%


Crops 12.5% 12.7% 12.6% 12.1% 11.7% 11.6% 11.2% 10.9% 10.7% 10.3% 10.2%

Livestock 3.4% 3.4% 3.2% 3.1% 3.0% 2.9% 2.8% 2.7% 2.6% 2.5% 2.4%

Forestry and hunting 1.7% 1.7% 1.6% 1.6% 1.5% 1.4% 1.4% 1.3% 1.3% 1.3% 1.2%

Fishing 1.7% 1.6% 1.6% 1.6% 1.6% 1.6% 1.6% 1.5% 1.5% 1.4% 1.4%


Mining and quarrying 1.6% 1.8% 1.9% 2.1% 2.3% 2.4% 2.6% 2.7% 2.6% 2.5% 2.4%

Manufacturing 8.5% 8.4% 8.4% 8.6% 8.7% 8.9% 9.0% 9.2% 9.4% 9.5% 9.6%

Electricity, gas 2.2% 2.2% 2.1% 2.1% 2.1% 2.2% 2.0% 2.1% 2.0% 2.1% 2.1%

Water supply 0.3% 0.3% 0.3% 0.3% 0.3% 0.3% 0.3% 0.3% 0.3% 0.3% 0.3%

Construction 4.3% 4.4% 4.7% 5.0% 5.3% 5.5% 5.6% 5.7% 5.9% 6.0% 6.2%

Services 41.5% 41.7% 42.0% 42.4% 42.5% 42.8% 43.3% 43.8% 44.3% 44.7% 45.3%

Trade and repairs 12.9% 13.0% 13.1% 13.5% 13.2% 13.1% 13.5% 13.8% 14.1% 14.3% 14.5%

Hotels and restaurants 2.8% 2.8% 2.7% 2.6% 2.5% 2.5% 2.4% 2.4% 2.3% 2.3% 2.3%

Transport 5.4% 5.4% 5.3% 5.2% 5.2% 5.2% 5.1% 5.1% 5.1% 5.1% 5.1%

Communications 1.2% 1.2% 1.3% 1.4% 1.5% 1.7% 1.9% 2.1% 2.3% 2.7% 3.1%

Financial intermediation 1.5% 1.5% 1.6% 1.6% 1.6% 1.7% 1.8% 1.8% 1.9% 1.9% 2.0%

Real estate and business services 6.7% 6.5% 6.6% 6.6% 6.5% 6.6% 6.7% 6.7% 6.7% 6.7% 6.7%

Public administration 6.8% 7.0% 7.2% 7.4% 7.8% 8.0% 8.0% 8.0% 8.0% 7.8% 7.8%

Education 2.0% 2.1% 2.1% 2.0% 1.9% 1.9% 1.8% 1.8% 1.8% 1.8% 1.8%

Health 1.3% 1.3% 1.3% 1.3% 1.3% 1.4% 1.4% 1.4% 1.4% 1.4% 1.4%

Other social & personal services 0.9% 0.9% 0.9% 0.8% 0.8% 0.7% 0.7% 0.7% 0.7% 0.6% 0.6%

Gross value added before adjustments 77.7% 78.1% 78.5% 78.9% 79.0% 79.6% 79.9% 80.3% 80.5% 80.6% 81.1%

less FISIM -0.9% -0.9% -0.9% -0.9% -1.0% -1.0% -1.1% -1.1% -1.2% -1.2% -1.2%


76.8% 77.2% 77.6% 78.0% 78.0% 78.6% 78.8% 79.2% 79.4% 79.4% 79.9%

Add Taxes on products 6.7% 6.7% 6.7% 6.7% 6.7% 6.7% 6.7% 6.7% 6.7% 6.7% 6.7%

B. NON MONETARY 0.0% 0.0% 0.0% 0.0% 0.0% 0.0% 0.0% 0.0% 0.0% 0.0% 0.0%

Gross domestic product at market prices 16.5% 16.1% 15.7% 15.3% 15.3% 14.6% 14.4% 14.1% 13.9% 13.9% 13.4%


Crops 9.1% 8.7% 8.5% 8.3% 8.5% 8.0% 7.8% 7.7% 7.5% 7.5% 7.1%

Livestock 1.7% 1.7% 1.6% 1.5% 1.5% 1.4% 1.4% 1.3% 1.2% 1.2% 1.2%

Forestry & hunting 0.9% 0.9% 0.8% 0.8% 0.8% 0.7% 0.7% 0.7% 0.7% 0.7% 0.6%

Fishing 0.0% 0.0% 0.0% 0.0% 0.0% 0.0% 0.0% 0.0% 0.0% 0.0% 0.0%


Water supply 0.2% 0.2% 0.1% 0.1% 0.1% 0.1% 0.1% 0.1% 0.1% 0.1% 0.1%

Construction 0.8% 0.8% 0.8% 0.8% 0.7% 0.8% 0.8% 0.8% 0.8% 0.8% 0.8%

Services 3.8% 3.8% 3.7% 3.7% 3.6% 3.6% 3.5% 3.5% 3.5% 3.6% 3.6%

Real estate & business services 3.8% 3.8% 3.7% 3.7% 3.6% 3.6% 3.5% 3.5% 3.5% 3.6% 3.6%

Total GDP at market prices 100.0% 100.0% 100.0% 100.0% 100.0% 100.0% 100.0% 100.0% 100.0% 100.0% 100.0%


SHARES OF GROSS DOMESTIC PRODUCT BY KIND OF ECONOMIC ACTIVITY - Monetary and non-monetary


26

Table No. 4D Shs. Million


Gross Domestic Product (GDPbp) 8007798 8488274 9096251 9722362 10483313 11255608 12013295 12874170 13828681 14663656 15700057

Net taxes on product 577542 612000 655926 701372 756422 812482 867868 927751 999664 1057645 1128507

Gross Domestic Product (GDPmp) 8585340 9100274 9752177 10423734 11239735 12068090 12881163 13801921 14828345 15721301 16828563

Gross Domestic Product (GDPmp) 8585339 9100274 9752178 10423735 11239734 12068090 12881163 13801921 14819704 15721301 16828563

Final Consumption 7630259 7901761 8486320 9052080 9748544 10855260 11735476 12517666 13328593 13838779 15010200

Households 6615765 6826396 7213608 7410284 7866521 8748590 9456059 10021704 10503940 10870070 11538082

Government 1014494 1075365 1272712 1641796 1882023 2106670 2279417 2495962 2824652 2968710 3472119

Investment 1421461 1587743 1711262 1945657 2144198 2535317 2938619 3358305 3616866 3982283 4385837

Gross Fixed Capital Formation 1381486 1547100 1669823 1903295 2100914 2493633 2893604 3313177 3571629 3928805 4332960

Changes in Inventory 39975 40643 41439 42362 43284 41684 45015 45128 45237 53478 52877

Exports 1321129 1547644 1666860 1991479 2157615 2449820 2369701 2768705 3311236 3479706 4533457

Goods 596796 746080 814494 1049683 1120049 1256370 1004797 1089513 1441642 1519800 2401333

Services 724333 801564 852366 941796 1037566 1193450 1364904 1679192 1869594 1959906 2132124

Imports -1787510 -1936874 -2112264 -2565481 -2810623 -3772307 -4162633 -4842754 -5436991 -5579468 -7100931

Goods -1157440 -1367474 -1489051 -1865350 -2018283 -2689212 -3146854 -3861190 -4499134 -4455068 -5822908

Services -630070 -569400 -623213 -700131 -792340 -1083095 -1015779 -981564 -937856 -1124400 -1278024


GROSS DOMESTIC PRODUCT AND EXPENDITURE

EXPENDITURE ON GROSS DOMESTIC PRODUCT


27

Table No. 5 (Shs. million)

Type 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010

Buildings:

Residential 145210 150406 173687 266443 349977 390219 484652 581583 709531 865628

Rural Own Account 302994 292190 348806 467417 552039 585329 701224 820432 951702 1103974

Non-Residential 245218 260413 509560 706356 947093 1035628 1282108 1538914 1877475 2290520

Total 693422 703009 1032053 1440216 1849109 2011176 2467985 2940930 3538708 4260122

Other Works:

Land Improvement 17013 74044 42408 110434 119416 125256 137170 149515 182409 222539

Roads & Bridges 30600 34259 35589 36920 39580 43239 51455 61797.5 75393 91979

Water Supply 117056 223668 400163 479828 629842 701791 827411 984619 1153974 1352457

Others 122010 121949 88023 181805 245349 271512 344820 413784 508954 626014

Total 286679 453920 566183 808987 1034187 1141798 1360856 1609716 1920729 2292989

Equipment:

Transport Equipment 166000 219771 252439 293604 410919 629648 817913 956958 972933 1613525

Other Equipment 401000 374117 438122 552715 665348 1100867 1472259 1766711 1588599 2011057

Total 567000 593888 690561 846319 1076267 1730515 2290172 2723669 2561532 3624582

Fixed Capital Formation 1547101 1750817 2288797 3095522 3959563 4883489 6119013 7274314 8020970 10177693

Increase in Stocks 40643 44596 43387 57845 64405 74292 90728 106943 152252 164843

Total Capital Formation 1587744 1795413 2332184 3153367 4023968 4957781 6209741 7381257 8173221 10342536

Source: National Bureau of Statistics

(At Current Prices)

CAPITAL FORMATION BY TYPE OF ASSETS

28

Table No. 6: Shs. Million

Type2002 2003 2004 2005 2006 2007 2008 2009 2010 %change

Buildings:

Residential 145986 141750 176418 185882 206555 230059 244363 260491 277683 6.6%

Rural Own Account 270713 271724 283345 295766 314832 321112 339078 357405 376705 5.4%

Non-Residential 252762 415860 460289 473808 491387 525622 557960 593111 630477 6.3%

Total 669461 829334 920052 955456 1012774 1076793 1141401 1211008 1284866 6.1%

Other Works:

Land Improvement 68506 32988 46779 75517 111237 143282 151009 159013 167440 5.3%

Roads & Bridges 32277 28289 22813 21178 23724 26018 27666 25875 23234 -10.2%

Water Supply 206945 311305 311908 359854 396306 439900 466694 496096 527350 6.3%

Others 112833 68480 88285 130762 185891 242773 256940 271329 286523 5.6%

Total 420561 441062 469785 587311 717158 851973 902309 952312 1004548 5.5%

Equipment:

Transport Equipment 186549 226955 262150 350639 386998 452401 484069 670407 855005 27.5%

Other Equipment 393251 415201 448928 612469 776675 932009 1043851 1095078 1188541 8.5%

Total 579800 642156 711078 963108 1163673 1384410 1527920 1765485 2043546 15.7%

Fixed Capital Formation 1669822 1912552 2100915 2505875 2893605 3313177 3571629 3928805 4332960 10.3%

Increase in Stocks 41439 42362 43284 41684 45015 45128 45237 53478 52877 -1.1%

Total Capital Formation 1711261 1954914 2144199 2547559 2938620 3358305 3616866 3982283 4385837 10.1%


At Constant 2001 Prices

CAPITAL FORMATION BY TYPE OF ASSETS

29

Table No. 7 Shs. million

Sector 2002 2003 2004 2005 2006 2007 2008 2009 2010

Public Sector:

Central Gov't 568022 753610 953157 1039910 1134578 1352763 1628172 1921243 2267067

Parastatals 59405 72745 119245 162413 141822 141570 148299 157197 166629

Institutions++ 72900 89624 120042 138362 141822 144659 152971 163067 173830

Total Public Sector: 700327 915979 1192444 1340685 1418222 1638992 1929442 2241507 2607525

Private Sector 1050490 1372817 1903078 2618878 3465267 4480021 5344872 5779463 7570168

Total Fixed Capital 1750817 2288796 3095522 3959563 4883489 6119013 7274314 8020970 10177693

Increase in Stocks 44596 43387 57845 64405 74292 90728 106943 152252 164843

Total Capital Formation 1795413 2332183 3153367 4023968 4957781 6209741 7381257 8173221 10342536


++ Includes non-profit making organisations

CAPITAL FORMATION BY PUBLIC AND PRIVATE SECTORS

At Current Prices

30

Table No. 8

FOOD

YEAR INDEX % CHANGE INDEX % CHANGE

1982 2.7 - 3.2 -

1983 3.3 22.2 3.9 21.9

1984 3.9 18.2 4.2 7.7

1985 5.6 43.6 6.1 45.2

1986 8.0 42.9 9.2 50.8

1987 10.1 26.3 11.5 25.0

1988 13.1 29.7 15.1 31.3

1989 17.1 30.5 19.5 29.1

1990 22.5 31.6 24.7 26.7

1991 30.6 36.0 33.1 34.0

1992 32.7 7.0 41.6 25.7

1993 40.2 22.8 50.1 20.4

1994 60.5 30.4 68.9 37.5

1995 65.7 7.4 73.7 7.0

1996 78.8 19.8 85.0 15.3

1997 84.1 6.8 89.1 4.8

1998 89.8 6.8 94.8 6.4

1999 90.6 0.9 93.7 -1.2

2000 92.2 1.7 91.8 -2.0

2001 100.0 8.5 100.0 8.9

2002 103.8 3.8 104.0 4.0

2003 109.8 5.8 109.6 5.4

2004 116.8 6.4 117.1 6.8

2005 126.5 8.3 125.7 7.3

2006 141.1 11.5 138.6 10.3

2007 154.2 9.3 151.5 9.3

2008 180.9 17.3 174.6 15.2

2009 211.3 16.8 208.5 19.4

FOOD

INDEX % CHANGE INDEX

2009 87.0 95.5

2010* 98.7 13.4 100.8 5.6


*Starting 2010, the reference period for the NCPI has been changed from December, 2001

to September 2007, following the internationally recommended Classification of Individual

ALL ITEMSYEAR % CHANGE

INDEX OF RETAIL PRICES OF GOODS CONSUMED BY

MINIMUM WAGE EARNERS IN DAR ES SALAAM (2001=100)

ALL ITEMS

31

Table No. 9

Beverages Electricity, Clothing Furniture Services Recreation OVERALL

Year Food and Rent Kerosene and and and other Health and Transport Education Others PRICE

Cigarettes and Water Footwear Household Household Services Entertain. INDEX

Utensils Requirements

2004 First Quarter 118.2 123.9 111.9 122.6 113.0 108.4 102.3 117.2 103.7 100.7 110.1 100.3 116.4

Second Quarter 116.7 123.8 111.9 131.0 113.3 112.3 102.1 119.4 103.7 100.3 109.7 100.3 116.3

Third Quarter 114.9 122.5 111.9 139.3 111.6 113.9 102.1 120.6 103.7 101.4 109.9 108.3 116.0

Fourth Quarter 118.6 122.6 111.9 140.1 109.7 117.4 102.3 117.0 103.7 101.1 115.0 104.7 118.5

2005 First Quarter 124.1 120.3 113.6 149.0 107.5 119.2 109.3 110.2 108.2 103.4 118.0 112.8 123.3

Second Quarter 123.2 119.7 113.6 163.4 109.6 115.3 109.4 111.0 110.0 108.4 116.7 114.5 124.7

Third Quarter 125.7 119.9 113.6 165.9 108.9 114.5 110.2 113.8 111.7 110.4 105.3 119.9 126.8

Fourth Quarter 129.9 119.9 113.6 170.9 108.8 113.7 111.3 119.2 111.6 116.8 120.1 137.3 131.0

2006 First Quarter 135.2 130.2 129.9 179.6 107.7 114.4 108.4 119.8 117.6 133.0 98.0 149.7 137.0

Second Quarter 139.7 137.6 132.8 195.0 106.1 114.6 108.9 119.9 114.1 133.8 89.9 148.4 141.7

Third Quarter 137.4 148.6 134.3 199.1 106.8 116.3 110.0 117.8 112.9 134.5 91.2 129.0 140.9

Fourth Quarter 142.0 150.9 134.3 201.1 111.4 116.3 111.0 117.8 109.7 134.7 94.1 130.1 144.6

2007 First Quarter 150.0 156.6 146.1 203.1 117.0 122.7 112.9 117.7 110.3 135.6 99.7 125.9 150.8

Second Quarter 150.1 158.4 146.1 199.8 124.0 133.6 112.6 117.0 115.7 135.7 105.2 128.8 151.1

Third Quarter 148.3 159.3 146.1 217.1 124.2 133.5 123.7 110.6 118.1 156.2 107.3 130.4 153.6

Fourth Quarter 157.7 163.8 146.1 216.5 131.2 137.0 127.4 113.9 115.4 166.4 103.6 128.6 161.2

2008 First Quarter 167.2 169.9 195.1 252.7 143.5 154.7 122.2 126.1 103.4 166.5 96.5 129.9 172.5

Second Quarter 172.6 171.2 195.1 262.7 143.2 155.6 134.0 132.3 107.8 166.4 96.5 135.3 177.5

Third Quarter 173.1 178.0 203.5 283.5 136.2 163.4 146.7 136.1 112.1 187.4 102.2 141.3 182.2

Fourth Quarter 185.4 181.0 203.5 280.4 134.4 168.2 150.6 141.7 120.1 197.9 101.8 142.5 191.4

2009 First Quarter 198.3 200.2 206.6 267.8 142.7 171.8 168.6 152.3 121.7 219.0 109.0 147.3 202.0

Second Quarter 202.6 205.8 206.6 264.4 145.8 171.8 170.2 157.3 121.7 229.6 109.5 148.2 205.9

Third Quarter 210.3 216.1 206.6 284.2 156.3 174.9 170.7 171.4 126.7 230.1 112.6 147.3 214.1

Fourth Quarter 222.9 220.9 206.6 289.9 166.5 174.9 158.7 174.3 128.6 225.2 114.0 148.1 223.2

Foo d Alcoholic Clothing Electricity, Furniture Health Transport Communication Recreation Education Hotel and Others OVERALL

and Drinks and and Household and Services and Restaurants PRICE

Beverages Cigarettes Footwear and Water Household Entertain. INDEX

Utensils

2010* 101.0 100.0 93.8 92.9 100.3 95.7 91.9 98.6 92.9 99.8 102.3 101.6 99.3


*Starting 2010, the reference period for the NCPI has been changed from December, 2001 to September 2007, following the internationalil recommended Classification of individual

Consumption by Purpose (COICOP).

MINIMUM WAGE EARNERS IN DAR ES SALAAM (2001=100)

Year

32

Table No. 10

Year March June September December Average Change

%

1988 10.3 11.4 11.5 13.3 11.6 33.3

1989 14.4 15.6 15.2 15.3 15.1 30.2

1990 17.4 18.3 19.3 21.1 19.0 25.8

1991 24.6 26.9 26.1 29.8 26.9 41.6

1992 30.1 31.3 32.9 34.8 32.3 20.1

1993 40.3 39.2 39.6 47.4 41.6 28.8

1994 49.9 56.3 54.5 62.5 55.8 34.1

First QuarterSecond

Quarter

Third

Quarter

Fourth

Quarter

1995 67.4 69.3 71.7 77.1 71.4 28.0

1996 84.5 85.5 80.9 81.1 83.0 16.2

1997 87.1 89.3 86.7 89.9 88.4 6.4

1998 95.5 92.6 89.6 92.8 92.6 4.9

1999 95.2 96.4 89.8 92.1 93.4 0.9

2000 92.5 96.3 93.3 100.8 95.7 2.5

2001 104.7 99.2 98.6 97.6 100.0 4.5

2002 103.1 103.0 103.7 104.2 103.5 3.5

2003 104.2 104.2 106.2 108.8 105.9 2.3

2004 112.5 113.6 115.1 117.3 114.6 8.2

2005 119.7 121.3 126.0 127.9 123.7 7.9

2006 131.5 135.2 135.6 137.9 135.0 9.2

2007 143.2 148.7 152.3 157.9 150.5 11.5

2008 166.5 171.4 175.7 180.8 173.6 15.3

2009 191.1 196.7 206.9 213.8 202.1 16.4

YearFirst Quarter

Second

Quarter

Third

Quarter

Fourth

Quarter Average %change

2009 85.3 87.8 91.5 93.2 89.5

2010* 96.0 99.4 100.3 94.3 97.5 9.0





Months

COST OF LIVING INDEX OF GOODS AND SERVICES CONSUMED BY

MIDDLE GRADE WAGE EARNERS IN DAR ES SALAAM (2001=100)

33

Table No. 11

Beverages Electricity Clothing Furniture Services Health Recreation OVERALL

Year Food and Rent Kerosene and and and other Services and Transport Education Others PRICE

Cigarettes and Water Footwear Household Household Entertain. INDEX


2004* First Quarter 113.5 120.1 111.9 126.0 105.3 103.5 111.0 104.5 105.5 102.7 103.3 116.5 112.5

Second Quarter 114.7 115.3 111.9 135.8 107.3 104.6 107.4 102.3 105.4 103.6 102.6 117.7 113.6

Third Quarter 116.9 103.3 111.9 147.1 106.5 104.2 109.7 101.3 105.1 107.7 102.8 123.2 115.1

Fourth Quarter 120.3 103.3 111.9 147.7 107.8 102.3 108.5 101.1 102.3 110.2 102.3 120.6 117.3

2005 First Quarter 123.3 104.1 111.9 152.3 104.3 107.8 103.4 105.5 109.4 113.1 105.6 120.6 119.7

Second Quarter 124.3 106.0 111.9 162.9 104.9 109.9 105.0 106.4 110.5 113.2 107.5 121.0 121.3

Third Quarter 130.5 109.1 126.7 165.7 105.4 112.1 107.2 107.9 119.2 115.7 109.1 122.7 126.0

Fourth Quarter 133.2 109.6 126.5 170.6 105.4 112.9 107.7 106.6 116.7 115.2 110.0 127.3 127.9

2006 First Quarter 134.5 114.0 129.9 178.7 109.1 126.9 108.4 110.9 118.7 127.6 115.3 123.8 131.5

Second Quarter 136.7 119.1 132.8 195.1 110.8 131.2 109.0 115.2 114.2 132.7 117.3 119.3 135.2

Third Quarter 134.3 126.8 134.3 204.8 110.2 135.3 110.5 118.0 113.4 137.1 116.7 108.5 135.6

Fourth Quarter 136.8 130.9 134.3 207.6 113.8 139.1 111.7 118.6 110.9 137.1 119.1 109.8 137.9

2007 First Quarter 142.5 133.3 146.1 215.7 118.8 144.2 113.6 117.3 114.4 140.0 143.4 106.4 143.2

Second Quarter 148.7 142.8 146.1 215.1 128.9 148.8 112.6 117.8 118.1 142.0 151.7 106.3 148.7

Third Quarter 149.4 144.2 146.1 227.2 134.0 148.6 120.2 114.7 119.3 157.4 157.8 106.1 152.3

Fourth Quarter 157.3 150.1 146.1 221.2 135.4 148.1 133.8 117.9 119.5 164.0 156.4 105.3 157.9

2008 First Quarter 166.4 160.2 195.1 259.4 122.7 163.5 130.5 125.9 124.2 161.4 168.4 103.9 166.5

Second Quarter 173.8 160.8 195.1 266.9 119.1 167.7 140.7 128.2 129.0 162.1 168.4 104.0 171.4

Third Quarter 174.0 165.5 197.9 286.6 120.3 172.9 157.8 132.2 129.5 176.7 182.7 106.9 175.7

Fourth Quarter 180.1 171.2 203.5 287.1 121.7 175.6 165.8 137.5 130.6 183.9 179.4 107.8 180.8

2009 First Quarter 194.7 183.2 206.6 275.9 125.7 178.4 168.5 155.5 132.1 192.1 183.1 109.4 191.1

Second Quarter 202.1 189.1 206.6 276.2 128.3 179.9 169.9 156.2 135.1 196.5 184.9 109.3 196.7

Third Quarter 214.8 195.8 227.8 295.3 134.3 179.6 172.9 170.3 131.5 195.1 203.3 114.4 206.9

Fourth Quarter 224.0 196.2 270.1 306.8 136.8 178.6 157.2 187.4 129.7 193.8 217.2 118.9 213.8

Foo d Alcoholic Clothing Electricity, Furniture Health Transport CommunicationRecreation Education Hotel and Others OVERALL

Year and Drinks and and Household and Services and Restaurants PRICE


Utensils

2010* First Quarter 96.8 95.1 90.4 88.4 96.8 100.0 99.5 99.7 87.6 100.0 102.0 95.5 96.0

Second Quarter 101.2 100.5 89.0 94.4 96.6 100.0 100.0 99.9 89.0 100.0 102.0 98.3 99.4

Third Quarter 101.2 100.6 94.7 99.7 99.3 100.0 100.0 99.9 93.0 100.0 100.1 97.6 100.3

Fourth Quarter 92.3 100.4 105.3 97.1 97.4 98.4 93.3 100.0 87.4 100.0 93.5 99.7 94.3Source: National Bureau of Statistics




MIDDLE GRADE WAGE EARNERS IN DAR ES SALAAM (2001=100)

34

Table No. 12

Beverages Electricity Clothing Furniture Services Health Recreation OVERALL

Year Food and Rent Kerosene and and and other Services and Transport Education Others PRICE

Cigarettes and Water Footwear Household Household Entertain. INDEX


2004 March 111.3 112.0 118.0 127.6 112.4 104.2 111.3 101.6 107.2 107.2 107.5 103.4 110.7

June 114.2 112.0 118.0 134.6 110.2 109.9 108.7 106.2 107.1 111.4 107.3 105.4 113.5

September 114.6 112.0 118.0 149.2 108.4 113.7 106.9 111.6 107.1 114.7 107.7 104.4 115.4

December 117.7 112.0 118.0 149.6 109.6 115.3 109.2 112.9 112.3 118.7 108.3 101.0 118.0

2005 March 120.4 111.9 120.0 153.5 112.0 116.4 101.4 113.3 115.3 119.8 114.1 104.6 120.1

June 119.3 111.9 120.0 161.9 113.4 116.7 102.4 114.0 116.8 122.6 114.0 106.3 121.1

September 120.9 116.5 120.0 170.0 113.9 117.3 114.9 117.8 112.3 127.5 117.4 109.6 124.2

December 131.1 116.6 120.0 176.7 114.7 115.5 116.4 126.8 114.8 136.5 117.4 108.0 131.5

2006 March 141.1 118.2 120.0 182.7 120.2 119.4 112.8 122.8 106.1 135.2 114.3 112.3 135.4

June 144.1 124.0 123.3 188.8 119.8 122.6 113.8 122.4 105.3 136.2 115.1 108.3 137.6

September 141.5 137.2 125.0 200.5 123.9 125.7 115.8 122.7 108.0 140.0 115.4 93.5 139.0

December 145.2 142.3 125.0 204.7 127.7 127.0 121.9 122.5 107.0 147.0 119.2 93.0 143.4

2007 March 153.3 144.3 140.0 215.6 131.1 131.2 127.1 120.3 110.0 150.4 152.3 90.9 150.7

June 158.3 152.0 140.0 217.0 136.4 131.6 127.3 119.1 110.9 155.7 155.6 92.7 155.3

September 157.8 153.1 140.0 225.2 139.6 130.1 128.7 116.3 111.6 170.8 159.4 88.0 159.7

December 164.9 161.5 140.0 216.8 144.1 129.1 140.1 119.5 112.9 175.6 156.7 81.1 164.2

2008 March 177.3 172.0 160.0 253.9 135.2 130.2 142.4 125.8 124.5 178.7 185.1 79.3 174.6

June 184.2 171.4 173.3 260.0 135.3 133.8 146.7 128.2 129.5 181.5 185.1 86.1 179.1

September 191.6 182.0 180.0 270.7 128.8 140.5 155.8 131.3 131.8 217.1 188.9 91.1 192.6

December 198.3 192.3 186.7 301.4 130.9 149.4 164.2 135.8 135.4 214.2 190.9 91.8 198.0

2009 March 219.8 198.3 200.0 275.0 130.0 157.4 169.0 149.3 191.2 212.7 193.0 92.0 206.3

June 225.3 199.3 200.0 275.2 134.5 163.9 170.7 155.0 193.1 210.2 193.3 93.0 208.7

September 237.8 237.8 200.0 293.0 139.7 176.4 180.1 172.5 190.8 225.0 193.5 94.9 220.2

December 247.4 207.4 200.0 305.1 147.2 137.0 163.7 185.5 189.4 228.1 195.9 94.7 225.9

Foo d Alcoholic Clothing Electricity, Furniture Health Transport CommunicationRecreation Education Hotel and Others OVERALL

Year and Drinks and and Household and Services and Restaurants PRICE


Utensils

2010* March 103.1 95.1 89.2 85.2 94.4 101.9 99.3 99.4 90.3 100.0 99.4 97.4 97.0

June 107.4 100.2 88.4 90.5 95.4 101.9 99.2 99.7 97.0 100.0 99.9 101.4 100.0

September 100.8 100.4 94.8 99.1 98.8 101.3 100.3 100.0 99.4 100.0 100.6 100.6 99.8

December 94.0 100.9 104.6 102.7 98.9 100.0 97.5 100.0 98.1 100.0 97.9 102.1 98.1




COST OF LIVING INDEX OF GOODS AND SERVICES CONSUMED BY HIGH INCOME GROUP IN DAR ES SALAAM (2001=100)

35

Table No. 13

Year Change

March June Sept. December %

1989 - 13.2 - 18.2 15.1 43.8

1990 - 19.1 - 22.4 19.9 32.2

1991 - 25.4 - 28.9 26.1 31.0

1992 - 32.0 - 36.4 32.9 26.0

1993 - 37.1 - 46.8 40.2 22.4

1994 - 51.1 - 61.2 53.9 34.1

1995 61.6 59.1 62.6 67.3 62.6 16.1

1996 74.7 72.8 73.2 72.7 73.4 17.1

1997 77.4 75.7 77.1 78.7 77.2 5.2

1998 77.5 78.9 78.7 79.6 78.7 1.9

1999 82.8 82.2 85.0 92.1 83.6 6.3

2000 86.4 86.4 90.3 92.3 88.9 6.2

2001 110.3 100.6 96.6 92.3 100.0 12.5

2002 103.8 103.2 103.4 103.2 103.3 6.6

2003 106.9 108.0 107.9 108.1 107.7 4.2

2004 110.7 113.5 115.4 118.0 114.4 6.2

2005 120.1 121.1 124.2 131.5 124.2 8.6

2006 135.4 137.6 138.9 143.4 138.9 11.8

2007 150.7 155.3 157.5 163.5 157.3 13.3

2008 174.6 179.1 192.6 198.0 186.1 18.3

2009 206.3 208.7 220.2 225.9 215.3 15.7

YearFirst

Quarter

Second

Quarter

Third

Quarter

Fourth

QuarterAverage %Change

2009 87.7 88.7 93.6 96.0 91.5

2010* 97.0 100.0 99.8 98.1 98.7 7.9%





Months

GROUP IN DAR ES SALAAM (2001=100)

Average

COST OF LIVING INDEX FOR HIGH INCOME

36

Table No. 14

Beverages Electricity Clothing Furniture Household Health Recreation OVERALL

Year Food and Rent Kerosene and and Operations Services and Transport Education Others PRICE

Cigarettes Water Footwear Household Household Entertainment INDEX

Utensils Operations

2004 First Quarter 122.8 111.7 107.7 113.2 89.1 95.5 101.6 95.7 91.4 99.7 108.6 92.0 113.9

Second Quarter 122.8 112.6 108.8 114.1 92.9 94.2 98.6 97.2 85.3 98.4 105.3 93.3 114.0

Third Quarter 121.3 111.1 113.7 122.0 91.3 94.7 100.7 94.2 87.0 103.6 106.1 93.8 114.2

Fourth Quarter 127.4 110.6 113.8 127.7 89.2 95.2 100.1 92.0 91.8 106.5 101.5 93.4 118.1

2005 First Quarter 127.9 113.3 118.7 128.8 90.9 96.3 102.1 92.1 93.4 107.2 90.0 93.3 118.7

Second Quarter 129.5 114.5 122.1 132.9 91.5 96.3 102.4 93.4 92.4 108.2 89.7 93.8 120.2

Third Quarter 128.8 116.3 129.5 135.5 93.3 96.2 102.4 97.2 91.9 110.4 89.9 93.5 120.7

Fourth Quarter 131.5 120.0 131.5 140.3 95.6 98.1 102.7 105.2 98.2 114.8 94.5 95.1 123.9

2006 First Quarter 138.6 119.7 128.8 138.2 98.1 100.8 101.0 107.6 98.0 115.3 90.2 102.0 127.9

Second Quarter 142.4 121.4 131.5 145.5 98.2 102.9 102.7 106.2 97.5 119.1 91.5 101.0 131.3

Third Quarter 133.3 127.7 134.5 151.7 99.7 105.9 105.0 107.3 98.3 122.7 94.4 101.6 127.8

Fourth Quarter 139.7 131.1 134.5 147.9 101.2 107.6 108.9 110.3 100.8 123.8 96.9 101.3 131.7

2007 First Quarter 147.3 133.6 136.0 149.1 104.5 111.4 111.6 109.9 105.3 125.9 100.6 101.8 137.0

Second Quarter 148.2 137.6 136.6 154.7 105.3 112.3 114.0 110.6 106.9 127.8 101.4 103.1 138.7

Third Quarter 147.0 138.0 137.5 158.3 105.2 112.4 114.3 110.9 108.5 129.9 102.8 102.0 138.5

Fourth Quarter 150.2 143.0 138.3 157.0 105.6 113.8 113.8 112.3 108.9 130.9 104.1 102.2 140.8

2008 First Quarter 163.4 146.8 138.9 161.6 105.3 116.6 115.1 113.6 110.0 132.9 106.2 103.4 149.2

Second Quarter 165.1 148.5 139.5 172.0 106.4 118.1 117.1 114.7 111.4 136.5 107.8 103.9 151.7

Third Quarter 164.5 149.7 141.6 179.2 106.4 120.1 116.8 117.4 114.5 141.0 110.8 104.2 152.8

Fourth Quarter 175.0 152.1 141.6 172.5 108.6 122.1 119.1 120.3 117.6 139.6 112.7 105.2 158.4

2009 First Quarter 193.5 154.8 156.4 164.5 109.7 124.8 120.7 122.3 121.4 137.7 116.9 106.9 168.7

Second Quarter 194.0 158.2 156.5 158.7 112.5 126.1 122.7 125.9 121.4 135.3 122.4 108.6 168.9

Third Quarter 193.6 165.7 159.4 168.9 115.7 128.0 123.0 126.1 124.6 140.3 122.4 108.3 170.6

Fourth Quarter 203.8 170.9 159.6 181.7 115.6 127.1 126.0 126.1 127.6 140.3 122.7 106.3 178.2

Foo d Alcoholic Clothing Electricity, Furniture Health Transport Communication Recreation Education Hotel and Others OVERALL

and Drinks and and Household and Services and Restaurants PRICE

Year Beverages Cigarettes Footwear and Water Household Entertain. INDEX

Utensils

2010* First Quarter 100.4 99.7 95.9 92.4 96.5 99.7 101.0 98.8 95.7 102.6 100.7 97.1 98.9

Second Quarter 101.9 97.7 96.3 97.2 97.7 100.0 100.8 99.4 96.8 102.7 100.7 97.8 100.2

Third Quarter 99.9 99.8 98.8 98.9 99.3 100.1 100.4 99.7 98.6 100.8 101.2 100.0 99.8

Fourth Quarter 101.3 100.5 100.9 98.9 100.3 99.7 100.5 99.7 98.2 100.1 99.9 99.9 100.6





URBAN DWELLERS IN TANZANIA MAINLAND (2001=100)

37

Table No. 15

Year First Second Third Forth Average Change

Quarter Quarter Quarter Quarter %

1982 1.5 1.6 1.8 1.9 1.7 28.9

1983 1.9 2.1 2.2 2.4 2.2 27.1

1984 2.5 2.7 3.1 3.4 2.9 36.1

1985 3.6 3.7 3.9 4.4 3.9 33.3

1986 4.8 4.8 5.3 5.9 5.2 32.4

1987 6.3 6.3 6.7 7.6 6.7 29.9

1988 8.2 8.3 9.1 9.7 8.8 31.2

1989 10.5 11.3 11.8 12.5 11.5 30.4

1990 14.5 14.9 16.0 17.3 15.6 35.9

1991 18.8 19.8 20.4 21.7 20.2 28.8

1992 23.6 23.7 24.8 26.3 24.6 21.9

1993 28.4 30.0 30.2 33.1 30.5 24.0

1994 37.7 40.6 41.2 45.4 41.2 35.3

1995 50.8 51.5 52.5 55.3 52.5 27.4

1996 63.7 63.9 62.2 64.5 63.6 21.0

1997 73.3 74.6 72.8 74.5 73.8 16.1

1998 83.8 84.0 81.8 83.3 83.3 12.9

1999 91.2 90.9 87.8 89.2 89.8 7.8

2000 97.1 96.3 92.9 94.2 95.1 6.0

2001 102.2 101.4 97.6 98.9 100.0 5.1

2002 103.5 104.1 103.8 105.9 104.3 4.3

2003 108.5 109.9 109.1 112.0 109.9 5.3

2004 113.9 114.0 114.2 118.1 115.1 4.7

2005 118.7 120.2 120.7 123.9 120.9 5.0

2006 127.9 131.3 127.8 131.7 129.6 7.3

2007 137.0 138.7 138.5 140.8 138.7 7.0

2008 149.2 151.7 152.8 158.4 153.0 10.3

2009 168.7 168.9 170.6 178.2 171.6 12.1

YearFirst

Quarter

Second

Quarter

Third

Quarter

Fourth

QuarterAverage %Change

2009 93.1 93.2 94.2 98.3 94.7

2010* 98.9 100.2 99.8 100.6 99.9 5.5





Period

COST OF LIVING INDEX OF GOODS AND SERVICES CONSUMED

BY URBAN DWELLERS IN TANZANIA MAINLAND (2001=100)

38

21.0

16.1

12.9

7.8

6.0 5.1

4.3 5.3

4.7 5.0

7.3 7.0

10.3

12.1

5.5

0.0

5.0

10.0

15.0

20.0

25.0

1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010

Pe

rce

nt

Years

TREND OF INFLATION - Tanzania Mainland At 2001 base year

39

Table No. 16

Urban

Dwellers

Urban

Dwellers

Tanzania

Mainland

Tanzania

Mainland

Minimum Middle High Minimum Middle High

1982 2.7 2.1 1.9 1.7 21.8 25.9 25.9 27.6

1983 3.3 2.6 2.4 2.2 23.6 23.5 26.5 29.7

1984 3.9 3.3 2.8 2.9 17.5 28.6 16.3 35.4

1985 5.7 4.7 3.5 3.9 46.6 42.6 24.0 32.3

1986 8.1 6.5 5.0 5.2 41.3 37.7 41.9 32.6

1987 10.2 8.6 7.4 6.7 26.2 32.1 48.9 29.8

1988 13.2 11.4 10.5 8.8 29.5 32.9 42.0 31.8

1989 17.3 14.9 15.1 11.5 30.7 30.1 43.5 30.3

1990 22.7 18.7 19.9 15.7 31.5 25.6 32.2 35.8

1991 30.9 26.5 26.1 20.1 36.3 41.4 31.2 28.7

1992 38.2 31.8 32.9 24.5 23.5 20.0 25.9 21.8

1993 46.9 41.0 40.2 30.4 22.9 29.1 22.3 24.0

1994 61.2 55.0 54.0 41.2 30.4 34.1 34.1 35.5

1995 65.7 70.3 62.6 52.5 7.3 27.9 16.1 27.4

1996 78.8 81.7 73.4 63.6 19.9 16.3 17.1 21.0

1997 84.1 86.9 77.2 73.8 6.8 6.3 5.2 16.1

1998 89.8 91.2 78.7 83.3 6.8 5.0 1.9 12.9

1999 90.6 91.9 83.6 89.8 0.9 0.8 6.3 7.8

2000 92.2 94.2 88.9 95.1 1.7 2.5 6.3 6.0

2001 100.0 100.0 100.0 100.0 8.5 6.1 12.5 5.1

2002 103.8 103.5 103.3 104.3 3.8 3.5 3.3 4.3

2003 109.8 105.9 107.7 109.9 5.8 2.3 4.3 5.3

2004 116.8 114.6 114.4 115.1 6.4 8.2 6.2 4.7

2005 126.5 123.7 124.2 120.9 8.3 7.9 8.6 5.0

2006 141.1 135.0 138.9 129.6 11.5 9.2 11.8 7.3

2007 154.0 150.2 157.3 138.7 9.2 11.2 13.3 7.0

2008 180.9 173.6 186.1 153.0 17.5 15.5 18.3 10.3

2009 211.3 202.1 215.3 171.6 16.8 16.4 15.7 12.1

Urban

Dwellers

Urban

Dwellers

Tanzania

Mainland

Tanzania

Mainland

Minimum Middle High Minimum Middle High

2009 87.0 89.5 91.5 94.7

2010 98.7 97.5 98.7 99.9 13.4 9.0 7.9 5.5Source: National Bureau of Statistics




Index Index (%)

DIFFERENT INDICES OF GOODS AND SERVICES

CONSUMED BY URBAN RESIDENTS IN TANZANIA MAINLAND (2001=100)

Index (%)

Income

Index

IncomeYear

YearIncome Income

40

CHAPTER 2

THE STATE OF THE WORLD ECONOMY AND INTERNATIONAL

ECONOMIC CO-OPERATION

THE STATE OF THE WORLD ECONOMY

World Economic Growth

33. In 2010, the world economy started to recover from the aftermath of the global

financial and economic crisis following the collapse of financial markets in the

United States and the European countries. The pace of global economic growth

increased to 5.0 percent compared to a contraction of 0.5 percent in 2009. The global

economic recovery was a result of economic rescue strategies in which fiscal and

monetary policies were pursued by the affected countries. The growth in the global

economy went in tandem with economic growth of the Developed Countries whose

growth recovered to 3.0 percent in 2010, compared to a contraction of 3.4 percent in

2009.

34. The output growth rate in Developing Countries increased by 7.3 percent in 2010

compared to 2.7 percent in 2009. This was attributed to increased investment and

exports, rising commodity prices and influx of capital inflows.

35. The pace of economic growth for Developing Asian Countries notably China and

India increased to 9.5 percent in 2010 from 7.2 percent in 2009. The increase was

spurred by the robust export of goods which is the main base of these economies.

Table 2.1: World Output 2003 – 2010 (Annual percentage change)

Region 2003 2004 2005 2006 2007 2008 2009 2010

World Output 4.0 5.1 4.6 5.2 5.4 2.9 -0.5 5.0

Developed Countries 2.0 3.4 2.7 3.0 2.7 0.2 -3.4 3.0

Developing Countries 6.4 7.5 7.3 8.2 8.8 6.1 2.7 7.3

Developing Asia 8.1 8.6 9.5 10.4 11.4 7.7 7.2 9.5

Sub-Saharan Africa 4.2 5.6 6.0 6.4 7.2 5.6 2.8 5.0

Source: International Monetary Fund (IMF), April 2011

Trend in World Trade

36. In 2010, the growth rate of the world trade increased to 14.5 percent from a

contraction of 12.3 percent in 2009, this was the largest increase since 1950. This was

a result of rising commodity demand in Developed and Developing countries which

41

led to the expansion of world trade. Moreover, the strengthening of capital and money

markets contributed to the growth of world trade.

37. The value of world merchandise exports amounted to USD 14.9 trillion in 2010

compared to USD 12.2 trillion in 2009, equivalent to 22.0 percent increase. The

increase in the value of merchandise exports was attributed to rising commodity

prices in the world market as well as the weakening of US dollar against other major

currencies in the world.

38. Similarly, in African countries, the growth of merchandise exports increased from

a contraction of 30.0 percent in 2009 to 28.0 percent in 2010. On the other hand,

merchandise imports increased by 14.0 percent in 2010 compared to a contraction of

15.0 percent in 2009. As a result of favourable trade, African countries managed to

record surplus trade balance valued at USD 37.0 billion in 2010 compared to a deficit

trade balance of USD 15.5 billion in 2009.

42

Table 2.2: World Merchandise Trade by Region and Selected Economies 2010 (Billion USD and percentage)

Value Value2010 2005-10 2008 2009 2010 2010 2005-10 2008 2009 2010

World 14,855 6.0 15.0 -23.0 22.0 15,050 7.0 16.0 -23.0 21.0North America 1,964 6.0 11.0 -21.0 23.0 2,681 3.0 8.0 -25.0 23.0

United States 1,278 7.0 12.0 -18.0 21.0 1,968 3.0 7.0 -26.0 23.0Canada 387 1.0 9.0 -31.0 22.0 402 4.0 7.0 -21.0 22.0Mexico 298 7.0 7.0 -21.0 30.0 311 6.0 10.0 -24.0 29.0

South and Central America 575 10.0 21.0 -24.0 25.0 576 14.0 30.0 -26.0 30.0Brazil 202 11.0 23.0 -23.0 32.0 191 20.0 44.0 -27.0 43.0Other South and Central America 373 9.0 20.0 -25.0 22.0 385 12.0 25.0 -25.0 24.0

Europe 5,626 5.0 12.0 -22.0 12.0 5,841 5.0 13.0 -25.0 13.0European Union 5,147 5.0 11.0 -22.0 12.0 5,337 5.0 12.0 -25.0 12.0

Germany 1,269 5.0 9.0 -23.0 13.0 1,067 7.0 12.0 -22.0 15.0France 521 2.0 10.0 -21.0 7.0 606 4.0 13.0 -22.0 8.0Netherlands 572 7.0 16.0 -22.0 15.0 517 7.0 18.0 -24.0 17.0United Kingdom 405 1.0 5.0 -23.0 15.0 558 2.0 2.0 -24.0 15.0Italy 448 4.0 9.0 -25.0 10.0 484 5.0 10.0 -26.0 17.0

Commonwealth of Independent States (CIS) 588 11.0 35.0 -36.0 30.0 414 14.0 32.0 -33.0 24.0Russian Federation 400 10.0 33.0 -36.0 32.0 248 15.0 31.0 -34.0 30.0

Africa 500 10.0 29.0 -30.0 28.0 463 13.0 28.0 -15.0 14.0South Africa 82 10.0 16.0 -24.0 33.0 94 9.0 14.0 -27.0 29.0Africa less South Africa 418 10.0 31.0 -31.0 28.0 369 14.0 33.0 -12.0 11.0

Oil exporters 277 9.0 34.0 -38.0 31.0 138 14.0 39.0 -9.0 4.0Non oil exporters 141 12.0 24.0 -14.0 21.0 231 13.0 29.0 -14.0 15.0

Middle East 916 11.0 34.0 -31.0 30.0 572 11.0 28.0 -15.0 13.0Asia 4,685 11.0 15.0 -18.0 31.0 4,503 11.0 21.0 -20.0 32.0

China 1,578 16.0 17.0 -16.0 31.0 1,395 16.0 18.0 -11.0 39.0Japan 770 5.0 9.0 -26.0 33.0 693 6.0 23.0 -28.0 25.0India 216 17.0 30.0 -15.0 31.0 323 18.0 40.0 -20.0 25.0Newly industrialized economies 1,111 9.0 10.0 -17.0 30.0 1,103 9.0 17.0 -24.0 33.0

Memorandum ItemsLeast Developed Countries (LDCs) 164 15.0 32.0 -24.0 28.0 174 15.0 30.0 -5.0 13.0

ExportsAnnual percentage change Annual percentage change

Imports

Source: World Trade Organisation (WTO) Report April 2011

43

Economic Development in Sub-Saharan Africa

39. In 2010, economic growth of Sub-Saharan Africa increased to 5.0 percent from

2.8 percent in 2009. The increase in growth was a result of both rising price and

demand for agricultural commodities in Developed Countries. Further, this growth of

Sub-Saharan Africa was attributed to high growth in oil exporting countries whose

growth was 6.5 percent in 2010 compared to 4.8 percent in 2009.

40. The economic growth of middle-income countries in Sub-Saharan Africa

recovered from a contraction of 1.7 percent in 2009 to 3.1 percent in 2010. Similarly,

the economic growth of low-income countries in Sub-Saharan Africa increased from

4.7 percent in 2009 to 5.3 percent in 2010. On average, the economic growth of Sub-

Saharan Africa shows signs of recovering to its normal growth path which were there

before the onset of the global financial and economic crisis that weakened economic

activities in 2009.

41. Further, in 2010, the pace of increasing consumer price in Sub-Saharan Africa

slowed down to 7.5 percent from 10.5 percent in 2009, where the slowdown in the

overall inflation was also reflected in the middle and low income countries. The oil

exporting countries in Sub-Saharan Africa revealed different trend, whereas inflation

increased to 12.4 percent in 2010 from 11.0 percent in 2009.

44

Table 2.3: Trend of Selected Macroeconomic indicators in some African Countries (2008 – 2010)

Annual growth Annual growth Percentage of GDP

2008 2009 2010 2008 2009 2010 2008 2009 2010

Sub-Saharan Africa 5.6 2.8 5.0 11.7 10.5 7.5 0.0 -2.4 -2.4

Oil Exporters 7.0 4.8 6.5 10.5 11.0 12.4 11.6 5.3 2.6

Nigeria 6.0 7.0 8.4 11.6 12.5 13.7 15.4 13.0 6.4

Angola 13.8 2.4 1.6 12.5 13.7 14.5 8.6 -10.0 -1.8

Equatorial Guinea 10.7 5.7 -0.8 4.3 7.2 7.5 9.1 -17.1 -23.8

Gabon 2.3 -1.4 5.7 5.3 1.9 0.6 23.7 7.9 11.8

Republic of Congo 5.6 7.5 9.1 6.0 4.3 5.0 1.2 -8.9 2.7

Chad -0.4 0.3 5.1 8.3 10.1 1.0 -0.1 -22.1 -21.3

Middle-Income 3.7 -1.7 3.1 11.5 7.1 4.4 -6.5 -4.1 -3.1

South Africa 3.6 -1.7 2.8 11.5 7.1 4.3 -7.1 -4.1 -2.8

Botswana 3.1 -3.7 8.6 12.6 8.1 7.0 7.5 -5.5 -2.5

Mauritius 5.5 3.0 4.0 9.7 2.5 2.9 -10.1 -7.4 -9.5

Namibia 4.3 -0.8 4.4 10.4 8.8 4.5 2.7 -0.7 -1.1

Swaziland 3.1 1.2 2.0 13.1 7.5 4.5 -11.1 -16.8 -20.6

Cape Verde 6.2 3.6 5.4 6.8 1.0 2.1 -15.7 -15.3 -11.8

Low-Income 6.3 4.7 5.3 13.4 13.5 6.2 -9.3 -6.8 -7.0

Ethiopia 11.2 10.0 8.0 25.3 36.4 2.8 -5.6 -5.0 -4.3

Kenya 1.6 2.6 5.0 16.2 9.3 3.9 -6.7 -5.6 -7.9

Ghana 8.4 4.7 5.7 16.5 19.3 10.7 -10.8 -4.0 -7.2

Tanzania 7.3 6.7 6.5 8.4 11.8 10.5 -11.1 -10.2 -8.6

Cameroon 2.6 2.0 3.0 5.3 3.0 1.3 -0.8 -3.7 -3.9

Uganda 8.7 7.2 5.2 7.3 14.2 9.4 -3.1 -6.8 -9.9

Cote d'Ivoire 2.3 3.8 2.6 6.3 1.0 1.4 1.9 7.4 3.9

Real GDP Consumer Prices Current Account Balance

Source:-International Monetary Fund (IMF).

45

INTERNATIONAL ECONOMIC CO-OPERATION

East African Community (EAC)

42. In December 2010, the Summit of Heads of State from East African Community

met in Arusha and elected Burundi to be the Chair of the community for a period of

one year. The Heads of State directed the Council of Ministers to carefully identify

implementable priorities as per the existing budgetary constraints when preparing the

East African Development Strategy. Further, the Summit directed all Ministers of

Finance from member states to attend the pre-budget meeting for East African

Community.

43. In line with the protocol for establishing the East African Community Common

Market, the heads of State directed the Council of Ministers to finalize negotiations

for the establishment of the Common Market so as to have in place institutional

arrangement for facilitating its operation by 2011. With regard to the preparations of

the East African Community Monetary Union, the Summit directed member states to

fast track the process of attaining macroeconomic convergence, which is an important

criterion for establishing common currency.

44. Further, the EAC Council of Ministers was directed to find better way of fast-

tracking implementation of regional projects, particularly those of energy generation.

The Summit called for a long term energy master plan to the year 2050, which will

indicate type and quantity of energy that should be produced by each member in the

given timeframe.

45. Moreover, there has been incidence of piracy in the Indian Ocean that has

extended further to the territorial waters of some EAC member states. This situation

threatens peace and economic wellbeing of member states. Thus, the Heads of State

called for coordinated measures to address the threat at national, regional and

international levels.

Africa Union and Economic Commission for Africa

46. Despite impressive economic performance shown by African countries in the past

decade, unemployment remains high and rising. Thus, the Africa Union (AU) and the

Economic Commission for Africa (ECA) at their 3rd Annual Joint Meeting held in

March 2010 discussed means to achieve sustainable economic growth with the aim of

reducing unemployment in Africa. This is because, unemployment not only weaken

the efforts to reduce poverty, but also a basis for suppressing human resources,

widening income inequality and fuels social unrest in the African countries.

46

47. As a means to address the challenge, African countries were urged to create

employment opportunity, specifically for youth and other groups. Moreover,

countries were advised to have appropriate policy interventions to generate high-

employment economic growth that can fulfil the goal of reducing poverty.

48. Further, the meeting adopted Resolution No. 11 of ‗ensuring food security in

Africa within five years‘. The Resolution calls for African countries to have a set of

concrete measures in agricultural investment and ensure sufficient resources are

allocated in the budget in order to promote agricultural sector.

Joint Permanent Commission (JPC)

49. The Joint Permanent Commissions between Tanzania and friendly countries

sustained good relationship in 2010. Following the amicable relationship, the 4th

Meeting of JPC between Tanzania and Algeria was held in Dar es Salaam in June

2010. The meeting was beneficial to Tanzania because an agreement to cancel USD

144.14 million Tanzanian debts was signed, a debt that Tanzania owed Algeria since

1970s and 1980s. Also, negotiations on the agreement on the avoidance of double

taxation between the two countries are on-going.

50. Likewise, technical meetings between Tanzania and Brazil were held in June

2010, whereby a number of issues were discussed, including the provision of

concessional terms in settling USD 237.0 million of debt Tanzania owed Brazil.

51. Furthermore, continued cooperation between Tanzania and Mozambique enabled

the construction of Umoja Bridge that links the two countries and its inauguration

was done in May 2010. The Umoja Bridge is located about 300 kilometres from

Mtwara town. It is expected that, this bridge will enhance unity and cooperation

between Tanzania and Mozambique, it will also provide great support in reducing

poverty by improving investment, businesses, tourism, communication and other

economic activities in the border areas.

Southern Africa Development Community (SADC)

52. In 2010, the Southern Africa Development Community (SADC) participated in

a tripartite conference to discuss infrastructure investment in the three regional

communities, namely EAC, SADC and Common Market for Eastern and Southern

Africa (COMESA) in Nairobi, Kenya. The conference was a special opportunity for

47

SADC to showcase regional infrastructure projects to international donor community,

development partners, development finance institutions and private investors from

around the world. This conference was largely set in the context of SADC 2010

Investment Promotion Programme in which priorities were identified in the

infrastructure projects of transport corridors, water supply and sanitation, energy and

communication.

53. SADC continues to implement its programs with a view to enhance cooperation

and to fast track development. Some of those programs deal with the simplification of

immigration procedures to easy movement of citizens from one country to another.

Other programs relate to pharmaceuticals and control of communicable diseases;

establishment of HIV/AIDS Fund; and the establishment of Development Fund. Also,

SADC continues to implement joint programs in anti-money laundering, road

transport and ports, promotion of tourism, agriculture and food security and gender

development.

African Peer Review Mechanism (APRM)

54. In 2010, the country team of African Peer Review Mechanism continued with its

scheduled activities particularly in the areas of good governance, rule of law,

promotion of participatory democracy and protection of human rights especially to

vulnerable groups. The good governance report that was prepared in 2009 covering

areas mentioned above continued to be rationalized in line with the current political,

economic and social context, the work that will end in the financial year of 2010/11.

55. Moreover, a series of sensitization seminars on APRM process continued to be

undertaken through a wide participation of stakeholders. About 320 face to face

seminars were conducted in 2010. Similarly, about 6,600 fliers were distributed and

other means of communication were used for sensitization including radio, TV and

news papers.

World Economic Forum (WEF)

56. In 2010, the World Economic Forum was held in Dar es Salaam for three days

starting from 5th May 2010, to discuss challenges facing Africa Continent. The forum

involved more than 1,000 participants from over 85 countries including heads of

state, ministers, intellectuals, business people, among other delegates. The main

theme of the forum was ―Rethinking Africa‘s Growth Strategy‖ and the challenges

brought about by the recent economic crisis. Also, the forum looked on recent global

48

changes and identified opportunities that could unlock the continent‘s growth

potentials.

57. Moreover, the conference discussed challenges that higher education sector

experiences and its importance in economic development, whereby issues such as low

level of student registration and shortage of lecturers were noted.

49

CHAPTER 3

EXTERNAL SECTOR

INTRODUCTION

58. In 2010, the trend of goods and services exported was satisfactory

compared to 2009. The value of goods and services exported increased by 24.1

percent compared to a decrease of 7.7 percent in 2009. This was mainly

attributed to increase in non-traditional goods particularly gold. On the other

hand, the value of goods and services imported increased by 19.0 percent due

to the increase in commodity prices in the world market.

MERCHANDISE EXPORTS

59. The value of merchandise exports increased from USD 3,294.7 million in

2009 to USD 4,296.8 million in 2010, equivalent to an increase of 30.4

percent. Likewise, the value of traditional goods exports increased to USD

559.0 million in 2010 from USD 479.6 million in 2009, equivalent to an

increase of 16.5. The value of non-traditional goods exports increase to USD

3,177.3 million from USD 2,376.1 million in 2009, equivalent to an increase

of 33.7 percent. Traditional exports accounted for 13.1 percent of the overall

merchandise exports, non-traditional goods was 73.9 percent and unrecorded

trade was 13.0 percent. Gold continued to account for a large share of the

overall non-traditional goods exports.

Traditional exports

60. In 2010, the value of traditional exports increased to USD 559.0 million

from USD 479.6 million in 2009, equivalent to an increase of 16.5 percent.

This was attributed to increase in the volume and price of tobacco and

cashewnuts exported. Those crops accounted for 41.6 and 17.3 percent of all

traditional goods exported respectively. Likewise, in 2010 the average price

of coffee, cotton, tea, tobacco, cashewnuts and cloves increased compared to

2009. However, the value of exports of coffee, cotton, tea and cloves

decreased.

50

Coffee

61. The value of coffee exports decreased from USD 111.2 million in 2009 to

USD 101.7 million in 2010, equivalent to the decrease of 8.6 percent. This

was due to decrease in the volume of coffee exports. The volume of coffee

exports was 35,600 tons compared to 56,000 tons in 2009, equivalent to a

decrease of 36.4 percent. However, the average price of coffee in the world

market in 2010 increased to USD 2,852.4 per ton from USD 1,984.6 per ton in

2009.

Cotton

62. The value of cotton exports was decreased to USD 84.0 million in 2010

from 111.0 million in 2009, equivalent to a decrease of 24.3 percent. This was

due to decrease in the volume of cotton exports resulting from a decrease in

cotton production in the country. However, the average unit price of cotton in

the world market increased by 11.2 percent from an average of USD 1,116.7

per ton in 2009 to USD 1,241.8 per ton in 2010.

Tea

63. In 2010, the value of tea exports decreased to USD 36.4 million from USD

47.2 million in 2009, equivalent to a decrease of 22.8 percent. This was due to

decrease in the volume of tea exports resulting from a decrease in tea

production in the country. The volume of tea exports decreased to 18,700 tons

from 30,600 tons in 2009, equivalent to a decrease of 39.0 percent. Likewise,

the average unit price of tea in the world market increased from an average of

USD 1,538.7 per ton in 2009 to USD 1,948.9 per ton in 2010.

Tobacco

64. In 2010, the value of tobacco exports was USD 232.4 million compared to

USD 127.4 million in 2009, equivalent to an increase of 82.4 percent. This

was attributed to an increase in volume of tobacco exports from 33,800 tons in

2009 to 53,500 tons in 2010. In addition, the average unit price of tobacco in

the world market was USD 4,339.3 per ton in 2010 compared to USD 3,764.0

per ton in 2009, equivalent to an increase of 15.3 percent.

51

Cashewnuts

65. The value of cashewnuts exports increased to USD 96.9 million in 2010

from USD 68.6 million in 2009, equivalent to an increase of 41.3 percent. This

was due to increase in the volume of cashewnuts exports from 95,500 tons in

2009 to 125,000 tons in 2010. In addition, the average unit price of

cashewnuts in the world market increased by 7.9 percent from USD 718.2 per

ton in 2009 to USD 775.3 per ton in 2010.

Cloves

66. In 2010, the value of cloves exports decreased to USD 7.6 million from

USD 14.4 million in 2009, equivalent to a decrease of 47.0 percent. This was

caused by the decrease in the volume of cloves exports from 4,800 tons in

2009 to 2,200 tons in 2010. However, the average unit price of cloves in the

world market increased from USD 2,977.9 million per ton in 2009 to USD

3,449.6 million per ton in 2010, equivalent to an increase of 15.8 percent.

Non-Traditional Exports

67. The value of non-traditional exports increased to USD 3,177.8 million in

2010 from USD 2,376.2 million in 2009, equivalent to an increase of 33.7

percent. This was due to the increase in mineral exports, particularly gold.

Non-traditional exports accounted for 73.9 percent of the total merchandise

exports compared to 72.1 percent in 2009. The increase in value of non-

traditional exports was due to the increase in exports of manufactured goods

(90.3 percent), minerals (22.7 percent) and other goods (20.5 percent).

Minerals

68. In 2010, the value of mineral exports increased to USD 1,560.2 million

from USD 1,271.4 million in 2009, equivalent to an increase of 22.7 percent.

Gold accounted for 97.2 percent of all mineral exports. The value of gold

exports increased from USD 1,229.5 million in 2009 to USD 1,516.6 million

in 2010, equivalent to an increase of 23.4 percent. This was due to an increase

in the volume of gold exports and unit price of gold in the world market.

52

However, diamond exports decreased to USD 10.1 million in 2010 from USD

15.5 million in 2009, equivalent to a decrease of 34.8 percent. In addition, the

gold exports contributed 47.7 percent of all non-traditional goods.

Manufactured Goods

69. In 2010, the value of exports of manufactured goods increased to USD

963.9 million from USD 506.5 million in 2009, equivalent to an increase of

90.3 percent. This was mainly attributed to the increase in exports from cotton

and tobacco products. However, exports of sisal products decreased due to the

decrease in demand of that product in the world. Exports of manufactured

goods accounted for 30.3 percent of non-traditional goods in 2010, compared

to 21.3 percent in 2009.

Fish and Fish Products

70. In 2010, exports value of fish and fish products decreased to USD 141.0

million from USD 155.0 million in 2009, equivalent to a decrease of 9.0

percent. This was due to a decrease in demand of fish and fish products in the

world market.

Horticultural Products

71. The export value of horticultural products decreased by 6.6 percent from

USD 33.3 million in 2009 to USD 31.1 million in 2010.

Other goods exports

72. The export value of other goods was increased to USD 349.1 million in

2010 from USD 289.6 million in 2009, equivalent to an increase of 20.5

percent. In addition, the value of re-exports goods was USD 132.5 million in

2010 compared to USD 120.4 million in 2009. Likewise, the value of

unrecorded goods exports was USD 560.4 million in 2010.

53

Table 3.1: Value (fob), Volume and Prices of Goods Exports (2006-2010)

Goods exports 2006 2007 2008 2009r 2010p 2009-2010

(% change)

Traditional goods (US$ million)

Coffee

Value (US$ million) 61.4 98.1 99.1 111.2 101.7 -8.6

Volume (‗000 ton) 31.5 45.0 44.2 56.1 35.6 -36.4

Price (US$ per ton) 1,953.1 2,177.6 2,203.4 1,984.6 2,852.4 43.7

Cotton

Value (US$ million) 55.8 66.4 115.0 111.0 84.0 -24.3

Volume (‗000 ton) 55.0 59.1 91.4 99.4 67.6 -32.0

Price (US$ per ton) 1,014.2 1,123.8 1,257.8 1,116.7 1,241.8 11.2

Sisal

Value (US$ million) 6.1 8.8 3.3 - - -

Volume (‗000 ton) 8.0 9.5 2.7 - -

Price (US$ per ton) 766.7 928.4 1,251.4 - -

Tea

Value (US$ million) 31.0 28.7 40.8 47.2 36.4 -22.8

Volume (‗000 ton) 22.4 21.5 28.1 30.6 18.7 -389.0

Price (US$ per ton) 1,384.9 1,334.8 1,511.2 1,538.7 1,948.9 26.7

Tobacco

Value (US$ million) 65.2 87.8 176.4 127.4 232.4 82.4

Volume (‗000 ton) 25.0 37.9 35.6 33.8 53.5 58.2

Price (US$ per ton) 2,611.4 2,291.5 3,041.2 3,764.0 4,339.3 15.3

Cashewnuts

Value (US$ million) 39.4 25.6 40.2 68.6 96.9 41.3

Volume (‗000 ton) 66.3 41.3 55.0 95.5 125.0 30.9

Price (US$ per ton) 594.4 621.1 730.1 718.2 775.3 7.9

Cloves

Value (US$ million) 8.2 4.2 13.5 14.4 7.6 -47.0

Volume (‗000 ton) 2.4 1.4 3.8 4.8 2.2 -54.3

Price (US$ per ton) 3,346.2 2,968.3 3,577.5 2,977.9 3,449.6 15.8

Subtotal (Traditional

exports) 267.1 319.7 507.3 479.8 559.0 16.5

Non -Traditional Exports (US$ million)

Minerals 836.8 848.7 1,186.7 1,271.4 1,560.2 22.7

Gold 786.4 788.2 1,108.3 1,229.5 1,516.6 23.4

Diamond 22.2 26.0 20.3 15.5 10.1 -34.8

Other minerals 28.3 34.4 58.1 26.4 33.5 26.9

Manufactured goods 195.8 309.8 741.8 506.5 963.9 90.3

Fish and fish products 145.9 163.6 184.7 155.0 141.0 -9.0

Horticultural

products 15.4 19.1 45.7 33.3 31.1 -6.6

Re-exports 128.3 149.7 160.3 120.4 132.5 10.0

Other exports 154.0 213.7 285.5 289.6 349.1 20.5

Sub Total (Non

Traditional exports) 1,476.2 1,704.5 2604.7 2,376.1 3,177.3 33.7

Unrecorded Trade 174.3 202.4 347.8 438.9 560.4 27.7

GRAND TOTAL 1,917.6 2,226.6 3,459.8 3,294.9 4,297.2 30.4 Source: Bank of Tanzania, and Ministry of Finance

- Data not available

54

Service Receipts

73. In 2010, receipts from services increased to USD 2,091.5 million from

USD 1,854.6 million in 2009, equivalent to an increase of 12.8 percent. This

was due to the increase in receipts from transportation and tourism. Receipts

from transportation services increased by 33.2 percent from USD 334.4

million in 2009 to USD 445.5 million in 2010. Likewise, receipts from

tourism increased by 8.2 percent from USD 1,159.8 million in 2009 to USD

1,254.5 million in 2010. In addition, receipts from other services which

include fees in legal, accountancy, consultancy and research increased by 8.6

percent, from USD 360.4 million in 2009 to USD 391.5 in 2010. However,

receipts from communication services decreased by 19.6 percent in 2010.

MERCHANDISE IMPORTS

74. In 2010, the value of goods imported (f.o.b) increased to USD 7,125.1

million from USD 5,834.1 million in 2009, equivalent to an increase of 22.1

percent, compared to a decrease of 16.8 percent in 2009. This was due to an

increase in importation of intermediate goods particularly oil products and raw

materials.

Capital goods

75. In 2010, the import value of capital goods increased to USD 2,715.2

million from USD 2,539.2 million in 2009, equivalent to an increase of 6.9

percent. This was due to the increase in imports of transport and construction

equipment. The importation of transport equipments increased by 20.4 percent

from USD 748.5 million in 2009 to USD 901.1 million in 2010. Importation of

building and construction equipment increased by 9.4 percent from USD 558.2

million in 2009 to USD 610.6 million in 2010. However, the imports value of

plant and machinery decreased to USD 1,203.4 million in 2010 from USD

1,232.5 million in 2009, equivalent to a decrease of 2.4 percent.

Intermediate Goods

76. The import value of intermediate goods increased from USD 1,890.3

million in 2009 to USD 2,700.8 million in 2010, equivalent to an increase of

55

42.9 percent. This was due to the increase in the value of oil and industrial raw

material imports. The imports value of oil products was USD 1,983.8 million

in 2010 compared to USD 1,323.0 million in 2009, equivalent to an increase

of 49.9 percent. This increase was due to the rise in oil prices in the world

market as well as volume imported. Further, the imports value of industrial

raw materials increased to USD 602.0 million in 2010, compared to USD

472.1 million in 2009, equivalent to an increase of 27.5 percent. Furthermore,

fertilizer imports increased by 20.8 percent compared to a decrease of 36.7

percent in 2009.

Consumer Goods

77. In 2010, imports of consumer goods increased to USD 1,709.2 million

from USD 1,404.6 million in 2009, equivalent to an increase of 21.7 percent.

This was due to increase of imports of food and food stuffs, and other

consumer goods. The value of imports of food and food stuffs was reached to

USD 461.6 million in 2010 from USD 343.3 million in 2009, equivalent to an

increase of 34.5 percent. The increase in import value of food and food stuffs

was due to an increase in importation of cereal products particularly wheat.

Likewise, the imports of other consumer goods including pharmaceuticals,

plastic products and paper products increased by 17.5 percent from USD

1,061.3 million in 2009 to USD 1,247.5 million in 2010.

SERVICES PAYMENTS

78. In 2010, services payment increased to USD 1,849.6 million from USD

1,709.1 million in 2009, equivalent to an increase of 8.2 percent. This was due

to a rise in the costs of transportation services. Transport costs increased from

USD 604.9 million in 2009 to USD 716.1 million in 2010, equivalent to an

increase of 18.4 percent.

TRENDS IN SELECTED REGIONAL AND BILATERAL TRADE

79. Tanzania continued to maintain good trade relationship with different

countries in the world including countries from European, American, Asian,

and African continents. In 2010, the value of goods exported to countries from

56

European continent increased to USD 1,151.1 million from USD 909.0 million

in 2009, equivalent to an increase of 26.6 percent. This was due to the increase

in exports to Switzerland and European Union (EU) countries. The value of

goods exported to Switzerland increased by 46.7 percent to USD 685.9 million

in 2010 while exports to EU countries increased by 5.5 percent to USD 464.0

million in 2010. The value of goods imported from European countries

increased from USD 1,222.1 million in 2009 to USD 1,669.8 million in 2010,

equivalent to 36.6 percent increase. In addition, balance on merchandise trade

between Tanzania and European countries registered a deficit of USD 518.7

million in 2010 compared to a deficit of USD 313.1 million registered in 2009.

80. The value of goods exported to other East African Community (EAC)

countries increased by 70.6 percent from USD 263.8 million in 2009 to USD

450.0 million in 2010. This was mainly attributed to increased exports to

Kenya. The value of goods exported to Kenya increased by 67.6 percent to

USD 297.3 million in 2010. In addition, goods exports to Kenya accounted for

66.1 percent, Rwanda 12.2 percent, Burundi 11.3 percent and Uganda

contributed 10.4 percent of all goods exported to the Community. The value of

goods imported from the EAC countries decreased to USD 285.2 million in

2010 from USD 310.5 million in 2009, equivalent to a decrease of 8.2 percent.

Balance on merchandise trade between Tanzania and other EAC countries

registered a surplus of USD 164.8 million in 2010 compared to a deficit of

USD 46.7 million in 2009.

81. In 2010, the value of goods exported to Southern African Development

Community (SADC) member countries increased by 67.0 percent to USD

625.1 million from USD 374.2 million in 2009. This was mainly attributed to

increased exports to South Africa and Democratic Republic of Congo (DRC).

Out of the total exports, 66.7 percent went to South Africa and 21.9 percent to

DRC. The value of goods imported from SADC member countries increased

by 12.9 percent to USD 827.7 million in 2010 from USD 733.2 million in

2009. This was due to the increase in imports from South Africa, Swaziland,

Zambia and Mozambique. Balance on merchandise trade between Tanzania

57

and other SADC member countries registered a deficit of USD 202.6 million

in 2010 compared to a deficit of 417.8 million in 2009.

82. In 2010, the value of goods exported to all African countries increased to

USD 1,080.9 million from USD 638.6 million in 2009, equivalent to an

increase of 69.3 percent. This was due to the increase in exports to South

Africa, Kenya and DRC. In addition, the value of goods imported from Africa

increased by 6.6 percent from USD 1,044.0 million in 2009 to USD 1,112.9

million in 2010. This was due to the increased value of goods imported from

South Africa and Kenya. Balance on merchandise trade between Tanzania and

all African Countries registered a deficit of USD 32.0 million in 2010

compared to a deficit of USD 464.2 million in 2009.

83. In 2010, the value of goods exported to Asian Continent including China,

Japan, India, Hong Kong and United Arab Emirates increased by 29.0 percent

to USD 1,200.2 million from USD 930.3 million in 2009. This was attributed

to the increase in exports to China, India and Japan. Likewise, the value of

goods imported from Asian continent increased to USD 4,158.1 million in

2010 from USD 3,282.5 million in 2009, equivalent to an increase of 26.7

percent. Balance on merchandise trade between Tanzania and Asian countries

registered a deficit of USD 2,957.9 million in 2010 compared to a deficit of

USD 2,352.2 million in 2009.

84. In 2010, the value of goods exported to American Continent increased to

USD 51.0 million from USD 45.6 million in 2009, equivalent to an increase of

12.0 percent. This was due to the increase in exports to America. The value of

goods imported from America decreased by 1.4 percent to USD 259.0 million

in 2010 from USD 262.7 million in 2009. Moreover, the balance on

merchandise trade between Tanzania and American continent registered a

deficit of USD 208.0 million in 2010 compared to a deficit of USD 217.1

million registered in 2009.

58

Table 3.2: Balance of Trade between Tanzania and Regional Economic

Grouping (USD million)

Region/ Year 2003 2004 2005 2006 2007 2008 2009r 2010p

European Continent (210.5) 176.7 3.9 (77.8) (515.2) (567.0) (313.1) (518.7)

SADC (233.7) 213.4 (103.2) (284.8) (355.4) (510.2) (417.8) (202.6)

EAC (35.6) (42.3) (64.0) (56.7) 66.5 110.7 (46.7) 164.8

Asian Continent - - - - (1,582.0) (2,212.8) (2,352.2) (2,957.9)

American Continent - - - (174) (291.5) (313.7) (217.1) (208.0)

Source: Bank of Tanzania and Ministry of Finance

r = revised

p = provisional

59

Table 3.3: Tanzania Export by Country/Region of Destination (USD

million)

Source: Bank of Tanzania and Ministry of Finance r = revised

p = provisional

COUNTRY/ REGION 2005 2006 2007 2008r 2009r 2010p

2009-2010 (%

change)

European Union (EU) 359.7 334.1 346.7 461.9 440.0 464.0 5.5

Other European Countries 259.9 421.6 454.2 533.3 469.0 687.1 46.5

TOTAL-European Continent 619.6 755.7 800.9 995.2 909.0 1,151.1 26.6

SOUTHERN AFRICAN DEVELOPMENT COMMUNITY (SADC)

South Africa 275.4 268.9 176.1 232.5 170.9 416.8 143.9

Zambia 8.7 18.5 22.4 36.6 44.3 53.5 20.8

Swaziland 0.6 1.9 0.2 0.6 20.8 - -

Zimbabwe 1.6 1.2 0.7 1.2 5.7 - -

Mozambique 6.5 10.6 19.1 31.4 20.3 17.7 (12.8)

Democratic Republic of Congo 12.6 18.3 58.9 124.0 79.9 137.1 71.6

Other SADC countries 16.9 21.7 23.7 17.1 32.3 -

TOTAL- SADC 322.3 341.1 300.8 443.4 374.2 625.1 67.0

EAST AFRICAN COMMUNITY (EAC)

Burundi - - 41.5 19.5 23.6 51.0 16.1

Kenya 76.3 97.2 101.1 235.0 177.4 297.3 67.6

Rwanda - - 11.2 20.6 15.1 55.0 264.2

Uganda 20.1 20.5 19.3 40.5 47.7 46.8 (1.9)

TOTAL – EAC 96.4 117.7 173.1 315.5 263.8 450 70.6

Other African Countries 34.7 29.9 72.8 96.1 0.6 5.8 866.7

TOTAL –AFRICA 453.4 488.7 547.0 885.0 638.6 1,080.9 69.3

AMERICAN CONTINENT

America 16.5 20.7 34.2 55.1 39.5 46.5 17.7

Canada 39.2 6.0 2.3 3.8 6.1 4.6 (254.6)

Other American countries 3.7 1.1 6 5.4 - -

TOTAL- AMERICA 59.4 27.8 42.5 64.2 45.6 51.0 12.0

ASIA

China - - 141.3 223.5 363.9 634.2 74.3

India 63.2 63.8 77.3 171.8 183.8 218.5 18.9

Japan 68.7 82.0 57.1 136.9 164.7 209.7 27.3

United Arab Emirates 33.7 47.3 88.4 65.4 66.8 55.3 (17.2)

Hong Kong 9.6 7.6 14.1 13.4 85.6 12.6 (85.2)

Singapore 18.7 4.4 4.0 11.0 6.4 13.5 110.9

Other Asian Countries 133.8 123.1 65.1 52.4 59.1 56.4 (4.6)

TOTAL- ASIA 327.7 328.2 447.3 674.4 930.3 1,200.2 29.0

OTHER COUNTRIES 242.4 317.2 388.9 989.9 771.1 813.4 5.5

GRAND TOTAL 1,702.5 1,917.6 2,226.6 3,578.8 3,294.6 4,296.7 30.4

60

Table No.3.4: Tanzania Import by Country/Region of Origin (Value in

Million USD)

COUNTRY/ REGION 2006 2007 2008r 2009r 2010p

2009-2010

(%

Change)

European Union (EU) 744.4 1,061.6 1,280.8 1,076.6 1,111.4 3.2

Other European Country 74.7 181.7 153.8 145.5 558.4 283.8

TOTAL-European

Continent 819.1 1,243.3 1,434.6 1,222.1 1,669.8 36.6

SOUTHERN AFRICAN DEVELOPMENT COMMUNITY (SADC)

South Africa 569.6 585.8 791.0 672.8 745.5 10.8

Zimbabwe 1.3 1.8 27.6 0.6 1.1 83.3

Zambia 11.6 18.5 27.6 23.3 29.8 27.9

Mozambique 17.2 16.9 18.2 9.0 18.5 105.6

Democratic Republic of

Congo 0.2 0.6 19.6 1.2 1.1 (8.3)

Swaziland 16.8 20.1 76.5 26.3 31.7 20.5

Other SADC Countries 9.2 12.4 19.2 - - -

TOTAL –SADC 625.9 656.2 979.7 733.2 827.7 12.9

EAST AFRICAN COMMUNITY (EAC)

Burundi - 0.02 0.4 0.3 0.6 100

Kenya 169.1 100.1 197.9 298.3 265.9 (10.9)

Rwanda - 0.01 0.1 0.02 1.4 6900.0

Uganda 5.3 6.4 6.4 11.9 17.3 45.4

TOTAL –EAC 174.4 106.5 204.8 310.5 285.2 (8.2)

Other African Countries 62.9 60.2 71.9 0.3 0.03 (90.0)

TOTAL-AFRICA 863.2 822.8 1,256.4 1,044.0 1,112.9 6.6

AMERICAN CONTINENT

America 123.1 187.1 200.4 136.0 150.6 10.7

Canada 37.5 35.6 57.1 35.2 36.4 3.4

Other American Countries 41.2 111.2 120.3 91.4 72.0 (21.2)

TOTAL-AMERICA 201.8 333.9 377.9 262.6 259.0 (1.4)

ASIA

Japan 257.5 261.8 711.8 413.6 548.8 32.7

United Arab Emirates 500.6 773.6 859.7 618.8 649.3 4.9

China 309.4 406 711.8 678.1 846.8 24.9

India 241.3 507 891.2 757.3 864.6 14.1

Hong Kong - 11.8 18.1 30.7 23.3 (24.1)

Singapore 13.2 25.3 433.0 188.2 429.3 128.1

Other Asian Countries 653.3 475.1 398.4 595.8 721.3 21.1

TOTAL - ASIA 1,975.3 2460.6 4024.0 3,282.5 4083.4 24.4

OTHER COUNTRIES 4.7 0 80.5 22.9 0 -

GRAND TOTAL 3,864.1 4,860.6 7012.3 5,834.1 7,125.1 22.1 Source: Bank of Tanzania and Ministry of Finance r = revised

p = provisional

BALANCE OF PAYMENTS

Balance of Merchandise Trade

85. In 2010, the balance of merchandise trade registered a deficit of USD

2,828.3 million compared to a deficit of USD 2,539.3 million in 2009,

61

equivalent to an increase of 13.4 percent. The deficit was a result of high rate

of imports relative to exports.

Balance on Services

86. In 2010, balance on services registered a surplus of USD 242.0 million

compared to the surplus of USD 145.6 million in 2009, equivalent to an

increase of 66.2 percent. This was due to the increase in receipts from transit

trade and tourism, following the recovery of global economy.

Balance on Investments Receipts and Payments

87. In 2010, balance on investments receipts and payments which comprise of

compensation to employees, investment income and interest payments

increased by 27.6 percent to a deficit of USD 90.9 million from a deficit of

USD 71.2 million in 2009. This was due to the increase in the compensation of

non citizen employees.

Balance on Current Transfers

88. The balance on current transfers which comprise money transfers, grants

and debt relief recorded a surplus of USD 823.9 million in 2010 compared to

the surplus of USD 696.9 million in 2009. This was due to increase in

Development Partners‘ support to the Government from USD 658.4 million in

2009 to USD 798.1 million in 2010.

Balance on Current Accounts

89. In 2010, the balance on current account, which comprises balances on

merchandize trade, service, investments receipts and payments as well as

current transfers, registered a deficit of USD 2,677.2 million compared to a

deficit of USD 2,465.2 million in 2009, equivalent to an increase of 8.6

percent. The deficit was a result of increase in the rate of imports.

Balance on Capital Transfers

90. In 2010, the balance on capital transfers, that comprising investments

grants and debt cancellation from international financial institutions and

Development Partners increased by 25.1 percent to a surplus of 616.5 million

62

compared to the surplus of USD 492.8 million in 2009. The increase was

mainly attributed to the increase in investments grants to the Government.

Balance on Investment Payments

91. The balance on investment payments that comprise of Foreign Direct

Investments and foreign loans registered a surplus of USD 1,587.8 million in

2010 compared to a surplus of USD 1,328.2 million in 2009. The increase was

due to decrease in foreign resources owned by domestic commercial Banks

from USD 333.8 million in 2009 to USD 75.2 million in 2010.

Overall Balance of Payments

92. In 2010, the overall balance of payments had a surplus of USD 369.8

million, compared to a surplus of USD 366.2 million in 2009.

Foreign Currency Reserves

93. In 2010, foreign reserves increased to USD 3,948.0 million from USD

3,552.5 million in 2009, equivalent to an increase of 11.1 percent. The foreign

reserves for 2010 were equivalent to 5.3 months of imports of goods and non-

factor services compared to 5.7 months in 2009.

EXCHANGE RATE

94. In 2010, the average value of the Tanzanian Shilling was shilling 1,432.3

per USD, compared to an average of shilling 1, 320.0 per USD in 2009,

equivalent to a depreciation of 8.5 percent. However, this was lower when

compared to the depreciation of 10.4 percent in 2009. Depreciation of the

value of Tanzanian Shilling was due to the increase in demand for USD in the

country as well as appreciation of USD against other international currencies.

In addition, the value of USD as at end of December 2010 was, 1,453.5

shillings compared to 1,313.3 shillings as of end December 2009.

63


Type of Goods 2002 2003 2004 2005 2006 2007 2008 2009 2010

Exports 926892 1267322 1582111 1871265 2129250 2628866 3194929 3671935 5604496

Domestic Exports 853158 1178027 1437423 1726241 1967358 2413809 2992530 3568071 3921648

Re-exports 73734 89295 144688 148024 189374 215057 202399 103864 128913

Imports 1615037 2277176 2758953 3659962 5534418 7296763 8839274 8446721 11086891

Total Value of Foreign Trade 2541929 3544498 4341064 5534227 7691150 9925929 12034203 12118656 16691387

Balance of Merchandise Trade -688145 -1009854 -1176842 -1785697 -3377686 -4667897 -5644345.1 -4774785.4 -5482395

Exchange Rate (Shs/US$) 966.7 1,038.40 1,089.4 1,122.7 1,251.9 1,232.8 1,196.3 1,320.3 1,409.3Source: National Bureu of Statical, Bank of Tanzania and Tanzania Revenue Authority

VALUE OF TANZANIA'S FOREIGN TRADE

64

Table No. 18

CommodityChange(%) Change (%)

2006 2007 2008 2009 2010 2009/10 2006 2007 2008 2009 2010 2009/10

Coffee 38822 53685 46229 56079 35359 -37% 92794 143255 122162 147427 162310 10.1Cotton 46467 40743 54089 100361 74859 -25% 56780 49807 95613 146752 133087 -9.3Sisal 9984 7101 13786 8198 9041 10% 9296 7438 18453 28490 11774 -58.7Tea 24803 30506 26654 19191 44254 131% 41682 48258 49615 45552 65479 43.7Tobacco 37525 40743 45284 33839 69095 104% 129108 116893 208004 168057 178748 6.4Cashewnuts 59180 14841 60468 99313 132675 34% 62663 33816 82025 94413 173572 83.8Cloves 3033 3200 3805 4853 2566 -47% 9964 10628 15991 19453 11265 -42.1Diamonds (Carats) 201782 149592 132477 158838 367849 132% 28023 23381 20891 24988 12410 -50.3Gold (Gms.) 44449460 67334000 32319880 34600000 33560000 -3% 968026 672111 1115163 1420756 1336700 -5.9

Source: National Bureau of Statistics and Tanzania Revenue Authority

Value (Shs. milion)Quantity (Ton)

VOLUME AND VALUE OF DOMESTIC EXPORTS

65

Table No. 19

Change (%) Change (%)

Commodity 2004 2005 2006 2007 2008 2009 2010 2009/10 2006 2007 2008 2009 2010 2009/10

Traditional Commodities:

Coffee 38528 46100 38822 53685 44248 56079 35359 (37) 61.4 98.1 99.1 111.2 101.7 -8.5

Cotton 47334 112900 46467 40743 86995 100361 74859 (25) 55.8 66.4 115.8 111.0 84.0 -24.3

Sisal 11933 9300 9984 7101 2659 8198 9041 10 6.1 8.8 15.7 - -

Tea 21716 21800 24803 30506 25898 19191 44254 131 31.0 28.7 42.5 47.2 36.4 -22.9

Tobacco 29198 31100 37525 40743 35557 33839 69095 104 65.2 87.8 176.4 127.4 232.4 82.4

Cashewnuts 83192 62000 59180 14841 55011 99313 132675 34 39.4 25.6 44.3 68.6 96.9 41.3

Cloves 4363 3000 3033 3200 3774 4853 2566 (47) 8.2 4.2 13.5 14.4 7.6 -47.2

Sub-Total 267.1 319.6 507.3 479.8 559.0 16.5

Non-Traditional Commodities:

Petroleum Products 0.0 0.0 0.0 0.0 0.0

Minerals 836.8 848.7 1186.7 1271.4 1560.2 22.7

Manufactured Goods 195.8 309.8 741.8 506.5 963.9 90.3

Fish and Fish Products 145.9 163.6 184.7 155 141.0 -9.0

Horticultural products 15.4 19.1 45.7 33.3 31.1 -6.6

Re-exports 128.3 149.7 160.3 120.4 132.5 10.0

Other Exports 154 213.7 285.5 289.6 349.1 20.5

Sub-Total 1476.2 1704.6 2604.7 2376.2 3177.8 33.7

Unrecorded Goods 174.3 202.4 347.8 438.9 560.4 27.7

GRAND TOTAL 1917.6 2226.6 3459.8 3294.9 4297.2 30.4Source: National Bureau of Statistics and Bank of Tanzania

Value (mill.US$)Quantity (Ton)

VOLUME AND VALUE OF TRADITIONAL AND NON-TRADITIONAL EXPORTS

66

0

500

1000

1500

2000

2500

3000

3500

1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010

I: TRADITIONAL AND NON-TRADITIONAL EXPORTS (US$ Milion)

Traditional exports Non-traditional exports

67

0

20

40

60

80

100

120

1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010

IIB: COFFEE AND COTTON EXPORTS (Quantity - Tons '000)

Coffee Cotton

68

Coffee 3.0%

Cotton 2.4%

Sisal 0.0%

Tea 1.1%

Tobacco 6.8%

Cashewnuts 2.8%

Cloves 0.2%

Minerals 45.5%

Manufactured goods 28.1%

Others 10.2%

IIIA: PERCENTAGE CONTRIBUTION OF EXPORTS 2010

69

Coffee 4.4%

Cotton 4.4%

Sisal 0.0%

Tea 1.9%

Tobacco 5.0%

Cashewnuts 2.7%

Cloves 0.6%

Minerals 49.9%

Manufactured goods 19.9%

Others 11.4%

IIIB: PERCENTAGE CONTRIBUTION OF EXPORTS 2009

70

Table No. 20 Shs/Ton*

Change(%)

Commodity 2002 2003 2004 2005 2006 2007 2008 2009 2010 2009/10

Coffee 926,170.00 1,107,030.00 1,380,191.00 1,812,959.00 2,390,242.65 2,668,414.00 2,642,540.03 2,628,933.60 4,069,398.56 54.8

Cotton 811,982.00 1,051,900.00 1,147,061.00 1,126,467.00 1,221,942.45 1,222,475.00 1,767,694.20 1,462,235.92 1,775,007.57 21.4

Sisal 491,650.00 533,190.00 624,068.00 879,366.00 931,089.74 1,047,444.00 946,323.40 3,475,212.63 1,302,328.74 -62.5

Tea 1,166,030.00 1,233,010.00 1,495,671.00 1,322,780.00 1,680,522.52 1,581,921.00 1,861,434.85 2,373,682.87 2,501,896.79 5.4

Tobacco 1,993,530.00 2,101,200.00 2,109,220.00 2,938,727.00 3,440,586.28 2,869,021.00 4,593,309.31 4,966,396.20 2,586,995.98 -47.9

Cashewnuts 596,730.00 618,290.00 890,338.00 874,903.00 1,058,854.34 2,278,459.00 1,356,503.95 950,656.39 1,284,307.59 35.1

Cloves 3,117,980.00 1,901,360.00 2,524,410.00 3,210,533.00 3,285,196.18 3,321,160.00 4,202,786.10 4,008,131.49 4,390,289.55 9.5

Diamonds (Carats) 114,719.00 29,421.00 128,582.00 129,576.00 138,878.00 156,300.00 157,692.03 15,731.87 33,737.83 114.5

Gold (Gms.) 7,409.00 8,679.00 11,316.00 24,223.00 21,778.00 9,982.00 34,503.93 41,062.31 39,830.15 -3.0Source: Custom Department, Tanzania Revenue Authority

* Except for diamonds and gold, whose prices are quoted per carat and gram respectively

EXPORT PRICES OF PRINCIPAL COMMODITIES

71

Table No. 21 US$/Ton*

Change(%)Commodity 2002 2003 2004 2005 2006 2007 2008 2009 2010 2009/10

Coffee 970.00 1,080.00 1,284.78 1,611.71 1,931.89 2,164.58 2,203.36 1,991.16 3,317.61 66.6

Cotton 840.00 1,020.00 1,062.66 987.60 987.80 991.65 1,321.42 1,107.50 1,306.35 18.0

Sisal 510.00 520.00 578.23 784.95 751.20 849.67 1,251.37 2,632.14 924.09 -64.9

Tea 1,220.00 1,200.00 1,386.07 1,174.31 1,358.71 1,283.23 1,575.27 1,797.84 1,069.38 -40.5

Tobacco 2,090.00 2,050.00 2,078.91 2,598.07 2,779.48 2,327.31 3,041.22 3,761.57 1,869.70 -50.3

Cashewnuts 620.00 600.00 830.61 751.61 855.02 1,848.25 730.09 720.03 944.69 31.2

Cloves 3,260.00 1,850.00 2,337.84 2,833.33 2,637.65 2,694.07 3,577.52 3,035.77 3,173.01 4.5

Diamonds (Carats) 119.98 28.65 119.20 115.40 110.90 126.79 133.37 1,191.54 2,746.65 130.5

Gold (Gms.) 7.70 8.45 10.47 2.30 17.40 8.10 1.78 6.22 4.52 -27.4

Source: National Bureau of Statistics and Tanzania Revenue Authority

* Except for diamonds and gold, whose prices are quoted per carat and gram respectively

- Figures not available

EXPORT PRICES OF PRINCIPAL COMMODITIES

72

0

500

1000

1500

2000

2500

3000

3500

1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010

US

Dolla

rs

IIA: TREND OF COFFEE AND COTTON EXPORT PRICES (US$/Ton)

Coffee Cotton

73

Table No. 23 Shs. Million

Consumer Intermediate Capital

Goods Goods Goods

1986 8014 13058 18899 39971

1987 13180 23819 41948 78947

1988 29841 55284 43950 129075

1989 34779 60176 96804 191759

1990* 18783 116277 96223 231283

1991 62000 69710 139668 271378

1992 101641 94233 196791 392665

1993 194604 107481 229657 531742

1994 247076 128544 290638 666258

1995 201347 294224 275207 770778

1996 182340 267600 252501 702441

1997 301018 203418 198670 703106

1998 441025 155225 311244 907495

1999 503868 197271 360225 1061363

2000 401612 222399 444427 1068438

2001 468173 386317 648361 1502851

2002 499346 408872 697209 1605426

2003 654630 705729 846251 2206610

2004 917953 1024705 1029389 2972046

2005 934526 1447183 1337876 3719585

2006 1068323 1977275 1799472 4845070

2007 1399488 2479491 2195837 6074816

2008 1689789 3191039 3508181 8389009

2009 1854493 2495763 3352506 7702762

2010 2408494 3806237 3826531 10041262

Source: Bank of Tanzania

* Commencing 1990, the value of imports is quoted

at F.O.B. prices (previously quoted at C.I.F. prices)

Year Total

COMPOSITION OF IMPORTS

74

Table No. 24 US $ milion

2002 2003 2004 2005 2006 2007 2008 2009 2010

Actual Actual Actual Actual Actual Actual Actual ActualLikely

Outturn

Goods Balance -531.7 -717.4 -1009.7 -1321.8 -1946.5 -2634.0 -3433.5 -2539.5 -2828.3

Exports (fob) 979.6 1216.1 1473.1 1675.8 1917.6 2226.6 3578.8 3294.6 4296.8

Imports (fob) 1511.3 1933.5 2482.8 2997.6 3864.1 4860.6 7012.3 5834.1 7125.1

Service balance 287.6 222.1 158.9 61.8 278.8 462.0 349.9 145.5 241.9

Receipts 920.1 947.8 1133.6 1269.2 1528.1 1875.7 1998.8 1854.6 2091.5

Payments 632.5 725.7 974.7 1207.3 1249.3 1413.7 1648.9 1709.1 1849.6

Income -88.9 -149.1 -119.1 -104.1 -94.8 -123.1 -121.6 -71.2 -90.9

Receipts 67.9 87.1 81.8 80.9 80.3 107.3 122.7 161.1 164.6

Payments 156.8 236.2 200.9 185.0 175.1 230.4 244.3 232.3 255.5

Current transfers 431.3 556.9 586.7 496.4 588.7 652.0 609.8 696.9 823.8

Inflows 494.3 619.9 651.7 563.9 654.6 724.0 689.0 765.3 902.8

Government 427.7 553.3 582.0 478.5 559.7 626.9 588.5 658.4 798.1

Other Sectors 66.6 66.6 69.7 85.4 94.9 97.1 100.5 106.9 104.7

Outflows 63.0 63.0 65.0 67.5 65.9 71.9 79.1 68.4 79.0

CURRENT ACCOUNT 98.3 -87.5 -383.2 -867.6 -1173.8 -1643.1 -2595.4 -1768.3 -1853.5

Capital Transfers 785.7 692.8 460.0 393.2 5183.5 911.7 537.0 492.8 616.5

Inflows 785.7 692.8 460.0 393.2 5183.5 911.7 537.0 492.8 616.5

Outflows 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0

Financial Account 255.4 61.2 275.6 807.6 -4081.6 853.3 1621.0 1328.2 1587.8

Direct Investment 387.6 308.2 330.6 494.1 403.0 581.5 400.0 414.5 433.4

Portfolio Investment 2.2 2.7 2.4 2.5 2.6 2.8 2.9 3.0 3.2

Other Investment -134.4 -249.7 -57.4 311.0 -4487.3 269.0 1218.1 910.7 1151.2

Errors and Omissions -806.8 -277.4 -146.3 -555.4 532.6 282.7 585.4 313.4 18.8

OVERALL BALANCE 332.6 389.1 206.1 -222.2 460.8 404.6 148.0 366.1 369.7

Financing -332.6 -389.1 -206.1 222.2 -460.8 -404.6 -148.0 -366.1 -369.7


Starting 2006, exports includes unrecorded goods

BALANCE OF PAYMENTS

75

-4000.0

-3500.0

-3000.0

-2500.0

-2000.0

-1500.0

-1000.0

-500.0

0.0

500.0

1000.0

2002 2003 2004 2005 2006 2007 2008 2009 2010

TREND OF BALANCE OF PAYMENTS

GOODS BALANCE CURRENT ACCOUNT OVERALL BALANCE

76

CHAPTER 4

GOVERNMENT FINANCE

95. The budget implementation for 2010/11 was in line with the National

Development Vision 2025; National Strategy for Growth and Reduction of

Poverty (NSGRP); Millennium Development Goals (MDGs); National Debt

Strategy; public investment priorities as outlined in Plan and Budget

Guidelines for 2010/11 - 2012/13; and Joint Assistant Strategy for Tanzania

(JAST). Based on macroeconomic policy as well as the basis and objectives of

the budget for 2010/11, the Government estimated the resource envelope of

shilling 11,609,557 million consisting of domestic revenue, foreign grants and

loans and spend the amount for recurrent and development expenditure. Out of

this amount, shilling 6,003,590 million was estimated as domestic revenue;

shilling 172,582 million from Local Government Authorities (LGAs) own

sources; shilling 821,645 million from General Budget Support grants and

loans; shilling 2,452,908 million from project grants and loans, including

basket funds; shilling 1,331,212 million loans from domestic and foreign

sources; shilling 797,620 million for rollover; and shilling 30,000 million from

privatisation proceeds.

Domestic Revenue

96. During July 2010 – March 2011, domestic revenue including LGAs own

resources amounted to shilling 4,256.3 billion, equivalent to 92 percent,

compared to estimates of shilling 4,629.9 billion. Out of this amount, shilling

3,910.6 billion, equivalent to 91.9 percent of total revenue was from taxes,

shilling 227.4 billion equivalent to 5.3 percent of total revenue was from non-

taxes and shilling 118.2 equivalent to 2.8 percent was from LGAs own

sources. In addition, during that period, tax revenue was 93 percent of the

estimated shilling 4,216.1 billion while non tax revenue was 80 percent

compared to estimates of shilling 284.3 billion. This was caused by power

shortages, which has adverse effect on economic activities; hike in world oil

prices; piracy threats in the Indian Ocean; decrease in fish in the lakes and

77

oceans and illegal fishing. Despite the decline in revenue against targets, there

was an increase in domestic revenue collection by 21 percent compared to the

corresponding period in 2009/10, and average monthly collections increased

from shilling 390 billion in 2009/10 to shilling 473 billion in 2010/11.

Reforms in Tax Systems

97. In 2010, the Government continued to expand tax base and strengthen the

system of revenue collections so as to finance a larger share of the budget. In

addition, the Government continued to review legal and regulatory framework

governing tax exemptions with the view to reduce and control its

administration. Further, Tanzania Revenue Authority continued to implement

its Third Five Year Corporate Plan (2008/09 – 2012/13), which has been the

basis for increased domestic revenue collection. Furthermore, the Government

strengthened the collection and administration of non tax revenue with the aim

of increasing its contribution to GDP.

Grants and Loans

98. During the period of July 2010 – March 2011, the Government continued

to coordinate the implementation of Joint Assistant Strategy for Tanzania,

strengthening relationship with Development Partners and international

financial institutions in securing grants and concessional loans to complement

Government efforts in implementation of MKUKUTA, in line with the

Millennium Development Goals and the National Development Vision 2025.

A total of shilling. 845,748 million was realised from General Budget Support

(GBS) during July 2010 – March 2011, which is equivalent to 103 percent of

shilling 821,645 million budgeted. This was mainly due to the fluctuation of

Tanzanian shilling against currencies of other countries contributing to GBS

compared to initial projections.

99. Project grants and loans, including basket funds, amounted to shilling

1,427,604 million, which is 77 percent of estimates during July 2010 – March

2011. The shortfall was primarily due to delays in reporting of D-Funds as

well as untimely disbursements by some Development Partners.

78

100. The Government planned to borrow from domestic sources for financing

development expenditure, whereby up to March 2011 a total of shilling

1,107,471 million was realised. Out of this amount, shilling 607,621 million

was for rollover of maturing debts while shilling 499,850 million was utilised

in financing various infrastructure projects.

Non-Concessional Borrowing

101. In 2010/11, the Government planned to borrow USD 525 million from

non-concessional sources. As of March 2011, the Government had concluded

negotiations with HSBC Bank for a loan amounting to USD 192.7 million.

This loan will be used in procurement of two power generators for Dar es

Salaam and Mwanza. Out of that amount, USD 103 million is for power

project at Ubungo – Dar es Salaam. In addition, the Government had

discussions with the Standard Bank for loan amounting USD 250 and the

process of contracting that loan is ongoing. Likewise, discussions with other

financial institutions are in progress to secure the loan balance amounting to

USD 84 million consistent with the plan to raise USD 525 million from that

source.

Expenditure

102. During the period of July 2010 – March 2011, the Government continued

to align expenditure with resources. During that period, actual expenditure

amounted to shilling 7,169,336 million, equivalent to 90 percent of the

estimated shilling 8,009,917 million. Out of that amount, shilling 5,226,893

million was recurrent expenditure and shilling 1,942,443 million was

development expenditure.

103. Payment for salary and wages for Government employees during July

2010 – March 2011 amounted to shilling 1,749,096 million, equivalent to 79

percent of shilling 2,205,430 million budgeted in 2010/11. Out of this amount,

shilling 569,962 million was for Ministries, Independent Departments and

Agencies, shilling 52,928 million was for Regional Secretariats and shilling

79

1,126,206 million was for Local Government Authorities. In addition, shilling

443,987 million was paid as salaries for Government institutions.

104. During the period of July 2010 – March 2011, expenditure on other

charges for Ministries, Independent Departments and Agencies, Regional

Secretariats and LGAs reached shilling 1,955,278 million, equivalent to 89

percent of the estimate during that period. In addition, development

expenditure amounted to shilling 1,942,443 million consisting of locally

financed of shilling 514,839 million, equivalent to 52 percent of the estimated

shilling 1,000,537 million. Foreign financed development expenditure was

shilling 1,427,604 million, equivalent to 77 percent compared to the estimates

of shilling 1,839,681 million.

Sectoral Allocation of Government Budget

105. During 2010/11, the Government continued to allocate resources to

various sectors. For the 2010/11 budget, the Government allocated 6.0 percent

of total resources to finance expenditure in education sector compared to 5.7

percent in 2009/10. The budget for secondary education as well as higher

education continued to be the main contributors in the observed increase. The

health sector budget increased to 5.5 percent of budgeted resources for

2010/11 from 5.2 percent in 2009/10. This reflects Government‘s continued

efforts in financing health services.

106. Agriculture, forestry, fishing and hunting sector received 3.0 percent of

budgeted resources for 2010/11. The budget for agriculture increased by 4

percent compared to the allocation in 2009/10, whereby large increases was

contributed by allocation in agricultural activities. Likewise, the budget for

mining, industries and construction continued to receive 0.4 percent of total

resources in 2010/11 as it was in 2009/10. Notwithstanding the observed

trend, the budget for mining sector increased by 24 percent compared to that

of 2009/10. The budget for transport and communications sector indicated a

large increase, whereby 10.1 percent of total resources was allocated to the

sector compared to 8.9 percent allocated in 2009/10. Another sector which

80

indicated a large increase in allocation was other economic services, which

received 7.7 percent of total budget compared to 7.2 percent in 2009/10.

National Debt

107. As at December 2010, the national debt which comprises public debt and

private debt had reached USD 11,380.2 million, equivalent to an increase of

6.1 percent compared to the corresponding period of year 2009/10. Out of

which, USD 9,516.8 million was public debt and USD 1,863.4 was private

debt. The increase in debt stock was attributed to accumulation of arrears

particularly from non Paris club countries which have not yet provided the

relief in accordance to Paris Club terms. In addition, the new contracted loans

which attributed to the increase in the Government needs to finance

infrastructure development projects resulted to the growth of National Debt.

Likewise, out of USD 9,516 million which was public debt stock, USD

6,529.6 million was external debt and USD 2,986.9 million was domestic debt.

108. In implementing National Debt Strategy, the Government continued to

closely monitor its debt by contracting loans mainly through concessional

terms and analysing risks of contracting new loans. In addition, during the

period of July-December 2010, the Government carried out Debt

Sustainability Analysis which indicated that the national debt is sustainable in

accordance to international debt indicators benchmarks.

Table No. 4.1: Indicators for National Debt (Percentage)

Ratio

2010

2013

2015

2020

2030 Threshold

Present Value (PV) of

Debt to GDP 14.6 16.6 14.1 12.9 10.3 50


Debt to Exports 56.3 55.8 45.6 38.1 25 200


Debt to Revenue 85.05 88.2 73.3 63.5 45.1 300

Debt Service to

Exports 1.7 3.4 3.8 1.3 1.0 25

Debt Service to

Revenue 2.5 5.3 6.1 2.2 1.8 35


81

External Debt

109. In December 2010, external debt stock was USD 8,363 million compared

to USD 7,641.9 million at the end of December 2009, which is equivalent to

an increase of 9 percent. Out of USD 8,363 million, USD 7,699.6 million was

disbursed outstanding debt and USD 693.7 million was Interest arrears. The

increase in debt stock was attributed to accumulation of arrears particularly

from non Paris club countries which have not yet provided the relief in

accordance to Paris Club terms. In addition, out of external debt stock, USD

6,529.6 million was public debt and USD 1,863.4 was private debt. Analysis

of external debt by currency indicated that, large portion of debt was

dominated by US Dollar, Euro and Yen which account for 37, 28 and 11

percent respectively.

Figure No. 4.1: Disbursed Outstanding Debt by Currency at December 2010

External Debt Stock by Creditor Category

110. The analysis of external debt stock by creditor category showed that,

major creditors are multilateral organisations which accounted for 72 percent

of total external debt. Bilateral creditors accounted for 25 percent and other

creditors accounted for 3 percent of total external debt stock. The Government

has been borrowing from major multilateral organisations which do not have

stringent conditionalities.

Yuan 3%

GBP 8% Yen

11%

Euro 28%

USD 37%

Others 13%

82

Figure No. 4.2: External debt by Creditor Category as at December

2010

Domestic Debt Stock

111. As at December 2010, domestic debt stock was shilling 4,385.4 billion (or

USD 2,986.9 million) compared to shilling 3,837.7 billion in December 2009,

which is equivalent to an increase of 14.3 percent. This was due to the increase

in the Government needs to finance infrastructure development projects and

use of Treasury bills to mop up excess liquidity in the economy. Large share

of domestic debt emanated from Treasury bond which is equivalent to 61.1

percent, treasury bills 38.7 percent and other debts 0.2 percent.

112. The analysis of domestic debt by holder category indicated that

Commercial Banks were leading creditors holding larger proportional of the

total domestic debt. As at December 2010, commercial banks were holding

48.8 percent of the domestic debt. This was contributed by the expansion of

the banking sector and relatively low investment risk in Government securities

compared to the private sector. Bank of Tanzania ranked second holding 30.0

percent of domestic debt, the social security funds 20.7 percent, and

individuals and other entities holding 0.5 percent.

Multilaterals 72%

Bilaterals 25%

Commercial/ other

3%

83

Public Debt Service

113. During the period of July 2010 - March 2011, the Government spent

shilling 801,443 million in debt service payments. Out of which, shilling

71,193 million was for external debt service payments and shilling 730,250

was for domestic service payments. The principal payment of the external debt

was shilling 26,610 million, where as interest payment was shilling 44,583

million. In addition, out of shillings 730,250 million paid to service the

domestic debts, shilling 556,695 million was for matured government

securities on rollover terms and shilling 173,555 million was for interest

payment.

84

Table No. 25 Sh. milioni

2006/07 2007/08 2008/09 2009/10 2009/10 2010/11 2010/11

Actual Actual Actual Actual Budgeted

Actual to

March

Likely

Outturn June

A. DOMESTIC REVENUE (incl. Revenues from LGAs) 2739022 3634581 4293075 4661540 6176172 4256288 5726253

A. DOMESTIC REVENUE 2739022 3634581 4293075 4661540 6003590 4138082 5553671

1. Tax Revenue 2529439 3359250 4043674 4427834 5638593 3910654 5266169

Import Duty and Excise Duty 765644 965498 1130860 1214626 1520194 1056823 1451404

Value Added Tax (VAT) 861050 1110951 1333789 1488452 1991653 1275766 1737990

Imports 431614 550289 641392 729040 999329 664609 899989

Domestic 429436 560661 692397 759412 992324 611158 838002

Income Tax 790877 1028902 1257861 1388778 1702338 1255840 1634733

Other Taxes 218581 382792 462544 499497 620912 449725 615715

Refunds Accounts -106713 -128893 -141380 -163519 -196504 -127499 -173673

2. Non-Tax Revenue 209583 275331 249401 233707 364997 227427 287502

3. Revenues from LGAs 172582 118206 172582

B. TOTAL EXPENDITURE 4474680 5208996 6811827 8173749 10769612 7169336 9557706

1. Recurrent Expenditure 3137469 3398024 4681459 5562443 6950561 5226893 6316281

2. Development Expenditure 1337211 1810972 2130368 2611306 3819051 1942443 3241425

Local Funds 503291 567421 906023 1004530 1366143 514839 978425

Foreign Funds 833920 1243551 1224345 1606776 2452908 1427604 2263000

C. DEFICIT/SURPLUS (A-B) -1735658 -1574415 -2518752 -3512209 -4593440 -2913048 -3831453

D. FINANCING 1735660 1574415 2518752 3512209 4593440 2913048 3831453

1. External Sources 1689337 2302805 2201485 2784944 3963440 2246742 3484933

Grants 971547 1573195 1257283 1405288 2020907 1287187 2050677

Basket support 47331 200628 151370 194071 256219 207684 246150

Import Support/OGL Loans 266946 365038 331315 558320 189837 173806 201806

Project Loans 433203 209342 488795 695597 807590 604674 692300

Concensional loans 731212 0 342000

Amortization (foregn) -29690 -45399 -27278 -68331 -42326 -26610 -48000

2. Internal Sources 46323 -728390 317267 727265 630000 666306 346520

Non-Bank Borrowing 212475 -19795 1108 -24754 0 0 0

Bank Borrowing 25533 -316755 212567 593023 600000 760972 346520

Payment of arrears 714315 797620 556695 797620

Proceeds from privatisation 0 0 45000 9659 30000 0 0

Adjustment to Cash -60370 -78308 275298 595034 0 385461 0

Amortization (local) 0 -14648 0 -723776 -797620 -556695 -797620

Expenditure float -131315 -298884 -216706 -436236 0 -480127 0


TRENDS IN GOVERNMENT FINANCE

85

-6000000

-4000000

-2000000

0

2000000

4000000

6000000

8000000

10000000

12000000

TRENDS IN GOVERNMENT FINANCE

A. DOMESTIC REVENUE (incl. Revenues from LGAs) B. TOTAL EXPENDITURE C. DEFICIT/SURPLUS (A-B)

86

Table No. 26 Shs. mill

Recurrent Development Total Exp. Recurrent Development Total Exp. Recurrent Development Total Exp.

1.0 GENERAL PUBLIC SERVICES 1985848 516184 25221913 2895011 717801 3612812 3413018 973032 4386050

1.1 Executive and legislative organs, financial and fiscal affairs

external affairs other than foreign aid 1,811,197 432,437 19264490 2,695,305 613,601 3308906 3,153,243 830,220 3983463

1.2 Foreign economic aid 10,179 0 89445 6,826 0 6826 7,261 0 7261

1.3 Fundamental research affairs and services 19,727 5,495 1311092 21,751 14,586 36337 22,934 42,731 65665

1.4 General services 141,296 70,470 4426489 163,031 79,588 242619 171,509 84,756 256265

1.5 General public services n.e.c. 3,448 7,782 130397 8,098 10,026 18124 58,071 15,325 73396

2.0 DEFENCE AFFAIRS AND SERVICES 331524 55879 3840174 393868 33650 427518 459665 145304 604970

2.1Military and civil defence administration and operation

287,446 8,959 3,743,225 372,082 33,650 405,732 330,900 31,104 362,004

2.2 Foreign military aid 0 0 0 0 0 0 0 0 0

2.3

Defence-related applied research and experimental

development 242 46,920 47,162 360 0 360 213 114,200 114,413

2.4 Defence affairs n.e.c. 43,837 0 49,787 21,426 0 21,426 128,553 0 128,553

3.0 PUBLIC ORDER AND SAFETY 226497 35841 2158861 268311 63957 332267 329624 54987 384611

3.1 Police and fire protection 140,819 14,878 1,346,685 162,538 25,371 187,909 210,770 17,718 228,488

3.2 Law courts 49,298 8,812 413,046 52,882 18,433 71,315 57,114 7,661 64,775

3.3 Prison administration and operation 10,453 800 79,064 8,602 800 9,402 6,752 800 7,552

3.4 Public order and safety n.e.c. 25,927 11,350 320,065 44,289 19,353 63,642 54,988 28,809 83,796

4.0 EDUCATION AFFAIRS AND SERVICES 500915 105614 5286541 406638 135302 541939 552274 148316 700590

4.1 Pre-primary & primary education affairs & services 6,027 7,925 571,271 6,977 3,889 10,866 2,839 3,115 5,955

4.2 Secondary education affairs and services 145,276 26,879 1,138,879 2,306 550 2,856 1,732 14,680 16,412

4.3 Tertiary education affairs and services 302,705 45,570 2,968,629 338,445 113,112 451,557 483,532 113,213 596,745

4.4 Education services not definable by level 0 17,213 66,516 946 4,300 5,246 3,315 6,796 10,110

4.5 Subsidiary services to education 0 0 0 184 0 184 125 0 125

4.6 Education affairs and services n.e.c. 46,908 8,027 541,245 57,779 13,450 71,230 60,731 10,512 71,244

5.0 HEALTH AFFAIRS AND SERVICES 221093 187226 3728935 236500 255412 491912 246942 389483 636425

5.1 Hospitals affairs and services 34,573 146,037 1,291,535 36,466 190,201 226,667 31,005 304,103 335,108

5.2 Clinics, and medical, dental and paramedical practitioners179,284 40,939 2,079,907 191,027 64,873 255,900 202,287 84,880 287,167

5.3Public health affairs and services

0 250 160,519 0 338 338 0 500 500

5.4 Medicaments, protheses, medical equipment and

appliances or other prescribed health-related products 3,513 0 46,978 5,398 0 5,398 8,878 0 8,878

5.5 Applied research and experimental development related to

health and medical delivery system 0 0 0 0 0 0 0 0 0

5.6health affairs and services n.e.c.

3,723 0 149,995 3,610 0 3,610 4,772 0 4,772

6.0SOCIAL SECURITY AND WELFARE AFFAIRS AND

SERVICES 70275 7928 843817 99366 13633 112999 95068 9396 104464

6.1Social security affairs and services

1,966 290 57,616 1,800 590 2,390 1,494 738 2,231

6.2Welfare affairs and services

64,940 7,112 757,473 95,620 12,665 108,285 92,114 5,804 97,918

6.3Social security and welfare affairs n.e.c.

3,369 526 28,727 1,947 378 2,325 1,460 2,855 4,315

7.0HOUSING AND COMMUNITY AMENITY AFFAIRS AND

SERVICES 20337 144471 2315415 26179 215862 242040 32621 223760 256381

7.1 Housing and community development 5,620 586 254,945 8,143 607 8,750 7,615 477 8,092

7.2 Water supply affairs and services 7,032 140,988 1,875,636 8,763 205,889 214,652 8,868 204,410 213,278

7.3

Sanitary affairs and services including pollution abatement

and control 6,367 2,896 181,600 7,345 9,365 16,711 4,446 18,872 23,318

7.4 Street lightning affairs and services 0 0 0 0 0 0 0 0 0

7.5Housing and community amenity affairs and services n.e.c.

1,318 0 3,234 1,928 0 1,928 11,693 0 11,693

8.0RECREATIONAL, CULTURAL & RELIGIOUS AFFAIRS &

SERVICES 9715 7926 17641 13434 8939 22373 19996 9218 29214

8.1 Recreational, cultural and religious affairs and services9,715 7,926 17,641 13,434 8,939 22,373 19,996 9,218 29,214

This table continues on the next page

2009/102008/09

CLASSIFICATION OF CENTRAL GOVERNMENT EXPENDITURE BY PURPOSE

2010/11*

87

...Table No. 26 (continues)

Recurrent Development Total Exp. Recurrent Development Total Exp. Recurrent Development Total Exp.

9.0 FUEL AND ENERGY AFFAIRS AND SERVICES 33127 116822 149948 32801 153547 186348 36735 166453 203188

9.1 Fuel affairs and services 33,127 116,822 149,948 32,801 153,547 186,348 36,735 166,453 203,188

9.2 Electricity and other energy sources 0 0 0 0 0 0 0 0 0

9.3 Fuel and energy affairs and services n.e.c. 0 0 0 0 0 0 0 0 0

10.0AGRICULTURE, FORESTRY, FISHING AND HUNTING

AFFAIRS AND SERVICES 177264 80511 257775 178486 161972 340457 192951 160312 353263

10.1 Agriculture affairs and services 127,232 55,631 182,863 122,722 117,640 240,362 142,217 129,681 271,897

10.2 Forestry affairs and services 11,681 6,481 18,163 14,754 12,399 27,153 16,420 5,473 21,893

10.3 Fishing and Hunting affairs and services 17,116 8,648 25,764 19,888 17,999 37,887 20,764 13,309 34,073

10.4Agricultural research and experimental development n.e.c.

14,700 9,751 24,450 14,621 13,133 27,754 12,926 11,351 24,277

10.5Agriculture, forestry, fishing and hunting affairs and

services n.e.c. 6,535 0 6,535 6,501 800 7,301 624 498 1,122

11.0MINING, MINERAL ,MANUFACTURING AND

CONSTRUCTION AFFAIRS AND SERVICES 7450 3729 11179 18627 20295 38923 27208 19394 46602

11.1Mining and mineral resources affairs and services, other

than fuel 5,544 1,537 7,081 13,590 16,095 29,685 21,121 15,580 36,701

11.2 Manufacturing affairs and services 192 392 584 497 1,200 1,697 434 814 1,247

11.3 Construction affairs and services 1,715 1,800 3,514 4,540 3,000 7,540 5,653 3,000 8,653

11.4

Mining , mineral ,manufacturing & construction affairs &

services n.e.c. 0 0 0 0 0 0 0 0 0

12.0TRANSPORTATION AND COMMUNICATION AFFAIRS

AND SERVICES 219957 219191 439148 280063 567736 847800 303075 870961 1174037

12.1 Road transport affairs and services 166,065 210,883 376,948 552 0 552 3,021 0 3,021

12.2 Water transport affairs and services 0 0 0 0 0 0 0 0 0

12.3 Railway affairs and services 0 0 0 0 0 0 0 0 0

12.4 Air transport affairs and services 0 0 0 0 0 0 0 0 0

12.5Pipeline transport and other transport affairs and services

0 0 0 0 0 0 0 0 0

12.6 Transportation system affairs and services n.e.c. 40,914 3,850 44,764 257,226 539,668 796,894 280,240 854,967 1,135,206

12.7 Communication affairs and services 11,561 3,580 15,141 14,234 2,100 16,334 11,729 5,582 17,311

12.8

Transportation and communication affairs and services

n.e.c. 1,417 878 2,295 8,051 25,968 34,019 8,086 10,413 18,499

13.0 OTHER ECONOMIC AFFAIRS AND SERVICES 224295 219400 443695 244652 441795 686446 251750 638170 889921

13.1

Distribution trade affairs and services including storage and

warehouse; hotel and restaurant affairs and services 6,211 3,077 9,288 9,520 4,867 14,387 9,795 7,470 17,264

13.2 Tourism affairs and services 6,074 1,753 7,827 6,127 4,444 10,571 11,521 62 11,583

13.3 Multipurpose development project affairs and services 194,163 145,816 339,978 204,160 235,445 439,605 204,755 332,744 537,499

13.4

General economic & commercial affairs other than general

labour affairs 9,338 13,337 22,675 10,837 2,275 13,112 12,052 2,388 14,440

13.5 General labour affairs and services 3,048 2,934 5,981 4,693 5,010 9,704 4,986 778 5,765

13.6 Other economic affairs and services n.e.c. 5,461 52,484 57,945 9,314 189,753 199,067 8,642 294,728 303,370

14.0 OTHERS 788840 4211 793051 1613418 12051 1625469 1829578 10265 1839843

14.1 9.1 Public Debt 693,748 0 693,748 1,528,094 0 1,528,094 1,757,093 0 1,757,093

14.2 9.2 Financial and Capital Subscription 94,218 4,211 98,429 84,483 12,051 96,534 71,922 10,265 82,187

14.3 9.3 Pension and Gratuities 875 0 875 842 0 842 562 0 562

GRAND TOTAL 4,817,137 1,704,934 45,508,092 2,368,047 1,357,396 3,725,443 7,790,507 3,819,051 11,609,558


* Estimates

2009/10*2008/09* 2009/10*

88

CHAPTER 5

MONEY AND FINANCIAL INSTITUTIONS

Money Supply and Domestic Credit

114. In 2009/10, narrow money supply (M1) increased to shs. 4,134.7

billion from shs. 3,149.1 billion in 2008/09, equivalent to an increase of 31.3

percent. The broad money (M2) increased by 26.3 percent from shs. 5,772.5

billion in 2008/09 to shs. 7,288.1 billion in 2009/10. Likewise, extended broad

money supply (M3) increased to shs. 9,801.8 billion in 2009/10 from shs.

7,834.1 billion in 2008/09, equivalent to an increase of 25.1 percent. The

growth of money supply was attributed to an increase in net foreign assets of

commercial banks and the increase in Government borrowing during the

period under review.

115. By the end of December 2010, broad money supply (M2) grew by 21.8

percent, slightly higher than the target of 20.7 percent during the period.

Similarly, extended broad money supply (M3) grew by 25.3 percent compared

to the target of 23.5 percent. This trend was due to the increase in foreign

currency deposits and appreciation of the US Dollar against Tanzanian

shilling.

116. Domestic credit increased from shs. 4,771.7 billion in 2008/09 to shs.

6,124.1 billion in 2009/10, equivalent to an increase of 28.3 percent. By the

end of December 2010, domestic credit increased to shs. 6,798.5 billion,

equivalent to a growth of 32.8 percent as compared to shs. 5,120.2 billion

recorded in December 2009. This was a result of an increase in credit to the

private sector.

Commercial Banks’ Credit to Various Economic Activities

117. By December 2010, commercial banks‘ credit extended to private sector

was shs. 6,029.4 billion compared to shs. 4,805.8 billion as of end December

2009, equivalent to an increase of 25.5 percent. The increase was above the

target of 19.2 percent during that period owing to enhanced confidence by

89

commercial banks lending to the private sector following the global economic

recovery. Credits were directed to various economic activities such as:

personal loans (23.1 percent); business activities (17.6 percent); manufacturing

(13.6 percent); agriculture (12.3 percent); and transportation and

communication (9.0 percent).

118. In 2010, the value of Government securities issued was shs. 3,124.3

billion compared to shs. 2,746.5 billion in 2009, equivalent to an increase of

13.8 percent. Likewise, the value of treasury bonds issued in 2010 was shs.

714.0 billion compared to shs. 392.1 billion in 2009, equivalent to an increase

of 82.1 percent. The large increase in treasury bonds issued in 2010 was due to

increased credit demand by the Government for financing infrastructures

projects.

Deposits in Commercial Banks

119. In 2010, deposits in commercial banks increased to shs. 9,748.7 billion

from shs. 7,852.7 billion in 2009, equivalent to an increase of 24.1 percent.

Out of these, private sector contributed shs. 9,049.5 billion, equivalent to 92.8

percent of the total deposits; while the remaining percent was the contribution

from the Central Government. The increase was due to improvement of bank

services and introduction of new bank products. In addition, the ratio of

foreign currency deposits to total deposits increased to 30.0 percent from 27.5

percent in 2009. The increase was due to appreciation of US Dollar against

other major currencies.

Trends in Interest Rates

120. The overall lending rate of commercial banks declined to 13.45 percent

in December 2010 from 14.38 percent December 2009. The average lending

rate on short-term loans (up to one year) decreased from 13.96 percent in

December 2009 to 12.40 percent December 2010. Likewise, the overall time

deposit rate declined from 6.36 percent in December 2009 to 5.11 percent

December 2010. Similarly, the average time deposit rate (12 months)

decreased to 7.09 percent in December 2010 from 8.99 December 2009. Due

90

to this trend, the interest rates spread (up to one year) broadened from 4.97

December 2009 to 5.31 percent in December 2010.

Parastatal Pension Fund (PPF)

121. In 2010, members of Parastatal Pension Fund increased to 160,068 from

132,878 members in 2009, equivalent to an increase of 20.5 percent. The

increase was attributed to continued efforts by the Fund to register new

members from the private sector. Collections from members increased to shs.

146,943.6 million in 2010 from shs. 126,963.5 million in 2009, equivalent to

an increase of 15.7 percent. In addition, the Fund paid members benefits worth

shs. 63,527.8 million compared to shs. 47,191.25 million in 2009, equivalent

to an increase of 34.6 percent. Benefits to members increased due to: an

increase in minimum pensionable rate from shs. 21,000 to shs. 50,000 per

month; pension increment to retired workers and increase in retired members

by age and others by terminating their jobs.

122. The assets value of the Fund in 2010 increased by 17.1 percent to shs.

731,421.7 million from shs. 624,850 million in 2009. Likewise, the Fund‘s

investments in Government securities increased from shs. 86,875.4 million in

2009 to shs. 117,100.95 million in 2010, equivalent to an increase of 34.8

percent. However, income from investment decreased by 10.5 percent from

shs. 67,079.3 million in 2009 to shs. 60,047.8 million in 2010. This was a

result of global financial crisis which affected interest rates structure of

commercial banks, Government securities and new investments.

Public Service Pension Fund (PSPF)

123. In 2009/10, members of Public Service Pension Fund were 298,046

compared to 285,329 in 2008/09, equivalent to an increase of 4.6 percent. The

Fund‘s collection from investments decreased to shs. 400,164.4 million in

2009/10 from shs. 408,836.5 million in 2008/09, equivalent to a decrease of

2.1 percent. However, during that period, returns from investment income

increased to shs. 63.6 billion from shs. 56.2 billion in 2008/09, equivalent to

an increase of 13.2 percent. Up to June 2010, the value of the Fund was shs.

91

732,111 million compared to shs. 715,825.43 million in June 2009, equivalent

to an increase of 2.3 percent.

124. In 2009/10, benefits paid to members increased to shs. 274.3 billion

from shs. 142.4 billion in 2008/09, equivalent to an increase of 92.6 percent.

This was attributed to the enhancement of civil servants salaries, leading to

increased benefits paid to members and increase in number of retired workers.

125. In 2009/10, investment in Government securities decreased to shs.

7,584 million from shs. 141,516 million in 2008/09, equivalent to a decrease

of 94.6 percent. This was due to a decrease in returns from interest rate paid in

Government securities.

National Social Security Fund (NSSF)

126. In 2009/10, National Social Security Fund registered 506,218 members

compared to 475,993 members registered in 2008/09, equivalent to an increase

of 6.35 percent. Contribution from members amounted to shs. 295,787.14

million in 2009/10 compared to shs. 253,343.47 million collected in 2008/09,

equivalent to an increase of 16.8 percent. This increase was due to the

registration of 89,255 new members and timely submission of member‘s

contribution by 1,755 new employers.

127. In 2009/10, benefits paid to members amounted to shs. 111,651.15

million compared to shs. 84,638.22 million in 2008/09, equivalent to an

increase of 31.9 percent. However, members who benefited from the Fund

decreased to 138,999 in 2009/10 from 207,860 members in 2008/09.

128. Total value of investment increased from shs. 847,486.6 million in

2008/09 to shs. 1,029,206.2 million in 2009/10, equivalent to an increase of

21.4 percent. Likewise, the value of investment in Government securities

increased from shs. 158,838.5 million in 2008/09 to shs. 185,316.8 million in

2009/10, equivalent to an increase of 16.7 percent. Further, the total

investment income increased to shs. 73,920.0 million in 2009/10 from shs.

45,606.0 million in 2008/09, equivalent to an increase of 62.1 percent. The

increase was attributed to the increase in various activities in capital

92

investments such as real estate, long term loan, fixed deposits and Government

securities.

129. The value of net assets of the Fund increased to shs. 1,129,179.9

million in 2009/10 compared to shs. 921,192.8 million in 2008/09. In addition,

the value of the total asset amounted to shs. 1,198,201.0 million in 2009/10

compared to shs. 969,835.0 million in 2008/09, equivalent to an increase of

23.6 percent.

Government Employees Provident Fund (GEPF)

130. In 2009/10, members of Government Employees Provident Fund

increased to 35,279 from 30,227 members in 2008/09, equivalent to an

increase of 16.7 percent. In addition, the benefits offered to the members

increased from shs. 1,575.7 million in 2008/09 to shs. 3,323.7 million in

2009/10, equivalent to an increase of 110.9 percent.

131. The total value of Funds‘ investments increased from shs. 64,935.8

million in 2008/09 to shs. 81,673.5 million in 2009/10, equivalent to an increase

of 25.8 percent. In addition, income earned from those investments increased to

shs. 7,693.6 million in 2009/10 from shs. 5,475.1 million in 2008/09, equivalent

to an increase of 40.0 percent.

Table No. 5.1: GEPF Investments Portfolio Structure (Shs. Millions)

Type of

Investment 2005/06 2006/07 2007/08 2008/09 2009/10

%

Change

Treasury Bills 9,082.73 12,365.55 11,845.49 14,556.60 2,099.94 -85.6%

Treasury

Bonds 7,183.13 10,974.80 16,727.45 21,787.89 31,230.34 43.3%

Government

Stocks 78.35 78.35 4.40 4.40 4.41 0.2%

Fixed Deposits 4,915.00 10,030.00 15,790.00 20,040.00 37,864.90 88.9%

Equity/shares 941.14 2,077.63 2,314.96 3,320.94 3,320.94 0.0%

Corporate

Bonds 1,000.00 1,000.00 800.00 1,600.00 1,400.00 -12.5%

Loans - 2,000.00 2,000.00 4,100.00 105.0%

UTT 1,000.00 799.99 799.99 799.99 799.99 0.0%

Real Estate - - - 826.00 853.00 3.3%

Total 24,200.35 37,326.32 50,282.29 64,935.82 81,673.52 25.8%

Source: Government Employees Provident Fund

93

Table No. 5.2: Income from Investments 2005/06 – 2009/2010 (Shs.

Millions)

Portfolio 2005/06 2006/07 2007/08 2008/09 2009/10

%

Change

Treasury Bills 968.70 994.41 1,702.55 1,064.88 812.30 -23.7%

Treasury Bonds 519.20 890.81 1,510.25 2,233.26 3,454.94 54.7%

Government Stocks 13.70 13.70 15.42 1.28 1.28

Fixed deposits 437.50 717.49 1,337.17 1,591.56 2,525.21 58.7%

Dividends/C. Gain 68.70 119.76 177.23 171.96 296.75 72.6%

Corporate Bond 127.00 126.65 120.98 95.26 226.47 137.7%

UTT - 233.47 - - -

Loan Interest - - - 311.50 376.67 20.9%

Rent - - - 5.40 - -

Total 2,134.80 3,096.29 4,863.60 5,475.10 7,693.62 40.5%

Source: Government Employees Provident Fund

National Health Insurance Fund (NHIF)

132. The number of members of the National Health Insurance Fund

increased to 373,326 in 2009/10 compared to 332,650 members in 2008/09,

equivalent to an increase of 12.2 percent. This was due to an increase in new

Government employees and amendment of the NHIF Act which incorporated

other groups like students, religious and councils. Similarly, contribution from

members increased from shs. 79,388.5 million in 2008/09 to shs. 96,618.8

million in 2009/10, equivalent to an increase of 21.7 percent. These

contributions were due to increase in salaries of Government employees as

well as members of the Fund.

133. By June 2010, the Fund registered 5,576 health facilities, compared to

4,493 in June 2009. Out of those, 4,652 facilities equivalent to 83.4 percent are

Government owned; 658 facilities equivalent to 11.8 percent are faith based

owned; and 266 facilities equivalent to 4.8 percent are privately owned.

134. In 2010, the Fund continued to offer several benefits such as:

consultation and registration fees; out-patient care services; in-patient care

services; surgical services and diagnostic tests. The Fund also provided dental

94

services; and optical services including eye reflection test and provision of

reading glasses.

135. In 2009/10, the Fund paid benefits worth shs. 25,154.1 million out of

the claimed amount of shs. 27,825.3 million, compared to shs. 16,359.0

million paid in 2008/09 out of the claimed amount of shs. 17,781.6 million,

equivalent to an increase of 53.8 percent of the paid amount. This was a result

of increase in number of members who use NHIF identity cards.

136. In 2009/10, investment income increased to shs. 17,115.7 million from

shs. 16,359.0 million in 2008/09, equivalent to an increase of 4.6 percent. Income

from other sources decreased from shs. 274.5 million in 2008/09 to shs. 205.6

million in 2009/10, equivalent to a decrease of 25.1 percent.

Local Authorities Pensions Fund (LAPF)

137. In 2009/10, members of Local Authorities Pension Fund increased to

73,833 from 66,394 in 2008/09, equivalent to an increase of 11.2 percent. The

Fund collection from members was shs. 54,235.9 million in 2009/10 compared

to shs. 47,048.5 million collected in 2008/09, equivalent to an increase of 16.8

percent. This was attributed to increase in the registration of new members.

Similarly, benefits paid to members in 2009/10 amounted shs. 22,507.9

million compared to shs. 14,892.4 million in 2008/09, equivalent to an

increase of 51.1 percent. Further, in 2010, the Fund introduced two new

benefits namely maternity benefits and funeral grants, hence making a total of

six benefits offered by the Fund.

138. Total value of investment increased from shs. 209,698.4 million in

2008/09 to shs. 265,567.2 million in 2009/10, equivalent to an increase of 26.6

percent. The value of investments in Government securities increased from

shs. 104,767.6 million in 2008/09 to shs. 133,487.0 million in 2009/10,

equivalent to an increase of 27.4 percent.

139. In 2009/10, total investment income increased to shs. 26,648.9 million

from shs. 20,911.7 million in 2008/09, equivalent to an increase of 27.4

95

percent. This was a result of increase in investments in equity, corporate

bonds, real estate, long term loans and Government securities. Similarly, the

value of net assets of the Fund was shs. 361,959.4 million in 2009/10

compared to shs. 271,478.8 million in 2008/09, equivalent to an increase of

33.3 percent.

Tanzania Insurance Regulatory Authority (TIRA)

140. In 2010, total registered insurance companies were 25 compared to 24

companies in 2009. Out of those, 19 companies were registered to provide

general insurance services only, 2 companies provides life insurance services

only and 4 companies provides general insurance and life insurance services.

In addition, the overall insurance market earnings in 2010 grew by 18.4

percent to shs. 283.2 billion compared to shs. 231.2 billion in 2009. General

insurance services accounted for 89.3 percent of those market earnings while

life insurance services contributed 10.7 percent.

Table No. 5.3: Insurance Market Performance 2006 – 2010

2006 2007 2008 2009 2010

General Insurance

(Shs. Millions) 105,268 135,891 164,497 209,559 252,947

Growth% 16% 22.5% 17.4% 21.5% 17.2%

Overall Contribution

(%) 91.3% 88.2% 86.2% 90.6% 89.3%

Life Insurance (Shs.

Millions) 10,014 18,149 26,338 21,678 30,273

Growth % 9.0% 44.8% 31.1% -21.5% 28.4%

Overall Contribution

(%) 8.7% 11.8% 13.8% 9.4% 10.7%

Total Earnings (Shs.

Millions) 115,282 154,040 190,835 231,237 283,220

Growth % 15.1% 25.2% 19.3% 17.5% 18.4%

Source: Tanzania Insurance Regulatory Authority

141. Total assets value of insurance companies in 2010 increased to shs.

369.2 billion from shs. 320.6 billion in 2009, equivalent to an increase of 13.2

percent. On the other hand, total liabilities of insurance companies increased

to shs. 248.2 billion in 2010 compared to shs. 219.0 billion in 2009.

96

Table No. 5.4: Assets Value and Liabilities of Insurance Companies 2006 - 2010

Assets and Liabilities 2006 2007 2008 2009 2010

Total Assets (Shs.

Millions) 183,717 212,458 289,456 320,611 369,187

Growth (%) 28.00 13.53 26.60 9.72 13.16

Total Liabilities (Shs.

Millions) 111,367 133,081 202,238 219,022 248,223

Growth (%) 12.00 16.32 34.20 7.66 11.76

Balance (Shs.

Millions) 72,350 79,377 87,218 101,589 120,960

Growth (%) - 8.85 8.99 14.15 16.02

Source: Tanzania Insurance Regulatory Authority

Dar es Salaam Stock Exchange (DSE)

142. In 2010, market capitalization at Dar es Salaam Stock Exchange

decreased to shs. 4,895.5 billion from shs. 5,013.2 billion in 2009, equivalent

to a decrease of 2.4 percent. The decrease was due to falling price of NMB,

CRDB and Kenya Airways securities. However, during the period ending

December 2010, a total of 190.4 million shares worth shs. 35.99 billion were

traded in DSE compared to 121.1 million shares worth shs. 48.7 billion in

December 2009, equivalent to a decrease of 26.1 percent in value of traded

shares and 57.3 percent of total traded shares. Nevertheless, in the similar

period, the stock market price index decreased from 1,239.93 in 2009 to

1,163.89 in 2010, equivalent to a decrease of 6.1 percent.

143. The value of listed Government bonds in 2010 at the DSE was shs.

1,615.79 billion compared to shs. 966.41 billion in 2009, equivalent to an

increase of 67.2 percent. Nevertheless, the value of traded treasury bonds in

Dar es Salaam Stock Exchange increased to shs. 205.8 billion in 2010 from

shs. 139.4 billion in 2009, equivalent to an increase of 47.6 percent. This was

a result of an increased awareness as well as motivation to the public

regarding stock exchange markets, securities and investments. Likewise, in

2009/10, profits from trading activities of DSE increased to shs. 196.8 million

from shs. 133.4 million in 2008/09, equivalent to an increase of 47.5 percent.

97

Table No. 5.5: Stock Exchange Market Performance in 2010

Market Criteria 2009 2010

%

Change

Total shares offered in the

Market 6,981,012,160 6,981,012,160 0.0%

Value of traded shares (Shs.

Billion)

48,698.98 35,986.31 -26.1%

Value of all listed shares (Shs.

Billion)

5,013.17 4,895.47 -2.3%

Number of traded shares 121,065,172 190,387,510 57.3%

Number of deals 21,149 11,336 -46.4%

All share Index 1,239.9256 1,163.891 -6.1%

Tanzania Postal Bank

144. In 2010, the number of new customers who joined the Bank were

57,505 which made the total of 582,774 customers compared to 525,269

customers in 2009, equivalent to an increase of 10.9 percent. Similarly,

customers‘ deposits held by Tanzania Postal Bank increased to shs. 107,797

million from shs. 88,331 million in 2009, equivalent to an increase of 22.0

percent. This was due to deposits increase strategy of the bank including

market expansion campaigns as well as improved services provision by using

ATMs.

145. In 2010, the Bank continued to invest its assets in other commercial

banks; Stocks and Government stocks; and private bonds. Up to December

2010, value of investments increased to shs. 112,464 million compared to shs.

86,572 million in December 2009, equivalent to an increase of 29.9 percent.

Investments in treasury bonds increased to shs. 25,229 million in 2010 from

shs. 21,229 million in 2009, equivalent to an increase of 19.8 percent. Total

value of loans issued was shs. 64,790 million in 2010 compared to shs. 37,069

million in 2009, equivalent to an increase of 74.8 percent. However, the

number of credit borrowers increased from 27,899 to 30,564 borrowers during

98

that period. The distribution of loans shows that large share were consumer

loans (90.7 percent) as depicted in the table below.

Table No. 5.6. Tanzania Postal Bank Loans Distribution (Shilling Million)

Type of Loans 2009 2010

Contributions

(%)

Business loans 2,325.0 4,244.0 6.6

Consumer loans 33,204.0 58,757.0 90.7

Micro loans 1,143.0 1,534.0 2.4

Government

Empowerment loans 397.0 255.0 0.4

Total 37,069.0 64,790.0 100.0

Source: Tanzania Postal Bank

146. In 2010, the gross income of the Bank from interests and other sources

were shs. 20,122 million compared to shs. 17,887 million in 2009, equivalent

to an increase of 12.5 percent. The increase was a result of credits growth

created by the Bank. Similarly, Bank‘s profit before tax increased to shs. 955

million from shs. 897 million in 2009, equivalent to an increase of 6.5 percent.

99

Table No. 27

2002 2003 2004 2005 2006 2007 2008 2009 2010 Amount %

Base Money (M0)* 429384 473704 590441 734912 853959 1047221 2079537 2678959 3369300 690341 25.8%

Narrow Money (M1) 815576 981148 1186063 1528833 1810429 2170664 2829944 3149153 4134700 985547 31.3%

Time and Saving Deposits 517948 577636 670263 837675 1226999 1480065 2000773 2623306 3153400 530094 20.2%

Broad Money (M2) 1333524 1558784 1856326 2366508 3037428 3650728 4830716 5772458 7288100 1515642 26.3%

Foreign Currency Deposits 464366 647109 746609 899976 1368687 1666476 1781555 2061636 2513800 452164 21.9%

Extended Broad Money (M3) 1797890 2205893 2602935 3266484 4406115 5317204 6612271 7834095 9801900 1967805 25.1%

Net Foreign Assets 1293645 1871286 2134183 2279294 2914493 3383818 3628827 4196787 5265500 1068713 25.5%

Net Domestic Assets 750102 334607 468752 987131 1491622 1936424 2983319 3669241 4536400 867159 23.6%

Net Domestic Credit 684920 858203 1123588 1504012 2439087 2785793 3384781 4771737 6124100 1352363 28.3%

Net Claims on Government 202879 199679 157607 284638 729393 449793 -151058 61509 721300 659791 1072.7%

Net Claims on non-government sector 482041 658524 965981 1219374 1709694 2336000 3535839 4710228 5402800 692572 14.7%

Net other items 65181 -523596 -654836 -516881 -947466 -849369 -401462 -1102495 -1587700 -485205 44.0%

* Currency in circultion outside banks


MONETARY SURVEY - TANZANIA MAINLAND

Change 2009-2010Shs. million

For the period ended June

100

Table No. 28

2002 2003 2004 2005 2006 2007 2008 2009 2010

Base Money (M0)* 14.5% 10.3% 24.6% 24.5% 16.2% 22.6% 98.6% 28.8% 25.8%

Narrow Money (M1) 18.0% 20.3% 20.9% 28.9% 18.4% 19.9% 67.7% 21.0% 31.3%

Time and Saving Deposits 27.0% 11.5% 16.0% 25.0% 46.5% 20.6% 35.2% 31.1% 20.2%

Broad Money (M2) 21.3% 16.9% 19.1% 27.5% 28.4% 20.2% 52.9% 24.7% 26.3%

Foreign Currency Deposits 24.2% 39.4% 15.4% 20.5% 52.1% 21.8% 6.9% 17.5% 21.9%

Extended Broad Money (M3) 22.1% 22.7% 18.0% 25.5% 34.9% 20.7% 38.5% 22.9% 25.1%

Net Foreign Assets 29.2% 44.7% 14.0% 6.8% 27.9% 16.1% 7.2% 15.7% 25.5%

Net Domestic Assets 59.1% -55.4% 40.1% 110.6% 51.1% 29.8% 54.1% 23.0% 23.6%

Net Domestic Credit 5.8% 25.3% 30.9% 33.9% 62.2% 14.2% 21.5% 41.0% 28.3%

Net Claims on Government -24.6% -1.6% -21.1% 80.6% 156.3% -38.3% -133.6% -140.7% 1072.7%

Net Claims on non-government sector 27.4% 36.6% 46.7% 26.2% 40.2% 36.6% 51.4% 33.2% 14.7%

Other items net -137.1% -903.3% 25.1% -21.1% 83.3% -10.4% -52.7% 174.6% 44.0%

* Currency in circulation outside banks

GROWTH OF MONEY SUPPLY AND DOMESTIC CREDIT - TANZANIA MAINLAND



Table No. 29

2000/01 2001/02 2002/03 2003/04 2004/05 2005/06 2006/07 2007/08 2008/09 2009/10

Shs/US Dollar, end of period 888.0 946.9 1047.4 1107.3 1126.3 1258.5 1268.3 1180.9 1299.4 1379.4Shs/US Dollar, average for the year 830.5 931.2 1003.4 1089.4 1122.7 1182.9 1267.2 1183.8 1313.5 1331.5Nominal change, end of year (%) 4.1% 12.1% 7.8% 8.6% 3.1% 5.4% 7.1% -6.6% 11.0% 1.4%


TRENDS OF EXCHANGE RATES OF THE TANZANIA SHILLING AGAINST THE US DOLLAR

101

Table No. 30

2007 2008 2009 2010

Public Sector 0.0 0.0 0.0 0.0 - -

Agricultural production 298,419.8 515,936.0 467,097.1 741,288.7 58.7 53.2

Fishing 18,180.1 17,227.6 15,660.1 35,363.7 125.8 2.5

Forest 6,800.2 7,183.3 18,058.5 19,219.9 6.4 1.4

Hunting 4,323.0 242.3 56.2 122.3 117.8 0.0

Financial intermediaries 92,269.3 122,001.1 105,843.7 123,314.9 16.5 8.9

Mining and Quarrying 41,480.8 37,727.8 18,926.3 44,545.4 135.4 3.2

Manufacturing 559,422.8 612,670.6 565,775.5 819,315.0 44.8 58.8

Building and Construction 104,102.5 142,992.8 148,713.4 192,777.8 29.6 13.8

Real estate 49,137.9 76,446.0 101,055.8 240,162.2 137.7 17.2

Leasing 890.5 11,906.3 3,438.7 13,031.4 279.0 0.9

Transport and Communication 208,556.8 320,600.6 457,407.2 543,724.5 18.9 39.0

Trade 511,317.6 737,105.8 926,626.3 1,060,807.5 14.5 76.1

Tourism 15,903.4 29,165.5 27,097.6 43,935.7 62.1 3.2

Hotels and Restaurants 112,782.0 150,978.4 187,204.6 297,162.0 58.7 21.3

Warehouses and Preservation 16,202.1 4,020.3 5,061.4 148.1 -97.1 0.0

Electricity 117,059.9 183,487.0 193,609.6 153,626.0 -20.7 11.0

Gas 12,466.0 20,938.2 37,097.1 135,680.9 265.7 9.7

Water 1,453.8 2,035.7 2,193.8 2,235.4 1.9 0.2

Education 33,309.1 42,927.7 70,921.5 70,849.7 -0.1 5.1

Health 10,310.2 21,713.3 20,847.6 12,692.6 -39.1 0.9

Other Services 253,069.7 390,654.2 369,979.3 86,207.3 -76.7 6.2

Personal 508,818.3 928,510.5 1,063,142.9 1,393,170.7 31.0 100.0

Total 2,976,276.0 4,376,471.1 4,805,814.0 6,029,381.9 25.5 432.8

Government Securities 1,211,837.0 1,049,237.6 1,127,500.0 1,429,403.7 26.8


Type of ActivityFor the period endend December (Shs. Million)

Growth (%)Contribution

(%)

COMMERCIAL BANKS LENDING BY ECONOMIC ACTIVITIES

102


2005 2006 2007 2008 2009 2010 Amount %

Demand Deposits 793920 942660 1125533 1556902 1721150 2454300 733150 42.6

Time and Saving Deposits 508964 691508 864118 2000252 2622901 3153400 530499 20.2

Foreign Currency Deposits 899976 1353523 1666479 1780934 2037101 2513800 476699 23.4

Total 2202860.7 2987691.0 3656129.8 5338087.3 6381151.9 8121500.0 1740348 27.3

Change 2009/10

Type of Deposit

TREND OF COMMERCIAL BANKS DEPOSITS


Table No. 32

End

2002 2003 2004 2005 2006 2007 2008 2009 2010 Dec. 2010

Discount rate 9.4 10.60 12.60 13.92 13.40 21.42 12.84 10.31 7.58 7.58

Deposit Rates

Savings Deposits 3.5 2.50 2.40 2.62 2.50 2.63 2.79 2.69 2.82 2.41

Fixed Deposits 4 3.50 4.30 4.41 6.60 7.69 6.66 6.77 5.88 5.11

Lending Rates

Short-term 14.8 16.40 15.70 16.06 15.80 13.95 13.93 14.57 13.92 12.4

Long and Medium term 16.8 13.50 14.10 15.38 14.53 15.68 16.64 15.23 14.73 12.48

Treasury Bills Rate

91 days 4.1 6.10 7.70 8.12 7.80 12.62 5.76 5.56 2.89 5.24

182 days 4.2 5.80 8.00 9.43 8.50 16.74 7.63 7.86 2.59 6.20

364 days 4.9 5.90 8.20 10.51 9.60 18.39 10.00 9.11 6.08 7.67Source: Bank of Tazania

AVERAGE NOMINAL INTEREST RATE

Type


103

CHAPTER 6

HUMAN RESOURCES

Population and Development

147. The population of Tanzania in 2010 was estimated at 43,187,823. Out

of those, 21,935,400 were females, equivalent to 50.8 percent, while

21,252,423, equivalent to 49.2 percent were males. Tanzania mainland had an

estimated population of 41,914,311, equivalent to 97.1 percent of the total

population, while Tanzania Zanzibar had an estimated population of

1,273,512, equivalent to 2.9 percent of the total population. The population

distribution showed that 31,809,808 people, equivalent to 73.7 percent of the

total population live in rural areas, while 11,378,015 people equivalent to 26.3

percent live in urban areas. These estimates based on the population growth

rate of 2.9 percent per annum of the Population and Housing Census of 2002.

148. The analysis of population of Tanzania in 2010 indicates that 44.4

percent of the total population compose of young people aged below 15 years.

The population aged below five years were 7,798,254, equivalent to 18.1

percent of the total population. Out of them, 3,932,089 were males and

females were 3,866,165. The population aged 5-14 years was 11,366,854,

equivalent to 26.3 percent of the total population. Out of them, 5,700,541 were

males and females were 5,666,403. Population aged 15–24 years was

estimated at 8,580,351, equivalent to 19.9 percent of the total population. Out

of them, 4,279,696 were females and 4,300,655 were males. Population aged

25–64 years was estimated at 14,080,929, equivalent to 32.6 percent of the

total population. The population aged between 15 – 64 years, which constitute

the active labour force population, was estimated at 22,661,280, equivalent to

52.5 percent of the total population. Out of them, 11,684,533 were females

and 10,976,747 were males. Population aged 65 years and above was

1,361,435, equivalent to 3.2 percent of the total population, in which 718,299

were females and 643,136 were males.

104

Table No. 6.1: Population Distribution by Age Group

Age Males Females Total Percent

< 5 3,932,089 3,866,165 7,798,254 18.1%

5 – 14 5,700,451 5,666,403 11,366,854 26.3%

15 - 24 4,300,655 4,279,696 8,580,351 19.9%

25 - 64 6,676,092 7,404,837 14,080,929 32.6%

65+ 643,136 718,299 1,361,435 3.2%

Grand Total 21,252,423 21,935,400 43,187,823

15 - 64 10,976,747 11,684,533 22,661,280 52.5%


149. According to 2010 population estimates, Tanzania population density

was 49 people per square kilometre. Population density in Tanzania Mainland

and Tanzania Zanzibar was 47 people and 518 people per square kilometre,

respectively. The population distribution shows that the region with the

highest population density was Dar es Salaam with 2,238 people per square

kilometre, followed by Mwanza with 181, Kilimanjaro with 123, and Mara

with 84 people per square kilometre. The region with the lowest population

density was Lindi, with 14 people per square kilometre followed by Ruvuma

and Rukwa regions with 22 people per square kilometre each. In Tanzania

Zanzibar, all regions had a higher population density, ranging from 132 to

2,101 people per square kilometre.

150. In 2010, the regional population distribution shows that Shinyanga

continued to have higher population of 3,841,788 equivalent to 8.9 percent of

the total population, followed by Mwanza 3,566,263 (8.3 percent) and Dar es

Salaam 3,118,132 (7.2 percent). The higher population in Shinyanga was

mainly due to high fertility rate of 7.3 children per woman. In 2010, Lindi

region had a population of 923,607 people which was the lowest population in

Tanzania Mainland. In Tanzania Zanzibar, the region with highest population

was Mjini Magharibi (483,205), while the lowest population was Kusini

Unguja (112,612). The lowest population in Lindi and Kusini Unguja regions

was caused by emigration to other regions.

105

151. In 2010, live births estimated at 1,678,325, while deaths were

estimated at 573,213. The crude birth rate was estimated at 38.1 children per

1,000 people, while the mortality rate was estimated at 13.5 per 1,000 people.

The total fertility rate in Tanzania was estimated at 5.4 children per woman.

The infant mortality rate was estimated at 51.0 per 1,000 live births, while

under-five mortality rate was estimated at 81.0 per 1,000 live births.

Labour Force and Employment

152. According to the Integrated Labour Force Survey (ILFS) of 2006,

active labour force was estimated at 18.8 million people, whereby 9.7 million

were females and 9.0 million were males. The Survey also revealed that 16.6

million people were employed and 2.2 million were unemployed, equivalent to

11.7 percent of the total labour force in the country. Out of the employed, 8.5

million were females and 8.0 million were males. The unemployed males were

967,847 and females were 1,226,545. Nevertheless, according to the

Population and Housing Census of 2002, active labour force population (15 –

64 years) was projected at 22,661,280 people in 2010. Agriculture sector

remained the leading employer, whereby more than 70 percent of the people

employed were engaged in agriculture.

153. In 2010, Tanzania Employment Services Agency (TaESA) provided

employment services to 6,645 customers. Out of them, males were 4,398,

equivalent to 66.2 percent and females were 2,247, equivalent to 33.8 percent.

Moreover, the Agency provided services to job seekers by improving their

curriculum vitae and enhances their entrepreneur skills. TaESA also conducted

trainings on job search and interviews techniques, labour market information

and advice on issues relating to employment services. Likewise, in ensuring

the standards and quality of employment services provision in Tanzania,

TaESA managed to register 14 private agencies and recognized other 20

agencies.

106

Table No. 33

Region 2005 2006 2007 2008 2009* 2010**

Dodoma 1,786,073 1,896,786 1,951,071 2,004,544 2,058,630 2,111,764

Arusha 1,427,904 1,475,489 1,522,975 1,570,394 1,617,728 1,664,780

Kilimanjaro 1,435,847 1,503,014 1,535,975 1,569,212 1,602,530 1,635,870

Tanga 1,716,271 1,753,284 1,837,661 1,880,389 1,923,468 1,966,908

Morogoro 1,881,113 1,929,087 1,975,160 2,021,713 2,068,426 2,115,275

Pwani 944,145 968,637 991,586 1,014,968 1,038,654 1,062,574

Dar es Salaam 2,799,241 2,801,675 2,881,548 2,961,150 3,040,118 3,118,132

Lindi 816,815 851,764 869,522 887,434 905,480 923,607

Mtwara 1,176,112 1,220,248 1,246,089 1,271,912 1,297,751 1,323,568

Ruvuma 1,192,680 1,235,161 1,268,738 1,303,330 1,338,800 1,375,017

Iringa 1,553,392 1,617,696 1,649,200 1,679,828 1,709,225 1,737,382

Mbeya 2,201,206 2,346,388 2,423,635 2,502,258 2,581,792 2,662,156

Singida 1,150,367 1,222,810 1,258,545 1,294,584 1,330,931 1,367,481

Tabora 1,887,507 2,004,115 2,086,048 2,170,926 2,258,664 2,349,374

Rukwa 1,251,697 1,302,278 1,349,579 1,398,866 1,450,118 1,503,184

Kigoma 1,910,592 1,970,750 1,601,020 1,669,078 1,740,111 1,814,158

Shinyanga 3,060,176 3,277,784 3,411,023 3,549,342 3,692,941 3,841,787

Kagera 2,206,814 2,210,217 2,293,093 2,379,637 2,469,904 2,563,870

Mwanza 3,196,714 3,168,904 3,265,729 3,364,378 3,464,566 3,566,263

Mara 1,461,270 1,572,068 1,631,031 1,692,449 1,756,442 1,822,866

Manyara 1,141,376 1,198,051 1,241,994 1,288,280 1,337,015 1,388,295

Tanzania Mainland 36,197,312 37,526,206 38,291,222 39,474,672 40,683,294 41,914,311

Kaskazini Unguja 146,221 155,066 160,175 165,544 171,150 177,095

Kusini Unguja 99,678 103,191 105,456 107,811 110,183 112,612

Mjini Magharibi 441,446 461,759 447,716 459,502 471,341 483,205

Kaskazini Pemba 196,221 216,174 224,951 234,142 243,759 253,999

Kusini Pemba 186,651 207,348 216,479 226,055 236,072 246,601

Zanzibar 1,070,217 1,143,538 1,154,777 1,193,054 1,232,505 1,273,512

Tanzania 37,267,529 38,669,744 39,445,999 40,667,726 41,915,799 43,187,823

Source: Ministry Finance and Economic Affairs

* Data from the Population Census 2002

** Projections based on the Population Census - 2002

REGIONAL DISTRIBUTION OF TANZANIA POPULATION (2005-2010)

108

CHAPTER 7

PRIVATE SECTOR DEVELOPMENT

Investment in the Country

154. In 2010, a total of 509 projects worth shilling 7,092,618.68 million

with employment potential of 43,640 were registered compared to 572

projects worth shilling 2,970,730.1 million with 56,615 employment

opportunities in 2009. Out of the total registered projects, 438 were new while

71 projects were for rehabilitation and expansion. By ownership category, 242

projects were owned by domestic investors, 160 projects by foreign investors

while the remaining 139 projects were joint ventures.

155. In 2010, the manufacturing sector attracted the largest number of

investors with 183 projects worth shilling 705,299.14 million with

employment potentials of 14,327 people was registered. Investment

distribution in other sectors was as follows: Tourism sector 103 projects,

worth shilling 417,083.94 million with employment potential of 5,452;

Commercial buildings 92 projects, worth shilling 1,925,186.06 million with

employment potential of 5,078; Transport sector 62 projects, worth shilling

436,513.14 million with employment potential of 7,197; Agriculture 23

projects, worth shilling 663,710.60 million with employment potential of

5,169; Human resources 8 projects, worth shilling 6,076.6 million with 412

employment potential; Services 19 projects, worth shilling 213,127.60 million

with 4,717 employment potentials; Financial institutions 4 projects, worth

2,294.6 million with employment potential of 86; Economic infrastructure 1

project, worth shilling 6,076.00 million with 22 employment potential;

Communication 5 projects, worth shilling 260,008.00 million with

employment potential of 529; Broadcasting 4 projects, worth shilling

158,886.00 million with 463 employment potentials ; Computer 1 project,

worth shilling 1,218.60 million with 43 employment potential and the Natural

resources sector 1 project, worth shilling 4,494.00 with 100 employment

potential.

109

The Regional Distribution of Projects

156. In 2010, Dar es Salaam was the largest recipient of investments

projects with 321 registered projects followed by Arusha with 55 registered

projects. In other regions the investment level was as follows: Coast 28;

Mwanza 20; Tanga 12; Morogoro 11; Iringa 9; Kilimanjaro, Mbeya and

Dodoma 6 projects each; Mara 5 projects, Shinyanga, Mtwara, Ruvuma and

Lindi 4 projects each; Kigoma, Kagera and Manyara 3 projects each; Tabora

and Singida 2 projects each and Rukwa which registered one project.

157. In 2010, a total of 11,098 applications were handled by Tanzania

Investment Centres (TIC) compared to 12,703 applications in 2009. The

description of various applications at TIC has been shown in table No. 7.1.

Table No. 7.1: Services Provided by Tanzania Investment Centre.

Source: Tanzania Investment Centre

158. In 2010, the value of Foreign Direct Investment was estimated to be

USD 573.3 million, compared to USD 558.4 million in 2009, equivalent to an


Service 2009 2010

Immigration: Grade A 327 276

Grade B 2,578 2,386

Employment 3,473 3,284

Company Registration 104 49

Business Licences 62 75

Land 2,191 1,677

Tax 3,968 3,351

Total 12,703 11,098

110

Table No. 7.2: Foreign Direct Investment 1995 - 2010 Year Value of FDI (In USD million)

1995 150.9

1996 148.6

1997 157.8

1998 172.2

1999 516.7

2000 463.4

2001 467.2

2002 387.6

2003 308.2

2004 330.6

2005 447.6

2006 616.6

2007 653.4

2008 744.0

2009 558.4

2010 573.3* Source: Bank of Tanzania

*Estimates

The Improvement of Business Environment

159. In 2010, the government approved Public Private Partnership Act and

the National Public Private Partnership Policy. The objective of the new Act

and Policy is to put in place the excellent legal framework to evaluate the

involvement of private sector in project investments, and in partnership with

the Public sector. Similarly, the Government through a number of reform

programs such as Legal Sector Reform Program (LSRP), Public Sector

Reform (PSRP), Public Finance Management Reform Program (PFMRP),

Local Government Sector Reform (LGRP), and Business Environment

Strengthening for Tanzania (BEST) maintained her efforts to lessen

bureaucratic inconveniences as a way of economizing the time for doing

business. On the other hand, Tanzania was ranked 131st on ease of doing

business out of 183 countries according to the World Bank report compared to

the 127th

position in 2009.

160. In 2010, the Government officially approved the implementation of a

program for Improvement of Enabling Environment for Investment and

Business. The program has identified key responsibilities to be implemented

in consonance with 10 indicators. These indicators are: Starting a Business,

111

Closing a Business, Dealing with Construction Permits, Registering Property,

Employing workers, Paying Taxes, Trading across Borders, Getting Credit,

Enforcing Contracts and Protecting Investors. Through this initiative, a

number of successes have been identified such as: simplifying the verification

of the business name via the BRELA website (www.brela-tz.org) without

writing a letter as it used to be; the availability of a sample of ‗Memorandum

and Article of Association’ online to help minimize business registration costs;

and the commencement of business registration in consonance with “One Stop

Centre‖ dictum.

161. In improving the transport business environment, in 2010 the

Government ratified an agreement to improve the transport system project in

trunk roads. The objective of this agreement is to identify and trim down the

permanent road blocks. Currently, an initiative to remove the temporary road

blocks while preserving permanent blocks in weigh bridge stations has been

done from Dar es Salaam to Rusumo where a total of 15 road blocks will

remain unchanged.

ECONOMIC EMPOWERMENT

Mwananchi Empowerment Fund

162. As of end-December 2010, the government through Mwananchi

Empowerment Fund extended soft loans amounting to shillings 4.6 billion to

entrepreneurs compared to shillings 3.4 billion in 2009, equivalent to an

increase of 35.3 percent. The loans were extended to 30 Savings and Credit

Cooperatives (SACCOS) in Mtwara, Lindi, Manyara, Singida and Rukwa

regions. Such loans enabled the entrepreneurs to acquire farm implements

such as power tillers and thus expand their production units as well as

improving their income. As of end - December 2010, a total of shillings 4.3

billion had been repaid, equivalent to 94 percent of the borrowed amount.

http://www.brela-tz.org/

112

Access to Credit

163. Implementation of the Economic Empowerment and Employment

Creation Program continued in 2010 through CRDB and NMB banks and 12

other accredited financial institutions. In 2010, loans amounting to shillings

47.14 billion were extended to 72,197 entrepreneurs. Out of these, 45,858

were men, equivalent to 64 percent while 26,339 were women equivalent to 36

percent. As of end December 2010, a total of shillings 36.1 billion equivalent

to 76.6 percent of the borrowed amount had been repaid.

164. In 2010, the government through Small Entrepreneurs Loan Facility

(SELF) project extended loans worth shillings 8.7 billion. Loan repayment

during the same period totalled shillings 6.1 billion, equivalent to 70.1 percent

of the borrowed amount. Beneficiaries of this Facility were 8,631 low income

earners in urban and rural areas, out of which 5,092 were women, equivalent

to 59 percent while 3,539 were men equivalent to 41 percent.

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Agriculture and Livestock 1 0 4 2 1 2 1 0 0 0 0 0 0 0 0 2 6 1 0 1 23

Natural Resources 0 0 0 0 0 0 0 0 0 0 0 0 0 0 1 0 0 0 0 0 1

Tourism 55 3 2 22 3 4 1 0 0 1 0 0 0 1 1 0 5 2 1 1 103

Manufacturing 104 15 5 16 2 4 2 2 3 0 1 2 1 2 2 1 15 1 0 0 183

Petroleum Products and Mining 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0

Construction 76 1 0 7 0 1 0 3 0 0 1 0 0 0 0 0 1 1 0 0 92

Transport 49 0 0 5 0 1 2 1 1 1 1 0 0 0 0 0 1 0 0 0 62

Services 17 1 0 1 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 19

Computer 1 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 1

Financial 4 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 4

Communication 5 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 5

Human Resource 0 0 0 0 0 0 0 0 0 0 0 1 0 0 0 1 0 0 0 1 3

Energy 5 0 0 2 0 0 0 0 0 0 0 0 0 0 0 0 0 0 1 0 8

Economic Infrastructure 1 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 1

Broadcasting 3 0 0 0 0 0 0 0 0 0 0 0 0 1 0 0 0 0 0 0 4TOTAL 321 20 11 55 6 12 6 6 4 2 3 3 1 4 4 4 28 5 2 3 509Source: Tanzania Investment Centre (TIC)

TANZANIA INVESTMENT CENTRE (TIC)

THE REGIONAL DISTRIBUTION OF PROJECT IN 2010

Table Na. 7.1

114

Table No. 34:

Sector Total number of

approved projects

New

projects

Old

projects

(expansion

and

rehabilitati

on)

Local

projects

Foreign

projects

Joint

projects

Total

employm

ent

Total

investment

(Shs. million)

Agriculture and Livestock 23 21 2 12 6 5 5169 663,710.6

Natural Resources 1 1 0 0 1 0 100 4,494.0

Tourism 103 84 19 66 22 15 5452 417,083.9

Manufacturing 183 162 21 68 76 39 14327 705,299.1

Petroleum Products and Mining 0 0 0 0 0 0 0 0.0

Construction 92 85 7 43 30 19 5078 1,925,186.1

Transport 62 44 18 37 13 12 7197 436,513.1

Services 19 19 0 4 10 5 4717 213,127.6

Computer 1 1 0 0 0 1 43 1,218.0

Financial 4 2 2 0 0 4 86 2,294.6

Communication 5 5 0 2 1 2 529 260,008.0

Energy 3 3 0 1 1 1 45 2,277,800.0

Human Resource 8 6 2 5 0 3 412 20,921.6

Economic Infrastructure 1 1 0 1 0 0 22 6,076.0

Broadcasting 4 4 0 3 0 1 463 158,886.0

TOTAL 509 438 71 242 160 107 43640 7,092,618.7

Source: Tanzania Investment Centre (TIC)

TANZANIA INVESTMENT CENTRE (TIC): APPROVED PROJECTS IN 2010

115

CHAPTER 8

CROSS CUTTING ISSUES

HIV/AIDS

165. In 2010, the Government continued with the implementation of

National Aids Control Program by providing trainings on treatment and care

to people living with HIV and AIDS as well as counselling and HIV testing

services. The Government continued to improve those services by ensuring

that antiretroviral drugs are available in health care centers. In addition, during

the period services were expanded from 110 councils in 2009 to 133 councils

in 2010. The number of people living with HIV and AIDS and accessing

antiretroviral drugs increased by 10.3 percent from 284,227 in 2009 to

313,384 in 2010. Out of those, children under 15 years were 28,309 and adults

above 15 years were 285,075.

166. In 2010, the HIV counselling and testing centers increased by 24.5

percent from 1,743 in 2009 to 2,170 centers. Training was provided to 300

additional HIV/AIDS counsellors and thus making a total of 5,365 counsellors

nationwide. As of end December 2010, a total of 8,890,207 people were

counselled, tested for HIV/AIDS and availed the results.

Environment

167. In 2010, the Government continued to implement policies, strategies,

laws and environment management regulations (Cap. 191). In 2010, three

regulations for the implementation of the Environment Management Act were

formulated, making the Act to have a total of 15 regulations, compared to 12

formulated in 2009 out of the 29 required regulations. Furthermore, three

environmental management guidelines were prepared. These include:

Guideline for the Preparation of Environmental Management for Ministries,

Government Agencies and Local Governments; Communications Towers

Guideline; and Guidelines to deal with Climatic Change challenges.

116

168. In 2010, the Government continued to enforce investors in the country

to undertake Environmental Impact Assessment (EIA) before executing their

projects. In addition there was an increase of projects evaluated and certified

from 160 projects in 2008/09 to 220 projects in 2009/10, equivalent to an

increase of 37.5 percent. This was due to increased investors‘ awareness on

the need to fulfil the requirement of the Environment Management Act

(Cap.191), which among other things requires the investors to adhere to EIA

before and after investment. Up to December 2010, a total of 49 experts of

EIA and 22 environmental inspectors were registered and gazetted. In

addition, 12 EIA consulting companies EIA and 10 environmental inspectors‘

companies were registered.

169. In 2010, the Government finalized the National Strategy for Waste

Product Management. The strategy identifies the management of eight types

of wastes emanating from different activities in urban areas; minerals;

agriculture and livestock; health services; plastics; electrical appliances and

electronics; petroleum products including crude oil; and industries.

Furthermore, the Government finalized the agreement with the Government of

the Republic of South Korea on the implementation of waste management

project in Dar es Salaam, Mwanza and Arusha cities. Feasibility study on the

implementation of the project has been done. The Government continued to

enhance the awareness of the public on the importance of separating solid

waste to manage environmental pollution. A total of 60 programs on the

stakeholders responsibilities on managing waste products were aired through

TBC, ITV and STAR TV.

170. In 2010, the Government continued to implement various projects and

programmes to conserve biodiversity. The programmes include: Lake

Tanganyika Conservation Progamme; through this programme the government

directed the establishment of Beach Management Units in 10 villages in

Kigoma and Rukwa regions aimed at promoting sustainable fishing and Lake

Tanganyika valley conservation; The Kihansi Environment Conservation

117

Project, whereby the Government continued with the frog breeding project in

Bronx and Toledo zoo in America, and by May 2010 there were more than

5,500 frogs in those zoo; Marine and Coastal Environment Management

Project (MACEMP), whereby the Government facilitated the preparation and

implementation of the action plans for effective management of the coastal

environment in 14 councils; and Regional Program for the Sustainable

Management of the Coastal zone of the Countries of Indian Ocean

(ReCoMap), whereby a total of 16 projects managed by CSOs and NGOs have

been sponsored.

171. In 2010, the Government continued to address the impact of

climatic change by coordinating the implementation of the Kyoto Protocol

which aims at reducing the production of carbon dioxide. Further, the

Government approved three projects to reduce the green house gases. Those

projects were: Hydropower generation projects at River Mwega (Mufindi) and

Ruhudgi (Njombe); as well as electricity generation through the use of tree

residues and rice husk at Mbeya cement factory. Those projects aimed at

generating renewable energy and connecting to the national grid.

Good Governance

172. In 2010, the Government continued with its desire to provide rights to

the citizens by translating 14 laws from English language to Swahili.

Likewise, the Commission for Human Rights and Good Governance continued

with its efforts to promote, protect and maintaining human rights and good

governance in the society.

173. In 2010, the Commission continued to handle people‘s complaints,

whereby a total of 7,858 old and new complaints were handled. Out of those,

1,003 complaints were investigated and completed while 6,855 continued to

be investigated compared to 1,746 complaints received in 2009, whereby 657

complains were investigated and completed.

118

174. In 2010, the Court of Appeal received 2,624 cases, out of which 627

cases were completed and 1,997 cases continued to be handled, compared to

18,805 cases in 2009 whereby 9,590 cases were completed. In addition,

62,154 cases were filed in the District and Resident Magistrate Courts. Out of

those, 46,977 cases were heard and 15,177 cases were still in the process of

being heard compared to 61,237 cases filed in 2009, whereby 42,725 cases

were finalized. Likewise, in Primary Courts, a total of 218,767 cases were

reported, whereby 167,228 were filed and 51,939 continued to be handled.

175. In 2010, the Government continued to implement the Second Phase of

the National Anti-Corruption Strategy and Action Plan (NACSAP II).

Towards the implementation of the strategy, the Prevention and Combating of

Corruption Bureau (PCCB) received and investigated 870 cases, out of those

587 cases were filed to the court and 64 cases finalized compared to 884 cases

investigated in 2009 whereby 463 were filed to court and 46 cases completed.

176. In 2010, the Government continued to conduct training on Good

Governance, whereby 21 ethics committees and 32 public institutions were

trained on good governance and management of National Anti-Corruption

Strategy compared to 15 ministerial ethics committees and 25 public

institutions.

Gender

177. In 2010, a total of 40 participants from different sectors participated in

the training on mainstreaming gender to plans, programs and budgets. Those

participants included 11 members from Gender Committee of the Ministry of

Community Development, Gender and Children, and 29 officers from

different Ministries. This number of participants decreased from 175 in 2009

to 40 in 2010 due to budget constraint.

178. In 2010, the training on eradication of violence against women,

children and albino was conducted. The training involved 40 heads of police

posts, and 43 village leaders from Kigoma, Arusha, Dodoma, Tabora and

119

Manyara regions. In addition, the same training was conducted to 106 law

enforcers in Rorya, Tarime, Bukombe and Kahama districts.

Public Safety

179. In 2010, the public safety was generally peaceful despite the existence

of sporadic crime and traffic offences. A total of 62,133 criminal offences

were reported in all police stations in 2010 compared to 69,134 offences

reported in 2009. The number of reported offences decreased by 7,001,

equivalent to 10.1 percent decrease.

180. The road accidents reported in police stations in 2010 were 24,926

compared to 22,019 accidents in 2009, equivalent to an increase of 2,907

accidents or 13.2 percent increase. In addition, a total of 3,687 people died on

road accidents while 22,064 people were injured in 2010 compared to 3,851

people died and 18,830 people injured in 2009. The number of people who

died on road accidents decreased by 4.3 percent while the number of injured

people increased by 17.2 percent. High rate of road accidents was due to:

reckless driving; high speed by some drivers; poor infrastructure in some parts

of the country; defective vehicles; negligence on road safety rules by some

road users (pedestrians, motorcyclist and bicycles riders); and drunkenness.

181. As of end-December, 2010, the total number of refugees in the

country was 109,286 compared to 273,782 refugees in 2009. Those refugees

came from Burundi (47,350 refugees), Democratic Republic of Congo

(60,186), Somalia (1,488) and other countries such as Rwanda, Uganda,

Sudan, Ethiopia and Zimbabwe all with a total of 262 refugees. Further, in

2010, a total of 162,256 refugees were granted Tanzania citizenship and 1,092

returned to Burundi.

182. In 2010, a total of 628,795 foreigners entered Tanzania

compared to 756,363 foreigners in 2009, equivalent to a decrease of 16.9

percent. In addition, 775,310 foreigners returned to their respective countries

120

compared to 755,004 foreigners in 2009, equivalent to an increase of 2.7

percent. In 2010, a total of 19,550 residence permits (visas) were granted to

foreigners to undertake different economic activities in the country compared

to 17, 650 visas granted in 2009, equivalent to an increase of 10.8 percent.

121

CHAPTER 9

REVIEW OF THE IMPLEMENTATION OF NATIONAL STRATEGY

FOR GROWTH AND REDUCTION OF POVERTY (NSGRP)

Introduction

183. The first phase of the implementation of National Strategy for Growth

and Reduction of Poverty (NSGRP) ended in 2010. The Strategy was

implemented for a period of five years from 2005/06 to 2009/10. During its

implementation, various stakeholders including MDAs, Non-state actors,

private sector and Development Partners participated effectively in the three

identified clusters, which are: Growth and Reduction of Income Poverty,

Improving Quality of Life and Social Well-being and Good Governance and

Accountability. Achievements recorded during the period, challenges and

lessons learned were critically analysed in the MKUKUTA Annual

Implementation Report (MAIR 2009/10). In addition, following completion of

MKUKUTA-I, the Government prepared MKUKUTA-II which was launched

in October 2010.. The design of MKUKUTA- II was based on the challenges

and lessons learned during the implementation of MKUKUTA-I in order to

improve its implementation. The process of preparing MKUKUTA-II

involved a wide range of stakeholders and will be implemented for a period of

five years (2010/11 – 2014/15). Some of the ongoing MKUKUTA-II activities

includes: preparations of MKUKUTA Implementation Guide and identifying

sectoral Priority Programmes, preparations of MKUKUTA Monitoring Master

Plan and the Communication Strategy.

184. As 2010 was the ending year for the implementation of MKUKUTA-I,

the analysis of various MKUKUTA-I indicators were identified in the three

clusters of MKUKUTA for the entire implementation period, as follows:

Growth and Reduction of Income Poverty

185. Over the last four years (2006-2009) of MKUKUTA-I implementation,

the Tanzanian economy recorded impressive performance despite the adverse

impact emanating from soaring of oil prices in the world market, drought

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experienced in many parts of the Country during 2005/06 and 2008/09, and

unreliable power supply. The real GDP growth averaged 6.9 percent between

2005 and 2010 and thus was in line with MKUKUTA target of 6-8 percent by

2010.

186. Report of the Integrated Labour Force Survey (ILFS) of 2005/06

revealed that employment has been expanding by absorbing 40,000

workforces per annum, whereby about 760,000 people enters the labour

market annually. The MKUKUTA target was to reduce unemployment rate

from 12.9 percent in 2000/01 to 6.9 percent in 2010. The survey undertaken in

2006 revealed that 11 percent of the active labour force was unemployed.

Unemployment was high in Dar es Salaam city whereby statistics shows that

31.4 percent of the active labour force in the city was unemployed. In other

urban areas, unemployment rate was 16.3. Likewise, statistics shows that,

unemployment rate was higher for women than men in urban areas.

187. The Household Budget Surveys (HBS) of 2000/01 and 2007 for

Tanzania Mainland showed that Tanzanians who cannot meet basic needs

decreased from 35.6 percent in 2000/01 to 33.4 percent in 2007. The incidence

of poverty in rural areas decreased from 38.7 percent in 2000/01 to 37.4 in

2007. In Dar es Salaam city, the incidence of poverty decreased from 17.6

percent in 2000/01 to 16.2 percent in 2007and in other urban areas, the

incidence of poverty decreased from 25.8 percent to 24.1 percent during the

same period. Generally, the rate of poverty decreased by 2.2 percentage point

between 2000/01 and 2007.

188. The Poverty and Human Development Report (PHDR) of 2009

showed that there is a close relationship between poverty, economic growth

and income inequality. The analysis of the report also revealed that the good

performance of the economy since 2000/01 has not been translated

significantly into the reduction of income poverty. Increasing income

inequality could have been one of the reasons, but income inequalities among

Tanzanians have not changed. The analysis of HBS 2000/01 and 2007

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indicated that income inequality measured by Gini coefficient remained at 35

percent. In Dar es Salaam city, income inequality decreased from 36 percent to

34 percent during the same period.

Table 9.1: Trend in Poverty Indicators (Percentage) Indicators Survey

Year

Country

Level

DSM Other

urban

Rural

Poverty 2000/01 35.6 17.6 25.8 38.7

Income Difference 0.35 0.36 0.36 0.33

Poverty 2007 33.4 16.2 24.1 37.4

Income Difference 0.35 0.34 0.35 0.33

Change (2000/01-

2007)

2.2 1.4 1.7 1.3

Source: PHDR 2009

Improving Quality of Life and Social Well-being

189. In the course of improving quality of life and social well-being, the

most common applicable indicators are those related to education, health, and

water. Information generated by the MKUKUTA Monitoring System

indicates that there have been impressive performances in 2009/10 at all level

of education including increased gross enrolment rate at pre-primary, primary,

Secondary, Vocational and Higher education levels. Achievements were also

recorded in maternal and child health as portrayed by the decline in maternal

mortality rate as per the Demographic and Health Survey (DHS 2009/10)

report. The Malaria Control Strategic Plan has also been successful since the

percentage of households owning at least one bed net has increased from 56.3

percent in 2007/08 to 74.7 percent in 2009/10. The number of HIV positive

women receiving ARVs and preventing mother to child transmission and the

number of people with advanced HIV Infection receiving ARV increased. The

proportion of population with access to clean and safe water in both rural and

urban areas also increased. The trend of some social indicators is as indicated

in table below.

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Table 9.2 Status of quality of life and social well-being indicators

Indicators 2005/06 2010 2010

Baseline Actual Target

Under 5 mortality 1000 live

births 112 81 79

Infant mortality per 1000 live

births 68 51 50

Maternal mortality 578 454 265

HIV prevalence amongst 15-

24 years old 7.4% 5.7% 5%

Net Primary school

enrolment 96.1% 95.4% 99%

Primary school dropout rate 2.6%

Primary pupil/teacher ratio 56:1 51:1 45:1

Proportion of under fives

wasted 21.9% 21%

Proportion of under fives

moderately stunted (height

for age)

21.9% 35% 20

Source: MAIR 2009/10

Good Governance and Accountability

190. During the period of MKUKUTA-I implementation, there have been

improvement in the management of Government revenues and expenditure..

The Government in collaboration with other stakeholders continued to

enhance accountability in its institutions with specific focus on the LGAs. The

Decentralization by Devolution policy has enabled the availability of financial

resources in LGAs and therefore improved accountability in expenditures.

Currently, LGAs are required to post budget reports which include revenues

and actual expenditures on easily accessible public notice boards.

191. In 2009/10, the Government initiated the National Identity processing

system by establishing the National Identity Authority. The Authority is

vested with the task of coordinating the system that will eventually issue

national ID to all residents. Public education campaigns are going on to create

awareness to the citizens about the importance of the National Identity.

192. In order to create gender balance in administrative and leadership

posts, women in decision making posts increased from 26 percent in 2005 to

31percent in 2010. The number of women in decision making posts between

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2005 and 2010 increased as follows: Judges-13 to 34; Ministers - 4 to 7;

Permanent Secretaries- 7 to 9; Regional Administrative Secretaries- 4 to 10;

District Commissioners- 20 to 25; Council Directors- 14 to 35; and Directors

in Ministries and Agencies- 19 to 133.

193. In 2009/10, the Government continued to improve land use

management in many aspects. A total of 21,160 plots were surveyed under

Business and Property Formalization Programme. Out of the surveyed plots,

17,526 plots were registered in computerized systems in order to issue land

title deeds of which, 8,109 title deeds were prepared. Land titling is crucial for

dispute resolution, accessing various resources such as credit and enhancing

government revenue collection.

194. The number of LGAs with unqualified reports increased from 53

councils in 2005/06 to 77 in 2008/09. The observed improvement is attributed

to enhanced human resources capacity, particularly accountant professionals,

as well as increased use of IFMS and Plan-Rep tools.

195. In an effort to strengthen the fight against corruption, a total of 755

new corruption cases were filed in the court of laws between 2005 and 2010.

Out of those, the Government won 155 cases and recovered shillings

28,827,667,374. Further, the government has filed 19 grand corruption cases

since 2005. As a way to speed up court case hearing, various initiatives have

been undertaken by the Government, including: appointment of more judges,

resident magistrates, primary court magistrates, state attorneys, and law

secretaries. For instance, the number of judges in the court of appeal increased

from 8 judges in 2005 to 21 judges in 2010, and the number of judges in the

high court increased from 24 judges in 2005to 68 judges in 2010.

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CHAPTER 10

EXPANDING FINANCIAL SERVICES TO THE UNBANKED

COMMUNITY

Introduction

196. The objective of financial inclusion is to ensure timely delivery of

financial services to disadvantaged sections of the community at affordable

cost. This encompasses the two dimensions of financial inclusion as per

United Nations definition of 2006. Firstly, financial inclusion refers to a

customer having access to a range of formal financial services, from simple

ones like credit and savings to more complex ones like insurance and

pensions. Secondly, financial inclusion implies that customers have access to

more than one provider of financial services so that clients have access to a

variety of competitive options. We are taking this aspect of financial inclusion

an issue for discussion because; various studies lead us to believe that a well

functioning financial system is linked to faster and equitable socio-economic

growth.

Background

197. Poverty in Africa is a predominantly rural phenomenon, although the

urban poor are now perhaps the fastest growing segment of the poor as

urbanization has picked up speed without matching growth in job

opportunities. Agriculture, informal sector activities and small and medium

scale enterprise together present the largest source of livelihood to the

majority of our citizens and indeed to the majority of the poor. The growth of

these sectors in turn, as widely documented in various studies, and has been

constrained by poor access to credit and other financial services. For example,

the 2010 Study done by the Overseas Development Initiative (ODI) stated that

financial services enables households to invest in activities that are likely to

contribute to higher future income and, therefore, to growth. The Study which

was conducted in Kenya and Tanzania showed that there is link between

access to financial services and household investment in education or a

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business, which can contribute to economic growth. For example, the reason

given for borrowing was to invest in education and business in Kenya and

Tanzania respectively. In addition, while semi-formal and informal financial

services are important and accessible, households in Kenya are more likely to

use formal financial services for investment than in Tanzania.

198. Alliance for Financial Inclusion Report of 2009 stated that ―over half

of the world's adult population, which is about 2.5 billion people lacks access

to formal financial services. About 90 per cent of the 'unbanked' community

live in developing countries. The report further states that ―Greater financial

inclusion mechanisms can bring these people into the financial system so that

they have the opportunity to access financial services ranging from savings,

payments and transfer to credit and insurance. This initiative will have positive

effects on economic growth, financial stability and social cohesion.

199. Further, the World Bank estimates that across Sub Saharan Africa,

only 20 percent of households have accounts with financial institutions

compared to about 90 percent in advanced countries. Furthermore, in small

firms, only 15 percent of new investments are financed through loans from the

bank compared to 30 percent in large firms, limiting their capacity to expand.

Many enterprises in Africa complain more about lack of bank loan and limited

insurance services than other regions of the world. In Sub Saharan Africa, one

branch is catering for the banking needs of more than 50,000 people compared

to less than 4,000 people in advanced countries.

200. However, these averages mask great disparities across countries in

Africa. According to ‗FinScope Africa Brief‘ of 2010, the proportion of the

unbanked population in East Africa is highest in Uganda (62 percent), Rwanda

56 percent, Tanzania 52 percent and Kenya only 32 percent. The proportions

not served by any financial institution – formal or informal is more than 40

percent in most Sub Saharan Africa. The proportion of the population served

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by the informal financial sector in a large number of those countries exceeds

that served by the banking sector.

201. Over the last two decades, the financial landscape in Sub Saharan

Africa has changed rapidly, with the banking system now offering a wider

range of services at a greater scale and across a wider area. A number of

factors have been responsible to these developments, out of those, three key

reasons include:

i) Financial sector reforms, which have reduced barriers to entry,

improved the capacity of financial institutions to mobilize

savings, and promoted greater competition;

ii) Technological innovations, which have extended affordable

and convenient financial services, particularly to rural

populations; and

iii) The growth of specialized microfinance institutions, which

have used innovative techniques such as group lending to

deliver financial services to the poor.

202. Though the financial system in Sub Saharan Africa has shown

tremendous growth in volume and complexity during the last few decades,

there are challenges that sizeable segment of the population, particularly the

vulnerable groups, such as low income groups, continue to remain excluded

from even the most basic opportunities and services provided by the financial

sector. The reasons may vary from country to country and hence the strategy

to address this situation could also vary. However, financial inclusion to the

low income earners can improve their standards of life and ultimately

contribute to economic growth.

Financial Sector in Tanzania

203. The financial sector in Tanzania has undergone substantial structural

change since the liberalization of the sector in 1991. The financial landscape is

comprised of mainly banks, pension funds, insurance companies, and other

financial intermediaries. However, the sector is dominated by banking

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institutions which account for 75 percent of the total assets of the financial

system, followed by pension funds whose assets account for 21 percent and

the insurance sector with 2.0 percent of the total assets, while the remaining

financial intermediaries hold 2 percent. The figure below indicates

composition of the financial system in terms of asset ownership.

Figure No. 10.1: Financial Sector Asset-Based Composition – June 2010

204. Financial sector assets have expanded rapidly in the past decade from a

total of shilling 1,637 billion at end of December 2001 to shilling 10,040

billion in December 2009. The growth was attributed to increase in private

sector deposits in the banking system.

205. Despite the rapid growth in financial assets, the financial system depth

remains small and access to finance is limited for both urban and rural

population. According to Fin-Scope Survey which was conducted in 2009, the

proportion of adult population who use banks and other formal financial

institutions was 12.4 percent only – representing about two million adults

(mostly urban) out of the estimated twenty million adults. Efforts to improve

financial literacy in order to enhance financial inclusion and consumer

protection are part of the Second Generation of Financial Sector Reforms. The

financial literacy programme aims at empowering more individuals to make

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informed financial choices and increase the reach and coverage of consumer

outreach initiatives. It is noteworthy that the ability of consumers to make

sound financial decisions, in turn contributes to financial stability by

facilitating the more efficient allocation of resources and risk management in

the financial system. Consequently, promoting greater financial inclusion

remains a high priority for the Bank of Tanzania as part of its commitment to

enhance the stability and efficiency of the financial system which will

contribute to economic growth.

206. Technological innovation has played a transformative role in extending

affordable financial services, particularly to the rural population. Technology

has offered financial institutions the means to reduce transaction costs

allowing financial services to be delivered more rapidly and more

conveniently to broad sections of the population, and with greater security. For

example the introduction of Automated Teller Machines (ATMs) in urban

centres of Tanzania in recent years, has allowed financial institutions to

provide services for 24 hours, seven days a week. At the same time, the sharp

increase in the number of cell phone providers and subscribers, has supported

an astounding expansion in outreach by providing the previously unbanked

customers with a range of cash transfer and bill payment services.

Mobile Phone Payment

207. Tanzania is experiencing strong growth in number of mobile

subscribers. According to provisional data as of June 30, 2010, the number of

mobile phone subscribers reached 18.5 million, while that of registered users

of mobile payments services stood at 9.2 million by end July 2010. The

increase in the number of subscribers to the mobile payments is attributed to

limited access to formal banking services especially in the rural areas. In this

regard, the mobile payment provides an avenue for linking bank account

holders to the unbanked population. In addition, the service provides

convenience in making payments for specified utilities and other consumer

services such as water and electricity bills. Specifically, mobile phone

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payment services are mainly used to facilitate top-up of mobile phones credit,

airtime transfers between mobiles, funds transfer and corporate bill payment

services.

208. Just a few years ago, people used to travel with huge sums of money to

make payments. Some used to send money using buses which were costly and

risky. The society was obliged to use this means mainly because access to

formal financial system was limited and expensive. Recently, the mobile

phone technology has revolutionized the financial sector, pushing the

boundaries of access to finance to include other market actors such as mobile

phone operators‘ and Information Communication Technology (ICT)

companies to offer financial services outside the traditional bank premises

using delivery channels like mobile phones, internet and retail agents. Mobile

phone payment services which comprise all aspect of financial services

initiated using mobile phone have even successfully brought financial services

in remote areas of the country where initially the traditional banking could not

offer its services.

209. The entrance of such players in the sector has increased efficiency of

financial services in terms of speed, convenience, affordability, and

accessibility. The services offered can be divided into two parts: Bank led

model and non –bank led model. The Bank Led Model is the one which is

applicable when a financial institution on its own initiative implements its own

system to offer mobile payments services. Through the usage of mobile

devices, the users of this model are given access to their bank accounts to view

statements, balance inquiry, and limited money transfer services. The Non-

Bank led model is where a mobile payment service provider collaborates with

a financial institution to offer mobile payment services. This model involves

the usage of virtual money to access financial services through mobile devices

and the use of agents for the purposes of issuing electronic money. Agents act

as access point in time the virtual money is transacted and the amount of

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money circulating in the economy should be equal to funds deposited in a

Trust Account maintained at the partners‘ commercial bank.

210. This technology is embedded with procedures which allow a registered

customer to access mobile payment services from any place in the country.

Services offered include funds transfers from Person to Person (P2P),

Customer to Business (C2B), Business to Customer (B2C), and Cash in and

Cash out services at agent‘s outlets. These services have made it easy to send

money to relatives in the villages, pay for utility bills such as electricity

(LUKU), water (DAWASCO), television (DSTV), insurance premiums and

loan disbursement and repayments.

211. In Tanzania, the schemes which offer these services are M-Pesa

offered by Vodacom in collaboration with NBC Ltd; ZAP offered by Airtel in

collaboration with Citibank; and Z-Pesa offered by Zantel and E Fulusi in

collaboration with FBME Bank. The mobile payment services which were

first launched in Tanzania in 2007 have already registered about 6 million

subscribers as at 31st May 2010. The number of customers is bound to

increase as more services continue to be offered through these schemes.

212. There is enough evidence to show that technology can significantly

help to reduce some of the barriers to access, such as remoteness and cost of

providing these services. The Fin Access surveys undertaken in 2006 and 2009

showed that formal financial access (by banks and non-banks) increased from

26.4 percent in 2006 to 40.5 percent in 2009.

Development of Microfinance Institutions

213. Fast growth of specialized microfinance institutions have also

contributed to financial inclusion to the rural poor. Mainstream banks tend not

to serve the poor because poor people: are perceived to have high risks in

returning the loans; borrows in small units which have high transaction cost;

and are unable to provide collateral.

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214. Microfinance institutions have bridged this gap by providing more

adapted financial services to this segment of population. These institutions

have used various innovative mechanisms, such as group lending and other

techniques to overcome the obstacles involved in delivering services to the

poor. For example, a study by ODI (2010) indicated that there is a clear

demand for financial services across the population, but semi-formal and

informal financial services and mechanisms are used more commonly than

formal financial services. Semi-formal services are used much more in Kenya

than in Tanzania. In both countries, there are similar levels of saving and

borrowing, with just over 70 per cent of the population saving and/or

borrowing, despite significant differences in the availability of financial

services. The proportion of people using semi-formal financial services, such

as: Savings and Credit Cooperatives; Rotating Savings and Credit

Associations; Accumulating Savings and Credit Associations; and local shop

credit is higher in Kenya than in Tanzania. The survey also revealed higher

usage of informal mechanisms than formal financial services in both countries.

By financing income generating activities among the poor, microfinance

institutions certainly offer a promise to economic growth and poverty

alleviation.

215. In most cases, the above mentioned innovations have come as a result

of voluntary decisions by private firms acting in their own interests mostly

profit motives. However, there is no doubt that sizable initial start up fixed

costs are involved in establishing these schemes and their payoff will take

many years to be realized. In this regard, policy makers can encourage more

technology driven innovations by putting in place policies that effectively

protect property rights so that firms can incur this fixed start up cost with

confidence that they and not others will capture the return to the investment. In

addition, policy makers can play a key role in underpinning public‘s

confidence in the uptake of new technology driven financial products and

services. This is important because, unlike many markets in goods and

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services, financial markets are trust based markets – in which case, the role of

regulators and supervisors in building public‘s trust in new innovative

financial products is vital.

Challenges

216. Despite the achievement attained, the provision of mobile payment

services in the country provide a number of challenges, including the overall

regulatory aspect, as this is a new phenomenon where financial services

providers who are traditionally not financial institutions could now offer

financial services. The challenge here is to put in place a consolidated

regulatory framework that allows the regulators to adequately monitor the risk

involved in the provision of such services. Currently, mobile payment

services in Tanzania are provided by two commercial banks and four mobile

network operators. The legal and regulatory framework for operating this

system of mobile phone payment requires service providers which are mobile

phone companies to collaborate with commercial banks to provide such

services. The existing arrangement creates gaps in the regulatory framework

because the mobile phone payments services are regulated by two different

regulators, each with a limited scope of coverage. Whereas, the Bank of

Tanzania focuses on the financial transactions, Tanzania Communication

Regulatory Authority (TCRA) regulates the communication infrastructure. In

recognition of the importance of developing a rigorous supervisory oversight

for this fast developing mobile banking industry, the Bank of Tanzania has

signed a Memorandum of Understanding with TCRA which provides a

mechanism for regulatory and supervisory coordination between the two

regulators. The Bank of Tanzania has embarked on the development of a

regulatory framework, which is coherent and flexible. The purpose of the

regulatory framework is to promote new innovations that create access to

financial services that are convenient to customers and minimize the usage of

cash.

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217. Another challenge is to enhance the coverage for further financial

inclusion and effectiveness of the microfinance institutions. However, while it

is imperative to continue to harness the benefits of microfinance in expanding

financial access, there are several challenges that should be addressed. Among

them is to ensure sustainability of these institutions. With technological

improvements, innovation, and an improved enabling environment, the

commercial viability of microfinance institutions in many countries has

improved over time. However, much of the microfinance sector, especially the

segment that serves the very poor, remains heavily dependent on foreign

grants and subsidies. The traditional supporters of microfinance which are

donors and governments have been getting increasingly impatient about

subsidizing the operations of these institutions, and there is even a view that

donor support should stop to pave the way for commercialization.

218. Another challenge relates to the fact that microfinance institutions

traditionally focused almost solely on providing credit to the poor households

and small firms. But in addition to credit, it is understood that the poor need

other services too, such as insurance and leasing services. The challenge here

is to help microfinance institutions to venture in to other innovative financial

products and services, particularly those targeted to the rural and low income

people. For example, micro insurance (crop insurance) can play an important

role in reducing the impact of the consequences of the vagaries of weather.

219. In addition, regulation of micro finance institution is another challenge

facing the financial sector in general. Many countries including Tanzania have

hundreds of small and decentralized microfinance institutions, which make it

difficult for regulators and supervisors to effectively oversee their operations,

for the purpose of ensuring that they are properly managed.

220. Most of the above challenges were in the supply side, however, in the

demand side, there is also lack of assets to serve as collateral. In many

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countries, rural assets such as land and real estates that could function as

collateral are not formally registered, and even when such assets are

registered, their value is very low. This calls for a need for governments to

implement measures that would make it possible for institutions to provide

financial services to low income and rural population without demanding

physical collateral. In this regard, establishment of Credit Reference Bureau is

one intervention that will go in line with an inclusive financial system. A

Bureau will facilitate credit information sharing among institutions and this

can make it possible for borrowers who may not have physical collateral to

use their credit history as moral collateral for obtaining a loan. Some countries

have taken a step towards this direction and have significantly reduced

financial exclusion associated with lack of collateral.

221. Another initiative relates to Partial Credit Guarantee Scheme

arrangements to support greater financial inclusion amongst small and

medium sized enterprises and agricultural enterprises. Such Scheme can

benefit micro borrowers and the poor by reducing risk premiums charged by

financial institutions which otherwise limit loans to the high yielding projects.

Unlike directed lending programmes, partial guarantee schemes are market

friendly because although governments are heavily involved in funding and

management of these schemes, loan assessment and recovery role is

undertaken by the private sector. The major challenge is to avoid creating

incentives for banks to allocate resources away from non guaranteed activities

towards those that are guaranteed.

Conclusion

222. Banks would have to evolve specific strategies to expand the outreach

of their services in order to promote financial inclusion of low income group,

treating it both as business opportunity as well as corporate social

responsibility. One of the ways in which this can be achieved in a cost-

effective manner is through forging linkages with microfinance institutions

and local communities, including adopting emerging technologies.

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223. However, policy makers have to put in mind that financial inclusion is

not an end but the means to an end. The ultimate objective is to help our

people; particularly the poor to attain social and economic development,

thereby contributing to poverty reduction. To achieve this, financial inclusion

efforts must be complemented with other poverty reduction strategies both at

national and lower levels. For example, policies that put priority in improving

rural infrastructure, such as roads, electricity and irrigation systems may have

a higher social payoff in the country, than policies to reduce cost of

borrowing.

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CHAPTER 11

AGRICULTURE AND COOPERATIVES

Agriculture

Growth

224. Agricultural activities which include: crops; livestock; and forestry and

hunting grew by 4.2 percent in 2010 compared to 3.2 percent in 2009. Growth

in crops; livestock; and forestry and hunting were 4.4, 3.4, and 4.1 percent in

2010 compared to 3.4, 2.3, and 3.5 percent in 2009 respectively. The share of

agriculture activities to GDP was 24.1 percent in 2010 compared to 24.6

percent in 2009. The share of crops and livestock sub activities to the GDP

decreased from 18.4 and 4.0 percent in 2009 to 17.8 and 3.8 percent in 2010

respectively. However, the share of forestry and hunting to the GDP increased

to 2.4 percent in 2010 from 2.2 percent in 2009.

Food Crops

225. In 2010, production of food crops mainly maize, millet/sorghum,

banana and cassava was satisfactory compared to the production in 2009 due

to favourable weather condition during agricultural season in 2009/10. Maize

production increased from 3,324,000 tons in 2009 to 3,326,000 tons in 2010,

equivalent to an increase of 0.1 percent. Production of millet and sorghum

increased to 929,000 tons from 204,000 tons, equivalent to an increase of

355.4 percent. Likewise, production of wheat increased from 94,000 tons in

2009 to 95,000 tons in 2010 and production of cassava increased from

1,759,000 tons in 2009 to 1,972,000 tons in 2010, equivalent to an increase of

12.1 percent. However, production of rice decreased to 868,000 tons in 2010

from 886,000 tons in 2009, equivalent to a decrease of 2 percent. The

production of food crops is as shown in the table below.

141

Table No.11.1: Production of Food Crops 2007 - 2010 (‘000’ tons)

Crop 2007 2008 2009 2010 % Change

2009/2010

Maize 3,302 3,555 3,324 3,326 0.1

Rice 872 875 886 868 -2.0

White flour 83 92 94 95 1.1

Millet/Sorgum 1,165 1,064 204 929 355.4

Cassava 1,733 1,797 1,759 1,972 12.1

Beans 1,156 1,125 1,184 1,116 -5.7

Banana 1,027 982 991 1,073 8.3

Sweet potatoes 1,322 1,379 1,381 1,392 0.8

Source: Ministry of Agriculture, Food and Cooperatives

Cash crops Production

226. In 2010, production of cash crops mainly coffee, pyrethrum, sisal,

cashew nut, tobacco, tea and sugar increased compared to 2009. This was a

result of the increased use of improved seedlings, good farming techniques,

expansion of farming areas and renewed farming on the abandoned farms. In

2010, only the production of cotton decreased compared with other cash crops.

The production decreased by 38.7 percent in 2010 compared with the increase

of 33.1 percent in 2009. The decrease in production of cotton was attributed to

bad weather condition in the cotton growing areas.

Table No. 11.2: Production of Cash Crops 2007-2010 (Tons)

Crop 2007 2008 2009 2010 % Changes

2009/10

Cotton 199,954 200,662 267,004 163,644 -38.7

Tobacco 50,784 55,356 60,900 130,000 113.5

Sugar 279,494 276,605 279,850 317,000 13.3

Tea 34,763 34,770 33,160 55,699 68.0

Pyrethrum 1,000 1,500 3,320 5,000 50.6

Coffee 33,708 58,052 40,000 60,575 51.4

Sisal 33,039 33,000 26,363 35,000 32.8

Cashewnuts 92,573 99,107 74,169 121,070 63.2

Source: Ministry of Agriculture, Food and Cooperatives and the respective Board of cash crop

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Production of Oil seeds

227. In 2010, production of oil seeds which include sunflower, groundnuts,

simsim and soya increased compared to 2009. The increase was due to

favourable weather condition in the crops growing areas and continued

expansion of simsim market. The production of oil seed is as shown below.

Table No. 11.3: Production of Oil seeds (Tons)

Crop 2007 2008 2009 2010 % Change

2009/10

Sunflower 369,803 418,317 466,831 489,387 4.8

Groundnuts 408,058 396,769 385,480 395,420 2.6

Simsim 155,794 46,767 115,295 125,369 8.7

Soya 3,000 3,450 3,900 4,300 10.3


Investment in Agriculture

228. In 2010, a total of 1,586 new tractors were imported compared to 472

tractors imported in 2009. In addition, 2,553 power tillers were imported

compared to 495 power tillers imported in 2009. This was attributed to the

increase in demand for tractors and availability of loans for farm implements.

Irrigation Farming

229. In 2010, a feasibility study and design were conducted, covering an

area of 90,000 hectares for irrigation, making a total area of 365,744 hectares

for irrigation from 275,744 hectares in 2009. A total of 331,490 hectares for

irrigation were developed by constructing irrigation infrastructures compared

to 310,745 hectares developed in 2009, equivalent to an increase of 6.7

percent. Likewise, a total of 510 farmers and 30 agriculture officers in various

cadres were trained on appropriate irrigation technology compared to 300

farmers and 50 agriculture officers trained in 2009.

230. In 2010, the productivity in irrigation schemes for paddy, onions,

tomato and maize improved compared to 2009. Productivity of paddy

143

increased to an average of 7.5 tons per hector from 2 tons per hector; onions

26 tons per hector from 13 tons; tomatoes 18 tons per hector from 5 tons; and

maize on average of 4 tons per hector from 1.5 tons. Efficiency use of water

for irrigation in schemes whose infrastructures were improved increased to a

range of 30 to 45 percent compared with 10 to 15 percent to those of the

traditional schemes. The summary of achievement is as shown in table below.

Table No. 11.4: Irrigation Services

Achievement 2009 2010 % Change

2009/10

Feasibility study - Hector 275,744 365,744 32.6

Infrastructures of water reservoirs for irrigation

constructed and rehabilitated 4 6 50

Developed hectors 310,745 331,490 6.7

Households benefiting from irrigation infrastructures

in developed schemes 342,700 351,720 2.6

Irrigation groups formed and registered 182 210 15.4

Farmers trained on proper use of water for irrigation

and irrigation technology 300 510 70


Extension Services and Trainings

231. In 2010, a total of 5,442 in-service students were enrolled for diploma

and certificate in various disciplines. Out of those, 3,500 were continuing

students in the first and second year program and 1,942 students graduated in

November 2010. Out of the graduants, 1,911 are awaiting for employment

permit.

232. In 2010, Local government councils recruited 1,738 extension service

officers. This makes the cumulative number of extension service officers to be

6,175 compared to 4,437 extension service officers in 2009.

233. In 2010, a total of 174,376 farmers were trained through demonstration

farms, where 930 farmers qualified and managed to impact the knowledge to

144

69,750 fellow farmers under the supervision of extension service officers.

Likewise, a total of 593,400 farmers were trained on methods of good farming

practices and market price information through ward resource centres. In

addition, the Government in collaboration with 199 private organs (NGOs,

CBOs and Farmers groups) provided extension services to farmers in 38 Local

government councils in 12 regions of Iringa, Mbeya, Rukwa, Ruvuma, Mara,

Dodoma, Singida, Manyara, Arusha, Kigoma, Tabora and Mwanza. Some of

these services include training on principals of good farming practices to

farmers/livestock keepers, artificial insemination and livestock vaccination,

construction of water charcoal and searching for markets.

234. In endeavour to improve extension services, the Government through

District Agriculture Development Programs (DADPs) bought 100 vehicles,

1,612 motorcycles and 3,389 bicycles in order to facilitate ASDP coordinators

and extension officers. Up to December 2010, more than 80 percent of

extension officers in ward level had already been availed with motorcycles.

Research Activities

235. In 2010, 25 new seeds for food and cash crops which were improved in

2009 were approved for being used by farmers. A total of 30,465 kilograms of

seeds and 422,000 stems/stalk at production level and 1,260,000 stems/stalks

at foundation level were produced. The production of these seeds is shown in

the table below.

Table No.11.5: Production of Breed Seeds

Product Production of Breed Seeds (Tons)

2009 2010

Grain 51.2 13.13

Beans 43.5 11.53

Oil 10.3 4.3

Cotton 6.0 1.48

*Cassava (Stalk) 27.6 million 422,000


145

*

Agriculture Input Trust Fund

236. In 2010, the Government through the Agriculture Input Trust Fund

issued 30 loans for power tillers compared to 57 loans issued in 2009.

Likewise, 89 loans for tractors were issued in 2010 compared to 165 loans in

2009. 46 loans were issued for farm inputs and livestock compared to 238

loans in 2009. A single loan was issued for irrigation equipment in 2010. The

decrease in loans issued for irrigation equipment was due to financial

constraint.

Table No. 11.6: Credit provision through Agriculture Input Trust Fund

(AGITF)

Credit type Credit in

2009

Credit in

2010

% Change

2009/10

Power tillers 57 30 -47.7

New tractors 165 89 -46.06

Maintenance of tractors 1 3 200

Crop and Livestock Inputs 238 46 -80.7

Irrigation equipment 0 1 100


Provision of Subsidies for Farming Inputs

237. In 2008/09, the Government opted provision of subsidies through

voucher system from the old system of effecting direct to the companies

supplying farming inputs. In a voucher system, a farmer was issued with three

vouchers: One voucher was for good seeds; the second voucher for basal

dressing fertilizers and the other for top dressing fertilizer. These vouchers

were for food crops mainly maize and rice. In addition, in 2009/10 the

Government decided to grant subsidies for cotton. A cotton grower was issued

with two vouchers: One voucher was for the cottons seeds and the other

voucher for cotton pestsides. Up to 2010, 20 regions had benefited from the

voucher system compared to 11 regions benefited in 2008/09. Through that

system, production of maize increased by 45.0 percent to an average of 3.35

146

million tons in 2010 from 2.31 million tons in 2007, while production of

paddy increased by 10.3 percent to an average of 0.96 million tons in 2010

from 0.87 million tons in 2007.

LIVESTOCK

Livestock Production and its Products

238. In 2010, production of beef, mutton, lamb, pork and chicken increased

to 449,673 tons from 422,230 tons produced in 2009, equivalent to an increase

of 6.5 percent. This was attributed to increase in demand for meat and its

products as well as expansion of markets.

239. Production of milk increased by 2.9 percent from 1.60 billion litres in

2009 to 1.65 billion litres in 2010. Out these, 653 million litres were from high

breed cows and 997 million litres were from tradition cows. This was

attributed to increased milk collection from livestock keepers and increase in

the number of dairy cattle. Production of artificial inseminated seeds from the

National Artificial Insemination centre (NAIC) increased from 74,200 dozes

in 2009 to 86,800 in 2010, equivalent to17.0 percent increase. Likewise, a

number of inseminated cows increased from 68,900 cows in 2009 to 73,900

cows in 2010, equivalent to 7.3 percent increase.

240. Production of eggs increased from 2.81 billion eggs in 2009 to 2.9

billion eggs in 2010, equivalent to 4.0 percent increase. Tradition chicken

increased by 2.9 percent from 34 million chickens in 2009 to 35 million

chickens in 2010. The increase was attributed to the continued use of warm

enduring vaccination for chicken tick which minimised the deaths of tradition

chicken from 90.0 percent to 4.0 percent.

241. In 2010, a total of 45.0 tons of hay seeds were produced in the

Government farms compared to 43.0 tons produced in 2009. Likewise, a total

of 303,000 pallets of hay were produced from the Government farms

147

compared to 420,000 pallets produced in 2009. In addition, a total of 418,831

pallets of hay were produced by the private sector compared to 509,680 pallets

produced in 2009. In 2010, a total of 801,727 tons of different types of animal

feeds were produced compared to 717,231 tons produced in 2009, equivalent

to 11.8 percent increase.

Table No. 11.7: Production of Livestock Products 2006 -2010

Crop Production

/Unit 2006 2007 2008 2009 2010

%

Change

Meat:

Beef

Mutton/Lamb

Pork

Chicken

Tons

Tons

Tons

Tons

210,370

78,579

29,925

69,420

180,629

80,936

31,721

77,280

218,976

81,173

33,307

77,250

225,178

82,884

36,000

78,168

243,943

86,634

38,180

80,916

8.3%

4.5%

6.1%

3.5%

Total 388,294 370,566 410,706 422,230 449,673 6.5

Milk:

Tradition Cows

High breed Cows

Litre (000)

Litre(000)

941,815

470,971

945,524

475,681

980,000

520,000

1,012,436

591,690

997,261

652,596

-1.5%

10.3%

Total 1,412,786 1,421,205 1,500,000 1,604,126 1,649,857 2.9

Eggs Total

2,145,000 2,230,900 2,690,000

2,806,350

2,917,875 4.0%

Production of

animal feeds

Tons - - - 801,827 720,711 -10.1%

Source: Ministry of Livestock Development and Fisheries

242. In 2010, the number of livestock was estimated at 19.2 million cows,

13.7 million goats, 3.6 million sheep, 1.9 million pigs and 58 million chickens.

Out of the cows, 680,000 cows were for milk, and out of the total chicken, 35

million were traditional chicken and 23 million were high breed, out of which

7 million were layers and 16 million were broilers. The average consumption

of livestock products per person per annum is 12 kilograms of beef, 43 litres

of milk and 75 eggs. This consumption is below the World Food Organization

standard of 50 kilograms of beef, 200 litres of milk and 300 eggs per annum.

Trading of Livestock and Its Products

243. In 2010, a number of livestock auctioned increased to 857,208 cattle,

682,992 goats, and 122,035 sheep compared to 781,230 cattle, 623,732 goats,

148

and 114,564 sheep in 2009. The livestock auctioned worth 382.2 billion

shillings in 2010 compared to 319.2 billion shillings in 2009, equivalent to

19.7 percent increase. The increase was attributed to improved auction

services and increased sale of livestock.

244. In 2010, a total of 2,970 cattle and 302 goats valued at 2.8 billion

shillings were exported to Comoro, Burundi and Kenya compared to 3,264

cattle and 1,834 goats and sheep valued at 2.1 billion shillings exported in

2009. Likewise, a total of 36.9 tons of beef worth 183,852,732 shillings, 122

tons of mutton worth 550,516,392 shillings and 34.6 tons of lamb worth

186,687,992 shillings were exported to Oman, Kuwait, United Arab Nations,

Muscat, Malawi and United Republic of Congo compared to 139.8 tons of

beef worth 416.9 million shillings, 35.4 tons of lamb worth 120.2 million

shillings and 46.7 tons of mutton worth 117.3 million exported in 2009.

245. In 2010, a total of 1.5 million pieces of cattle hides, 2.4 million pieces

of mutton hides and 0.65 million pieces of lamb hides worth 8.5 billion were

collected. Out of those, 739,315 pieces of cattle hides, 1.9 million pieces of

mutton hides and 176,400 pieces of lamb hides were exported compared to

982,668 pieces of cattle hides, 2.7 million pieces of mutton hides and 769,936

pieces of lamb hides in 2009. Receipts from hides sold decreased by 36.0

percent from 12.8 billion in 2009 to 8.19 billion in 2010. This was due to the

decline of the price of hides in international market.

246. In 2010, a number of processed hides decreased to 1.96 million pieces

from 2.3 million pieces in 2009, equivalent to a decrease of 14.8 percent.

Similarly, the value of processed hides decreased to 6.57 billion shillings from

7.3 billion shillings in 2009. The proportion of processed and exported hides

increased from 57 percent in 2009 to 69 percent in 2010 of the total hides

exported. The increase of processed hides was attributed to the sensitization of

149

business people to sell processed hides so as to get good price in international

market as opposed to export of raw hides.

Table No. 11.8: Collection and Export of Hides from 2002 to 2010

A. HIDES COLLECTION (Pieces)

Year

Cattle

Hides Goat Hides Lamb Hides

Value in

Tshs.‘000’

2002 1,400,000 700,000 350,000 4,500,000

2003 1,400,000 800,000 460,000 5,500,000

2004 1,600,000 1,200,000 650,000 6,500,000

2005 1,600,000 1,500,000 750,160 5,500,000

2006 1,660,000 1,400,000 950,000 6,800,000

2007 1,980,000 1,520,000 1,200,000 8,700,000

2008 2,500,000 1,900,000 1,500,000 13,500,000

2009 1,650,000 2,990,000 1,250,000 10,900,000

2010 1,500,000 2,400,000 650,000 8,500,000

B. EXPORT OF HIDES

Year

Cattle

Hides Goat Hides Lamb Hides

Value in

Tshs.‘000’

2002 1,200,000 511,700 165,000 4,000,000

2003 1,300,000 600,000 300,000 4,600,000

2004 1,774,000 1,431,000 488,000 5,712,000

2005 1,400,000 1,200,000 597,155 4,025,400

2006 1,363,721 1,216,740 861,770 7,500,000

2007 1,700,000 1,055,000 925,530 16,200,000

2008 2,300,000 1,600,000 1,100,000 21,500,000

2009 982,668 2,700,000 769,936 12,800,000

2010 739,315 1,912,182 176,400 8,191,803


150

COOPERATIVES AND MARKETING

Cooperatives Development

247. In 2010, the Government continued to implement Cooperative Unions

Reform and Restructuring Program in which new cooperative unions were

formed, the weak ones were merged and others were deregistered. By 2010,

the total number of cooperative unions was 9,501 compared to 9,510 in 2009.

Further, in 2010, education and training programs regarding various

cooperative aspects were provided to 103 unions and 30 groups in Dodoma,

Singida, Tanga, Kigoma, Kagera, Kilimanjaro, Lindi and Mtwara regions.

Furthermore, in implementing Warehouse Receipts System, cooperative

unions in Mtwara, Lindi, Ruvuma and Coastal regions collected about

85,000,000 kilograms of farmers‘ cashew nuts and enabled farmers to get

favourable prices in the range of 800 shillings to 1000 shillings per kilogram

unlike the previous prices of between 250 shillings and 300 shillings per

kilogram.

248. Savings and Credits Cooperative Societies (SACCOS) increased and

continued to be strengthened in order to provide financial service to many

people especially in the rural areas. In 2010, the number of SACCOS

increased to 5,344 from 5,332 in 2009. The number of SACCOS members

increased to 911,873 from 820,670 members in 2009, equivalent to 11.1

percent increase. Members‘ shares increased by 9.9 percent to 36.8 billion

shillings from 33.5 billion shillings in 2009. Members‘ savings and deposits

increased to 174.5 billion shillings from 148.1 billion shillings in 2009,

equivalent to an increase of 17.8 percent. In addition, loans extended to

members increased by 20.8 percent to 463.4 billion from 383.5 billion in 2009.

151

Table No. 11.9: Trend in Cooperative Developments

Type of

Cooperative Year

%

Change

2009 2010

SACCOS 5,332 5,344 0.2

AMCOS 2,817 2,798 -0.7

Irrigation

Cooperative 113 113 0


Trend of Cash Crops Prices

249. In 2010, the average price of Robusta coffee decreased by 29 percent

from an average of USD 2.20 per kilogram to USD 1.57 per kilogram. This

was caused by decline in demand for Robusta coffee in the world market. The

average price of Arabica coffee increased to USD 3.45 per kilogram from

USD 2.98 per kilogram in 2009. The price of tea increased to USD 2.91 per

kilogram from USD 2.40 per kilogram in 2009. In 2010, there was no change

in the price of cotton, which remained at USD 1.99 per kilogram, the same as

in 2009. The price of sisal decreased to USD 908.00 per kilogram from USD

1,209.88 per kilogram in 2009. The average price of cloves increased to USD

4,335.88 per kilogram from 4,021.46 per kilogram.

Table No. 11.10: Average Price Trend for Cash Crops in the Word

Market (USD/Kg)

Crop 2008 2009 2010 March,

2010

April,

2010

May,

2010

Coffee-

Robusta 2.20 2.20 1.57 1.48 1.58 1.56

Coffee-

Arabica 2.98 2.98 3.45 3.63 3.73 3.82

Tea 2.26 2.40 2.91 2.62 2.77 2.83

Cotton 1.92 1.99 1.99 1.66 1.46 1.71

Sisal (M/T) 1,053.56 1,209.88 908.00 856.00 856.00 856.00

Cloves

(M/T) 3,967.33 4,021.46 4,335.88 4,500 4,710 4,700


152

Table No. 35

Season1

Sugar Cane Sugar

Farmers Consumed3

Public Private Total Price2

Production Total Kg. per

('000 Tons) ('000 Tons) ('000 Tons) (Shs/Ton) Ton Ton person4

1977/78 1008 116 1124 96.20 132979 111546 6.69

1978/79 1169 197 1366 96.20 114267 127712 7.42

1979/80 1180 210 1390 101.20 122530 112282 6.34

1980/81 854 193 1047 106.20 114667 115961 6.37

1981/82 1135 203 1338 137.30 124326 120629 6.44

1982/83 1090 113 1203 170.00 101996 93179 4.84

1983/84 1372 160 1532 238.00 131525 108369 5.48

1984/85 1148 105 1253 323.70 108102 111433 5.48

1985/86 1003 104 1107 352.30 100287 95379 4.56

1986/87 991 72 1063 463.00 94815 109462 5.09

1987/88 997 102 1099 600.00 101266 96271 4.35

1988/89 787 91 878 750.00 96227 126771 5.29

1989/90 963 98 1061 1748.45 111236 190750 5.47

1990/91 1068 116 1184 2525.90 118560 212585 5.93

1991/92 967 114 1081 3476.85 108480 202478 6.07

1992/93 1098 273 1371 5267.67 121414 204126 6.11

1993/94 1105 362 1467 6200.00 123949 139829 5.38

1994/95 914 370 1284 8600.00 104624 238424 5.38

1995/96 997 372 1369 8900.00 116810 268910 ..

1996/97 951 347 1298 9500.00 116100 275700 5.54

1997/98 808 176 984 10500.00 116100 271790 5.70

1998/99 948 320 1268 12500.00 113622 101272 5.87

1999/00 907 341 1248 12500.00 116927 100127 6.70

2000/01 1050 284 1334 14000.00 135534 122534 10.00

2001/02 1134 389 1523 14700.00 164498 142398 10.10

2002/03 1402 411 1813 15000.00 190120 167300 10.42

2003/04 1672 670 2342 16800.00 223839 290711 10.90

2004/05 1594 752 2346 20568.00 229617 328005 10.90

2005/06 1545 956 2501 22383.00 263317 343292 12.00

2006/07 1430 611 2041 29000.00 192095 366708 12.00

2007/08 1967 799 2766 32767.00 265434 382518 13.00

2008/09 2056 693 2749 32770.51 279850 396113 13.40

2009/10 1972 598 2570 42046.00 263461 398070 13.68Change (%)

08/09-09/10 -0.04 -0.14 -0.07 0.28 -0.06 0.00 0.02

Increase (%)

77/78-09/10 0.96 4.15 1.29 436.07 0.98 2.57 1.04

Source: Tanzania Sugar Bord

1 Season is between July and June

2 Price is for sugar cane with 10.5% of Sucrose

3 includes sugar transported to Zanzibar

4 For Tanzania mainland

.. Not available

DOMESTIC PRODUCTION AND CONSUMPTION OF SUGAR

153

Table No. 36

Season 1

Qty (tons)

AR BR Total AR BR AR BR Total Total 2

AR BR

1976/77 176894 17800 194694 2.00 1.00 61549 6074 67623 8146 9487 7230

1977/78 153292 14790 168082 2.30 1.15 46555 5821 52376 14422 12186 9370

1978/79 152267 14248 166515 2.40 1.20 51072 4696 55768 14253 12340 8810

1979/80 162087 18367 180454 3.00 1.30 52546 3931 56477 17284 13750 11040

1980/81 166233 8344 174577 3.20 1.50 54189 2962 57151 15634 13750 11040

1981/82 126799 6127 132926 3.70 1.70 42439 2153 44592 14070 15480 11730

1982/83 124559 3351 127910 4.70 2.50 40521 2381 42902 12660 15420 11730

1983/84 136151 4647 140798 6.00 3.70 41779 2175 43954 11771 15867 12038

1984/85 152355 4490 156845 8.40 4.50 50858 1154 52012 16236 26000 17400

1985/86 97384 8515 105899 13.00 7.00 29715 17775 47490 13247 52250 37350

1986/87 210454 4115 214569 16.90 9.10 55108 2338 57446 11389 52250 37350

1987/88 252177 2738 254915 19.45 9.10 67057 659 67716 13247 81350 67250

1988/89 184524 4720 189244 22.35 10.00 61552 1880 63432 11084 175000 140000

1989/90 112333 572 112905 28.00 11.00 37652 192 37844 13184 225000 190000

1990/91 148124 1017 149141 41.00 14.00 48880 341 49221 300000 300000 240000

1991/92 26841 32 26873 70.00 28.00 90706 11 90717 14301 325000 255000

1992/93 281984 22000 303984 60.00 28.00 85784 - 85784 4405 542916 -

1993/94 145224 - 145224 80.00 - 50142 - 50142 .. .. -

1994/95 123663 - 123663 120.00 - 42695 - 42695 .. .. -

1995/96 245914 - 245914 200.00 - 84782 - 84782 .. .. -

1996/97 249370 74 249444 168.00 - 85162 25 85187 .. .. ..

1997/98 207754 - 207754 200.00 - 69636 - 69636 .. .. ..

1998/99 105853 - 105853 185.00 .. 35480 .. 35480 .. .. ..

1999/00 100500 - 100500 123.00 .. 33686 .. 33686 .. .. ..

2000/01 123558 .. 123558 180.00 .. 41415 .. 41415 .. .. ..

2001/02 148180 .. 148180 165.00 .. 49668 .. 49415 .. .. ..

2002/03 187908 781 188689 180.00 50 62983 262 63245 .. .. ..

2003/04 139756 213 139969 280.00 100 46843 72 46915 .. .. ..

2004/05 341589 .. 341589 250.00 0 114496 .. 114496 .. .. ..

2005/06 376591 .. 376591 220.00 0 126228 .. 126228 .. .. ..

2006/07 130585 .. 130585 350.00 0 43770 .. 43770 .. .. ..

2007/08 200662 - 200662 450 70773 - 70773 37488 - -

2008/09 368697 0 368697 480 0 123582 0 123582 66554 .. ..

2009/10 267644 0 267644 480 0 54851 0 54851 0 - -

Change (%)

08/09-09/10 -0.27 -0.27 0.00 -0.56 -0.56

Increase (%)

77/78-09/10 0.51 0.37 239.00 -0.11 -0.19

Source: Cotton Marketing Board 1

Season is between July and June 2

Total is for AR and BR

.. Not available

Quantity produced (tons)

COTTON PROCUREMENT AND LOCAL SALES

Lint CottonSeed Cotton

Average Price (Shs/ton)Average Price (Shs/ton) Quantity (Tons)

Local Sales

154

Table No. 37

Crop Area Price Local2

Season 1

(Hectars) to Farmers Sales

Estates Small scale Total Estates Small scale Total North South Total (Shs/Kg) (Tons)

1976/77 9023 9217 18240 59300 13679 72979 27841 45138 72979 0.90 2994

1977/78 9214 9334 18548 65933 22598 88531 32784 55747 88531 1.50 4168

1978/79 9268 9280 18548 60062 24230 84292 27177 57115 842292 1.50 3735

1979/80 9268 9289 18557 61294 21780 83074 27249 55825 83074 1.50 4376

1980/81 9268 9289 18557 59603 18800 78403 25267 53136 78403 1.50 5487

1981/82 9268 9289 18557 59603 18800 78403 25267 53136 78403 1.50 5487

1982/83 9268 9365 18633 56023 18540 74563 22622 51941 74563 1.50 6735

1983/84 9699 9177 18876 65309 18931 84240 22869 61371 84240 2.80 3763

1984/85 9699 9177 18876 51443 21493 72936 18346 54590 72936 2.80 4286

1985/86 9699 9177 18876 55680 21550 77230 22369 54861 77230 4.10 4714

1986/87 9699 9177 18876 52271 19201 71472 17564 53908 71472 4.90 6346

1987/88 9699 9177 18876 46752 17942 64694 12333 52361 64694 7.60 4556

1988/89 9699 9177 18876 45771 17851 63622 12749 50883 63632 9.90 4260

1989/90 9699 9177 18876 52194 18874 71068 18099 52969 71068 13.40 3559

1990/91 9699 9177 18876 70442 22434 92876 23531 69345 92876 17.00 3491

1991/92 9699 9177 18876 62994 20229 83223 19296 63927 83223 28.00 2750

1992/93 9699 9197 18896 80896 19934 100830 32218 68412 100630 45.00 3278

1993/94 10029 9197 19226 81159 21231 102390 32148 70242 102390 45.00 11124

1994/95 10149 9197 19346 93608 22641 116249 36825 79424 116249 50.00 ..

1995/96 10652 9332 19984 79968 13803 93771 25935 67836 93771 55.00 2350

1996/97 11113 9451 20564 83126 7803 90929 21992 68937 93771 55.00 ..

1997/98 11416 9451 20867 113448 7100 120548 30137 90411 120548 55.00 ..

1998/99 11416 9451 20867 98800 7000 105800 26450 79350 150800 55.00 ..

1999/00 .. .. .. 99848 6092 105940 24439 81502 105941 55.00 ..

2000/01 10811 10364 21175 109007 9728 118735 29419 89316 118735 65.00 2386

2001/02 10811 10364 21175 97297 13999 111296 22794 88502 111296 80.00 2683

2002/03 11097 9762 20889 100677 31718 132395 28679 103716 132395 85.00 3158

2003/04 11485 10801 22286 95986 31993 127979 26384 101595 127979 86.00 3225

2004/05 11271 11442 22713 94172 39246 133418 20649 112769 133418 86.00 4004

2005/06 11310 10977 22287 91337 31881 123218 29046 94172 123218 93.00 3881

2006/07 11271 11956 23227 109632 49024 158656 39673 118983 158656 100.00 4737

2007/08 11272 11449 22722 97310908 51160136 148471044 33455685 115015359 148471044 111.00 4253

2008/09 11271 11449 22722 100644 41167 141811 31677 110134 141811 118.00 4464

2009/10 11272 11449 22722 106021 44716 150737 33309 117428 150737 124.00 5084

08/09-09/10 0.00 0.00 0.00 0.05 0.09 0.06 0.05 0.07 0.06 0.05 0.14

76/77-09/10 0.25 0.24 0.25 0.79 2.27 1.07 0.20 1.60 1.07 136.78 0.70

Source: Tanzania Tea Authority


2 Made Tea

.. Not Available

Change (%)

Increase (%)

TEA CROP AREA, PRODUCTION AND LOCAL SALES

Quantity of leaf tea produced (Tons)

Zones (Farms)Ownership (Farms)

155

Table No. 38

Coffee Procurement (Tons) Price (Shs/kg) Local Sales+

Season1

ARABICA ROBUSTA TOTAL ARABICA ROBUSTA QUANTITY VALUE

Mild Hard Mild Hard Raw (Tons) (shs'000)

1976/77 35263 2424 10995 48682 15.00 11.00 8.90 1625 9516

1977/78 38222 2851 12023 53096 10.89 17.50 5.27 758 6300

1978/79 33853 2551 12946 49350 9.07 14.16 4.64 587 8232

1979/80 30850 2968 14216 48034 11.42 13.32 5.55 336 5541

1980/81 52301 3223 11237 66761 12.36 10.50 4.50 687 7012

1981/82 36090 3753 10947 50790 14.90 10.50 5.93 997 13072

1982/83 38852 2216 12728 53796 15.17 10.55 10.55 1020 20170

1983/84 36436 1729 11509 49674 22.87 16.35 16.35 1730 25716

1984/85 36270 1974 10836 49080 29.68 15.07 15.07 895 36418

1985/86 41042 2820 11285 55147 45.80 20.90 20.90 1408 94117

1986/87 39060 2702 16975 58737 50.75 29.00 29.00 1146 96626

1987/88 32804 2514 10389 45707 66.00 37.70 37.00 1122 120638

1988/89 41230 2280 11620 55130 90.00 51.00 51.00 1220 229322

1989/90 34945 1702 16427 53074 165.00 66.50 55.00 783 144998

1990/91 31304 1416 11403 44123 165.00 66.50 60.50 783 151088

1991/92 37065 1926 8996 47987 230.00 100.00 70.00 1140 2559

1992/93 36901 2128 12217 51246 316.00 123.00 100.00 765 128200

1993/94 26361 2448 7577 36386 923.00 904.00 700.30 .. ..

1994/95 27137 1542 7157 35836 1965.00 1481.10 1453.60 .. ..

1995/96 35142 2096 9710 46948 1229.30 1301.60 1169.00 .. ..

1996/97 32933 1279 9279 43491 1418.70 1412.60 874.40 .. ..

1997/98 19789 1894 9165 30848 .. .. .. .. ..

1998/99 23605 2590 13523 39718 1936 1064 1040.00 .. ..

1999/00 18171 3593 1078 32842 1486.6 1894.8 476.47 .. ..

2000/01 37176 3805 17007 57988 .. .. .. .. ..

2001/02 38000 3500 12000 53500 .. .. .. .. ..

2002/03 37294 4766 34368 76428 .. .. .. .. ..

2003/04 20716 1850 16138 38704 1800.00 1200.00 600.00 38704 46670

2004/05 23870 888 9133 33891 2593.50 1976.00 1235.00 33891 62566

2005/06 24116 1362 8856 34334 1200.00 420.00 270.00 33300 79304246

2006/07 33345 2417 19076 54838 2840.00 1796.00 1616.00 548 1298675

2007/08 26330 1588 15606 43524 2995.00 1875.00 1734.00 43523 89099

2008/09 37207 1727 29643 68577 2887.00 2172.00 1836.00 68577 165615552

2009/10 22217 915 11467 34599 3988.00 2475.00 1563.00 34599 108741091

Change (%)

08/09-09/10 -0.40 -0.47 -0.61 -0.50 0.38 0.14 -0.15 -0.50 -0.34

Increase (%)

76/77-09/10 -0.4 -0.6 0.0 -0.3 264.9 224.0 174.6 20.3 11426.2

Source: Coffee Marketing Board

+ Clean Coffee


2 Provisional

.. Not available

COFFEE PROCUREMENT AND LOCAL SALES

156

Table No. 39

Area (Hectares) Sisal Production Local Sales+

Quantity Producer Price Quantity Value

Season1

Matured Unmatured Total (Tons) (Shs/ton) (Tons) (Shs. milion)

1977/78 11626 38626 150252 91873 2474 25104 57.7

1978/79 107371 32589 139960 81384 2549 32023 95.6

1979/80 106866 26024 132890 85978 3135 35730 125.4

1980/81 99771 21642 121413 73753 3749 19687 68.0

1981/82 82257 17998 100255 60635 3784 30851 117.4

1982/83 85314 15720 101034 46187 4797 22384 94.9

1983/84 69799 13121 82920 38255 6410 12573 70.0

1984/85 62307 11796 74103 32247 7213 13075 88.3

1985/86 67606 13606 81212 30151 16099 19842 200.0

1986/87 67606 13606 81212 33170 19472 16477 407.0

1987/88 32932 20866 53798 33268 38750 20635 862.0

1988/89 47651 30584 78235 32265 64604 22661 1464.0

1989/90 48826 33780 82606 33743 94003 25563 2403.0

1990/91 49374 36240 85614 36001 89633 10398 932.0

1991/92 49374 36240 85614 24309 89203 17644 1582.2

1992/93 49374 36240 85614 21221 107079 18067 1517.6

1993/94 54485 24608 79093 29002 163540 17694 ..

1994/95 52953 25757 78710 24716 216026 18206 ..

1995/96 52018 27153 79171 28902 370807 18719 2549.0

1996/97 50459 28507 78967 25022 .. 18606 3374.0

1997/98 48745 29997 78742 22180 .. 18819 ..

1998/99 151869 33997 185666 23229 .. 6712 2146.0

1999/00 34645 7942 42587 41084 .. 16033 5617.8

2000/01 34645 11473 46118 23542 368077 7569 2786.0

2001/02 34645 11473 46118 23641 337732 4947 1671.0

2002/03 39462 10611 50073 23280 450000 6300 2835.0

2003/04 29493 12204 41697 26758 540000 6370 4027.0

2004/05 45079 14500 59579 27794 617342 8213 5070.0

2005/06 26384 13264 39649 30934 810000 10767 8613.0

2006/07 28273 13608 41882 33327 975000 11010 10152.0

2007/08 28577 15622 44199 34057 1000000 16997 15800.0

2008/09 35751 18023 53774 25996 1000000 11496 10100.0

2009/10 30556 11849 42405 24092 1200000 12761 10375

Change (%)

08/09-09/10 -14.5 -34.3 -21.1 -7.3 20.0 11.0 2.7

Increase(%)

77/78-09/10 162.8 -69.3 -71.8 -73.8 48404.4 -49.2 17880.9

Source: Tanzania Sisal Authority

+ Types of sisal are Line fibre, Tow and Flume Tow


.. Not available

SISAL PLANTATIONS, PRODUCTION AND LOCAL SALES

157

Table No. 40

Season1

Flue cured Fire cured Air cured Total Flue cured Fire cured Air cured

Flue cured Fire cured Flue cured Fire cured

1977/78 14451 2653 33 17137 7.40 5.20 4.80 3694 433 56.10 6.10

1978/79 14403 2654 30 17087 7.40 5.20 4.80 3254 1212 54.90 13.30

1979/80 13005 4195 34 17234 8.80 6.25 6.50 2829 1197 51.80 19.30

1980/81 12972 3670 33 16675 10.50 6.25 6.50 2981 958 57.70 43.40

1981/82 12164 4060 40 16264 12.60 7.70 6.80 3515 685 61.60 10.80

1982/83 9576 3987 52 13615 18.00 11.50 10.00 4048 462 99.00 31.10

1983/84 9009 1963 40 11012 18.00 11.50 10.00 3571 583 114.50 19.30

1984/85 10554 2726 36 13316 25.20 16.10 14.00 4417 333 179.80 13.20

1985/86 12113 415 21 12549 37.90 23.30 20.30 2302 281 126.30 13.80

1986/87 15009 1422 14 16445 49.25 30.30 26.40 4040 256 452.40 32.50

1987/88 11111 1802 8 12921 63.00 39.00 34.00 4069 259 651.90 45.10

1988/89 10187 1355 12 11554 75.60 48.75 37.32 4383 537 1074.10 88.20

1989/90 8461 3342 5 11808 93.04 76.49 40.25 8027 1057 2554.50 392.00

1990/91 10718 5733 8 16459 117.00 91.00 61.00 3845 531 4319.40 301.30

1991/92 18754 4566 2 23322 264.61 157.65 106.54 5364 172 7457.90 114.40

1992/93 18756 4566 2 23324 313.95 221.28 234.20 5372 209 7463.40 122.30

1993/94 21838 3953 6 25797 343.97 253.00 286.00 3164 285 4540.60 103.40

1994/95 18269 4362 19 22650 564.58 353.30 373.22 18260 4360 10309.00 1984.00

1995/96 23415 5183 - 28598 561.00 455.00 - 1319 183 1785.00 1331.00

1996/97 27101 8279 - 35380 632.00 551.00 - 2914 86 1236.00 1332.00

1997/98 42041 9054 - 51095 714.00 477.00 - 2647 117 1890.00 1320.00

1998/99 32041 5482 - 37957 530.00 454.00 - 979 69 2077.00 2435.00

1999/00 18232 6202 - 24434 603.00 566.00 - - - - -

2000/01 18231 6578 - 24809 543.00 556.00 - 2176 3392 5669.00 -

2001/02 25905 1799 - 27704 519.00 428.00 - 1595 348 4996.00 -

2002/03 23074 4798 - 27872 563.00 547.00 - 2325 45 5940.00 -

2003/04 30124 3422 - 43547 725.00 680.00 - 2245 136 6862.00 -

2004/05 41394 5983 74 47451 918.11 781.93 729.23 3144 252 6881.00 427.00

2005/06 50494 5228 741 56464 983.00 735.00 635.00 3486 168 9335.00 392.00

2006/07 49576 1038 170 50784 1264.00 881.00 960.00 3685 0 14302.00 0.00

2007/08 52597 2474 286 55357 1144.000 849.000 957.000 4057 231 15392 801

2008/09 56663 3641 437 60741 2741.470 1658.850 1698.480 5544 0 26167 0

2009/10 88808 4901 497 94202 2946.000 1691.000 1773.000 2210 148 9699 590

Change (%)

08/09 - 09/10 0.57 0.35 0.14 0.55 0.07 0.02 0.04 -0.60 -0.63

Increase (%)

77/78-09/10 5.15 0.85 14.06 4.50 397.11 324.19 368.38 -0.40 -0.66 171.89 95.72

Source: Tobacco Marketing Board

+ Sales of fire cured and air cured tobacco

1 Season is between April and March

- Not Available

TOBACCO PROCUREMENT AND LOCAL SALES

Quantity (Tons) Value (shs.mil.)

Procurement (Tons) Price(shs/kg) Local Sales+

158

Table No. 41

Season 1

North South Total Price2

Crude Extract Powder Dry Mack Crude Extract Powder Dry Mack

(Shs./kg)

1977/78 173 2379 2552 4.00 1.4 89.0 1609.0 332.00 880.00 555.00

1978/79 50 1550 1600 4.00 1.1 95.0 270.0 338.00 1298.00 224.00

1979/80 26 1598 1624 6.00 0.7 156.0 216.0 322.00 2829.00 550.00

1980/81 59 1943 2002 7.50 1.7 224.0 303.0 184.00 4870.00 885.00

1981/82 70 1817 1887 10.00 2.1 180.0 254.0 1280.00 4596.00 998.00

1982/83 32 1569 1601 10.00 0.7 175.0 241.0 500.00 4700.00 1330.00

1983/84 19 1419 1438 14.00 1.0 223.0 175.0 764.00 5936.00 1329.00

1984/85 8 1534 1542 19.50 2.1 151.0 373.0 3563.00 7100.00 1585.00

1985/86 12 1340 1352 21.10 0.5 215.0 207.0 978.00 12900.00 1419.00

1986/87 12 1219 1231 29.50 0.3 183.0 358.0 1092.00 17535.00 3663.00

1987/88 6 1406 1412 35.40 1.0 140.0 321.0 3900.00 16600.00 4100.00

1988/89 8 1305 1313 47.80 0.6 106.0 239.0 3021.00 15389.00 5436.00

1989/90 8 1582 1590 60.00 0.8 139.0 253.0 6681.00 22907.00 1636.00

1990/91 16 1656 1672 120.00 0.8 59.0 253.0 11654.00 26120.00 2315.00

1991/92 43 2425 2468 230.00 0.3 38.0 59.0 18390.00 19040.00 672.00

1992/93 60 2034 2094 230.00 1.0 70.0 - 26500.00 39900.00 -

1993/94 10 450 460 250.00 0.0 40.0 - 17500.00 22800.00 -

1994/95 10 450 480 250.00 0.0 28.40 - 2112.00 16160.00 -

1995/96 6 430 438 300.00 0.0 - - - - -

1996/97 6 262 262 300.00 0.0 - - - - -

1997/98 6 430 430 300.00 5.0 - - - - -

1998/99 - 500 500 320.00 8.0 - - - - -

1999/00 571 571 320.00 - - - - - -

2000/01 3 1463 1466 400.00 - - - - - -

2001/02 36 1699 1735 420.00 - - - - - -

2002/03* 111 979 1090 380.00 2 90 - 106920.00 99891.00 -

2003/04 85 751 842 360.00 - - - - - -

2004/05 90 910 1000 360.00 - - - - - -

2005/06 - 2800 2800 360.00 - - - - - -

2006/07 - 1600 1600 700.00 - - - - - -

2007/08 - 1470 1470 1050.00 - - - - - -

2008/09 0 1600 1600 1500.00 36.4 105 624 0 0 0

2009/10 0.0 1780 1780 1500.00 57.0 69.0 1035.0 37361.0 1473.0 248.0

Change (%)

08/09-09/10 0.1 0.1 0.0 0.6 -0.3 0.7

Increase (%)

77/78-09/10 -0.3 -0.3 374.0 39.7 -0.2 -0.4 111.5 0.7 -0.6

Source : Tanzania Pyrethrum Bord


2 Price is for grade five only

- No local sales

* This data is for the period up to December 2002 of the ongoing season

PYRETHRUM PROCUREMENT AND LOCAL SALES

Local Sales - Value (Shs.'000)Local Sales - Quantity (Tons)Procurement (Tons)

159

Table No. 42

Season1

Upper Lower Upper Lower Quantity Value

Grade Grade Total Grade Grade (Kg) (Shs.'000)

1977/78 54238 14245 68483 1.15 0.95 20083 38760

1978/79 44190 12878 57068 1.70 1.40 24620 69798

1979/80 38102 3314 41416 1.80 1.50 22044 62495

1980/81 47792 8766 56558 3.00 2.00 36205 159121

1981/82 41221 3110 44331 5.00 3.50 - -

1982/83 30721 2245 32966 5.00 3.50 - -

1983/84 46177 2129 48306 7.00 4.90 - -

1984/85 31842 690 32532 9.80 6.90 - -

1985/86 16066 2835 18901 11.75 8.30 - -

1986/87 15324 1224 16548 18.20 12.85 - -

1987/88 23274 1013 24287 30.00 20.00 134082 142080

1988/89 18602 673 19275 40.00 27.00 275016 224440

1989/90 16829 230 17059 84.00 56.00 152752 497970

1990/91 27426 1444 28870 110.00 73.00 161703 887750

1991/92 41238 * 41238 137.00 89.00 151804 654517

1992/93 39323 * 39323 160.00 100.00 - -

1993/94 46603 * 46603 200.00 185.00 - -

1994/95 63403 * 63403 330.00 - - -

1995/96 81729 * 81729 380.00 - - -

1996/97 63033 * 63033 300.00 - - -

1997/98 99915 * 99915 330.00 - - -

1998/99 106442 * 106442 460.00 - - -

1999/00 121207 * 121207 600.00 - 5071 3043

2000/01 122283 * 122283 250.00 - 934 233

2001/02 64886 14394 79280 300.00 180.00 2928 878

2002/03 79300 15700 95000 360.00 290.00 5630 2122

2003/04 65000 15000 80000 462.00 370.00 6061000 2521376

2004/05 59425 11575 71000 750.00 600.00 7013017 4733786

2005/06 61976 15470 77446 600.00 480.00 10738 6354240

2006/07 82154 8587 90741 600.00 480.00 22299 13001000

2007/08 89,639 8,633 98,273 610.00 488.00 98273 59335652

2008/09 48,633 - 48,633 700.00 560.00 48633410 34043387

2009/10 118825 355 119180 1700.00 1200.00 119179718 202.6

Change (%)

08/09-09/10 144.3 145.1 142.9 114.3 145.1 -100.0

Increase (%)

77/78-09/10 119.08 -97.51 74.03 147726.09 126215.79 593335.83 -99.48

Source: Cashew Marketing Board

1 Season is between October and September

- Not available

* Not compiled

CASHEWNUTS PROCUREMENT AND LOCAL SALES

Procurement (Tons) Price (Shs/Kg) Local Sales

160

Table No. 43

Crop %Change

2002/03 2003/04 2004/05 2005/06 2006/07 2007/08 2008/09 2009/10 2008/09-2009/10

Sisal 23,280 26,758 27,794 30,934 33,327 34,057 25,480 24,092 (5.4)

Coffee 76,428 38,704 33,891 34,334 54,838 43,524 68,577 34,599 (49.5)

Cotton1

188,689 139,969 341,589 376,591 130,585 200,662 123,582 54,851 (55.6)

Tobacco 27,872 43,547 47,451 56,464 50,784 55,357 60,741 94,202 55.1

Pyrethrum 709 842 1,000 2,800 1,600 1,470 1,600 1,780 11.3

Tea2

132,395 127,979 133,418 123,218 158,656 148,471 141,811 150,737 6.3

Cashewnuts 95,000 80,000 71,000 77,446 90,741 98,273 48,633 119,180 145.1

Sugar Cane 1,813 2,342 2,346 2,501 2,041 2,766 2,749 2,569 (6.5)

Source: Respective Marketing Boards

1 Seed cotton

2 Green leaves

Quantity (Tons)

SUMMARY OF MARKETED QUANTITES AND VALUE OF PRINCIPAL CASH CROPS

161

CHAPTER 12

NATURAL RESOURCES AND TOURISM

Growth Rate

250. In 2010, forestry and hunting sub activity grew by 4.1 percent

compared to 3.5 percent in 2009. The contribution of forestry and hunting

economic activities to GDP was 2.4 percent compared to 2.2 percent in 2009.

Forestry and Beekeeping

251. In 2010, receipts from forestry and beekeeping sub-sector were shilling

46.6 billion compared to shilling 25.2 billion in 2009, equivalent to an

increase of 85.1 percent. The increase was attributed to large sales of trees at

Sao Hill farm; decline in timber imports from neighbouring countries;

auctioning of teak logs at Mtibwa farms; improved patrols in harvesting,

transportation and markets; increase in local sale of forest products and

increase in traders‘ awareness on procedures and regulations for forest

products business.

252. Exports of forestry products decreased from USD 61,399.86 in 2009 to

USD 10,752.62 in 2010. The decrease was caused by decisions of many

companies to stop or reduce timber export, since customers in the foreign

market prefer timber products of not less than 6 inches, whereas the law

governing forest product prohibit export for timber of more than 4 inches

width. In addition, the emphasis to process logs locally also contributed to the

decline of forest product exports.

253. In 2010, the forestry and beekeeping sub-sector continued to provide

training on forestry and beekeeping at its three training institutes of

Olmotonyi – Arusha; Forest Industry College - Moshi; and Beekeeping

College - Tabora. The training was the Government efforts to ensure

availability of adequate experts in the labour market for conservation and

development of forest and beekeeping resources.

162

254. In 2010, the Government continued with its plan to conserve mangrove

forests whereby a total of 238 hectares at Rufiji river delta were planted

mangrove trees. Out of those, 76 hectares were planted through climate

change programme under WWF project, while 162 hectares were planted

through financial support from MACEMP project. In addition, 63 districts

were facilitated to implement the Village Participatory Forestry Management

Programme in 2,445 villages with a total of 4,328,700 hectares compared to

2,328 villages with 4,122,500 hectares in 2009. Out of the total, 1,575

villages, managed community forestry with a total of 2,550,000 hectares

while 870 villages managed 1,778,700 hectares.

255. In order to address climate change issues, the Government continued to

sensitize tree planting activities through the National Tree Planting Day

programme. In addition, a total of 619,363,136 trees were planted nationally

between 2005/06 and 2009/10 which is equal to 563,057.3 hectares in four

years or an average of 140,764.3 hectares per year. The rate of tree planting is

increasing due to increased awareness in the community following the

ongoing sensitization efforts.

256. In 2010, a total of 10,278,681 of various tree seedlings were nurtured

and planted in 7,008.12 hectares in open and harvested areas compared with

7,806,652 seedlings nurtured and planted in 6,805.8 hectares in open space

areas in 2009. During the same period, a total of 15,639.68 hectares of trees

were pruned and weeded compared to 7,829.8 hectares in 2009. In addition, a

total of 6,147.72 feeder roads and 1,741.7 kilometres of fire break roads were

rehabilitated compared to 2,275.5 kilometres of feeder and fire break roads

rehabilitated in 2009. The evaluation carried out in 2010, in 15 farms

revealed that, those farms have 1,362,365.38 cubic metres of trees.

257. In 2010, an average of 9,380 tons of honey worth shs. 35.17 billion and

625 tons of wax worth shs. 4.5 billion was produced. This level of production

account for only 7 percent of the country‘s production potential. Honey

exports declined by 11.7 percent from 485.8 tons in 2009 to 428.8 tons in

163

2010. However, receipts from honey exports increased from shs. 1.09 billion

in 2009 to shs. 1.27 billion in 2010, equivalent to an increase of 16.5 percent.

258. In 2010, the average price of honey in external market was between

USD 1,800 to 2,500 per ton compared with USD 1600 to 1800 per ton in

2009. Similarly, the average export price for wax in 2010 remained the same

as recorded in 2009. Average price of wax was between USD 4,500 and

5,200 per ton in the external markets. In domestic market, the farm gate price

of honey was between shs. 1,500 and 2,000 per one and a half kilogram while

the farm gate price of wax ranged between shs. 3,800 and 4,000 per kilogram.

259. In 2010, exports earnings from honey decreased by 11.7 percent to

428.8 tons from 485.8 tons in 2009. In addition, earnings from honey

exports were shs. 1,271.1 million compared to shs. 1,097.2 million earned in

2009, equivalent to 15.8 percent increase. Further, wax exports increased by

2.2 percent to 568.3 tons in 2010 from 556.0 tons in 2009. Furthermore,

export receipt of wax increased to shs. 3,731.9 million in 2010 compared to

shs. 3,525.2. million in 2009, equivalent to an increase of 5.9 percent.

Table No.12.1: Export of Bee Products (Honey and Wax), 2006-2010

HONEY WAX

YEAR WEIGHT(KG) VALUE (T

SHS)

WEIGHT

(KGS) VALUE(TSHS)

2006 325,729 538,102,710 364,532 2,036,643,691

2007 156,012 218,348,125 320,660 1,909,188,517

2008 612,960 1,199,283,500 580,154 3,653,036,682

2009 485,842 1,097,642,183 556,000 3,525,245,806

2010 428,825 1,271,121,001 568,260 3,731,939,869

Source: Ministry of Natural Resources and Tourism, Wildlife Department

260. In 2010, the Government continued to reinforce patrol groups to

protect the forest resources from unsustainable harvesting. A total of shs.

432,485,346 were collected from fines and sales of impounded and

confiscated forest products due to violation of Forest Act No. 14 of 2002. The

164

impounded items include 4,899 bags of charcoal, 26,399 pieces of timber,

1,052 pieces of logs, 5,140 poles, 51 bicycles and 95 chain saws.

Wildlife

261. In 2010, earnings from wildlife subsector were shs 313.99 million

compared to shs. 535.7 million in 2009, equivalent to 41.4 percent decrease.

This was caused by a decline in the number of wild animals in some hunting

blocks as those blocks were used for animal grazing, agriculture, lumbering

and charcoal burning. The decline was also caused by: decrease in tourist

hunting, photographic tourism, trophy business licences fees; and poor

infrastructure. On the other hand, earnings increased from permits for

exporting trophy, permits for catching wild animals, property right for trophies

and other fees. This was attributed to an increase in fee rates of the above

sources of earnings and trophy transportation in 2010.

Table No. 12.2: Trends in Earnings from Wildlife Subsector 2006 -2010

2006 2007 2008 2009 2010 %

Change

Hunting

tourism

USD 12,030,510 14,704,370 19,760,812 18,444,881 14,443,417 -21.7%

Photographic

tourism

USD 790,009 1,332,385 2,387,728 2,706,603 2,576,677 -4.8%

TZS 37,614,400 89,729,250 114,758,392 261,639,400 128,704,850 -50.8%

Trophy

business

licences

TZS

145,105,000 189,888,495 153,084,905 172,046,203 16,122,000 -90.6%

Permits for

trophy

exports

TZS

8,295,000 10,457,500 10,206,000 5,651,750 14,705,750 160.2%

Permit for

catching

wild animals

TZS

235,969,377 74,478,766 408,476,566 87,559,229 137,055,190 56.5%

Trophy

property

rights

TZS

2,185,900 2,885,400 2,353,400 1,462,000 2,231,840 52.7%

Other fees TZS 16,148,526 84,703,267 111,453,174 7,361,669 15,174,066 106.1%

Total USD 12,820,519 16,036,755 22,148,540 21,151,484 17,020,094 -19.5%

TZS 445,318,203 452,142,678 800,332,437 535,720,251 313,993,696 -41.4%

Source: Ministry of Natural Resources and Tourism.

262. In 2010, the Government continued to protect wildlife resources

against poaching and unsustainable harvesting. In 2010, a total of 77,446

patrols were conducted in reserve forests and non reserved areas compared

165

with 42,544 patrols in 2009. During the year, a total of 766 cases involving

1,672 suspects were filed at various courts compared to 714 cases involving

3,052 suspects in 2009. Out of the total number of cases, 286 were concluded

with convicted paying fines worth shs.491.8 million while the rest were jailed

for a total of 392 months, compared to 426 cases whose suspects paid fines

worth shs.131.1 million in 2009.

263. In an effort to protect the lives and properties of the people against

wild and destructive animals, the wildlife subsector conducted a total of 2,111

patrols in 17 districts compared to 2,100 patrols in 23 districts mostly affected

by destructive wild animals in 2009. The affected districts include Manyoni,

Rombo, Hai, Siha, Nanyumbu, Singida rural, Bunda, Monduli, Serengeti,

Biharamulo, Karagwe, Mkuranga, Iringa, Babati, Moshi rural, Muleba and

Kondoa. In addition, a wildlife census was conducted at Mkomazi, Saadani,

Wami – Mbiki, Selous – Niassa Corridor, Serengeti, Natron and Longido areas

to ensure sustainable use of wildlife resources.

264. In 2010, a total of 100 kilometres of roads in Selous, Mkungunero and

Kijereshi were rehabilitated compared with 110 kilometres in Selous forest

reserve area in 2009, so as to ensure that the reserves areas are accessible for

patrol, hunting tourism and photographic tourism. In addition, in 2010 a total

of 50 kilometres of boundaries were cleared in reserve forests of Mpanga-

Kipengele and Liparamba compared to 101.5 kilometres cleared at forest

reserves at Ikongoro/Gurumeti and Lukwika.

FISHERIES

265. In 2010, fishing activities grew by 1.5 percent compared to 2.7 percent

in 2009. The decrease was attributed to poor fishing gears, destruction of fish

hatcheries and declined demand of fish in the external market. In addition, the

contribution of fishing activities to GDP was 1.4 the same as in 2009.

266. In 2010, a total of 347,157 tons of fish worth 774.5 million shillings on

average were harvested compared to 335,675 tons worth 408 million shillings

in 2009. Out of those, 294,474 tons, equivalent to 84.8 percent was from fresh

166

water fishing, whereas 52,683 tons equivalent to 15.2 percent was from sea

water.

267. In 2010, a total of 163,601 artisanal fishermen were involved in fishing

using 50,001 fishing vessels compared to 174,540 artisanal fishermen who

used 56,164 vessels in 2009. In 2010, a total of 39.2 million kilograms of fish

products and 37,924 pieces of aquarium worth 263.3 billion were exported

compared to 41.1 million kilograms of fish products and 53,188 pieces of

aquarium worth 207.4 billion exported in 2009. Sales levy from those products

increased from shillings 6,047.5 million in 2009 to shillings 6,490.2 million in

2010.

268. In 2010, the Government continued to strengthen fishing resource

security centres. During that period, 12 security boats were bought and

allocated one boat each to Kipili, Kanyigo, Kasumulo, Sota, Mafia and Kilwa

security centres, and two boats to Dar es Salaam, Tanga, Mtwara centres. In

addition, two engines were bought for Kigoma and Bukoba centres and four

rubber dinghies were bought and distributed in Dar es Salaam, Mafia, Mtwara

and Tanga centres.

269. In 2010, a total of 2,882 patrols were conducted in market areas; fish

processing industries; harbours; air ports; fishing net shops; fish storage

facilities/stores; bus stations; train stations and Kibaha weigh bridge with the

aim of controlling illegal fishing compared to 9,617 patrols conducted in 2009.

Those patrols enabled apprehending illegal fishing gears and various tools

which are used against the rules and regulations of the country. Among the

tools apprehended were, 22 beach seines, 44,542 meters of synthetic ropes,

692 gill nets, 362 monofilament nets, 74 sardine nets, 18 Mosquito nets, 2

guns, 2 guns, 5 cast nets, 6 arrows, 29 gas cylinders, 3 explosive, 300 pieces of

detonator, 100 kilograms of fertilizers, 3 pairs of mirrors, 57 canoes, 10 boats,

12 boat engines, 13 cars, 3 bicycle and 3 motorcycle. In addition, 12,108

kilograms of immature Nile Perch, 4,248 kilograms of immature tilapia, 5,275

kilograms of fish from beach seines, 4,831 kilograms of sardines, 159

167

kilograms of sea shells, 752 kilograms of fish from explosives and 2,198

kilograms of big fish illegally harvested were apprehended. Further, in 2010, a

total of 98 suspects were arrested and 14 cases were filed in the court

compared to 987 suspects arrested in 2009. A total of 9,170,000 shillings were

collected from various fines. Furthermore, 512 monitoring units (BMU) of

fishing resources were strengthened, whereby 438 units are in Lake Victoria,

29 are in Mtera dam, 20 are in ‗Nyumba ya Mungu‘ dam, 11 River Ruhuhu, 6

Mafia and 8 Rufiji.

270. In 2010, total of 2,222 inspections were carried out in 32 fish fillet

processing industries and 11 fish product storage facilities. In addition, 623

samples of fish products, water and soil were tested at National Fish Quality

Control Laboratory (Nyegezi-Mwanza), the Tanzanian Bureau of Standards,

South African Bureau of standards and Chemiphar of Uganda to detect

harmful bacteria and mineral contents compared to 975 samples in 2009. In

2010, a total of 40,498,495 kilograms of fish and fish products and 18,590

aquarium fish were inspected before exported compared to 31,263,286

kilograms of fish and its products and 51,663 aquarium fish in 2009.

Table 12.3: Fish Harvested in 2010

Area Artisanal

Fishermen

Fishing

Vessels

Weight

(Ton)

Values

(Tshs)

Lake Victoria 95,303 26,983 243,564.4 608,910,975.0

Lake Tanganyika 12,574 7,129 32,003.14 48,004,702.50

Lake Nyassa 6,557 2,013 11,460.34 17,190,510.00

Lake Rukwa 1,676 1,032 4,254.09 6,381,135.00

Mtera Dam 1,572 1,284 754 1,131,000.00

Nyumba ya Mungu Dam 3,466 1,167 1,006.58 2,013,157.68

Lake kitangiri 457 224 76.02 152,040.00

Lake Babati 222 91 126.00 189,000.00

Lake Jipe 78 50 14.00 21,000.00

Other Minor water 5,375 2,364 1,215.00 850,500.00

Marine Artisanal 36,321 7,664 52,683.38 89,639,934.00

Total 163,601 50,001 347,156.9 774,483,954.2 Source: Ministry of Livestock Development and Fisheries

168

Table 12.4: Harvesting Fishing Resources from 2005 to 2010


Tourism

271. In 2010, the number of foreign tourists who visited various tourist

attractions in the country increased by 9.6 percent to 782,699 tourists from

714,367 tourists in 2009. In addition, earnings from tourism were USD 1.25

billion compared to USD 1.16 billion collected in 2009. The increase was

attributed to the efforts taken to promote and sensitize tourism, as well as

improvement in tourist services, particularly hotels and infrastructure.

Fresh Water Sea Water

Total (Fresh Water and Sea

Water)

Year Fishermen Fishing

Vessels

Weight

(ton) Fishermen

Fishing

Vessels

Weight

(ton) Fishermen

Fishing

Vessels

Weight

(ton)

2005 103,443 32,248 320,566.0 29,754 7,190 54,968.6 133,197 39,438 375,535

2006 126,790 44,362 292,518.7 29,754 7,190 48,590.5 156,544 51,552 341,109

2007 126,790 44,362 284,346.9 36,247 7,489 43498.5 163,037 51,851 327,845

2008 133,791 44,838 281,690.9 36,247 7,489 43,130.2 170,038 52,327 324,821

2009 135,769 45,234 288,059 36,321 7,664 47,616 172,090 52,898 335,675

2010 127,280 42,337 294,474 36,321 7,664 52,683 163,601 50,001 347,157

169

Table No: 12.5: Tourists visited National Parks 2008 - 2010

No.

National Park

Type of Tourists

Foreigner

s Locals Foreigners Locals

Foreigne

rs Locals

2008 2009 2010

1 ARUSHA 39,778 43,484 40,268 9,235 34,308 30,162

2 GOMBE 1096 325 1,202 432 1,166 1,001

3 KATAVI 3,161 2250 1882 292 1,484 1,330

4 KILIMANJARO 155,275 6,954 41,879 1,183 50,193 3,545

5 KITULO 117 413 366 187 151 158

6 LAKE

MANYARA 112,687 46,477 118,565 16,361 112,982 48,288

7 MAHALE 2,888 191 810 58 865 44

8 MIKUMI 21,038 17,629 25,282 10,616 18,936 22,872

9 MKOMAZI 433 552 647 263 566 572

10 RUAHA 21832 12355 14,125 3,118 12,623 8,797

11 RUBONDO 721 490 472 153 501 381

12 SAADANI 2,482 2,293 2,755 1,335 2,127 4,442

13 SERENGETI 225,606 218,375 202,537 58841 228,644 69,369

14 TARANGIRE 95,760 43,883 77,739 10,018 85,778 34,752

15 UDZUNGWA 2,837 1,731 3163 1395 2,945 2,707

Total 685,711 397,402 531,692 113,487 553,269

228,42

0 Source: Ministry of Natural Resources and Tourism, TANAPA

272. In 2010, a total of 523,646 tourists visited Ngorongoro Conservation

Authority. Out of those, 281,513 tourists were foreigners, while 242,133

tourists were locals compared to a total of 438,179 tourists in 2009, out of

which 234,767 were foreigners and 203,412 were local tourists.

170

Table No. 12.6: Tourists visited Ngorongoro Conservation Authority 2010

Month Foreigners Locals Total

January 22,296 20,123 42,419

February 26,933 18,971 45,904

March 16,165 15,277 31,442

April 9,619 12,669 22,288

May 11,995 13,952 25,947

June 19,865 19,301 39,166

July 38,563 26,469 65,032

August 40,007 27,954 67,961

September 25,804 23,450 49,254

October 26,286 22,217 48,503

November 17,949 18,241 36,190

December 26,031 23,509 49,540

Total 281,513 242,133 523,646

Source: Ministry of Natural Resources and Tourism, Ngorongoro Conservation Authority

273. In 2010, the Government continued to promote the country‘s tourist

attractions in and outside the country through Tanzania Tourist Board. During

the year, various handouts such as ‗Tanzania Tourism Directory‘,

‗Accommodation Directory‘, ‗Tantravel magazine‘, and DVDs and CDs were

produced by the Tanzania Tourist Board in order to promote the country‘s

tourist attractions. In addition, the Government through the Tanzania Tourist

Board attended 15 international tourist fairs in different countries in the world.

Similarly, the Government continued to use various opportunities within the

country like the Sabasaba Trade Fair, Farmers‘ Day (Nanenane), ‗Karibu

Fair‘, Utalii day and Beauty contests to promote local tourism and to reduce

dependency on foreign market.

274. In tandem with promoting tourist attractions, the Government

continued to manage and improve various services provided by tourist

business agencies and infrastructure in the tourism industry. Regarding

improvement in the quality of service, the Government reviewed the

171

classification of 156 hotels with 4,547 rooms in Arusha and 60 hotels with

1,853 rooms in Manyara region. Similarly, the Government inspected 31

hotels in Mwanza and conducted training to hotel management personnel on

business operations of tourist hotels in the country.

Archives and Antiquities

275. In 2010, a total of shilling 231.8 million were collected from archive

and antiquity centres compared with shilling 216.5 million collected in 2009,

equivalent to an increase of 7.1 percent. The increase was attributed to both

local and foreigners being motivated to visit archive and antiquity centres.

276. In order to conserve and promote cultural heritage, the Government

prepared Archive and Business Plan for the Laetoli centre – Arusha; and

renovated the historical buildings of Tea House and Mwanamakuka -

Bagamoyo, Portuguese Fort and Malindi mosque in Kilwa. Similarly, the

Government conducted research and discovered 308 foot prints of human who

lived 120,000 years ago at Engaresero in Arusha.

277. In 2010, the Government commemorated Majimaji Memorial War at

Nandete village in Kilwa Kipatimo. Further, the Government built a Majimaji

Memorial Tower which was inaugurated by Honourable Jakaya Mrisho

Kikwete, the President of the United Republic of Tanzania.

278. In 2010, the National Archive centres collected a total of shilling 229.0

million. Out of those, shilling 82.4 million were from entry fees and shs 146.6

million were other sources from those centres.

172

Table No. 12.7: Visitors visited Antiquities and corresponding

Earnings in 2010

Source: Ministry of Natural Resources and Tourism – Antiquities Department

Centre Visitors Revenue (Shs.)

Olduvai George 92,434 152,847,900

Kaole 35,348 13,906,800

Isimila - -

Mji Mkongwe 8,757 4,242,300

Caravan Serai 3,175 1,236,600

Kolo 420 213,200

Kalenga 313 195,500

Engaruka - -

Kilwa 3,570 3,996,100

Mbozi 951 439,900

Amboni 12,808 6,272,000

Tongoni 551 828,700

Kunduchi - -

Ujiji 524 1,513,000

Kwihara 2,815 809,500

Makao Makuu - 45,323,575

Total 161,666 231,825,095

173

Table No. 45

Region 2005/2006 2006/2007 2007/2008 2008/2009 2009/2010

ARUSHA 1,591,934 4,141,250 4,312,043 6,968,417 5,163,971

MANYARA 1,784,543 3,606,308 4,154,855 4,614,004 4,499,801

DAR ES

SALAAM 949,844 1,668,801 1,668,800 2,763,392 2,867,313

DODOMA 2,472,127 3,859,176 3,859,180 4,100,000 4,330,000

IRINGA 17,000,000 20,000,000 17,486,732 58,200,000 84,979,626

KAGERA 5,831,745 11,053,410 5,293,435 13,298,266 12,168,342

KIGOMA 1,819,307 2,013,451 2,013,452 1,971,790 1,346,643

KILIMANJARO 3,054,132 6,000,000 4,817,061 3,432,106 5,900,000

LINDI 2,927,204 6,000,000 3,773,313 2,010,000 5,157,600

MARA 6,030,801 5,094,200 5,297,968 6,443,842 5,626,994

MBEYA 4,681,448 11,953,129 5,950,835 10,902,351 11,268,387

MOROGORO 5,295,470 6,467,449 5,862,747 7,411,000 5,928,503

MTWARA 1,845,270 3,186,400 1,713,806 3,678,734 *

MWANZA 2,439,019 7,730,189 5,084,184 5,309,775 2,690,646

PWANI 2,672,490 4,006,275 5,423,241 8,374,066 2,981,630

RUKWA 3,166,911 3,261,918 3,392,395 6,427,855 642,855

RUVUMA 3,208,223 6,500,000 4,750,000 7,800,000 9,100,000

SHINYANGA 3,835,080 19,910,981 34,839,431 30,136,031 21,915,690

SINGIDA 357,163 2,128,150 1,830,458 1,498,289 2,033,533

TABORA 3,338,540 4,120,530 3,238,550 5,250,010 7,520,316

TANGA 66,869,301 5,596,002 11,314,395 13,228,156 6,152,785

Total 141,170,552 138,297,619 136,076,881 203,818,084 202,274,635

Source: Departments of Forestry and Beekeeping and Environmental Department

* statistics not available

TREE PLANTED PER REGION

174

Table No. 47

Volume/We

ight

Value (US

$ '000)

Volume/W

eight

Value (US

$ '000)

Volume/

Weight

V alue

(US $

'000)

Volume/

Weight

Value (US

$ '000)

Volume/

Weight

Value (US

$ '000)

Tree logs m3 5,117.10 11,096.10 12,850.76 35.40 3,191.93 9.56 - -

Timber (Rough sawn) m3 24,859.30 66,741.20 51,908.84 137.98 79,037.73 73.35 6,920.00 26.55 10010.44 37.67

Ebony Timber m3 2,269.20 2,321.70 137.70 4.81 11,002.26 3.46 118.29 2.90 68.63 2.09

Floor Boards m3 107.70 378.90 140.20 0.55 5.38 1.28 - 16.75 0.06

Vinyago Kg 45,296.90 27,271.20 63,634.70 40.54 114,937.58 28.86 68,231.83 17.98 26963.93 20.38

Rail Gauges m3 19.90 81.60 - - -

Sandals Ton 398,555.50 3,011.40 550.00 1.52 - -

Funitures Pieces 6,504.00 4,092.10 6,504.00 6.72 183.18 2.51 396.00 1.73 1561 3.4

Tannin Ton 0.00 - -

Mimosa Bark Ton 304.00 1,102.00 532.00 2.00 1,417,000.00 7.86 95,133.00 1.11 458.025.00 2.4

Terminalia Bark Bags 0.00 - -

Tree Seeds Kg 1,150.00 1,787.00 36.28 - - - -

Bee wax Ton 330.60 428.68 1,892.00 - -

Honey Ton 315.80 94.00 80.89 - -

Tree's Glue Ton 0.00 - - - 80,000 0.26

Poles Pieces 85,000.00 0.4583 7,839.00 42.12 6,200.81 12.03 10 0.11

Sandals Oil Kg 21.25 2907.44 11,325.00 3.15 9,171.00 1.34 2,933.00 0.96

Cinchona Barks Tons 84.34 0.53 412,120.00 1.98 447,319.20 4.60 568.135 3.23

Handcrafts Pieces 9,927.24 6.23 6452 2.84

Bedding 18,930.00 0.12 3,600.00 0.12 - -

Date Palm Leaves Kg 11,000.00 0.76 10,000.00 0.27 4,000.00 0.21

Jatropha Oils Kg 14,000.00 0.11 210 0.05

Hives Frames 1,500.00 0.12

Medicine leaves Kg 7.00 0.05 18.37 0.15

Sandal dusts Kg 44,478.79 30.9

TOTAL 672,524.37 75.14 177,291.05 104.71

Source: Forestry and Beekeeping Department

- Not available

Unit

EXPORTS OF FORESTRY PRODUCTS

Product

2005/06 2006/07 2007/08 2008/09 2009/10

175

Table No. 48

Birds Number 152230 161220 100516 91075 98112 90869 6236 15347 15347 18798 25742

Reptiles Number 59112 62112 66857 58566 73620 54221 101467 112630 114171 110056 56988

Other mamals than primates Number 1112 1099 1090 950 569 509 229 274 296 202 263

Primates Number 825 1026 1282 155 476 437 273 736 738 50 202

Amphibians Number 25570 23820 34509 33457 27007 18823 37989 43967 46402 47055 24557

Insects Number 16320 19320 30211 57735 59376 73057 107489 77245 111512 100171 40351

Source: Wildlife Department

20002 2003 2004Unit

EXPORT OF GOVERNMENT TROPHIES

2010Type of Trophy 2006 2007 2008 200920052000 2001

176

Table No. 48A

Activity Unit 2003/04 2004/05 2005/06 2006/07 2007/08 2008/09 2009/10

Tourist Hunting US $ 8,824,305.00 9,775,749.00 11,676,847.00 12,030,510.00 14,704,370 14,861,740 17,610,454

Export of live animals Shs. 162,103,453.55 177,028,656.80 165,465,745.62 180,686,042.85 206,671,428 204,897,124 109,790,238


Table No. 48B

Year Number of

companies Foreign Tanzanians

1994/95 43 668 194

1995/96 42 694 160

1996/97 35 937 171

1997/98 35 992 355

1998/99 35 933 391

1999/00 35 923 429

2000/01 39 893 407

2001/02 40 1035 418

2002/03 40 1018 359

2003/04 40 1274 380

2004/05 46 1245 409

2005/06 54 1482 855

2006/07 54 1582 855

2007/08 54 1508 1725

2008/09 54 1152 1454

2009/10 47 - -


NUMBER OF TOURIST HUNTERS

Number of Hunters

177

Table No. 50

Number Fish catch and Revenues

of Artisanal Fresh Sea Total Fresh Waters Total

Year Fishermen waters waters Qty (Tons) Value (Shs.) Qty (Tons) Value (Shs.) Qty (Tons) Value (Shs.)

1993 61,943.0 17,744.0 3,232.0 20,976.0 294,782.1 31,238,839.00 36,684.8 10,206,810.00 331,466.9 41,445,649.00

1994 61,666.0 16,129.0 3,232.0 19,361.0 228,006.6 30,949,458.00 40,785.4 14,227,862.00 268,792.0 45,177,320.00

1995 75,516.0 18,696.0 3,768.0 22,464.0 207,139.0 45,805,145.00 51,073.0 28,579,811.00 258,212.0 74,384,956.00

1996 75,621.0 19,208.0 3,768.0 22,976.0 308,600.0 38,200,000.00 48,200.0 24,100,000.00 356,800.0 62,300,000.00

1997 75,621.0 19,208.0 3,768.0 22,976.0 306,750.0 42,265,000.00 50,210.3 25,350,000.00 356,960.3 67,615,000.00

1998 78,672.0 17,141.0 5,127.0 22,268.0 300,000.0 47,486,100.00 48,000.0 29,273,500.00 348,000.0 76,759,600.00

1999 81,572.0 17,141.0 5,127.0 22,268.0 260,000.0 44,018,000.00 50,000.0 33,500,000.00 310,000.0 77,518,000.00

2000 102,329.0 25,014.0 5,157.0 30,171.0 271,000.0 45,500,000.00 49,900.0 32,180,000.00 320,900.0 77,680,000.00

2001 120,266.0 25,014.0 4,927.0 29,941.0 283,354.0 47,108,668.00 52,935.0 34,113,717.00 336,289.0 81,222,385.00

2002 124,570.0 31,849.0 4,727.0 36,776.0 273,856.0 54,771,300.00 49,675.0 33,372,136.00 323,531.0 88,143,436.00

2003 124,570.0 31,849.0 4,927.0 36,776.0 301,855.0 141,073,500.00 49,270.0 34,489,000.00 351,125.0 175,562,500.00

2004 122,514.0 32,172.0 4,947.0 37,119.0 312,040.0 147,743,000.00 50,470.0 40,376,000.00 362,510.0 188,119,000.00

2005 133,197.0 32,172.0 7,190.0 39,362.0 320,566.0 256,452,800.00 54,969.0 82,452,930.00 375,535.0 338,905,730.00

2006 156,544.0 44,362.0 7,190.0 51,552.0 292,518.7 248,640,903.50 48,590.5 37,077,636.79 341,109.2 285,718,540.29

2007 163,037.0 44,362.0 7,342.0 51,704.0 284,347.9 252,525,197.95 43,459.6 39,210,207.20 327,807.50 291,735,405.15

2008 170,038.0 44,832.0 7,342.0 52,174.0 303,936.0 194,725,415.72 46,375.5 40,563,641.20 350,311.40 235,289,056.92

2009 174,540.0 48,221.0 7,943.0 56,164.0 299,729.0 351,394,073.10 44,838.2 56,633,436.00 344,567.30 408,027,509.10

2010 163,601 42,337 7,664 50,001 294,474 684,844,020.20 52,683.0 89,639,934.00 347,157.00 774,483,954.20

Source: Fisheries Department

Number of Boats

Marine Waters

PRODUCTION IN THE FISHERIES SECTOR : 1993 - 2010

178

Table No.51

US$ Tsh.

Dried Dagaa/L. Nyasa 6,127.60 21,303.25 31,161,046.60 2,850,972.50

Dried Dagaa/L. Tanganyika. 683,577.20 1,049,986.28 1,670,837,800.30 90,963,178.55

Dried Dagaa/L. Victoria. 8,200,490.40 36,011,572.43 52,101,345,464.86 488,206,240.09

Dried Fish Maws 58,414.20 296,025.24 425,054,140.12 23,267,739.00

Dried Fish Scales 9,240.00 17,094.00 22,438,268.00 109,159.00

Dried Fish/Kayabo 60,000.00 87,719.26 111,282,300.00 5,338,948.00

Dried Fish/L. Rukwa 85,185.90 30,868.17 43,353,988.80 3,044,625.00

Dried Fish/L. Tanganyika. 361,351.80 996,748.99 1,506,949,627.98 68,895,146.70

Dried Furu/L. Tanganyika. 5,500.00 3,850.00 4,920,300.00 300,000.00

Dried Furu/L. Victoria. 1,011,143.00 681,459.48 1,321,605,248.74 78,303,471.40

Dried Perege/Mtera dam 62,454.00 187,914.00 252,070,352.72 20,754,360.00

Dried Pelege/L. Victoria. 1,480.00 4,440.00 4,622,040.00 370,600.00

Dried Perege/L. Rukwa 339,326.00 1,014,134.00 1,485,107,656.00 15,705,398.00

Dried Fish Offcuts 35 8.75 11,393.00 2,279.00

Fresh Pelege/Mtera Dam 1,140.00 3,420.00 3,560,220.00 400,000.00

Farmed Prawns 154,825.60 816,552.00 1,151,378,568.38 6,048,859.30

Fish Frames 2,101,180.00 553,410.00 752,194,258.82 28,710,344.82

Fish Meals 291,018.00 87,342.78 113,045,283.84 5,595,447.20

Fresh Fish Fillets 9,242,892.60 55,516,757.69 76,440,952,983.99 1,719,095,617.60

Fresh whole Fish/L. Victoria. 2,551.00 15,231.00 17,971,773.00 880,700.00

Fresh Fish/L. Nyasa 1,300.00 3,900 4,059,900.00 340,000.00

Fresh Fish Steaks 160 816 1,193,198.54 28,075.39

Fresh H&G Fish 78,488.20 557,237.00 912,412,438.03 27,647,944.86

Fresh Tilapia fish/L. Victoria. 5,470.00 15,970.00 16,791,290.00 1,884,450.00

Frozen Fish Maws 840,114.70 9,830,955.90 14,738,740,461.32 215,711,066.84

Frozen Fish Chests 136,938.00 39,427.00 53,021,659.70 13,742,921.94

Frozen Fish Chips 29,856.00 9,369.00 12,280,009.00 1,837,494.00

Frozen Fish Offcuts 772,302.00 386,143.90 643,627,466.09 61,840,205.45

Frozen Octopus 823,576.00 3,382,917.08 4,816,679,143.72 285,686,908.89

Frozen Crabs 7,332.10 29,011.13 40,671,597.52 2,620,340.00

Frozen Cuttle Fish 5,157.00 14,432.10 19,823,902.78 1,980,413.00

Frozen Fish Fillets 12,936,298.00 68,604,903.30 94,468,553,159.20 2,230,058,847.80

Frozen Fish belly flaps 108,000.00 23,405.00 34,397,862.00 17,288,575.00

Frozen H&G Fish 853,161.00 3,729,308.00 5,379,131,141.65 164,139,150.43

Frozen Lobster/whole 13,715.40 70,023.54 91,315,762.73 6,865,195.07

Frozen Prawns 130,094.10 1,090,802.77 830,849,236.39 61,939,915.67

Frozen Squids 4,596.90 21,137.51 29,728,324.26 1,997,050.90

Live Crabs 141,518.00 984,969.00 1,414,123,105.11 120,222,316.46

Live Lobster 87,117.00 949,400.00 1,753,989,753 69,939,779.95

Sea Shells /Cowries 87,755.00 35,361.00 51,041,972.50 1,670,325.00

Smoked Fish/ L. Tanganyika 3,750.00 11,250.00 15,750,000.00 949,000.00

Frozen Fish Samples 2 102 149,220.00 3,521.00

Frozen Fish/Marine 200 600 624,600.00 45,000.00

Frozen Tuna 27,000.00 21,600.00 30,067,200.00 4,000,000.00

Sub - Total 187,208,878.55 262,818,885,118.69 5,851,281,583.81

Live Fish (No. of Pcs)

Live Aquarium Fish/ L. Nyasa 17,980 75,300.50 107,853,249.05 10,816,128.59

Live Aquarium Fish/L. Tanganyika. 22,572 142,874.43 204,703,660.46 14,005,845.02

Grand Total 187,427,053.48 263,131,442,028.20 5,876,103,557.42

Source : Ministry of Livestock Development and Fisheries

EXPORT OF FISH PRODUCTS

Products Quantity (KG)Value (FOB)

ROYALITY - Tsh.

179

SUMMARY OF FISH EXPORT PRODUCTS - 1996-2010

Table No. 51A

Year Quantity Values Duties

Kgs T.shs US $ T.shs

1996 25,544,863.0 24,837,660,718.5 61,782,880.1 1,513,450,669.0

1997 32,098,151.0 41,879,810,576.2 70,165,111.2 2,512,741,838.5

1998 46,660,954.0 54,836,980,435.0 83,523,090.0 3,290,218,972.2

1999 28,928,780.8 44,712,630,055.1 61,789,857.7 2,687,065,028.7

2000 41,725,215.8 51,173,638,115.5 64,535,114.8 3,071,388,241.3

2001 41,640,238.9 82,999,691,956.4 95,451,374.6 5,244,333,672.0

2002 32,953,787.4 88,940,963,071.8 94,244,093.3 4,981,373,636.9

2003 42,352,738.1 132,862,401,373.8 129,606,515.4 7,789,955,962.7

2004 46,026,817.4 112,922,686,607.3 112,761,195.1 7,190,356,743.1

2005 57,310,093.7 162,619,492,949.1 141,597,362.2 9,142,768,083.8

2006 44,495,623.4 170,184,661,003.1 138,120,145.1 6,236,615,179.2

2007 57,795,513.6 213,211,258,838.2 173,272,670.4 7,589,576,913.9

2008 51,426,207.7 205,054,092,452.9 174,409,214.4 6,629,846,700.1

2009 41,148,261.0 1,136,908,534,123.7 905,730,134.0 6,322,405,964.0

2010 39,771,833.7 263,131,442,027.7 187,427,053.5 5,876,103,557.4

TOTAL 629,879,079.4 2,786,275,944,304.2 2,494,415,811.9 80,078,201,162.8

Source : Fisheries Department

TRENDS OF NILE PERCH EXPORTS - 1996-2010

Table No. 51B

Year Quantity Values Duties

Kgs T.shs US $ T.shs

1996 20,296,124.4 19,338,404,278.7 52,277,681.3 1,185,728,961.9

1997 23,075,904.6 33,125,889,871.5 54,821,414.1 1,987,549,609.2

1998 36,386,241.0 43,258,023,811.9 65,727,795.0 2,595,481,431.8

1999 23,757,461.9 37,554,505,909.0 51,992,752.5 2,257,832,543.0

2000 30,831,841.0 36,401,237,005.8 45,903,212.8 2,184,070,656.4

2001 31,385,651.5 67,179,279,502.2 77,212,250.7 4,022,462,279.7

2002 24,888,811.0 72,028,087,135.2 76,314,520.4 -

2003 31,560,981.4 103,854,517,039.8 102,374,745.7 6,122,922,418.2

2004 30,312,898.3 82,356,866,789.0 76,261,406.4 5,171,324,343.0

2005 53,675,473.7 148,785,948,008.6 129,184,492.6 8,419,301,970.4

2006 39,472,977.7 156,160,190,326.6 126,829,665.7 5,491,786,878.8

2007 50,078,575.6 195,242,463,549.7 158,422,058.5 6,660,034,977.0

2008 38,721,422.2 180,366,779,818.2 153,740,732.3 5,412,912,979.2

2009 29,308,384.0 168,672,111,452.0 130,877,948.3 4,640,564,903.5

2010 27,229,470.7 194,012,069,313.9 139,666,995.1 4,509,670,993.8

TOTAL 490,982,218.9 1,538,336,373,812.0 1,441,607,671.3 60,661,644,945.9

Source : Fisheries Department

180

Table No. 52

Description 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010

Total number of visitors (000) 627 502 525 575 576 582 613 644 719 765 714 782

Total bednights (000) 3381 3837 5549 8430 9600 9625 10630 11792 12748 11390 10593 719097

Tanzanians 1686 2160 2917 3971 4100 4100 4500 4837 5350 4061 3708 -

Foreigners 1695 1677 2632 4459 5500 5525 6130 6955 7398 7329 6885 -

Visits to National Parks by Foreigners 627 778 880 1029 1031 1032 1083 1150 1214 1292 1163 -

Foreign exchange earnings (US $ Mil.) 733 739 725 730 731 746 823 862 1037 1354 1159.82 1254.5

Source: National Bureau of Statistics, Ministry of Natural Resources and Tourism

NUMBER OF VISITORS, HOTEL BED-NIGHTS AND FOREIGN EXCHANGE EARNINGS

181

Table No. 53

YearNumber of

Tourists% Change

Foreign exchange

earnings (US $ mil.)% Change

1995 293834 12.3 258.14 34.4

1996 326192 11.0 322.00 24.7

1997 360000 10.4 392.41 21.9

1998 482331 34.0 570.00 45.3

1999 628188 30.2 733.30 28.6

2000 501668 -20.1 739.10 0.8

2001 525122 4.7 725.00 -1.9

2002 575000 9.5 730.00 0.7

2003 576000 0.2 731.00 0.1

2004 582000 1.0 746.08 2.1

2005 612754 5.3 823.05 10.3

2006 644124 5.1 950.00 15.4

2007 719031 11.6 1198.00 26.1

2008 965000 34.2 1354.00 13.0

2009 714367 -26.0 1159.80 -14.3

2010 782699 9.6 1254.50 8.2

Source: Ministry of Natural Resources and Tourism

NUMBER OF TOURISTS AND FOREIGN

EXCHANGE EARNINGS: 1995-2010

182

Table No. 55

Unit 2005 2006 2007 2008 2009 2010

Total number of tourists Number 613000 644000 719013 770376 714367 782699

Number of tourists in hotels Number 590000 605000 673722 770376 665480 719097

Total earnings US $ million 823.0 950.0 1037.0 1354.0 1159.8 1254.5

Average earnings per tourist US $ 1342.0 1475.2 1666.0 1700.0 1625.0 -

Average number of bednights per visit Days 12 12 12 12 11 11

Average daily expenditure per tourist* US $ 140.0 1551.0 1981.0 265.0 231.0 328.0

Number of hotels Number 495 503 515 520 529 -

Number of hotel rooms Number 31365 31689 31870 32045 32315 -

Number of hotel beds Number 56562 56781 56995 57205 58167 -

Total tourist bednights in hotels Number 10587000 11792000 12748 13768 10710 -

Average hotel occupancy rate per year % 48 48 48 49 47 -

Number of employees in the tourist sector Number 199000 199300 250000 250500 250800 -

Source: Ministry of Tourism and Natural Resources, National Bureau of Statistics

_ Data not Available

* Package Travel Arrangement

TOURIST ACCOMODATION IN TANZANIA (2005 - 2010)

183

Table No. 55A

Name Foreigners Tanzanians Foreigners Tanzanians Foreigners Tanzanians

ARUSHA 39,778 43,484 40,268 9,235 34,308 30,162

GOMBE 1,096 325 1,202 432 1,166 1,001

KATAVI 3,161 2,250 1,882 292 1,484 1,330

KILIMANJARO 155,275 6,954 41,879 1,183 50,193 3,545

KITULO 117 413 366 187 151 158

LAKE MANYARA 112,687 46,477 118,565 16,361 112,982 48,288

MAHALE 2,888 191 810 58 865 44

MIKUMI 21,038 17,629 25,282 10,616 18,936 22,872

MKOMAZI 433 552 647 263 566 572

RUAHA 21,832 12,355 14,125 3,118 12,623 8,797

RUBONDO 721 490 472 153 501 381

SAADANI 2,482 2,293 2,755 1,335 2,127 4,442

SERENGETI 225,606 218,375 202,537 58,841 228,644 69,369

TARANGIRE 95,760 43,883 77,739 10,018 85,778 34,752

UDZUNGWA 2,837 1,731 3,163 1,395 2,945 2,707

TOTAL 685,711 397,402 531,692 113,487 553,269 228,420

Source: Ministry of Tourism and Natural Resources

NUMBER OF TOURISTS VISITED TOURISTS ATTRACTIONS

2008 2009 2010

184

CHAPTER 13

MINING

Growth Rate

279. The growth rate of mining and quarrying sub-activity was 2.7 percent

in 2010 compared to 1.2 percent in 2009. This was attributed to increased gold

production following the increase in gold price in the world market after the

impact of the global economic and financial crisis. The contribution of mining

and quarrying sub-activity to GDP was 3.3 percent as it was in 2009.

Mineral Prospecting

280. In 2010, a total of 5,294 mining and prospective licences were issued

compared with 4,599 licences issued in 2009, equivalent to an increase of 13

percent. Out of those, 586 licenses were for large mining prospecting, 19

licences were for middle and large scale mining, and 4,689 licenses were for

small scale mining. Such increase was a result of recovery of world economy

as well as improved mineral prices such as gold, the situation which attracted

local and foreign investors in the mining sector.

Mining and Mineral Sales

Diamond

281. Diamond production decreased by 66.7 percent from 181,874.0 carats

in 2009 to 80,498.1 carats in 2010. This was caused by decrease in diamond

production at Williamson Diamonds Limited (WDL) due to temporary closure

of the plant to allow for major repair. In addition, earnings from diamond

export declined from USD 22.73 million in 2009 to USD 16.3 million in 2010,

equivalent to 28.2 percent decrease.

Gold

282. In 2010, the production of gold was 39,314 kilograms compared to

39,112 kilograms in 2009, equivalent to an increase of 0.5 percent. This was

due to commencement of production at Buzwagi Gold Mine and increased

production at Geita and North Mara mines.

185

283. The value of gold exports increased by 38.1 percent from USD 1,039.5

million in 2009 to USD 1,435.5 million in 2010. This was due to the increase

in gold price in the world market. The average price of gold in the world

market increased from USD 972.7 per ounce in 2009 to USD 1,224.7 per

ounce in 2010, equivalent to an increase of 25.9 percent.

Gemstones

284. In 2010, production of gemstones was 2,646,109 kilograms compared

to 1,068,481 kilograms produced in 2009, equivalent to an increase of 17.0

percent. However, exports value of gemstones decreased to USD 5.8 million

in 2010 compared to USD 20.7 million in 2009, equivalent to a decline of 72.0

percent. This was due to the decrease in demand, resulting in a fall in the price

of Tanzanite and other gemstones in the world market.

Coal

285. In 2009, coal production at Kiwira mine was stopped due to shortage

of operational funds. However, production continued in 2010 whereby 179.5

tons of coal was produced. This level of production is lower compared with

the mine‘s production capacity. In 2008, coal production at Kiwira Mine was

15,242 tons while in 2007 production was 27,198 tons.

The value of Mineral Exports

286. The value of mineral exports was USD 1,560.1 million in 2010,

compared to USD 1,271.4 million in 2009, equivalent to an increase of 22.7

percent. This was due to the increase in gold production and rise in gold price

in the world market.

186

Table No. 56

Mineral Unit 2002 2003 2004 2005 2006 2007 2008 2009 2010*

Diamonds Carats 239761 236582 303920 219639 272204 282786 237676 181874 80498

Gold Kgs 43320 48018 48176 52236 39750 40193 36434 39112 39448

Gemstones Kgs 195842 1531547 1613848 1936618 2493133 1286297 1858287 1068481 2646109

Salt Ton 71200 58978 57062 135410 34798 35224 25897 27393 34455

Phosphate Ton 1182 3738 6570 7096 2881 8261 28684 752 17180

Limestone 000 Ton 2857 1206 1391 2780 1608 1322 1282000 1284000 1437

Tin Ore Ton - - - - - - - - 3

Gypsum Ton 73000 33232 59231 63377 32798 2730 55730 8105 26918

Coal Ton 79210 54610 65041 74800 17940 27198 15242 1 179

Pozolana Ton 52000 105910 152679 163499 129295 184070 260403 61501 60320

Kaolin Ton - - - - - 1020 13926 18624 58

Silver ore Kgs 7669 7986 13216 12891 14906 12381 10388 8231 12470

Copper Pound 9309812 8191035 9348181 7632959 7241639 7222390 6288503 4451697 11741898

Bauxite Ton - - - 1640 5373 5003 20601 122920 39326000

Source: Ministry of Energy and Mineral Resources

* Provisional data

- Not available

Carat = 0.205 gms

MINERAL PRODUCTION

TABLES%20ENGLISH/Tab_57.xls#TAB57!A2

TABLES%20ENGLISH/Tab_57.xls#TAB57!A2

187

Table No. 57

Type of mineral Unit

2005 2006 2007 2008 2009 2010 2005 2006 2007 2008 2009 2010*

Diamonds (Rough) '000 Carats 220 272 282 221 181 80 25350 25913 28913 2238 22727 16294

Diamonds (Cut) '000 Carats - - - - - - - - - - - -

Diamonds (Contract goods) '000 Carats - - - - - - - - - - - -

Gold '000 Grams 52172 39750 40095 36392 39112 39448 643640 772059 888873 992802 1039456 1436233

Gemstones '000 Grams 1936618 2493211 1286297 1858107 1068481 40530 10256 35582 49850 20674 6119

Salt Ton 16963 18226 17965 13523 18430 13438 1630 1998 2174 2380 1738 4038

Phosphate Ton 6613 2881 8261 2684 752 1718 638 275 715 280 148 470

Tin Ton - - - - - - - - - - -

Gypsum Ton 2400 5650 2500 2024 4226 9498 50 28 74 650 84 126

Graphite Ton - - - - - - - - - - - -

Silver 000grams 12891 14906 12381 9835 8231 12040 2990 5540 5317 6680 4961 7673

Copper 0001b 7633 7242 7222 6288 4452 11742 12620 19896 21063 21063 11499 36710

Indusrial mineral Ton - - - - - - - - - - - -

Bauxite Ton 1850 5373 5003 20600 122920 39326000 30 51 571 480 2127 1050

Total ('000 US $) 727478 836016 983282 1076423 1103414 1508713Source: Ministry of Energy and Minerals Resourses, Minerals Department

- Not available

* Provisional Data

Quantity exported Value ( ' 000 US $)

MINERAL EXPORTS: 2005 - 2010

188

CHAPTER 14

MANUFACTURING AND INTERNAL TRADE

Growth Rate

287. In 2010, the growth rate of manufacturing activities was 7.9 percent

compared to 8.0 percent in 2009. The contribution of manufacturing activities

to GDP increased to 9.0 percent in 2010 from 8.6 percent in 2009.

Small Enterprises

288. In 2010, entrepreneurs trained on business establishment and of small

industries and small enterprise development increased to 37,021 compared to

21,922 entrepreneurs trained in 2009, equivalent to 68.9 percent increase. Out

of those, 10,708 entrepreneurs were trained on entrepreneurship, business

management and special skills. Further, 1,770 entrepreneurs participated in

trade fairs and sold goods worth shilling 1.75 billion. Furthermore, loans

extended to entrepreneurs amounted to shilling 5.03 billion in 2010 compared

to shilling 3.6 billion in 2009. Such loans increased employment opportunities

to about 18,600 people in 2010 compared to 13,300 people in 2009.

Production Cost

289. In 2010, production cost increased to shilling 2,081,934 million from

shilling 1,764,351 million in 2009, equivalent to an increase of 18.0 percent.

This was due to increase in production cost of food, beverages, tobacco,

cigarettes and chemicals.

Production in Selected Industries

290. In 2010, production in selected industries such as konyagi, iron sheets,

pyrethrum products, wheat flour, chibuku, beers, and beverages increased.

This was attributed to the increase in domestic demand for those commodities.

Production of konyagi increased from 10,201,000 litres in 2009 to 12,972,843

litres in 2010, equivalent to an increase of 27.2 percent. Production of chibuku

increased by 28.6 percent from 16,141,000 litres in 2009 to 20,753,520 litres

in 2010. Production of corrugated iron sheets increased by 30.7 percent from

50,664 tons in 2009 to 66,231 tons in 2010.

189

291. Production of wheat flour increased from 368,885 tons in 2009 to

388,905 tons in 2010, equivalent to an increase of 5.4 percent. Production of

beer increased from 2.84 million hectolitres in 2009 to 5.15 million hectolitres

in 2010, equivalent to an increase of 81.3 percent. Production of cigarettes

increased from 5,831 billion cigarettes in 2009 to 6,170 billion cigarettes in

2010, equivalent to an increase of 5.8 percent. Production in hide processing

industries increased from 37.3 million square feet in 2009 to 39.7 million

square feet in 2010, equivalent to increase of 6.4 percent.

292. Production of textile increased from 91,501,000 square metres in 2009

to 120,000,000 square metres in 2010, equivalent to an increase of 31.1

percent. Production of iron increased from 34,793 tons in 2009 to 43,882 tons

in 2010, equivalent to an increase of 26.1 percent. However, sisal ropes

production decreased from 7,913 tons in 2009 to 5,548 tons in 2010,

equivalent to a decrease of 29.9 percent.

Internal Trade

293. Trade activities include wholesale trade, retail trade and repairs. In

2010, trade and repairs economic activities grew by 8.2 percent compared to

7.5 percent in 2009. The contribution of trade and repairs to GDP was 12.1

percent in 2010 compared to 11.8 percent in 2009.

Dar es Salaam International Trade Fair

294. In 2010, private exhibitors at Dar es Salaam International Trade Fair at

the Mwalimu J.K.Nyerere grounds were 2,150 compared to 2,103 exhibitors in

2009, equivalent to 2.2 percent increase. Out of those, 1,800 exhibitors were

local and 350 exhibitors were foreigners, compared to 1,760 local private

exhibitors and 343 foreigners in 2009. The increase in local and foreign

private exhibitors was due to improved standard of the Trade Fair and after

subscription to the Global Association of the Exhibition Industry. Participation

analysis indicates that 17 countries participated in the Trade Fair in 2010

compared to 23 countries in 2009. Further, 350 foreign companies participated

in the Trade Fair in 2010. The decrease in the number of participating

190

countries was due to the increased awareness of the Trade Fair whereby

foreign private exhibitors prefer to communicate directly with TANTRADE

instead of going through their respective countries.

191

Table No.58 Tons

Year Imported Exported Production Consuption % change

1974 64613 30 296400 360983

1975 57043 0 266000 323043 -10.5

1976 58460 1861 243639 300238 -7.1

1977 54785 4139 246500 297146 -1.0

1978 73242 22714 250065 300593 1.2

1979 48375 7976 298891 339290 12.9

1980 30555 11110 305811 325256 -4.1

1981 49325 7751 389953 431527 32.7

1982 27541 16010 333531 345062 -20.0

1983 42428 20639 246919 268708 -22.1

1984 16895 18974 368644 366565 36.4

1985 111341 16424 375957 470874 28.5

1986 42028 6558 434898 470368 -0.1

1987 1383 11146 498261 488498 3.9

1988 9076 65765 590927 534238 9.4

1989 2145 29035 594791 567901 6.3

1990 2544 131469 663900 534975 -5.8

1991 2800 67766 1022580 957614 79.0

1992 3080 63065 677388 617403 -35.5

1993 3600 102282 748850 650168 5.3

1994 3160 53706 686200 617272 -5.1

1995 4000 72092 739156 671064 8.7

1996 1309 104811 725755 622253 -7.3

1997 2804 100165 621159 523798 -15.8

1998 14388 50718 777620 741290 41.5

1999 11418 29097 832602 814923 9.9

2000 7281 30497 833092 809882 -0.6

2001 56395 53517 900430 903308 11.5

2002 149079 37203 1026082 1137958 26.0

2003 166446 34396 1186434 1318484 15.9

2004 125007 37655 1280851 1368203 3.8

2005 120200 40430 1375222 1454992 6.3

2006 92711 98 1421460 1514073 4.1

2007 101827 52170 1629890 1679547 10.9

2008 356468 99688 1755862 2012642 19.8

2009 516182 57569 1940845 2399458 19.2

2010* 566828 189321 2312055 2689562 12.1


*Provisional

PRODUCTION AND CONSUMPTION OF CEMENT

192

Table No.59

% Change

Items Unit 2002 2003 2004 2005** 2006 2007 2008 2009 2010 2009/10

Biscuits Ton 2284 5906 10214 10912 10565 11273 15435 15200 -

Wheat flour Ton 219118 355616 338076 368019 434160 406336 287925 368885 388905 5.4

Konyagi 000 Ltr 2937 3670 4105 4489 5365 5622 4049 10201 12973 27.2

Beer 000 Ltr 175870 194100 202628 216604 299036 310194 291178 284906 515000 80.8

Chibuku 000 Ltr 19400 14825 10119 11106 11559 10320 10235 16141 20754 28.6

Cigarrettes Million 3778 3920 4219 4445 5095 5821 6101 5831 6170 5.8

Textiles 000m2 106305 116714 111637 99134 146600 139000 140531 91501 120000 31.1

Sisal Ropes Ton 5901 6839 5161 5943 5854 7012 7783 7913 5548 -29.9

Fish nets Ton 30 41 260 274 119 156 - 64 - -

Canvas 000 m2 - - - - - - - 37152 - -

Wood products 000 m2 304 32609 40248 37941 44310 45147 44547 266 - -

Pyrethrum product 000 Ton 36 16 23 25 33 33 73 - - -

Fertilizer 000 Ton - - - - - - 25762 - -

Paints 000 Ltr 13564 16842 16621 16222 18402 17451 24857 - 19200 -

Petroleum products 000 Ton - - - - - - - 1941 - -

Cement 000 Ton 1026 1186 1281 1366 1422 1630 1756 34793 - -

Iron sheets Ton 25418 38794 41710 41299 44482 52163 39969 34793 43882 26.1

Corrugated iron Ton 31742 31018 29573 29737 29898 36492 31743 50664 66231 30.7

Aluminium Ton 141 199 171 183 105 110 105 58 - -

Radio 000 Number - - - - - - - - -

Batteries Million 42 43 74 81 82 75 53 78 - -


- No production

** Revised Figures

PRODUCTION IN SELECTED INDUSTRIES

193

Table No. 60

2006 2007 2008 2009* 2010** 2006 2007 2008 2009* 2010** 2006 2007 2008 2009* 2010**151-4 Food processing 43690 44127 44564 45005 44365 273 276 278 281 305 43962 44402 44842 45287 44670155 Beverages 4083 4124 4165 4206 5914 26 27 27 27 50 4110 4151 4192 4233 5964160 Tobacco and

Cigarettes 6923 6992 7061 7131 6883 0 0 0 0 - 6923 6992 7061 7131 6883171-2,181

Textile Manufacturing10122 10223 10325 10427 11988 52 52 53 53 236 10174 10276 10377 10480 12224

191 Skins and Skins

products 20 20 21 21 648 2 2 2 2 4 22 22 23 23 652192 Shoes 1157 1169 1181 1192 819 6 6 6 6 5 1164 1175 1187 1199 824

201-202 Timber and timber

products 2566 2592 2618 2644 770 77 78 78 79 24 2643 2670 2696 2723 795210 -221-

222Manufac. of paper

product, printing 4333 4376 4420 4463 5577 118 120 121 122 92 4451 4496 4540 4585 5669241 -2 Manufacturing of

chemical 4863 4912 4960 5010 2944 42 43 43 44 30 4906 4955 5004 5053 2974251 Rubber products 519 524 530 535 1227 1 1 1 1 12 520 525 531 536 1239252 Maufac. of plastic

products 2265 2288 2311 2334 4195 17 17 18 18 13 2283 2305 2328 2351 4208261 - 9

Manufacturing of non-

metallic products1705 1722 1739 1756 2510 15 15 15 16 30 1720 1737 1754 1772 2540

271 - 369 Others 7095 7166 7237 7309 20500 237 240 242 245 404 7333 7406 7480 7554 20904

Total 89343 90236 91130 92033 108340 867 876 885 894 1205 90210 91112 92015 92927 109545


* Provisional Figures

** Estimates

Note 1. Activities identified above are those contributed more than one percent (Value Added) in 1999 and 2000 survey

2. The survey use "International Standard Industrial Classification Revision 3 (ISIC Rev3)"

3. 2001 - 2002 data are revised

4. 2003 - 2004 data are the estimates from 2001 and 2002 data

INDUSTRIES - ESTIMATED NUMBER OF EMPLOYEES

TotalISIC (Rev 3) Activities

OthersEmployees

194

Table No. 61 (Sh.million)

2007 2008 2009* 2010** 2007 2008 2009* 2010** 2007 2008 2009* 2010**

151-4 Food Processing 62871 52689 53216 53748 11526 22890 23119 23350 74398 75579 76334 77098

155 Beverages 29663 36275 36637 37004 9371 20637 20843 21052 39034 56912 57481 58056

160 Tobacco and Cigarettes 19072 17375 17549 17725 2139 9540 9635 9732 21211 26915 27185 27456

171-2, 181 Textile Manufacturing 11297 10262 10365 10469 1626 3966 4005 4045 12923 14228 14370 14514

191 Skins and skins products 5 478 483 488 1 111 112 113 6 589 595 601

192 Shoes 758 1032 1042 1053 117 396 400 404 875 1428 1443 1457

201- 202 Timber and timber products 5060 760 768 775 403 218 220 222 5463 978 988 997210-221-

222 Manuf. of paper products, printing 26933 17801 17979 18159 4560 5742 5799 5857 31493 23543 23778 24016

241 - 2 Manufacturing of chemical 6297 7305 7378 7451 1666 4232 4275 4317 7963 11537 11652 11769

251 Rubber products 668 5684 5741 5798 294 1418 1432 1446 962 7102 7173 7244

252 Manufacture of plastic products 2992 6272 6335 6398 327 5242 5294 5347 3318 11513 11629 11745261 - 9

Manufacture of non-metallic products 9401 75504 76259 77022 5048 8492 8576 8662 14449 83996 84836 85684271 -369

Others 16970 43981 44420 44865 3605 32557 32882 33211 20575 76537 77303 78076

Total 191987 275418 278172 280954 40683 115439 116593 117759 232670 390857 394765 398713



** Estimates





Total

INDUSTRIES - ESTIMATED LABOUR COSTS

ISIC

(Rev 3)Activities

Salaries Other Payments

195

Table No.62 (Tshs. Millions)

2007 2008 2009* 2010** 2007 2008 2009* 2010** 2007 2008 2009* 2010** 2007 2008 2009* 2010**

151-4 Food processing 809603 1109701 1165186 1223445 577088 630456 661979 695078 232514 479245 503207 528367 33553 30769 32307 33923

155 Bevarages 483430 842392 884511 928737 288843 536900 563745 591932 194588 305492 320766 336804 27668 40414 42435 44556

160 Tobacco and Cigarettes 200575 262120 275226 288987 137235 163175 171334 179901 63340 98945 103892 109086 16522 19731 20717 21753

171-2, 181 Textile Manufacturing 127159 189689 199173 209132 63491 108723 114159 119867 63668 80966 85014 89265 5594 20754 21791 22881

191 Skins and Skins products 190 8772 9210 9671 127 5949 6246 6559 63 2823 2964 3112 0 277 291 306

192 Shoes 11442 8134 8540 8967 9859 4952 5199 5459 1583 3182 3341 3508 586 603 634 665

201-202 Timber and timber products 22987 12077 12681 13315 19032 6175 6484 6808 3955 5902 6198 6507 672 448 471 494

210-221-222 Manuf. of paper products, printing 139044 181957 191055 200607 83697 102339 107456 112829 55347 79618 83599 87779 18273 8068 8472 8895

241-2 Manufacturing of chemical 140936 262743 275880 289674 124651 152480 160104 168109 16284 110263 115776 121565 6537 7191 7551 7928

251 Rubber Products 7789 149156 156614 164445 4081 77616 81497 85572 3708 71540 75117 78873 525 2163 2272 2385

252 Manufacture of plastic products 66639 427974 449372 471841 53301 297107 311963 327561 13338 130866 137410 144280 5021 8944 9391 9860

261-9 Others 199306 344234 361446 379518 118931 220977 232026 243628 80374 123257 129420 135891 61577 28597 30027 31528

271-369 Manufacture of non-metallic products 290267 912429 958050 1005953 231910 607144 637501 669376 58357 305285 320549 336577 6802 31964 33562 35240

Total 2499367 4711376 4946945 5194293 1712247 2913993 3059693 3212678 787121 1797383 1887252 1981614 183329 199924 209919 220415



** Estimates





Industries Summary Statistics

ISIC (Rev 3) Activities

Earnings Costs Value Added Depreciation

196

Table No.63

2006 2007 2008 2009* 2010** 2006 2007 2008 2009* 2010** 2006 2007 2008 2009* 2010** 2006 2007 2008 2009* 2010**

Dodoma 278 262 231 233 235 - - - - 234 - - - 584 - - - - 8562

Arusha, Manyara 3292 3325 15296 15449 15603 3230 3230 3295 3327 15495 6976 7006 7076 7146 22329 72512 73237 72285 73017 356830

Kilimanjaro 6902 6971 11548 11664 11780 6828 6828 6964 7033 11699 10261 10305 10408 10511 12308 31958 32278 31858 32181 137290

Tanga 8365 8449 10054 10154 10256 8320 8320 8487 8571 10185 10296 10340 10443 10547 12225 20250 20453 20187 20391 237041

Morogoro 11082 11193 8123 8204 8286 11062 11061 11283 11395 8229 22369 22464 22689 22913 21453 49885 50384 49729 50233 288858

Pwani, - - 24155 24396 24640 - - - - 24025 - - - - 133234 - - - - 624421

Dar es Salaam, Cost*** 27604 27880 61 61 62 27143 27414 27686 27960 61 79789 80130 80932 81733 79 411352 415465 410062 414217 435

Lindi 29 30 115 117 118 25 26 26 26 117 21 21 21 22 1512 34 34 34 34 4139

Mtwara 65 65 977 987 997 61 61 62 62 990 734 738 745 752 534 11 11 11 11 7505

Ruvuma 1977 1996 9099 9190 9282 1962 1982 2002 2022 9218 721 724 731 739 16578 1183 1195 1179 1191 32645

Iringa 15073 15224 2884 2913 2942 15062 15213 15363 15516 2922 14541 14603 14749 14895 6322 15076 15226 15028 15181 22191

Mbeya 2810 2838 238 241 243 2787 2814 2842 2871 241 3753 3769 3807 3845 533 25053 25304 24975 25228 2312

Singida 20 20 807 815 823 20 20 21 21 818 3 3 3 3 1330 0 0 0 0 4447

Tabora 227 230 128 129 130 219 221 224 226 130 18878 18959 19148 19338 1037 32688 33015 32586 32916 1360

Rukwa 87 88 678 685 692 81 82 82 83 687 20 20 20 20 1575 123 125 123 124 5324

Kigoma - - 2195 2217 2239 - - - - 2223 - - - - 10089 - - - - 19140

Shinyanga 226 229 9511 9606 9702 217 219 221 224 9634 2630 2641 2668 2694 9757 30365 30669 30270 30577 32941

Kagera 1818 1836 7181 7253 7326 1758 1776 1794 1811 7275 3577 3593 3628 3664 13729 42293 42716 42160 42588 102088

Mwanza 6894 6963 3445 3480 3515 6842 6910 6979 7048 3490 9170 9209 9302 9394 10053 30902 31211 30805 31117 82384

Mara 3739 3776 659 666 673 3726 3763 3800 3838 668 7429 7461 7535 7610 5696 15643 15799 15594 15752 11703

Jumla 90488 91374 107386 108460 109545 89343 89941 91130 92034 108340 191170 191987 193907 195826 280954 779329 787121 776884 784756 1981615

Chanzo: Ofisi ya Taifa ya Takwimu

* Takwimu zimerekebishwa

** Takwimu za makisio

*** Kuanzia mwaka 2003 takwimu za mkoa wa pwani zimejumuishwa na mkoa wa DSM

Viwanda rasmi vyenye wafanyakazi 10 na zaidi

INDUSTRIES: REGION SUMMARIES

Region

Number of Workers Permanent Employees Salaries (T. Shs. Millioni) Gross Value Added (Tshs. Milioni)

197

Table No. 65

% Contribution Growth in % Contribution % Contribution % Change

Year to GDP manufacturing Activites to Total Exports to Non-traditional in industrial

(at 2001 prices) (at 2001 prices) Exports Exports

1998 8.37 5.50 6.10 15.40 -

1999 8.47 6.04 5.50 12.40 -15.7%

2000 8.46 4.80 6.50 11.71 44.2%

2001 8.38 4.96 7.23 9.05 29.4%

2002 8.40 7.45 7.40 8.52 17.3%

2003 8.57 9.01 6.79 8.42 27.2%

2004 8.69 9.41 8.28 9.37 31.4%

2005 8.87 9.62 9.31 11.81 41.8%

2006 9.02 8.50 11.24 13.33 25.4%

2007 7.80 8.73 14.50 18.01 57.9%

2008 7.80 9.90 13.60 29.20 139.9%

2009 9.54 8.00 17.74 15.00 -31.7%

2010 9.61 7.90 26.14 25.87 90.3%

Source: Ministry of Finance and Economic Affairs

PERFORMANCE INDICATORS IN THE MANUFACTURING ACTIVITIES

198

CHAPTER 15

CONSTRUCTION AND LAND DEVELOPMENT

.

CONSTRUCTION

Growth Rates

295. In 2010, the growth rate of construction sub-activity was 10.2 percent

compared to 7.5 percent in 2009. The growth was attributed to increase in the

construction and rehabilitation of: roads and bridges; residential and non-

residential buildings; airports; and water infrastructures. In addition,

contribution of construction activities to GDP was 8.0 percent in 2010


Road Network

296. In 2010, Tanzania had a total of 91,049 kilometres of road network

compared to 85,000 kilometre in 2009, equivalent to an increase of 7.1

percent. Out of those, 12,786.18 kilometres are trunk roads which connect

Tanzanian regions and neighbouring countries, 20,225.82 kilometres are

regional roads which connect districts and major towns in the country, and

58,037 kilometres are districts roads which connect districts and villages and

other feeder roads.

297. In 2010, a total of 8,364.73 kilometres of trunk roads were in good

condition compared to 7,119.96 kilometres in 2009, equivalent to an

improvement of 5 percent. A total of 3,578.53 kilometres of trunk roads were

in fair condition compared to 2,332.22 kilometres in 2009. In addition, a total

of 842.93 kilometres of trunk roads were in poor condition compared to

1,161.11 kilometres in 2009. This shows that, large part of roads were

rehabilitated and upgraded.

298. In 2010, a total of 10,749.38 kilometres of regional roads were in good

condition compared to 8,462.41 kilometres in 2009. This means that regional

roads improved by 27.0 percent in 2010. A total of 6,931.62 kilometres were

in fair condition compared to 7,131.77 kilometres in 2009. Likewise, a total of

2,545.12 kilometres were in poor condition compared to 3,363.21 kilometres

199

in 2009. Table 15.1 shows the condition of road network up to December

2010.

Table No. 15.1: Condition of Road Network as of end December 2010

Road Type

Good

Fair Poor

Total Km

Km % Km % Km %

Trunk Roads

Tarmac 3,847.88 75% 1128.71 22% 153.92 3% 5,130.50

Gravel Roads 4,516.85 59% 2,449.82 32% 689.01

9% 7,655.68

Sub-total 8,364.73 65% 3,578.53 28% 842.93 7% 12,786.19

Regional

Roads

Tarmac 597 85% 98.28 14% 7.02

1% 702

Gravel/Earth

Roads

10,152.38

52% 6,833.34 35% 2,538.10

13% 19,523.82

Sub-total 10,749.38 53% 6,931.62 34% 2,545.12 13% 20,225.82

Grand Total 19,114.11 58% 10,510.15 32% 3,388.05 10% 33,012.00

Source: Ministry of Works

Roads and Bridges Maintenance

299. In 2010, Government through Tanzania Roads Agency (TANROADS)

rehabilitated and repaired 28,647 kilometres of regional trunk roads compared

to 27,878 kilometres in 2009, equivalent to an increase of 2.8 percent.

Likewise, in 2010, TANROADS, rehabilitated 2,480 bridges compared to

2,232 bridges in 2009, equivalent to an increase of 11.1 percent.

Road Board Fund

300. In 2010, the Road Board Fund collections increased to shilling 278.231

billion from shilling 263.399 billion in 2009, equivalent to an increase of 5.64

percent. Further, the Government continued to monitor Fund‘s expenditure by

undertaking technical and financial auditing on road projects. The monitoring

exercise identified several shortcomings and measures continued to be taken to

address them. Furthermore, the Fund‘s financial expenditure guideline to road

agencies was prepared in order to allow stiff penalties to be taken upon misuse

of Fund‘s resources.

200

Contractors Registration Board

301. In 2010, the Contractors Registration Board continued to register

contractors who comply with stated standards and adherence to public safety.

In 2010, Board registered 860 new contractors compared to 930 contractors in

2009. Similarly, the Board inspected 2,112 construction projects, whereby

1,370.5 projects were free of defects, equivalent to 61.9 percent of inspected

projects, while 805 projects were found to have various defects such as non

adherence to health and work safety issues, unregistered project and working

in unauthorized registered grades. Necessary steps as per stated law were

taken to contractors in projects with defects.

302. In 2010, the Board started to implement five years strategic plan (2010

– 2014) with the aim of increasing efficiency in four major areas, which are:

ethics in construction sector particularly contractors‘ business; contractors‘

capability and competence; safety to workers and public at large in working

places; and efficiency of the Board.

303. In 2010, the Board conducted five training courses for contractors in

Shinyanga, Rukwa, Dar es Salaam, and Mtwara regions as it was in 2009

where the same courses were conducted in Kagera, Dar es Salaam, Ruvuma,

Kilimanjaro, Morogoro, and Tabora regions. A total of 285 participants

attended those courses in 2010 compared to 373 participants in 2009.

Likewise, in 2010, the technological, equipment and construction service

exhibition was conducted in Dar es Salaam region whereby 1,231 participants

attended.

Engineers Registration Board

304. In 2010, Engineers Registration Board registered 596 engineers

compared to 862 engineers in 2009. In addition, the Board registered 14

consulting engineers firms compared to 17 in 2009. Out of those, 8 were

foreign engineering consulting firms and 6 were local firms. This was a result

of delayed appointment of Board members, thence reducing Board registration

meetings from six to four meetings; and budget constraint which affected

201

number and career development of graduated engineers who were on practical

training programs.

Table No. 15.2: Registration of Engineers (2009 – 2010)

Types of Registration Registered

in 2009

Registered

in 2010

Graduate Incorporated Engineers: (GIE) 25 23

Incorporated Engineers (IE) 13 5

Graduate Engineers: (GE) 525 411

Professional Engineers (PE) 165 67

Temporary Professional Engineers (TPE) 91 65

Consulting Engineers: (CE) 17 9

Temporary Consulting Engineers TCE 9 2

Local Engineering Consulting Firms (LECF) 9 6

Foreign Engineering Consulting Firms (FECF) 8 8

TOTAL 862 596 Source: Ministry of Works

305. In 2010, the Board managed implementation of practical training

program for 622 engineers. Statistics of graduate engineers who joined the

practical training program since the commencement of the program are shown

in table No. 15.3

Table 15.3 Graduate Engineers from Practical Training Program

Year Joined

Engineers

Financed by

the

Government

Financed

by their

employers

Engineers

complete

d training

Employed

before

completed

Postponed

Engineers

2002/03 120 110 10 - 60 8

2003/04 169 162 7 20 95 9

2004/05 212 195 17 10 120 15

2005/06 167 137 30 121 81 12

2006/07 218 113 105 78 85 20

2007/08 159 128 31 136 34 12

2008/09 265 156 109 140 79 41

2009/10 263 104 159 176 60 12

Total 1,573 1,105 468 681 614 129 Source: Ministry of Works

Architects and Quantity Surveyors Registration Board

306. In 2010, the Architects and Quantity Surveyors‘ Registration Board

registered 20 architects and 13 quantity surveyors compared to 94 architects

and 54 quantity surveyors in 2009, making a cumulative total of 487 architects

and quantity surveyors. This is equivalent to 7.3 percent increase, compared to

a cumulative total of 454 architects and quantity surveyors registered in 2009.

202

In addition, the Board registered 13 architect companies and 8 quantity

surveyor companies in 2010 compared to 55 architect companies and 30

quantity surveyor companies registered in 2009. This makes a cumulative total

of 242 companies registered in 2010 compared to 221 companies in 2009,

equivalent to an increase of 9.5 percent. Likewise, in 2010, the Board

registered eight quantity surveyors and architects who are in middle cadre and

hence increase the number of technicians to 66 from 58 in 2009. The increase

was due to the Government efforts to finance practical training in this field

and concerted measures taken to encourage graduate engineers with relevant

qualifications as per Act No. 4 of 2010 to be registered by the Board.

307. In 2010, as per the law, the Board deregistered one architecture, one

quantity surveyor and one architect firm all of which were foreign, following

the completion of their registered projects. Likewise, inspection of buildings

were carried out in 21 regions of Tanzania mainland whereby a total of 1,259

building projects were inspected compared to 999 projects inspected in 2009.

National Building Council

308. In 2010, the National Building Councils conducted trainings to 243

stakeholders on tender issues; contract management and claims on road

construction costs; repair and rehabilitation of buildings; and disputes

resolutions. In addition, technical audit was conducted in 29 construction

projects worth shilling 1,528 billion. This consists of 11 road projects, 17

building projects and 1 water project.

Tanzania Building Agency

309. In 2010, the Tanzania Building Agency rehabilitated leaders‘

residential houses in Dar es Salaam and District Commissioner residential

houses in Lushoto, Tanga, Moshi, Mbeya na Ukerewe. Likewise, the Agency

acquired plots for construction of civil servants‘ houses in Dar es Salaam

(Kiluvya), Mbeya, Mwanza, and Arusha. However, construction of civil

servants‘ houses was slow due to various reasons including: high cost of plots;

lack of infrastructures in those plots; and high construction cost.

203

LAND DEVELOPMENTS

310. In 2010, a total of 26,839 land titles were registered and issued

compared to 26,231 in 2009, equivalent to an increase of 2.3 percent. This was

due to the increased pace of issuing land titles following the establishment of

offices in 6 zones and equipping them with staff and facilities.

Table No. 15.4: Villages Surveyed in 2008 – 2010

Districts

Number

of

Villages

surveyed

in 2008

Districts

Number

of

Villages

surveyed

in 2009

Districts

Number of

Villages

surveyed in 2010

Shinyanga

Rural

107 Tandahimba 126 Singida Rural

35

Karagwe 60 Newala 123 Bahi/Chamwino 54

Mtwara

Rural

120 Masasi 107 Tarime

39

Mvomero 98 Nanyumbu 72 Rorya 63

Morogoro 132 Tunduru 50 Sengerema 23

Kondoa 173 Magu 10 Muleba 98

- - Iramba 118 Misenyi 73

- - Musoma 85 Karagwe 45

- - Singida Rural 153 Ngara 68

- - Hai 56 Kigoma Rural 21

- - Siha 37 Kahama 221

- - Bunda 106 Bariadi 22

- - Serengeti 58 Tabora Rural 127

- - - - Babati 5

- - - - Kilosa/Mahenge 87

- - - - Shinyanga

Rural/Kishapu

226

Total 690 1,101 1,207 Source: Ministry of Land, Housing and Human Settlement Development

311. In 2010, a total of 1,207 villages were surveyed compared to 1,101

villages in 2009, equivalent to an increase of 9.6 percent. In addition, 3,265

villages were given village land certificate compared to 2,624 certificates in

2009. The demarcation enabled preparation of good land use plan and

surveying of villagers‘ farms and issuing customary land titles.

204

Table No. 15.5: Certificate of Villages Land Title Issued and Customary Titles

(a) Villages Land Title (b) Customary Title Deeds

Year 2008 Year 2009 Year 2010 Year 2008 Year 2009 Year 2010

Regions

Number

of

Villages

Regions

Number

of

Villages

Regions

Number

of

Villages

Regions

Number

of

customary

title deeds

Regions

Number

of

customary

title deeds

Regions

Number of

customary

title deeds

Mbeya 207

Mtwara 581

Coast 16

Mbeya 2,236

Manyara –

Babati

14,137 Coast 2,927

Iringa 86

Iringa 286

Dodoma 144

Iringa 493

Shinyanga

– Bariadi

17,456 Mara 449

Ruvuma 30

Mwanza 389

Iringa 406

-

Ruvuma-

Namtumbo

4,850 Morogoro 549

Arusha 80

Singida 175

Manyara 7

-

Singida –

Manyoni

3,850 Dodoma 632

Shinyanga 50 Kilimanjaro 43 Ruvuma 46 - - Iringa 800

Mwanza 12 Kagera 155 Shinyanga 493 - - Babati 30,556

Manyara 42 Shinyanga 504 Singida 273 - - Ruvuma 8,714

Pwani 14 Rukwa 117 Mtwara 548 - - Shinyanga 38,334

Kagera 10 Mbeya 220 Mwanza 374 - - Singida 6,428

TOTAL 531 2470 2307 2729 40293 89389

205

312. In 2010, a total of 89,389 customary title deeds were issued to citizens

compared to 40,293 in 2009. This was attributed to increased motivation about

the importance and benefits of surveying land and acquiring customary title

deeds which include the use of those title deeds as collateral in securing loans

from financial institutions and Agricultural Inputs Trust Fund. Areas in which

those title deeds were issued include the following districts: Babati, Bariadi,

Namtumbo, Manyoni, Rufiji, Bagamoyo, Nachingwea, Mbozi, Handeni,

Mvomero, Mpwapwa, and Iringa. Further, a total of 28,859 plots were

surveyed and given rights of occupancy to people in 2010 compared to 38,710

plots in 2009. Furthermore, a total of 666 farms were surveyed compared to

623 farms in 2009.

Table No. 15.6: Total Number of Surveyed Plots and Farms

REGION

PLOTS FARMS

2009 2010 2009 2010

Arusha 1547 930 22 165

Coast 1141 1966 174 140

D'Salaam 7971 4175 3 4

Dodoma 97 885 0 1

Iringa 708 2947 9 14

Kagera 454 738 36 92

Kigoma 1414 448 0 1

Kilimanjaro 1372 1133 52 85

Lindi 594 425 3 13

Manyara 2204 569 16 11

Mara 859 458 17 21

Mbeya 1024 691 25 41

Morogoro 1563 2262 87 20

Mtwara 1461 1242 14 3

Mwanza 9175 6514 2 38

Rukwa 976 308 2 4

Ruvuma 797 131 12 5

Shinyanga 1659 765 10 2

Singida 657 222 0 0

Tabora 1310 671 14 0

Tanga 1727 1379 125 6

TOTAL 38,710 28,859 623 666 Source: Ministry of Land, Housing and Human Settlement Development

206

313. In 2010, a total of 9,320 land disputes were reported at land and house

district councils. Out of those, 7,174 disputes, equivalent to 77.0 percent of

reported disputes were resolved compared to 7,123 disputes in 2009. This is in

line with the implementation of Land Court Act No. 2 of 2002 which

emphasize timely resolution of land disputes to avoid conflicts and enable

people to live in peace and harmony.

207

Table No. 15.7: Land and House Disputes Resolved in 2009 - 2010

Council

Reported

Disputes

in 2009

Resolved

Disputes in

2009

Reported

Disputes in

2010

Resolved

Disputes in

2010

Arusha 927 390 388 257

Babati 817 399 283 269

Bukoba 1,472 476 664 679

Chato 198 99 81 49

Dodoma 426 191 222 205

Geita 171 24 121 112

Ifakara 412 167 299 204

Ilala 1,858 373 403 209

Iramba - - - -

Iringa 391 182 161 137

Karatu 236 135 91 54

Kigoma 415 120 143 121

Kinondoni 1,800 704 450 378

Kondoa - - 126 160

Korogwe - - 233 70

Lindi 95 57 52 47

Maswa - - 123 67

Mbeya 564 165 292 200

Mbinga 155 114 152 121

Mkuranga - - 64 62

Morogoro 726 161 418 245

Moshi 678 275 303 297

Mtwara 237 106 66 74

Musoma 566 246 383 333

Mwanza 1,594 478 414 269

Njombe 182 89 70 42

Coast 538 249 231 202

Rukwa 252 148 154 147

Rungwe 158 70 231 173

Same 22 7 47 44

Shinyanga 546 165 196 71

Simanjiro 99 46 89 71

Singida 502 227 206 196

Songea 291 134 150 112

Tabora 238 103 149 126

Tanga 370 144 165 220

Tarime 867 354 358 263

Temeke 1,158 525 1303 859

Ukerewe - - 39 29

TOTAL 18,961 7,123 9,320 7,174 Source: Ministry of Land, Housing and Human Settlement Development

Human Settlements and Rural Development

314. In 2010, land use plans were prepared in 113 villages in 21 districts

compared to 146 villages in 29 districts in 2009. Out of those villages, social

service areas as well as reserves for water sources, forestry, livestock keeping,

208

wild animals, irrigation areas and plantations were demarcated by involving

the surrounding community. The objective is to empower land users to

develop sustainable plans which focus on current and future needs.

Table No. 15.8: Number of Villages with Land Use Plan 2009 – 2010

District Number of

Villages

2009

District Number of

Villages

2010

Babati 9 Babati 13

Bagamoyo 8 Bagamoyo 2

Bariadi 9 Bariadi 23

Bunda 2 Handeni 4

Ileje 0 Ileje 2

Kibaha 0 Kibaha 3

Kigoma

Rural 0

Kigoma

Rural 11

Kilombero 12 Kilombero 2

Kilosa 4 Kisarawe 12

Kiteto 2 Kondoa 5

Kongwa 2 Kongwa 2

Lindi 2 Longido 2

Ludewa 2 Mbozi 2

Manyoni 9 Misenyi 2

Mbinga 4 Namtumbo 2

Mkinga 9 Monduli 2

Mkuranga 1 Mkuranga 7

Morogoro 4 Nanyumbu 6

Morogoro

Rural 22

Singida 2

Mpanda 2 Tanga 1

Musoma 3 Ulanga 8

Namtumbo 15 - -

Njombe 1 - -

Nkasi 2 - -

Serengeti 5 - -

Tandahimba 2 - -

Tunduru 4 - -

Ulanga 9 - -

Uyui 2 - -

TOTAL 146 113 Source: Ministry of Land, Housing and Human Settlement Development

315. The Government under the programme of formalization of un-

surveyed settlements surveyed a total of 6,938 plots in 2010 in Mwanza city

compared to 3,322 plots surveyed in 2009. Out of the surveyed plots, 402 land

owners were given title deeds. The process of finalizing registration of title

deeds and issuing them to people is ongoing. Similarly, through that program,

209

a total of 2,778 residential licences were issued in Dar es Salaam city. This

program is being implemented by involving residents in sharing the costs of

land surveying and ownership.

Housing Development

316. In 2010, National Housing Cooperation (NHC) continued with the

implementation of construction projects. The projects include completion of

house construction in Dar es Salaam regions – Chwaku street (2) and Dodoma

– Medeli areas (20). In addition, NHC continued with house construction in

Arusha – Kibla areas (48) and LDA area (4) and Dar es Salaam city – Mbweni

JKT (34) and Kinondoni – Chwaka (2). Similarly, 75 joint venture projects

implemented by NHC in collaboration with private sector were in various

stages of implementation.

317. In 2010, the NHC continued with the preparation of large construction

projects which include architectural drawings, feasibility studies and resource

mobilization for construction. Those preparations are for the construction of

290 houses in Medeli area – Dodoma and 260 temporary houses in Dar es

Salaam city. The temporary housing will accommodate occupants in identified

plots to be developed for large buildings.

318. In 2010, the Government secured loan worth USD 40 million from

World Bank for developing housing sector in the country. The loan will

facilitate mortgage finance in the country; conducting surveys on availability

of housing microfinance; conducting survey on housing market in the country;

and enhancing the capacity of NHC to spearhead land development.

210

CHAPTER 16

TRANSPORT AND COMMUNICATION

Introduction

319. In 2010, transport and communication economic activities grew by 7.0

percent and 22.1 percent compared to 6.0 and 21.9 percent in 2009

respectively. The growth in communication economic activities was due to the

increase in investment, mobile phone subscribers and service providers. In

addition, the growth in transport activities was attributed to the increase in

number of passengers by road, air and water as well as cargo transportation,

especially at Dar es Salaam Port. The contribution of transport sector to GDP

was 5.1 percent compared to 5.0 percent in 2009, whereas communication

sector contributed 2.1 percent as it was in 2009.

TRANSPORT

Road Transport

320. In 2010, SUMATRA issued 31,523 bus licenses compared to 25,114

licenses issued in 2009, equivalent to an increase of 26 percent. In addition, a

total of 43,312 licences were issued for cargo transportation compared to

36,853 licences issued in 2009, equivalent to 17.5 percent. The increase in

licenses issued was a result of improved license application procedures

following the use of SUMATRA website (www.sumatra.org.tz) and public

awareness. Likewise, the opening of SUMATRA offices in Morogoro, Tabora,

Kigoma, Mara, Kagera, and Arusha facilitated the provision of services close

to the public.

Urban Commuter Services

321. In 2010, commuter buses increased to 14,714 compared to 12,534

buses in 2009, equivalent to an increase of 17.4 percent. Cities which had

many commuter buses include Dar es Salaam, Arusha, Mbeya and Mwanza.

Small commuter buses in Dar es Salaam continued to decrease from 2,086 in

December 2009 to 1,672 in December 2010, equivalent to a decrease of 20

percent. However, mini-buses increased from 3,488 in December 2009 to

4,385 buses in December 2010, equivalent to an increase of 26 percent. The

http://www.sumatra.org.tz/

211

decrease of small commuter buses in Dar es Salaam was a result of measures

taken by SUMATRA to restrict the renewal and registration of new licenses as

one of the ways of reducing congestion in the city. The decision stimulated the

importation of mini-buses and hence reduced congestion in the city and

improves efficiency of commuter services.

Table No. 16.1: Number of Commuter Buses in Urban Areas 2003-2010

Region 2003 2004 2005 2006 2007 2008 2009 2010

%

Change

Dodoma 150 170 220 154 167 136 142 405 185.2%

Arusha 1,118 1,045 837 892 1,367 1,255 1,607 1,620 0.8%

Moshi 220 720 143 170 178 310 625 650 4.0%

Lindi 3 11 18 15 57 46 52 54 3.8%

Tanga 120 169 136 105 162 93 184 313 70.1%

Morogoro 312 300 300 400 236 267 289 350 21.1%

Pwani - 130 143 145 - - - -

Dar es Salaam 5,801 6,600 7,000 8,972 6,144 5,716 6,043 7,573 25.3%

Mtwara 35 29 14 28 49 30 62 54 -12.9%

Ruvuma 52 76 78 171 202 93 84 95 13.1%

Iringa 97 113 154 160 174 210 611 587 -3.9%

Shinyanga - - - - - - - -

Mbeya 355 475 544 375 1,180 1,115 1,433 28.5%

Singida - 9 17 14 88 34 56 83 48.2%

Tabora 15 37 44 16 22 17 11 18 63.6%

Kigoma 66 472 507 538 507 219 174 182 4.6%

Bukoba 19 21 10 16 19 14 26 21 -19.2%

Musoma 49 47 48 48 28 16 26 57 119.2%

Mwanza 660 776 886 892 1,190 1,290 1,370 1,152 -15.9%

Manyara - 47 59 61 49 37 10 15 50.0%

Rukwa 13 32 43 20 49 53 47 52 10.6%

9,085 11,279 11,201 12,817 11,063 11,016 12,534 14,714 17.4%


Usafiri Dar es Salaam (UDA)

322. In 2010, the number of UDA buses was 22 (including 5 buses offered

by CRDB for students‘ transportation) compared to 17 buses in 2009. On

average, 12 buses provided services daily compared to 10 buses in 2009. In

2010, UDA made 15,366 trips compared to 26,067 trips in 2009. In addition,

212

the number of passengers served by UDA in 2010 was 1,191,634 compared to

1,491,755 in 2009, equivalent to a decrease of 20.1 percent.

323. In 2010, UDA revenues from commuting were 462.1 million compared

to 627.4 millions in 2009. In addition, revenue from other sources such as rent

and selling of worn out assets were 264.5 million compared to 302.3 millions

in 2009. This was due to the decrease in the number of passengers and slow

rate of hiring UDA buses. UDA expenditures amounted to 1,053.7 million in

2010 compared to 1,200.9 million in 2009, equivalent to a decrease of 12.3

percent. The decline in expenditures was attributed by efforts made by

management to cut down expenditures.

RAILWAY TRANSPORT

324. In 2010, railway transportation experienced a down fall due to

existence of dilapidated infrastructures and budget constraints. This resulted to

a decline in cargo transportation by railway, whereby only 3.6 percent of cargo

was transported from Dar es Salaam port compared to 9.4 percent in 2009.

Tanzania Railways Limited (TRL)

325. In 2010, Tanzania Railways Limited transported 256,190 tons of cargo

compared to 453,000 tons in 2009, equivalent to a decrease of 43.4 percent. In

addition, 290,046 passengers were served by TRL in 2010 compared to

543,000 passengers in 2009, equivalent to a decrease of 46.6 percent. This was

caused by a decline in passenger and cargo transportation services resulting

from shortage of engines following the termination of 25 hired engines of ‗73

class‘ type which were hired from RITES Company of India.

Tanzania and Zambia Railway Authority (TAZARA)

326. In 2010, Tanzania and Zambia Railway Authority (TAZARA)

transported 552,505 tons of cargo compared to 253,263 tons in 2009,

equivalent to an increase of 20.4 percent. Likewise, passengers served by

TAZARA were 757,987 in 2010 compared to 794,983 passengers in 2009,

equivalent to a decrease of 4.7 percent. This was caused by worn out of

engines; shortage of engines due to budget constraints; and workers‘ strikes.

213

AIR TRANSPORT

Tanzania Airport Authority (TAA)

327. Tanzania Airport Authority (TAA) continued to service Airports

basing on the policy of enabling airports to become business oriented, collect

sufficient revenues and self reliant. The number of flights increased by 7.6

percent from 115,620 flights in 2009 to 124,356 flights in 2010. Similarly, the

number of passengers travelled through airports regulated by TAA increased

by 8.5 percent from 1,970,656 passengers in 2009 to 2,137,253 passengers in

2010.

328. The cargo transported to airports regulated under TAA decreased by

1.0 percent from 22,587.7 tons in 2009 to 22,364.5 tons in 2010. This was due

to decline in imported goods following the impact of the global economic

crisis. In addition, the number of parcels and letters transported decreased by

26.9 percent from 1,490.5 tons in 2009 to 1,089.4 tons in 2010.

Table 16.2: Number of Flights, Passengers, Cargo and Parcels

Source: Tanzania Airport Authority

329. Revenue collected by Tanzania Airport Authority increased from

shilling 24.6 billion in 2009 to shilling 31.4 billion in 2010, equivalent to an

increase of 27.6 percent. The increase was attributed to the expansion and

growth of airport activities. On the other side, operation costs increased from

shilling 20.0 billion in 2009 to shilling 22.5 billion in 2010, equivalent to 12.6

percent increase.

Type 2008 2009 2010 %

Change

Number of Flights 123,494 115,620 124,356 7.6

Number of Passengers 2,118,694 1,970,656 2,137,253 8.5

Cargo (tons) 30,107.90 22,587.70 22,364.50 -1.0

Parcels (tons) 1,487.00 1,490.50 1,089.40 -26.9

214

METEOROLOGICAL SERVICES

330. In 2010, the Government through Tanzania Meteorological Agency

(TMA) completed the construction of Mpanda Meteorological station, and

thus increasing the total number of stations to 28 in the country. In the same

period, Mbimba-Mbozi Meteorological and Agriculture Station commenced

its operations and thus improved meteorological services for agriculture

sector. In addition, the agency completed the construction of radar station at

Bangulo-Pugu hills in Dar es Salaam. In general the agency provided services

to eight social economic sectors namely: agriculture, research, construction,

tourism, health, energy, mineral and insurance.

331. Tanzania Meteorological Agency in collaboration with World

Meteorological Organization (WMO) engaged in a project to implement

Quality Management System for aeronautical services recognized by the

International Standard Organization. In 2010, Tanzania Meteorological

Agency was awarded ISO certificate on aeronautical services.

WATER TRANSPORT

332. In 2010, Surface and Marine Transport Regulatory Authority

(SUMATRA) issued 6,049 certificates to seamen compared to 5,581

certificates issued in 2009 to seamen who complied with international training

standards. In addition, there were 13 water accidents in 2010 as it was in 2009.

In 2010, a total of 54 people got lost in water accidents compared to 40 people

in 2009. Most of those accidents occurred in March, April, May and June due

to strong winds in oceans and lakes. Likewise, Maritime Rescue Coordination

Center (MRCC) in Dar es Salaam continued to be strengthened so as to

facilitate accessibility of information on water accidents.

Table No. 16.3: Trend of Water Accidents in 2009-2010

Year Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec Total

2009 0 2 4 3 3 1 0 0 0 0 0 0 13

2010 1 0 1 3 2 3 2 1 0 0 0 0 13

Source: Surface and Marine Transport Regulatory Authority

215

Marine Transport

333. In 2010, Tanzania Ports Authority (TPA) handled 10,045,462 tons of

cargo, equivalent to an increase of 12.4 percent, compared to 8,937,232 tons

handled in 2009. The increase was attributed by the growth of economic

activities for the countries using ports under TPA. In addition, Dar es Salaam

Port served 88.5 percent of the total cargo handled by the Authority. Ships

served by the Dar es Salaam Port in 2010 were 4,371, equivalent to an

increase of 0.5 percent compared to 4,349 ships served in 2009. This was

attributed by the increase of importation of cars, liquid cargo especially oil,

and dry cargo particularly fertilizers and wheat for Tanzania and neighbouring

countries.

Table No. 16.4: Tons of Cargo Handled in Each Port

2005/06 2006/07 2007/08 2008/09 2009/10

Dar es Salaam 7,642,825 7,432,220 7,476,618 7,796,044 8,895,023

Tanga 460,626 512,372 490,119 495,659 598,538

Mtwara 149,769 143,072 130,763 155,848 85,214

KLM 17,402 27,845 36,565 21,245 32,924

Mwanza 546,482 480,568 393,832 327,204 346,294

Kigoma 125,547 107,990 98,448 132,404 79,620

Kyela 12,989 18,098 7,960 8,828 7,849

Total 8,955,640 8,722,165 8,634,305 8,937,232 10,045,462

Source: Tanzania Ports Authority

334. In 2010, passengers served by Dar es Salaam Port increased from

744,753 in 2009 to 892,125 passengers, equivalent to an increase of 19.8

percent. This was attributed to increase in transport demand between Dar es

Salaam and Zanzibar.

335. In 2010, cargo served at Mtwara and Kigoma Ports decreased due to a

decline in exportation of crops. Reasons for decrease of cargo in other ports

include: lack of ships making trips between Mtwara and Dar es Salaam;

shortage of cargo ships in lake Victoria; poor infrastructure (railways and

216

roads) connecting ports and cargo sources; as well as poor infrastructures in

ports.

336. The average number of days for a ship to wait before offloading in Dar

es Salaam Port decreased from 5 days in 2009 to 3.6 days in 2010, equivalent

to an increase of efficiency by 28 percent. Likewise, in 2010, the average

number of days taken by a ship to dock and sail out at the container terminal

decreased to 6.3 days compared to 8.2 days in 2009, equivalent to efficiency

increase of 30.2 percent. The decrease in number of days for a ship to dock

and sail out as well as number of days for a ship to wait before offloading was

largely contributed by improved efficiency in cargo handling at the port. In

addition, establishment of dry ports for handling containers reduced container

congestion at the port and thus increase efficiency in loading and offloading

processes.

337. In 2010, the Tanzania International Container Terminal Services

(TICTS) in Dar es Salaam port handled 369,903 containers (Twenty

Equivalent Units - TEUs) compared to 326,978 containers (TEUs) in 2009,

equivalent to an increase of 13.1 percent. The increase in number of containers

handled was due to improved economic growth and increase in cargo

transported in containers such as cars, copper and agricultural products.

217

Table No. 16.5: Handling of Containers at TICTS-Dar es salaam Port

(Days)

Month Waiting time Offloading Docking and Sailing Out

2009 2010 2009 2010 2009 2010

January 12.7 3.6 6.2 3.6 18.9 7.1

February 14.7 4.2 4.1 4.2 18.8 8.4

March 8.0 4.1 3.5 3.5 11.5 7.7

April 2.5 3.2 2.9 2.8 5.4 6.0

May 3.4 2.6 2.3 2.7 5.7 5.3

June 2.7 1.7 2.5 2.4 5.2 4.1

July 2.6 5.3 3.7 2.7 6.3 8.0

August 1.7 2.5 2.2 2.1 3.9 4.6

September 2.9 2.7 2.6 2.3 5.5 5.0

October 3.4 3.7 2.7 2.2 6.1 5.9

November 2.9 5.0 3.3 2.3 6.2 7.3

December 3.3 4.8 3.0 2.8 6.3 7.6

Average 5.0 3.6 3.2 2.7 8.2 6.3

Source: Tanzania Ports Authority

LAKE TRANSPORT

The Marine Service Company Limited (MSCL)

338. In 2010, the Marine Service Company Limited transported 77,776 tons

of cargo and 325,595 passengers compared to 123,279 tons of cargo and

474,272 passengers transported in 2009, equivalent to a decrease of 31.3 and

36.9 percent respectively. The decrease in cargo and passengers was attributed

to inefficiency in railway management; increased competition between ships

and buses; the breakdown of MV Butiama and MV Mwongozo; and tear and

wear of ships.

SINOTASHIP

339. In 2010, SINOTASHIP Company transported cargo using one vessel,

MV Changshun II with capacity of carrying 57,000 tons compared to 2009

where the company transported cargo using two small vessels with capacity of

carrying 30,000 tons. Similarly, in 2010, the company‘s performance

strengthened whereas cargo weighing 456,000 tons was transported compared

218

to 132,000 tons in 2009. In addition, the company earned revenue averaging

USD 6,026,689.49 in 2010 compared to USD 9,681,718 in 2009. In 2010, an

average operation costs was USD 5,852,539.93 compared to USD 8,957,718

in 2009. In this regard, the profit earned in 2010 was USD 1,561,667.09

compared to a profit worth USD 724,000 in 2009, equivalent to an increase of

115.7 percent.

COMMUNICATION SERVICES

Tanzania Posts Corporation (TPC)

340. In 2010, Tanzania Posts Corporation posted 17,221,000 inland letters

compared to 15,183,230 letters in 2009, equivalent to an increase of 13.4

percent. Likewise, 7,902,000 letters were posted abroad in 2010 compared to

7,753,960 letters in 2009, equivalent to an increase of 1.9 percent. The

increase in letters posted inland and abroad was attributed to postage of

commercial letters.

341. In 2010, a total of 18,417 parcels posted inland compared to 18,988

parcels in 2009, equivalent to a decline of 3.0 percent. This was due to

increased competition from private companies and shortage of facilities such

as vehicles for collecting parcels. In addition, 13,332 parcels were posted

abroad in 2010 compared to 6,999 parcels in 2009, equivalent to an increase of

90 percent. The increase was due to the use of track and trace on external

parcel services and the growth in business of sending samples abroad.

342. The inland registers posted in 2010 were 396,249 compared to 386,408

registers in 2009, equivalent to an increase of 3.0 percent. This was

contributed by the increase in distribution of secondary schools‘ examination

results and certificates through registers. On the other hand, registers posted

abroad in 2010 were 27,899 compared to 42,688 registers in 2009, equivalent

to a decrease of 35 percent. The decrease was caused by customers to prefer

courier services to registers.

219

343. In 2010, inland money transfer through Expedited Mail Services

(EMS) decreased to 41,956 users from 62,019 users in 2009, equivalent to a

decrease of 32 percent. This was due to the increased competition from mobile

phone companies that provide money transfer services through mobile phones.

On the other hand, in 2010, money transfer abroad through EMS was 2,010

orders compared to 1,736 orders in 2009, equivalent to an increase of 16

percent. This was due to the increase of Universities and Colleges in African

countries particularly Kenya, Uganda, Rwanda and Comoro.

344. In 2010, inland express mail services increased to 437,084 mails from

285,070 mails in 2009, equivalent to an increase of 53 percent. Likewise,

express mails posted abroad were 26,896 in 2010 compared to 18,208 mails in

2009, equivalent to an increase of 48 percent. The increase was due to

improvement of track and trace electronic services.

345. In 2010, the Intracity City Urgent Mail (CUM) service was officially

started in Dar es Salaam, Arusha and Tanga regions whereby 12,982 letters

and documents were posted using this service.

346. In 2010, inland telegraphic money orders were 44,964 compared to

150,173 money orders in 2009, equivalent to a decrease of 70 percent. This

was mainly due to the increase in the use of electronic mobile account.

347. In 2010, a total of 75,282 customers posted their money through

Electronic Money Transfer. This service was started in 2010 in 14 regions and

continued to be expanded to other regional centres and districts with reliable

electricity and communication.

348. In 2010, inland express message service decreased to 25,127 customers

from 28,095 customers in 2009, equivalent to a decrease of 11 percent. This

was due to stiff competition from mobile phone and internet uses. Likewise,

express message services abroad decreased from 157 senders in 2009 to 153

senders in 2010, equivalent to a decrease of 3 percent.

220

349. In 2010, inland Postal Orders increased to 10,966 orders from 10,626

orders in 2009, equivalent to an increase of 3.2 percent. The increase was

attributed to Tanzania Posts Corporation being an agent in payment of Higher

Education Student Loan Board applications fee.

350. In 2010, inland financial services through Giro increased to 118,637

orders from 100,876 orders in 2009, equivalent to an increase of 18 percent.

The increase was contributed by the use of this service for salary, dividends

and pension payments.

Tanzania Communication Regulatory Authority (TCRA)

351. In 2010, the number of voice telecommunication service providers was

7, as it was in 2009. These include; TTCL, Vodacom, Airtel (Zain), Tigo,

Zantel, Benson Online and Dovetel (Sasatel). The number of mobile phone

subscribers increased from 17,469,486 in 2009 to 20,983,853 subscribers in

December 2010, equivalent to an increase of 20.1 percent. In addition, land

line telephone subscribers were 174,511 in 2010 compared to 172,922

subscribers in 2009, equivalent to an increase of 0.9 percent. On the other

hand, the number of data service providers increased from 61 in 2009 to 80

providers in 2010, equivalent to an increase of 29 percent. The number of

internet customers increased from 4,378,392 in 2009 to 4,956,000 customers

in 2010, equivalent to an increase of 13.2 percent, as depicted in table No.

16.6.

352. In 2010, mobile phone registration exercise continued. Up to

December 2010, a total of 19,000,000 Subscriber Identity Module (SIM) cards

were registered compared to 9,138,749 SIM cards in 2009, equivalent to an


221

Table No. 16.6: Number of Mobile Phone and Landline Customers 2009 -

2010

No. Mobile Phone Companies Number of Customers

%

Change

2009 2010

1 VODACOM 6,883,661 8,670,536 26

2 TIGO 4,178,089 4,477,510 7

3 ZAIN 4,910,359 6,021,091 23

4 ZANTEL MOBILE 1,378,595 1,700,528 23

5. SASATEL 14,825 24,827 67

6. ZANTEL FIXED 15,601 15,457 -1

7. TTCL MOBILE 115,681 86,965 -25

8. TTCL Fixed 157,321 159,054 1

9. BENSON 3,101 2,396 -23

TOTAL 17,657,233 21,158,364 20

Mobile phone subscribers 17,484,311 20,983,853 20

Land line telephone

subscribers 172,922 174,511 1

Source: Tanzania Communication Regulatory Authority

Table No. 16.7: Number of Internet Users

No. 2009 2010 % Change

1. Internet Service Providers 215,640 260,280 21

2. Institutes Parastatals 2,588,000 2,663,200 3

3. Private users 1,574,752 1,932,816 23

TOTAL 4,378,392 4,956,000 13

Source: Tanzania Communication Regulatory Authority

222

INFORMATION AND COMMUNICATION TECHNOLOGY (ICT)

National ICT Infrastructure Backbone

353. The first construction phase of the National ICT infrastructure

backbone was completed whereby services are provided by special unit under

Tanzania Telecommunication Company Ltd (TTCL). A total of 16 regions are

now connected to the National ICT backbone, namely; Dar es Salaam, Coast,

Morogoro, Iringa, Mbeya, Dodoma, Singida, Manyara, Arusha, Kilimanjaro,

Tanga, Tabora, Shinyanga, Mwanza, Mara and Kagera. In addition, 63 service

stations have been constructed in many areas in Tanzania including areas

along the borders, such as: Rusumo (Rwanda); Kabanga (Burundi); Namanga

(Kenya); Kasumulo (Malawi); and Tunduma (Zambia).

354. The implementation of the second phase of the project started on 1st

August 2010, which will be implemented for 18 months up to March 2012.

This phase will cover 2,700 kilometres of the optic fibre to be constructed

along Dar es Salaam-Lindi-Mtwara-Songea-Makambako; Tunduma-

Sumbawanga-Tabora-Kigoma-Biharamulo; Musoma-Silari; Tanga-Horohoro;

Unguja; and Pemba.

Tele-centers

355. In 2010, the government continued to establish new tele-centres and

strengthened the existing ones. The number of tele-centres increased to 15 in

2010 compared to 9 centres in 2009, equivalent to an increase of 66.7 percent.

In addition, other Government and private institutions such as COSTECH,

DIT and Vodacom have shown interest to join Government efforts in

establishing and developing tele-centres whereby COSTECH managed to

establish 47 tele-centres in different parts in the country.

National Physical Address and Postal Codes

356. In 2010, the establishment of the National Physical Address system

was done in Dodoma municipality in the following wards: Kiwanja cha

Ndege, Uhuru, Makole, Viwandani, Uhindini, Tambukareli and Kilimani.

Likewise, implementation of the project will continue in Ilala, Temeke,

223

Zanzibar and Moshi areas depending on the availability of resources. The

completion of the National Address system and Postal Codes will facilitate:

the collection of various taxes; citizen identification through Registration

Insolvency and Trusteeship Agency (RITA); voters registration process;

provision of national identity cards; security of citizen and their properties;

Provision of social services such as water, electricity, communication, aids

distribution and insurance; Emergency services and rescue such as fire rescue,

ambulances, floods, and business and economic services (Bank services,

hotels and shopping malls)

SCIENCE, TECHNOLOGY AND INNOVATION

The Development of Scientific Research in Tanzania

357. In 2010, a total of 87 institutions and public research centres

collaborated by Tanzania Commission for Science and Technology

(COSTECH) in conducting various researches. Moreover, those researches

were conducted in the following areas: agriculture (18), livestock and fisheries

(10), industries and energy (8), natural resources (10), health (8), universities

(33). In 2010, a total of 11 private institutions and Non Governmental

Organizations were engaged in research activities. In addition, the

Government supported 9 researches in the following areas: health and

nutrition; natural resources and environment; new and emerging technologies;

agriculture; livestock; and energy.

National Research Registry

358. In 2010, a total of 250 researchers from abroad were registered and

certified to conduct researches on the following fields: wildlife, health,

geography, history, politics, economy, information technology, arts, language,

agriculture, archaeology and education. Those researchers were from America,

England, Japan and other European countries. In addition, those researches

were mainly conducted in wildlife, health, social sciences and arts.

224

Human Resource Development

359. In 2010, Dar es Salaam and Mbeya Institutes of Technology admitted

4,515 students compared to 3,414 admissions in 2009, equivalent to an

increase of 32 percent. On the other side, the construction of Nelson Mandela

Institute of Technology is on progress in renovating the then CARMATECH

which is in Tengeru - Arusha.

Radiation Control

360. In 2010, Tanzania Atomic Energy Commission inspected 106 out of

150 X-Ray stations to determine the level of emission of ionised radiations

compared to 96 stations inspected in 2009, equivalent to an increase of 10.4

percent. In addition, 1,180 workers in X-Ray stations were provided with

Personnel Dosimetry Service compared to 668 workers tested in 2009,

equivalent to an increase of 76.6 percent. The level of emission of ionized

radiation for all workers at their work station was found to be generally safe.

361. In 2010, a total of 4,564 samples of food and fertilizers were subjected

to radio-analysis tests and licensed compared to 689 samples in 2009. In

addition, 26 stations were tested for the levels of emitted radiations as it was in

2009. Similarly, 70 telecommunication towers were inspected on the level of

emission of non-ionizing radiations compared to 90 telecommunication towers

in 2009, equivalent to a decrease of 22.2 percent.

225

Table No. 67

Item Units 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010

Railway length (mainline) Kms. 2721 2722 2722 2707 2707 2707 2707 2707 2707 2707 2707

Locomotive engines: Number 81 81 77 103 103 99 99 84 45 43 25

Steam Number 1 1 1 1 1 1 1 1 1 1 0

Diesel Number 80 80 76 102 102 98 98 83 45 0 0

Mainlain - - - 77 77 73 73 62 5 5 21

Shunting - - - 25 25 25 25 21 40 38 4

Total Wagons: Number 1472 1478 1479 1779 1592 1951 1828 1912 1648 1357 1071

Passengers Number 91 97 98 82 83 82 54 102 45 68 50

General use Number 1148 1104 1104 1104 1104 1464 1369 1369 1190 1093 648

Oil tanks Number 164 164 164 164 164 164 164 208 244 178 179

Livestock Number 51 51 51 69 69 69 69 76 18 39 88

Others Number 18 62 62 360 172 172 172 157 151 105 106

Transportation Number

Passengers '000 - 728 685 666 464 514 594 524 392 285 284

Freight 000Tons - 1351 1446 1443 1002 1169 775 714 429 237 265

Source: Tanzania Railways Corporation

TANZANIA RAILWAYS CORPORATION (TRC)

226

Table No. 68

Item Unit 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010

Railway length+

Kms 1860 1860 1860 1860 1860 1860 1860 1860 1860 1860 1860

Locomotive engines: Number 89 89 21 22 58 58 21 19 10 16 15

Mainline Number 44 75 14 15 42 42 15 14 8 11 10

Shunting Number 14 14 7 7 16 16 6 5 2 5 5

Passenger Rolling Stock: Number 128 128 67 60 75 75 66 71 62 53 36

Passenger Coaches Number 102 102 106 102 61 61 52 59 53 44 31

Restaurant unit Number 14 14 6 5 5 5 6 8 4 3 2

Luggages Number 13 12 9 8 9 9 8 4 5 6 3

Freight Rolling Stock: Number 2225 2225 2110 1401 1556 1518 1455 1458 1371 1412 1620

Luggages Number 1446 1948 2019 1088 1354 1364 1297 1295 1217 1174 1381

Livestock Number 28 24 5 2 2 16 20 6 0 0 0

Oil Tanks Number 209 114 82 103 83 81 72 81 114 196 197

Refrigerated Units Number 20 20 4 4 3 8 3 10 4 7 7

Other Units Number 93 2 - 148 22 2 2 2 2 2 2

Brake Units Number 73 64 64 15 64 26 44 46 17 16 16

Ballast Units Number 56 48 28 45 28 21 17 18 17 17 17

Freight (Tonnes) '000 638 558 677 147 298 470 555 569 525 333 540

Passengers '000 1609 1262 1212 261 390 611 1063 1000 1177 923 758

Source: Tanzania Zambia Railway Authority

+ Actual length is 1860.54 kms, and 974.814 kms are inside Tanzania

THE UHURU RAILWAY - TAZARA

227

Table No. 69

Item Unit 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010

Total number of ships Number 5232 3676 3120 2350 2898 3895 4154 3038 697 1842 1274

Net registered capacity 000 Tons 3425 1013 4011 4285 5848 11506 18257 16588 7260 17472 18721

Total passengers 000 551 479 516 648 525 1072 664 714 310 141 228

Total Cargo handled 000dwt 2860 4193 4514 5346 4179 4307 6320 5703 2316 4946 4954

Off-loading 000dwt 2864 3422 3627 4416 3390 3599 5292 4932 2136 4382 4559

General cargo 000dwt 1230 1562 2022 2650 1928 2107 3164 2762 1053 2430 2159

Cement 000dwt 380 286 - - - - - - 0 1852 0

Petroleum 000dwt 1126 1445 1402 1696 1382 1311 1909 2054 1013 100 2400

Others1

000dwt 128 129 203 70 80 181 219 116 70 565 0

Loading 000dwt 1576 664 717 930 623 708 1027 761 181 466 466.1

General Cargo 000dwt 538 624 664 848 581 654 971 713 153 24 419

Petroleum 000dwt 38 40 53 82 32 35 34 48 28 7 47

Others1

000dwt - - - - 10 19 22 0 0 68 0

Transhipments 000dwt 27 20 168 253 251 308 371 126 - 0.1

Source: Tanzania Harbours Authority

1 Such as mollasses, tallow fats etc.

- Not available

SHIPPING STATISTICS: DAR ES SALAAM

228

Table No. 69 (contd.)

Item Unit 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010


Net registered capacity 000 953 430 264 258 440 628 964 551 133 671 1059

Total passengers 000 7 0.7 0.5 2.7 4 6.4 6.6 7.1 8.3 0 0

Total Cargo handled 000dwt 168 194 201 259 162 289 519 542 178 359 529

Off-loading 000dwt 80 108 104 118 127 165 307 330 836 213 357


Petroleum 000dwt 12 29 22 25 14 54 112 88 19 66 44

Loading 000dwt 88 84 97 141 104 134 212 212 66 145 171


Petroleum 000dwt - - - - - - - - - 0

Transhipment 000dwt - - - - - - - - - - -


- Not available

SHIPPING STATISTICS: TANGA

229

Table No. 69 (contd.)

Item Unit 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010


Net registered capacity 000 465 264 392 263 106 628 964 251 131 31 455

Total passengers 000 63 36 62 33 10 6.4 6.6 10 0 0 0

Total Cargo handled 000 176 175 177 141 169 289 519 542 82 95 107

Off-loading 000dwt 81 61 78 70 44 165 307 53 26 23 39


Petroleum 000dwt 17 21 20 11 14 54 112 6 4 0 3

Loading 000dwt 96 109 99 71 75 134 212 59 56 72 68


Petroleum 000dwt - - - - - - - - - - -

Transhipment 000dwt - - - - - - - - - - -


- Not available

SHIPPING STATISTICS: MTWARA

230

TABLE No. 70

Item Unit 2002 2003 2004 2005 2006 2007 2008 2009 2010

Sub Post Office Number 190 149 139 136 162 162 167 202 171

Franchised Post Offices Number 83 83 91 92 91 86 113 81 81

Departimental Post Offices Number 151 154 157 157 129 113 172 170 170

Total Number 424 386 387 385 382 361 452 453 422

Private Boxes Installed 000 305.076 168.9 171.7 171.8 172 173 173.5 117

Rented Boxes 000 137.467 143.7 148.0 147.5 146 150 130.2 87.2 120.3

Unfulfilled Request/waiting applicants 000 0.129 0 0 0 0 0 5 4.1 0

Rented Postal Bags Number 222 215 222 214 203 217 182 62 183

Posted Letters: Mill. 25.04 21.3 25.2 24.6 28.1 23.7 15 14 29.2

Domestic Mill. 20.1 19.9 16.9 9.8 14 18.7

International Mill. 5.1 8.2 6.8 5.2 10.5

Registered & urgent Letters: 000 356.561 450.1 562.8 488.7 1003 530 306.9 377 480.4

Domestic 000 915 452 146.5 0 305

International 000 40 37 136.2 0 154

Inland Parcels 000 31.976 29.4 43.3 48.4 36 29 18 8.6 14.6

Foreign Parcels 000 5.76 6.7 7.9 6.6 12 12 6.2 2 6.8

Stamp vendors Number 10767 11100 10113 10099 12824 6324 6242 6256 25145

EMS letters and parcels: "

Inland " 260486 309736 247268 297061 312110 262381 216762 493709 283711

Foreign " 19675 29409 30693 37331 36930 12289 14650 4012 18766

EMS Money Fax " 188790 216710 259449 300357 533821 379084 366382 23165 82002

EMS Fax (Fax message received) " 4440 16112 22394 22968 23328 14659 121901 103558 31594

Overnight Mail Services "

Letters' bags transported " 53572 70170 71199 70086 101486 75900 85595 68912 76983

Newspapers parcels transported " 81477.91 21992 20204 21692 28753 20314 12754 13934 2752

Post Mini Bus Services:

No. of letters bag transported " 8555 6587 5337 5993 3690 6542 4328 268 0

Express Money Orders (EMO) issued " 284495 251685 218937 207997 210440 214558 0 20057 8169

Express Money Orders (EMO) paid 216961 271924 224630 147020 233325 132030 93508 23069 11881

Speed Cash/Interstate Money Orders (IMO)

Sent " 2210 1393 1602 1586 1788 1519 1354 1030 1027

Received " 1605 1061 1202 1001 1105 686 671 150 150

Postal Order sold " 28683 16445 12714 8277 8029 9152 8062 8831 1924

Postal Order paid " 25843 15113 12653 7565 7639 4615 5709 5490 3262

Savings Bank Transactions

Deposits " 173304 144155 102288 66885 42255 25382 24574 9535 18863

Withdrawal " 157532 132538 89517 55392 32294 19534 21122 11663 23025

Source: Tanzania Posts Coorporation.

POSTAL SERVICES STATISTICS

231

Table No. 73

Item Unit 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010

Ton-Kilometers:

Available 000 53207 47631 40524 28023 91769 33198 42627 32533 - 5313 9482

Used 000 21289 19843 17258 11351 58579 18121 22085 18480 - 1508 2888

% Utilisation % 40.0 41.7 42.6 40.5 49.3 54.6 51.8 56.8 - 28.4 30.5

Seats-Kilometers

Available 000 419419 393098 317522 238618 343250 334427 365265 306461 469426 41396 59724

Used 000 197749 182101 163597 123433 164553 185085 221307 190006 129000 16469 30527

% Utilisation % 47.1 46.3 51.5 51.7 47.9 55.3 60.6 62.0 27.5 39.8 51.1

Passengers ++

000 195 177 137 157 271 197 224 190 188 27 41

Excess load Tani NA NA NA NA NA NA NA 103 30 9 8

Load carriage Tani 3100.6 13864 2233 1379 1506 1200 1502 1123 1044 54 145

Postal mail Tani 252 2843 162 82 235 214 299 241 162 11 30

Source: Air Tanzania Corporation

+ Scheduled traffic only

++ Full-fare passengers

AIR TANZANIA CORPORATION (ATC)+

232

CHAPTER 17

ENERGY

Growth Rate

362. In 2010, electricity and gas economic activities grew by 10.2 percent

compared to 8.4 percent in 2009. This was attributed to increase in the use of

natural gas in the production of electricity and other activities. Contribution of

electricity and gas economic activities to GDP was 1.8 percent in 2010


Electricity

363. In 2010, electricity generated through the National Grid was 3,625.36

GWh compared to 3,279.95 GWh in 2009. Out of these, 2,701.07 GWh was

generated from hydro power and 924.29 GWh was from thermol. In 2010,

electricity generated from thermal, outside the National Grid was 78.85 GWh

compared with 68.86 GWh in 2009. In addition, imported electricity from

neighbouring countries was 57.16 GWh compared to 64.88 GWh in 2009.

Moreover, electricity generated from natural gas was 1,688.81 GWh and

electricity generated by private producer was 1,563.96.

364. In 2010, electricity lost was 1,686 GWh as it was in 2009. The average

tariff of electricity was shilling 85.5 per KWh in 2010 compared to shilling

114.8 per KWh in 2009. In addition, electricity sold was 496.57 GWh worth

shilling 470.584 billion, compared to 4,687 GWh worth shilling 413.501 in

2009, equivalent to an increase of 13.8 percent.

233

Table No. 74

STATION

Capacity Generated Capacity Generated Capacity Generated Capacity Generated

MW GWH MW GWH MW GWH MW GWH

NATIONAL GRID

Kidatu (Morogoro) 204 1028.65 204 1061.6 204 1097.83 204 1110.58

Mtera 80 421.97 80 344.02 80 450.85 80 433.31

Hale (Tanga) 21 69.25 21 60.18 21 43.05 21 48.96

New pangani 68 309.46 68 261.99 68 166.67 68 207.94

Nyumba ya Mungu (Moshi) 8 27.07 8 25.06 8 32.88 8 30.17

Kihansi 180 655.99 180 893.15 180 845.62 180 867.32

Uwemba Min Hydro 2.87 0.84 3 0.8 3

Total - Hydro 561 2512.39 561 2648.87 561.84 2639.9 561.8 2701.28

Ubungo Diesel 34.37 0.03 34.37 0 34.37 0.0 0.0 0.0

Ubungo GTS

Ubungo-Watsila 266.07 104.76 630.41 100 669.83

Tegeta - Watsila 43.65 17.51 43.65 243.73

Dodoma (Zuzu) 7.44 0.32 7.44 2.08 7.44 2.43 7.44 1.074

Mbeya Iyunga 13.9 0.01 13.9 0 13.9 0 13.9 0

Musoma 2.56 - 2.56 - 2.56 0 2.56 0

Mwanza Nyakato 12.5 - 12.5 - 12.5 0 12.5 0

Tabora 10.2 0.08 10.2 0.01 10.2 0 10.2 0

Total - Thermal 80.97 0.44 80.97 268.16 229.38 650.35 190.25 914.63

TOTAL - GRID 641.97 2512.83 641.97 2917.03 791.22 3290.25 752.05 3615.91

OTHER BRANCHES

Bukoba 2.56 0.10 2.56 0.09 2.56 0.12 2.56 0.15

Kigoma 6.11 14.70 6.11 17.82 6.25 15.19 6.25 21.22

Kilwa /Masoko 1.24 2.15 1.24 2.34 1.50 2.44 1.50 1.36

Lindi 2.28 3.41 2.28 0.04 0.00 0.00 0.00 0.00

Mafia 0.85 2.82 0.85 2.15 0.85 2.63 0.85 2.70

Mtwara 4.86 0.58 4.86 0.00 1.14 0.00 1.14 0.00

Njombe 1.28 1.24 1.28 1.28 0.00 1.28 0.00

Songea 5.67 15.08 5.67 17.15 6.43 16.38 6.43 18.76

Sumbawanga 2.14 - 2.14 - 1.50 0.00 1.50 0.00

Mpanda 1.92 4.93 1.92 3.95 1.66 4.57 1.66 6.96

Ikwiriri 0.85 1.67 0.85 1.77 0.85 2.30 0.85 2.82

Tunduru 0.70 2.57 0.70 1.83 2.07 2.85 2.07 3.75

Masasi 4.50 16.39 4.50 13.74 4.50 13.23 4.50 10.12

Liwale 0.75 1.30 0.75 1.31 0.60 1.32 0.60 0.97

Ngara 0.95 2.08 0.95 2.17 0.95 2.57 0.95 2.78

Biharamulo 0.95 2.38 0.95 2.62 0.95 2.42 0.95 3.30

Mbinga 1.14 2.26 2.13 2.26 3.10

Ludewa 0.10 1.28 0.65 1.28 0.82

OTHER BRANCHES-TOTAL 37.61 71.40 37.61 68.22 36.63 68.80 36.63 78.81

GRAND TOTAL (TANESCO) 679.58 2584.23 679.58 2985.25 827.85 3359.05 788.68 3694.72

OTHER SOURCES 1619.17 1440.12 1443.04 1443.04

TOTAL MEGAWATT MADE 4203.40 4425.37 4802.09 5137.76

Source: Tanzania Electric Supply Co. (TANESCO)

MW Megawatt

GWH GigaWatt-Hour = Million KWH

* Provisional

ELECTRICITY: INSTALLED CAPACITY AND TOTAL UNITS GENERATED BY STATION

2007 2008 2009 2010*

234

Table No. 75

(Mill. KwH)

Mainland Tanzania Power Total

Year Public Domestic Commercial Zanzibar Total Transmission power

Lighting & Industrial Loss Generated

2001 0.55 980 965 127 2073 675 2748

2002 0.10 1108 1085 133 2326 464 2790

2003 0.04 1029 1257 145 2431 232 2663

2004 0.05 1131 1419 161 2711 40 2751

2005 0.03 900 1519 185 2604 544 3148

2006 0.09 871 1593 204 2668 924 3592

2007 0.01 1420 1459 231 3288 917 4205

2008 0.01 1647 1722 229 3598 827 8023

2009 0.01 1432 1498 186 3116 1686 4802

2010 0.01 1671 2247 174 4092 1046 5138

Source: Tanzania Electric Supply Company (TANESCO)

MW Megawatt

GWH GigaWatt-Hour = Million KWH

ELECTRICITY SALES BY TYPE OF USE

235

Table No. 76

Region 2004 2005 2006 2007 2008 2009 2010

Dodoma 46 48 49 59 68 79 83

Arusha 194 202 193 223 296 236 269

Manyara 14 17 19

Kilimanjaro 101 102 96 110 109 88 124

Tanga 143 156 154 165 169 166 209

Morogoro 86 113 107 119 136 121 179

Coast 104 94 106

Dar-es-Salaam 1263 1110 1136 1574 1641 1200 1789

Lindi 10 10 12 12 11 11 13

Mtwara 19 20 20 29 23 29 27

Ruvuma 13 13 13 14 15 15 21

Iringa 59 60 61 79 79 85 101

Mbeya 105 95 99 109 115 125 139

Singida 15 18 46 28 18 26 26

Tabora 111 67 71 37 98 84 97

Rukwa 9 9 11 12 11 12 17

Kigoma 13 9 12 10 12 12 16

Shinyanga 174 176 177 195 196 253 313

Kagera 20 28 35 36 37 33 44

Mwanza 127 136 132 151 173 192 215

Mara 42 47 40 95 44 52 110

Total -Tanzania Mainland 2550 2419 2464 3057 3369 2930 3917

Zanzibar 161 185 204.1 231 229 186 174

TOTAL 2711 2604 2668.1 3288 3598 3116 4091

Source: Tanzania Electric Supply Co. (TANESCO)

QUANTITY OF ELECTRICITY SOLD BY REGION (GWH)

236

Exploration of Petroleum and Gas

365. In 2010, the existing contracts for petroleum exploration were 22. In

addition, collection of seismic survey statistics and drilling of exploration

wells was conducted at Mkuranga, Mtwara and Songo Songo. In that

exploration, 17 wells were drilled in the following areas Mtwara/Mnazi Bay (4

wells); Songo Songo (3 wells); Mkuranga (3 wells); deep sea (3 wells); Lindi-

Mandawa (2 wells); Rufiji (1well); and Mafia (1well). Following such

exploration, the following areas were spotted to have gas: Mkuranga, Nyuni

(Songo Songo) and deep sea east of Mafia Island and west of Mtwara region.

Fuel Prices

366. In 2010, total demand for fuel was 1.7 million tons. The average price

of crude oil in the world market was USD 86 per barrel compared to USD 60

per barrel in 2009, equivalent to an increase of 43.3 percent. In addition, the

average price of petrol in the world market was USD 770 per barrel, USD 695

for diesel, and USD 733 for kerosene compared to USD 541.3, USD 458.2 and

USD 496.1 in 2009 respectively. In 2010, the average pump price was shilling

1,550 per litre for diesel, shilling 1,600 per litre for petrol and shilling 1,150

per litre for kerosene.

ALTERNATIVE SOURCES OF ENERGY

Minor Waterfalls

367. In 2010, the Government continued to coordinate the awareness

creation activities on source of energy generated from minor waterfalls.

Sources of energy generation from minor waterfalls were identified in Iringa,

Rukwa, Ruvuma, Mbeya, Kagera and Tanga regions. Preliminary research has

indicated that, the sources can generate a total of 390 MW of energy.

Solar Power

368. In 2010, solar energy systems were fixed in 12 secondary schools and

77 health centre in Lake Zone regions. Likewise, 200 technicians and 120

solar power business people were trained in power technical skills and

business administration and are providing solar power services in the

aforementioned regions. Solar energy consumption has helped to reduce the

237

environmental pollution generated by carbon dioxide due to the use of petrol,

diesel and kerosene.

Geothermal and Biofuel

369. In 2010, the Government continued to prepare conducive environment

for sustainable development of biofuel, so as to make use of the existing

opportunities and make sure that the development of biogas is done without

posing negative consequences to the citizens, environmental conservation,

bionuai, forests and food security. In addition, two companies invested in

biofuel, which are Agro- Ecoenergy Tanzania Ltd of Sweden for sugarcane

plantation; and Envirovest of Mauritius for Palm trees plantation.

Furthermore, regarding biodiesel, the companies such as Diligent Tanzania

Ltd (Arusha); Prokon Renewable Energy (Rukwa); Kakute (Arusha);

Sunbiofuel (Coast); and Jatropha Tanzania Ltd (Arusha) developed this

technology with the use of Geopatray.

238

CHAPTER 18

WATER

Introduction

370. In 2010, management of water resources, survey and monitoring of

water sources continued in the country. The survey for searching the water

sources in seven basins were carried out in which five watershed areas and

1,216 water wells were identified for effective coordination of proper use of

ground water sources. Further, 155 sites for drilling borehole were identified

in those seven basins. Furthermore, a total of 63 water user-permits were

provided to farmers and other water user groups.

371. In 2010, a total of 1,648 water samples from different water sources for

domestic uses were collected for laboratory testing, compared to 3,569 water

samples in 2009. Out of the samples tested, 1,461 water samples equivalent to

88.7 percent met the required standard for human consumption. In addition, a

total of 213 sewage samples from industries and sewage treating machines

were collected for laboratory testing in Bukoba, Dar es Salaam, Dodoma,

Iringa, Morogoro, Musoma, Mwanza and Tanga. The results revealed that,

195 samples equivalent to 91.5 percent met the required standard for sewage

to be disposed in the environment.

372. In 2010, assessment of water quality from various sources in water

basins was conducted in which 825 water samples were collected. Out of the

collected samples, 605 were collected from rivers, 200 from lakes and 20 were

drawn from dams. The results showed that the water quality in those sources

were highly turbid, biologically contaminated with eutrophication problems.

Several measures were taken to control the contamination of water sources by

imposing legal rules and district by-laws on the water use.

Rural Water Supply

373. In 2010, a total of 333 water supply projects in the rural areas were

completed, whereby 221 projects were constructed and 112 projects were

rehabilitated. Those projects enabled access to clean and safe water to 416,250

239

villagers from 1,169 water points. During the implementation of Rural Water

and Environmental Conservation Program, a total of 931,408 villagers were

educated and sensitized on sanitation and hygiene. In addition, 763 pit latrines

were constructed compared to 599 constructed in 2009.

374. The number of villagers who got access to water services increased

from 19,685,659 in 2009 to 20,545,945 villagers in 2010. People who got

access to clean and safe water in the rural areas were 57.8 percent in 2010

compared to 58.7 percent in 2009. This was caused by the slowdown in

implementation of small water projects due to the preparation of implementing

large scale water schemes in districts under Water Sector Development

Program (WSDP).

Urban Water Supply

375. In 2010, water production in regional urban centres increased to 116.5

million cubic meters compared to 109.7 million cubic meters in 2009,

equivalent to an increase of 6.2 percent. In addition, 19 urban water authorities

managed to supply water to 3,523,335 people out of 3,962,650 people residing

in urban centres in 2010, compared to 3,167,054 people out of 3,649,600

people in 2009.

376. Up to December 2010, the number of residents who had access to safe

and clean water in regional urban centres was 86.1 percent, in the districts

townships were 53.0 percent and in Dar es Salaam city were 55.0 percent. The

low level of water supply in Dar es Salaam was caused by high population

increase that entailed high demand of water for social and economic activities

as well as dilapidated infrastructures.

377. Revenue collected by water authorities in regional urban centres

amounted to 40.3 billion in 2010 compared to 35.8 billion in 2009, being an

increase of 12.6 percent. The increase in revenue was attributed to 261,770

new customers connected to water supply system compared to 244,422 new

customers in 2009, equivalent to an increase of 7.1 percent.

240

Table No. 78

Region Total Number

Arusha 57

Kilimanjaro 24

Tanga 8

Manyara 34

Dodoma 15

Shinyanga 135

Singida 74

Tabora 28

Mtwara 22

Rukwa 21

Mbeya 4

Iringa 5

Morogoro 32

Dar Es Salaam 57

Pwani 10Kigoma 11

TOTAL NUMBER OF BOREHOLES

DRILLED DURING THE YEAR 2010

Source: Ministry of Agriculture, Food Security and Cooperatives

Table No. 79

Authority Water Production (Cubic Earnings (Tshs.)

Arusha 14,721,190 4,228,767,804

Babati 1,150,694 412,582,337

Bukoba 2,290,311 781,849,481

Dodoma 9,667,795 4,080,208,091

Iringa 4,229,160 2,129,065,911

Kigoma 3,117,511 502,410,725

Lindi 328,902 203,796,544

Mbeya 11,236,254 3,339,539,484

Morogoro 8,900,610 3,801,407,363

Moshi 9,102,782 3,102,872,040

Mtwara 1,659,664 972,731,617

Musoma 3,848,175 1,247,335,118

Mwanza 23,492,486 7,304,948,210

Shinyanga 3,491,099 1,506,671,775

Singida 1,527,053 500,960,728

Songea 2,361,703 734,974,362

Sumbawanga 1,763,680 402,940,915

Tabora 4,149,561 1,340,824,081

Tanga 9,513,697 3,696,449,819

Jumla 116,552,327 40,290,336,405

WATER SUPPLY IN URBAN CITY CENTRE - 2010

Source: Ministry of Agriculture, Food Security and Cooperatives

241

CHAPTER 19

EDUCATION AND TRAINING

Pre – primary Education

378. In 2010, enrolment in pre – primary schools increased to 925,465

pupils from 896,146 pupils in 2009, equivalent to an increase of 3.3 percent.

Out of that, 461,628 pupils were boys and 463,837 were girls. Enrolment in

Government pre – primary schools was 883,667, of which 440,202 were boys

and 443,465 were girls. Enrolment in non - Government pre – primary schools

was 41,798 whereby 21,426 pupils were boys and 20,372 were girls. In

addition, the teacher – pupil ratio in pre – primary level was 1:71 in 2010

compared to 1:52 in 2009. This ratio indicates that the increase enrolment was

not proportional to the number of teachers in 2010. The increase in pre -

primary enrolment was a result of the education policy which requires each

Government primary school to have pre – primary classes; and the free pre -

primary education provided, which motivated many parents to enrol their

children.

Primary Education

379. In 2010, the gross enrolment in primary schools decreased to

8,419,305 pupils from 8,441,553 pupils in 2009, equivalent to a decrease of

0.3 percent. Out of those, 4,203,269 were boys, equivalent to 49.9 percent,

while 4,216,036 pupils, equivalents to 50.1 percent were girls. Enrolment in

standard I decreased from 1,358,790 pupils in 2009 to 1,356,574 in 2010,

equivalent to a decrease of 0.2 percent. The decreased enrolment in primary

schools was a result of successful implementation of PEDP-I, which managed

to reduce the number of ‗out - of - school‘ children.

380. In 2010, the total number of government and non – government

primary schools increased to 15,816 schools from 15,727 schools in 2009,

equivalent to an increase of 0.6 percent. Government primary schools

decreased from 15,301 in 2009 to 15,265 schools in 2010, equivalent to a

decrease of 0.24 percent. This was a result of upgrading some of primary

schools to secondary schools.

242

381. In 2010, gross enrolment rate decreased to 106.4 percent from 110.5

percent in 2009. In addition, net enrolment rate decreased to 95.4 percent in

2010 compared to 95.9 percent in 2009. The number of teachers in

government primary schools increased from 157,185 in 2009 to 165,856

teachers in 2010, equivalent to an increase of 5.5 percent. The teacher - pupil

ratio improved from 1:54 in 2009 to 1:51 in 2010. Likewise, the drop - out rate

decreased to 2.6 percent in 2010, from 3.7 percent in 2009.

Secondary Education

382. The number of secondary schools increased to 4,266 in 2010 from

4,102 schools in 2009, equivalent to an increase of 4.0 percent. Out of those,

3,397 were government schools and 869 were non government schools. The

number of government secondary schools increased from 3,283 in 2009 to

3,397 in 2010, equivalent to an increase of 3.5 percent.

383. The number of students in secondary schools (form I – VI) increased

from 1,466,402 in 2009 to 1,638,699 students in 2010, equivalent to an

increase of 11.7 percent. Out of those students, girls were 728,528 ,

equivalent to 44.6 percent and boys were 910,171, equivalent to 55.5 percent,

compared to 653,457 girls (44.6 percent) and 812,945 boys (55.4 percent) in

2009. The increase in the number of students in secondary schools in 2010

was a result of deliberate efforts by the Government to ensure that all students

who pass primary school final examinations are enrolled in secondary schools.

Teachers’ Education

384. In 2010, there were 92 teachers‘ colleges, compared to 77 colleges in

2009, equivalent to an increase of 19.5 percent. Out of those, government

teachers‘ colleges were 34 and non government colleges were 58. The

number of students in government teachers‘ colleges was 25,814 in 2010,

compared to 21,723 students in 2009, equivalent to an increase of 18.8

percent. Out of those, females were 11,236 (43.5 percent) and males were

14,578 (56.5 percent). In 2010, training were in the following levels: special

education training program were 458 students; Certificate level 9,022 students;

Diploma (pre – service) 13,679 and Diploma (in – services) 2,655 students.

243

The number of students in non government teachers‘ colleges decreased from

13,648 in 2009 to 10,834 students in 2010, equivalent to a decrease of 20.6

percent.

244

Table 19.1: Number of Students Enrolled in 2009 – 2010

DESCRIPTIONS 2009 2010

PRE-PRIMARY SCHOOLS Male Female Total Male Female Total

Government Pre-primary schools 422,893 428,191 851,084 440,202 443,465 883,667

Non-Government Pre-primary Schools 22,974 22,088 45,062 21,426 20,372 41,798

445,867 450,279 896,146 461,628 463,837 925,465

PRIMARY SCHOOLS I-VII

Government primary schools 4,182,915 4,130,165 8,313,080 4,127,500 4,139,526 8,267,026

Non -government primary schools 65,849 62,624 128,473 75,769 76,510 152,279

4248764 4192789 8441553 4203269 4216036 8419305

SECONDARY SCHOOLS

Government Secondary schools 728,322 565,369 1,293,691 792,974 608,356 1,401,330

Non-Government Secondary Schools 84,623 88,088 1,727,711 117,197 120,172 237,369

812945 653457 3021402 910171 728528 1638699

TEACHER’S COLLEGES

Government Teachers‘ Colleges 12,409 9,300 21,723 14,578 11,236 25814

Non-Government Teachers‘ colleges 5,809 7,839 13,648 5,473 5,361 10,834

18,218 17,139 35,371 20,051 16,597 36,648

UNIVERSITIES

Government Universities 21,275 49,510 70,785 27,997 56,884 83,828

Non Government Universities 9737 15043 24740 14242 20881 35123

TOTAL 31,012 64,553 95,525 42,239 77,765 118,951 Source: Ministry of Education and Vocational Training

245

Adult Education

385. In 2010, the number of people who participated in the Integrated

Community Based Adult Education (ICBAE) decreased by 3.4 percent, from

957,289 in 2009 to 924,893 participants in 2010. Out of those, males were

451,108, equivalent to 48.8 percent and females were 473,785, equivalent to

51.2 percent, compared to 449,103 (46.9 percent) males and 508,106 (53.1

percent) females in 2009.

386. Number of participants in long distance learning and face to face

program increased from 39,689 in 2009 to 51,993 participants in 2010,

equivalent to an increase of 31.0 percent. Out of those participants, 28,336

were males, equivalent to 54 percent and 23,657 participants were females,

equivalent to 46 percent compared to 18,336 (46 percent) males, and 21,353

(54 percent) females, in 2009.

387. The number of pupils in Complementary Basic Education in Tanzania

(COBET) decreased from 82,989 pupils in 2009 to 72,799 pupils in 2010,

equivalent to a decrease of 12.3 percent. This was due to the increase in pass

rate of out of school children and youth who qualified for formal primary

education system.

Schools and Colleges’ Inspection

388. In 2010, the Government continued to manage and monitor

implementation of education policy, rules and regulations so as to ensure

availability of quality education. In 2009/10, a total of 9,960 schools/colleges/

institutions were inspected compared to 5,610 schools/colleges/ institutions

inspected in 2008/09. This is equivalent to 49.6 percent of the target of

inspecting 20,094 schools/colleges/ institutions in 2009/10.

246

Table Na. 19.2: Schools/Colleges/ Institutions Inspected in 2009/10

Schools/Colleges/ Institutions Targeted

number to

Inspect

Inspected

Institutions

Performance

level (% of

targeted

number to be

Inspected)

Pre – primary Classes 5,137 2570 50.0

Primary Schools 6,763 3,406 50.4

Vocational Training Centers 151 55 36.4

Schools/Classes of Special

Education 115 56 48.7

Adult Education Centers 6,187 2,588 41.8

Secondary Schools 1,664 1,258 75.6

Teachers‘ College 77 27 35.1

Total 20,094 9,960 49.6 Source: Ministry of Education and Vocational Training

Vocational Training

389. In 2010, the number of vocational training colleges was 224 compared

to 221 colleges in 2009, equivalent to an increase of 1.4 percent. Out of those,

133 were government colleges and 91 non government colleges, compared to

128 government colleges and 93 non government colleges in 2009.

390. In 2010, the number of students enrolled in vocational training colleges

was 58,494 compared to 49,185 students in 2009, equivalent to an increase of

18.9 percent. Out of those, 50,554 students were in government colleges and

7,940 students were in non government colleges, compared to 41,214 students

who were in government colleges and 7,967 students in non government

colleges in 2009.

391. In 2010, the number of female students enrolled in vocational training

colleges was 25,018 compared to 21,244 students in 2009, equivalent to an

increase of 17.8 percent. Out of those, 21,058 female students were enrolled in

government colleges and 3,960 female students in non-government colleges

compared to 17,056 female students enrolled in government colleges and

4,188 female students in non government colleges in 2009.

247

Technical Education

392. In 2010, the number of technical education colleges was 900

compared to 889 colleges in 2009, equivalent to an increase of 1.2 percent.

Out of those, 22 were government technical education colleges and 878 were

non-government colleges compared to 21 government colleges and 868 non

government colleges in 2009.

393. The number of students in technical education colleges increased to

116,613 in 2010 from 72,938 students in 2009, equivalent to an increase of

59.9 percent. The number of female students was 54,605, equivalent to 47

percent of students while number of male students was 62,008, equivalent to

53 percent of all students registered in 2010.

Higher Education

394. In 2009/10, the number of universities was 31, of which 11 were

government universities and 20 were non government universities, as it was in

2008/09. The number of students in government universities increased from

70,785 in 2008/09 to 83,828 students in 2009/10, equivalent to an increase of

23,043 students or 18.4 percent. Out of those, 27,997 were females, equivalent

to 33 percent and 55,831 were males, equivalent to 66.6 percent, compared to

22,083 females, equivalent to 31.2 percent and 48,702 males, equivalent to

68.8 percent in 2008/09.

395. The number of students in non government universities increased from

24,740 in 2008/09 to 35,123 students in 2009/10, equivalent to an increase of

42.0 percent. Out of those, 14,242 were females, equivalent to 40.5 percent

and 20,881 were males, equivalent to 59.5 percent compared to 9,737 females

equivalent to 39.4 percent and 15,003 males, equivalent to 60.6 percent in

2008/09.

396. In 2009/10, the number of students in the government and non

government universities was 118,951 compared to 95,525 students in 2008/09,

equivalent to an increase of 24.5 percent. Out of those, 42,016 were females,

equivalent to 35.3 percent of all students in 2009/10.

248

397. In 2009/10, the Higher Education Students Loan Board (HESLB)

disbursed loans worth shilling 197.3 billion to 74,498 students compared to

loan worth shilling 140,295 billion to 58,841 students in 2008/09. In addition,

the rate of loans repayment had been increasing significantly since the Board

initiated the loan repayment system. In 2010, the Board collected shilling

3,082,392,983.32 compared to shilling 1,615,040,895.35 collected in 2009,

equivalent to an increase of 90.9 percent. As at December 2010, the Board

collected a total shilling of 6,089,567,254.

249

Table No. 80 (Number)

Year I II III IV V VI Total

1986 10789 9855 8401 8679 2363 2276 42363

1987 11626 10870 9528 9162 2313 2322 45821

1988 14258 11195 10373 9180 2313 2240 49559

1989 16034 14815 11275 10018 2980 2360 57482

1990 18654 16340 14199 11157 3777 2859 66986

1991 18892 18679 15459 13915 3646 3355 73946

1992 19299 19443 17044 14864 4136 3874 78660

1993 20267 20110 17597 16713 4261 4016 82964

1994 21589 19823 17513 16474 4179 3863 83441

1995 25200 22237 19118 17067 4541 3903 92066

1996 28289 23874 20197 16468 4528 4035 97391

1997 32043 29748 23810 19697 6412 4846 116556

1998 37094 31218 24925 21182 5163 4748 124330

1999 39144 36682 28589 23996 6305 5248 139964

2000 43643 36734 31132 25456 6654 6143 149762

2001 47204 45078 30531 29188 7198 6601 165800

2002 56101 50371 36989 29045 7711 7126 187343

2003 52863 60643 36906 35653 7780 6885 200730

2004 98738 67294 46546 36385 8353 7572 264888

2005 134963 109398 46188 46489 9710 8444 355192

2006 196391 151448 72167 42584 18211 9691 490492

2007 401011 218060 105770 70796 21789 11668 829094

2008 395930 332393 175353 95214 25240 11743 1035873

2009 480529 308131 159789 167355 31201 12695 1159700

2010 382207 398870 293519 279995 26065 20674 1401330Change (% )

2009-2010 -20.5% 29.4% 83.7% 67.3% -16.5% 62.9% 20.8%

Source: Ministry of Education and Vocational Training

GOVERNMENT SECONDARY SCHOOLS: NUMBER OF STUDENTS BY FORM

250

Tab80 A

Type of Institution Government Private Total Government Private TotalGovernment Private Total

Primary Schools 15257 416 15673 426 15301 15727 15265 551 15816

Secondary Schools 3039 759 3798 3283 819 4102 3397 869 4266

Teachers Education Colleges 33 34 67 34 43 77 34 58 92

Total 18329 1209 19538 3743 16163 19906 18696 1478 20174

Source:Ministry of and Vocational Training

2008 2009 2010

Number of Education Institutions

251

Table 80B

Male Female Total Male Female Total Male Female Total

I. Primary School Education:

Total students registered

in classes I-VII 4261831 4148263 8410094 4248764 4192789 8441553 4203269 4216036 8419305

Total students in government

schools in classes I-VII 4203180 4093428 8296608 4182915 4130165 8313080 4127500 4139526 8267026

Total students in private

schools in classes I-VII 58651 54835 113486 65849 62624 128473 75769 76510 152279

Total number of teaccher in primary schools 76638 78257 154895 80066 77119 157185 82170 83686 165856

Number of Teachers in Govt. schools 74479 74954 149433 76765 74711 151476 78331 80750 159081

Number of Teachers in Non-Govt. schools 2159 3303 5462 3301 2408 5709 3839 2936 6775

II. Secondary School Education:

Total number of students

in forms I-VI 679124 543279 1222403 812945 653457 1466402 910171 728528 1638699

Total students in government

schools in forms I-VI 58118 451755 509873 728322 565369 1293691 792974 608356 1401330

Total students in private

schools in forms I-VI 95006 91524 186530 84623 88088 172711 117197 120172 237369

Total number of teachers in

government schools 23122 9713 32835 17240 9192 26432 19666 10586 30252

Total number of teachers in

private schools 16790 8181 24971 5732 1790 7522 8155 2110 10265

Total number of teachers 39912 17894 57806 22972 10982 33954 27821 12696 40517

Source: Ministry of Education and Vocational Training

NUMBER OF STUDENTS AND TEACHERS IN PRIMARY AND SECONDARY SCHOOLS BY GENDER

2008 2009 2010

252

Table 80C

Level Male Female Total Male Female Total Male Female Total Male Female Total

Degree - - - 4209 1749 5958 5352 2636 7988 - - -

Diploma 4215 1744 5959 16154 8411 24565 17593 10909 28502 8229 5450 13679

Grade A 4074 5483 9557 66214 69665 135879 70567 72357 142924 4288 4734 9022

Grade B - - - 22223 16762 38985 17678 13388 31066 - - -

In-service Training 1747 1491 3238 108800 96587 205387 - - - - - -

Total 10036 8718 18754 217600 193174 410774 111190 99290 210480 12517 10184 22701

Source: Ministry of Education and Vocational Trainings

- Not available

TEACHERS EDUCATION IN TRAINING INSTITUTIONS

2007 2008 2008/09 2009/10

253

Tab 80 D

INSTITUTION/COURSE

1.University of Dar es Salaam (UDSM) MALE FEMALE TOTAL

B.A General 0

B.A Education 478 422 900

B. COM General 0

B. Education (PESC) 0

B.A with Education 655 365 1020

B.A (Archaelogy) 16 9 25

B.A (Archaelogy & Geography) 0 0 0

B.A (Culture & Haritage) 5 29 34

B.A (Language Studies) 10 9 19

B.A (Economics) 57 37 94

B.A (Economics & Commerce) 0

B.A (Economics & Statistics) 0

B.A (Economics & Geography) 2 0 2

B.A (Economics & Sociology) 3 4 7

B.A (Economics & Statistics) 15 10 25

B.A (Fine and Performing Arts) 17 9 26

B.A (Geography & Env. studies) 73 30 103

B.A (Geography & Statistics) 0

B.A (History & Archeology) 22 9 31

B.A (History & Polit. Science) 17 12 29

B.A (Polit. Science & public Admin) 78 36 114

B.A (Polit. Science & Economics) 3 0 3

B.A (Polit. Science & Language) 14 9 23

B.A (Polit. Science & Sociology) 20 33 53

B.A (Sociology) 87 161 248

B.A (Statistics) 29 9 38

B.A (History) 0 0 0

B.A Journalism 4 9 13

B.A Mass communication 8 17 25

B.A Public Relations and advertersing 16 20 36

B.Commerce 358 177 535

BSc. in computer science 69 14 83

BSc. With computer csience 17 2 19

BSc. (Education) 0

BSc. With Education 44 37 81

BSc. General 1 0 1

BSc.with Geology 15 2 17

BSc.Geology 0

BSc.(Engineering Geology) 0

BSc. Engineering 0

B.B.A 29 17 46

B. Ed. Commerce 19 6 25

B. Ed. In Psychology 0 0 0

B. Ed. In Education Psychology 31 33 64

B. Ed. Science 33 3 36

B. Ed. Adult Education 39 30 69

B. Ed. Arts 32 37 69

Bachelor of law 70 82 152

BSc. Comp. Eng. & Info. Tech. 32 14 46

BSc. Electr. Engineering 19 4 23

BSc. Electro power Eng. 10 1 11

NUMBER OF STUDENTS IN HIGHER LEARNING INSTITUTIONS BY GENDER

2009/2010

254

Tab 80D continues

BSc. Chem. & processing Eng. 24 16 40

BSc. Electro. Mech. Eng. 8 4 12

BSc. Food and Biochemical 8 9 17

BSc. Mech. Eng. 18 0 18

BSc. Mining Eng. 25 3 28

BSc. Mineral Proc. Eng. 20 4 24

BSc. Civil & Struct. Eng. 31 10 41

BSc. Telecom Eng. 36 12 48

BSc. Transportation Eng. 0

BSc. Civil & Transportation Eng. 30 5 35

BSc. Production Eng. 4 3 7

BSc. Civil & water Res. Eng. 24 6 30

BSc. Eng. Civil 0

BSc. Electronics 0

BSc. Electronics Sc. & Comm. 0

BSc. Mol. Bio & Biotech 12 4 16

BSc. Aquatic Sc. And Env. Sc & Con 12 2 14

BSc. Wildlife csience and conservation 33 11 44

BSc. Fish & Aquatic Sc. & Con 0

BSc. Industrial Engineering and Management 20 14 34

BSc. ICS 0

Adv. Diploma in Journalism 0

Lp in Culturee mngt. & Tour 0

Diploma in Computer Sciences 0

Diploma in Fisheries 0

Certificate in law 0

Certificate in Journalism 0

Certificatee in Computer Science 0

Occasion/Short Course Term 0

Total 2752 1801 4553

Total Lecturers 110 54 164

M.D (Doctor of Medicine)

B.Sc. Pharmacy 113 42 155

B.Sc. Nursing 22 10 32

D.D.S (Doctor of Dental Surgery) 4 8 12

BSc. Env. Health 17 4 21

B. Sc. Nursing Mg. 12 10 22

B.Medical Labaratory Science 2 0 2

B. Sc. In Radiotherapy Treatment 9 0 9

B.Sc. In nursing Midwifery 2 0 2

IPH 1 4 5

ITM 0

Adv. Dip. Dermatove neurology 0

Adv. Dip. Nursing 7 5 12

Adv. Dip. Medical Laboratory Techn. 4 9 13

Dip. Diaghostic Radiography 15 13 28

Dip. Enviromental Health Science 12 6 18

Dip. Medical Laboratory Techn 34 13 47

Dip. Orthopaedic Techn 20 16 36

Dipl. In Nursing 5 3 8

Dip. Pharmaceutical Sciences 1 19 20

Total: MUHAS 280 162 442

Total Lecturers 124 88 212

2. Muhimbili University of Health & Allied Sciences (MUHAS)

255

Tab 80D continues

3. Sokoine University of Agriculture (SUA) MALE FEMALE TOTAL

B. SC, AGRICULTURE GENERAL 94 13 107

B. SC, HORTICULTURE 22 3 25

B. SC, ANIMAL SCIENCE 71 20 91

B. SC, AQUACULTURE 25 7 32

B. SC, RANGE MANEGEMENT 26 7 33

B. SC, AGRONOMY 54 7 61

B. SC, AGRICULTUREAL ECONOMICS &

AGRIBUSINESS 155 46 201

B. SC, AGRICULTURAL EDUCATION &

EXTESION 83 36 119

B. SC, FOOD SCIENCE & TECHNOLOGY 27 27 54

B. SC, HOME ECONOMICS & HUMAN

NUTRITION 11 42 53

B. SC, AGRICULTURAL ENGINEERING 29 1 30

B. SC, FORESTRY 67 12 79

B. SC, WILDLIFE 69 24 93

B. SC, BACHELOR OF TOURISM

MANAGEMENT 56 68 124

B. SC, ENVIRONMENTAL SCIENCE &

MANAGEMENT 52 24 76

B. SC, INFORMATICS 41 3 44

B. SC, EDUCATION (Chemistry & Biology) 72 18 90

B. SC, EDUCATION (Geography & Biology) 37 25 62

B. SC, EDUCATION (Chemistry & Mathematics) 19 1 20

B. SC, EDUCATION (Informatics & Mathematics) 38 1 39

B. SC, EDUCATION (Geography & Mathematics) 14 4 18

BACHELOR OF VETERINARY MEDICINE 73 5 78

B. SC, BIOTECHNOLOGY & LABORATORY

SCIENCE 70 18 88

BA RURAL DEVELOPMENT 140 77 217

BACHELOR TOURISM AND MANAGEMENT

BACHELOR OF RURAL DEVELOPMENT

B. SC, APPLIED AGRICULTURAL EXTENSION

B. SC, AGRICULTURAL EDUCATION

B. SC, FAMILY AND CONSUMER STUDIES

B. SC, HUMAN NUTRITION

B. SC BIO-PROCESSING & POST-HARVEST

ENGINEERING

B. SC, IRRIGATION & WATER RESOURCE

ENGINEERING

Total : SUA 1345 489 1834

Total number of Lecturers 374 82 456

2009/2010

256

Tab 80D continues

4. Open University of Tanzania (OUT) MALE FEMALE TOTAL

B.A (General) 132 33 165

B.A (Education) 230 100 330

B. ED (Special Education) 5 3 8

B.A (Tourism) 59 13 72

B. Education 255 153 408

B.Sc. (General) 102 30 132

B. Sc. (Education) 53 16 69

B. Commerce (General) 0

B. Commerce (Education) 0

BBA (General) 266 82 348

BBA (Education) 48 17 65

BA Social work 29 37 66

BA Sociology 96 72 168

BA. J 18 1 19

BA (Mass Communication) 29 12 41

B. Sc. (ES) 36 8 44

LLB 322 68 390

BSc. ICT 29 4 33

POSTGRADUATE DEGREE

MSc. (CED) 0 0 0

M. CED 226 159 385

MSc. 1 1 2

M.A 106 52 158

M. Dist. Education 3 1 4

M. Ed 179 90 269

PGDL 40 7 47

PGDE 91 69 160

LLM 0 0 0

LLM IT & T 60 19 79

MBA 492 137 629

Ph. D 41 8 49

NON DEGREE COURSE

Foundation Course 0 0 0

OD CYP Diploma 27 8 35

CCDE 2 2 4

ODDEOL 38 16 54

CPPH 1 0 1

OFC 739 532 1271

PTE- Certificate 0 0 0

OD PTE 277 220 497

OD PPH 5 4 9

Jumla : OUT 4037 1974 6011


B.Architecture (ARCH)

Architecture in Interior Design (A.ID)

Architecture in Land Scape (A.LA) 240 43 283

B.Sc Build Economics) 18 7 25

B.Sc. (Urb.Planning) 3 1 4

B.Sc. (Building Surveying (BS)) 174 71 245

B.Sc. (Land Mgt. and Valuation) 0 0 0

B.Sc. (Env. Engineering) 25 18 43

B.Sc.Geomatics 174 53 227

Real Estate Finance and Management (REFI) 0

Property and Facilities Management (PFM) 85 16 101

Finance and Accounts (BAF) 69 19 88

Enviromental Science and Management 43 14 57

Municipal and Industrial Service( MISE) 0 0 0

Enviromental Laboratory Technology (ELST) 89 64 153

Housing and Infrastructure Planning (HIP) 35 6 41

Arts in Economics 18 24 42

Regional Development Planning (RDP) 48 8 56

Geoinformatics (GI) 7 0 7

Geodetic Science (GS) 27 11 38

Information System Management (ISM) 37 16 53

Construction Management (CM) 15 0 15

Civil Engineering 24 31 55

Diploma in (GFM4) 53 17 70

Graduate Diploma 0 0 0

Jumla : UCLAS 1184 419 1603

Total number of Lecturers 201

5. Ardhi University (UCLAS)

2009/2010

257

Tab 80D continues

6. University of Dodoma (UDOM)

MALE FEMALE TOTAL

B.A KISWAHILI 168 126 294

B.A KISWAHILI LINGUISTIC 44 39 83

B.A KISWAHILI LITERATURE 24 29 53

B.A FINE ART DESIGN 7 0 7

B.A FRENCH 13 7 20

B.A ENGLISH 38 22 60

B.A KOREA 1 0 1

B.A FIRM THEATRE 3 0 3

B.A LITERATURE 14 15 29

B.A TUORISM & CULTURAL HERITAGE 239 97 336

B.A HISTORY 109 35 144

B.A ENVIROMENTAL DISASTER

MANAGEMENT 51 27 78

B.COM 53 10 63

B.COM (ACCOUNTING) 483 184 667

B.COM (HRM) 79 42 121

B.COM (FINANCE) 216 78 294

B.COM (MARKETING) 85 39 124

B.COM (INTERNATIONAL BUSINESS) 16 5 21

B.COM (SMALL BUSINESS

INTERPRENEURSHIP) 14 6 20

B.COM (TOURISM HOSPITALITY

MANAGEMENT) 5 1 6

B.A DEVELOPMENT STUDIES 69 60 129

B.A ECONOMICS & STATISTICS 62 12 74

B.A GEOGRAPHY & ENVIROMENTAL

STUDIES 193 69 262

B.A POLITICAL SCIENCE & PUBLIC

ADMINSTRATION 359 215 574

B.A SOCIALOGY 204 327 531

B.A STATISTICS 22 3 25

B.A PUBLIC ADMINISTRATION 312 333 645

BACHELOR OF LAW 65 33 98

B.A ECONOMICS AND SOCIALOGY 65 35 100

B.A ENVIROMENTAL ECONOMICS & POLICY 28 13 41

B.A INTERNATIONAL RELATION 302 219 521

B.A ECONOMICS 118 31 149

BBA 397 180 577

BBA EVIRNING 19 10 29

B.A PROJECT PLANNING MANAGEMENT &

COMMUNITY DEVELOPMENT 459 221 680

B.A EDUCATION 2282 813 3095

BED ART 576 317 893

BED MANAGEMENT AND ADMINISTRATION 291 153 444

BED COMMERCE 214 64 278

BED POLICY PLANNING & MANAGEMENT 191 72 263

BED SPECIAL NEEDS 97 43 140

BSC ECONOMICS 84 23 107

BED SCIENCE 96 30 126

BED EARLY CHILD HOOD EDUCATION 119 57 176

BED PYSIOLOGY 153 49 202

BED ADULT EDUCATION & COMMUNITY

DEVELOPMENT 148 77 225

BED SC (ICT) 7 1 8

BED GUIDENCE & COUNSELING 53 53 106

BSC STATISTICS 148 22 170

BSC CHEMISTRY 25 5 30

BSC BIOLOGY 16 7 23

BSC PHYSICS 6 1 7

BSC MATHEMATICS 58 3 61

MEDICAL DOCTOR 75 14 89

BSC. NURSING 26 25 51

BSC BUSINESS INFORMATION SYSTEM 18 1 19

BSC COMPUTER ENGINEER 44 5 49

BSC. INFORMATION SYSTEM 266 47 313

BSC.COMPUTER SCIENCE 206 23 229

BSC SOFT WARE ENGINEERING 36 0 36

BSC TELECOMMUNICATION ENGINEERING 69 8 77

2009/10

258

Tab 80D continues

MALE FEMALE TOTAL

BSC APPLIED GEOLOGY 30 2 32

BSC MINERAL PROCESSING ENGINEERING 9 0 9

BSC MINING ENGINEERING 6 2 8

BSC NURSING -MIDWIFERY 0 0 0

BSC VITUAL EDUCATION 0 0 0

BSC IN HEALTH INFORMATION SYSTEM 0 0 0

BA IN ARABIC 0 0 0

B.COM IN MANAGEMENT SCIENCE 0 0 0

B.COM PROCUREMENT MANAGEMENT 0 0 0

B.COM IN INFORMATION MANAGEMENT 0 0 0

BA IN PHILOSOPHY 0 0 0

BCS IN COMPUTER AND INFORMATION

SERCURITY 0 0 0

BSC IN VITUAL EDUCATION 0 0 0

BSC IN PETROLEUM ENGINEERING 0 0 0

PHD 28 12 40

DIPLOMA IN COMPUTER SCIENCE 32 9 41

CERTIFICATE IN COMPUTER SCIENCE 7 0 7

POSTIGRADUATE DIPLOMA IN EDUCATION 12 2 14

MASTER OF ART IN EDUCATION 47 20 67

MASTER OF BUSNESS ADMINSTRATION 44 11 55

MASTER OF BUSINESS

ADMINSTRATION(EVERNING) 18 12 30

EXCUTIVE MASTER OF BUSINESS


MASTER OF PUBLIC ADMINSTRATION 23 15 38

EVERNING MASTER OF PUBLIC


MASTER OF INTERNATIONAL RELATION 20 8 28

MASTER OF DEVELOPMENT STUDIES 40 19 59

EVERNING MADS 12 8 20

MASTER OF ART IN SOCIALOGY 10 6 16

MASTER OF ART IN NATURAL SCIENCE 29 12 41

MASTER OF ART IN DEMOGRAPHY 20 1 21

MASTER OF ART IN KISWAHILI BY

DESERTATION 0 1 1

MASTER OF ART IN ENGLISH BY

DESERTATION 1 0 1

FULL TIME MASTER OF ART IN LINGUISTIC 11 8 19

FULL TIME MASTER OF ART IN KISWAHILI

LITERATURE 17 22 39

FULL TIME MASTER OF SCIENCE IN

COMPUTER SCIENCE 20 4 24

FULL TIME MASTER OF SCIENCE IN DRY

LAND BIODIVERSITY CONSERVATION 3 4 7


TELECOMMUNICATION ENGINEERING 0 0 0

EVERNING MASTER OF SCIENCE IN

TELECOMMUNICATION ENGINERING 0 0 0


NURSING - MENTAL HEALTH 0 0 0

Jumla : UDOM 10097 4627 14724


Source: Ministry of Education and Training

259

Table No. 81 (Number)

Year I II III IV V VI Total

1986 12625 12389 11895 10073 730 567 48279

1987 15709 15526 13188 12245 801 756 58225

1988 18007 18897 15326 14358 966 702 68256

1989 20789 19279 18415 14759 1045 716 75005

1990 23585 21870 17599 17685 1481 1094 83314

1991 27554 25143 19237 17371 1922 1639 92866

1992 29027 27044 19378 17891 2018 1758 97116

1993 25703 27651 21894 18367 2223 2097 97935

1994 28657 26971 22784 19809 2573 2011 102805

1995 28498 26242 24098 21199 2334 1938 104309

1996 28002 25807 22494 20318 3168 2243 102032

1997 29768 27461 22406 20627 3408 3381 107051

1998 27125 24756 22029 20409 4826 3428 102573

1999 28333 25747 23120 20255 5667 4493 107615

2000 30789 26601 23469 20430 5894 5011 112194

2001 36305 30820 25004 20762 5892 5116 123899

2002 41593 34209 27540 20681 6418 5534 135975

2003 46891 38506 26385 21650 6430 4859 144721

2004 48752 46167 33240 24476 8847 6229 167711

2005 45276 46321 32063 29248 9183 7046 169137

2006 46968 48013 42878 29796 9569 7956 185180

2007 47437 46927 41340 35746 11299 8667 191416

2008 42971 43232 43177 35980 12576 8594 186530

2009 44255 36384 37064 34061 11851 9096 172711

2010 56620 57876 50778 46820 12269 13006 237369

Change (%)

2009-2010 27.9% 59.1% 37.0% 37.5% 3.5% 43.0% 37.4%

Source: Ministry of Education and Vocational Trainings

PRIVATE SECONDARY SCHOOLS: NUMBER OF STUDENTS BY FORM

260

CHAPTER 20

HEALTH

Introduction

398. In 2010, the Government in collaboration with various stakeholders

continued to improve health services and ensure that they are offered to the

required standards. Primary Health Care Service Development Programme

(PHCSDP) continued to be implemented based on the action plan. Health

sector Curriculums for teaching cadre of health professionals were reviewed

and improved to suit the current needs. Reproductive and child health services

continued to be of priority in order to reduce maternal and child mortality rate.

Similarly, the HIV counselling and testing services continued to be provided

and ensuring the timely availability and accessibility of antiretroviral drugs to

people living with HIV/AIDS. In addition, the Government continued to

ensure the system of collecting and analyzing health statistics was improved to

facilitate accessibility and dissemination of reliable health sector statistics.

Health Facilities

399. The Government, through PHCSDP and in collaboration with various

stakeholders continued to construct and rehabilitate health facilities in the

country. In 2010, the number of health facilities increased to 6,321 compared

to 6,221 facilities in 2009, equivalent to an increase of 1.6 percent. The

distribution of these facilities by the year 2010 was as follows: the

Government owned 97 hospitals, 449 health centres and 3,773 dispensaries;

parastatals owned 11 hospitals, 5 health centres and 70 dispensaries; and

private and charity organizations owned 128 hospitals, 230 health centres and

1,289 dispensaries.

400. In 2010, the number of hospital beds in all heath centres in the country

was 45,241 compared to 39,842 beds in 2009, equivalent to an increase of

261

13.6 percent. Out of those, 23,523 beds were in government centres, and 2,161

beds in private hospitals.

Table 20.1: Number of Beds by Type of Owner and Health Facility in

2010

Owner Type of facility Total

Hospital Health centres

Government 15,828 7,695 23,523

Religious Institutions 14,638 3,151 17,789

Parastatals 1,647 121 1,768

Private 1,167 994 2,161

Total 33,280 11,961 45,241

Source: Ministry of Health and Social Welfare

401. In 2010, total number of attendance in various types of health facilities

in the country for out-patients was 35,776,667 compared to 40,067,864 out-

patients in 2009, equivalent to a decrease of 10.7 percent. Among them, 47

percent were children under five years, and the remaining 53 percent were five

years and above. The number of in-patients in 2010 was 795,703 whereby

77.2 percent were children under five years.

Health Facilities Inspection

402. In 2010, the Government through Ministry of Health and Social

Welfare conducted inspection of health facilities. The inspection was

conducted in two phases in Dar es Salaam, Dodoma, Arusha, Mwanza,

Kilimanjaro, Mbeya and Morogoro regions. During the first phase, a total of

273 health centres were inspected. Out of those, 94 centres were closed as they

did not meet the required standards and 179 centres were given notice to

improve. In the second phase, total a number of 82 centres were inspected by a

team of health professionals. Out of those, 20 centres were closed and 62

centres were given notice to improve.

262

Community Health Education

403. In 2010, the Health Environmental Services continued to be provided

by educating the public to improve their health through radio programmes,

distribution of leaflets and billboards educating people to prevent themselves

against HIV infections, tuberculosis, malaria, epidemics, disasters and non-

communicable diseases.

Maternal and Child Health

404. In 2010, maternal and child health services continued to be provided

based on the quality of international standards. Moreover, the Ministry

continued to implement Reproductive and Child Health Strategy of 2005-2010

and Strategic Plan for reducing infants and maternal mortality rate of 2008-

2015 in order to achieve Millennium Development Goals number four and

five. Immunization services were expanded by increasing the number of

vaccination centres. The vaccines provided prevent children against

tuberculosis, polio, whooping cough, tetanus, diphtheria, hepatitis and

measles.

405. Government continued to provide a new type of vaccine known as

Haemophilus Influenza type B (Hib). The vaccine prevents infants against

pneumonia and meningitis. The new vaccine has been combined with other

four vaccines which were previously provided. That combination which has

five vaccines of DPT-HB-Hib is known as Pentavalent. The vaccine prevents

children against whooping cough, tetanus, diphtheria, hepatitis, pneumonia

and meningitis.

Life expectancy

406. According to Population and Housing Census projections of 2002, the

average life expectancy for 2010 was estimated to remain at 55 years. For

males, the average life expectancy was estimated to remain at 53 years while

for females was 56 years as it was in 2009.

National Malaria Control Programme (NMCP)

407. In 2010, the Government purchased and distributed antimalaria drugs

(Mseto) to 5,000 public health centres as an effort to fight against malaria.

263

Further, the Government provided training to laboratory technicians and

medical doctors in 11 regions on the use of Rapid Diagnostic Test to identify

malaria parasites. Addition to that, the Government distributed treated

mosquito nets to pregnant women and infants under ‗Hati Punguzo Program‘.

Moreover, free mosquito nets to children under five years were distributed all

over the country. The distribution of free mosquito nets to all households was

done in 12 regions, and it is expected that 14,700,000 nets will be distributed

under this campaign.

408. Furthermore, the Government conducted Community awareness

campaign through Communication Strategy for Malaria Interventions. The

sensitization was done through media such as radio, television and various

publications. At village level, sensitization was done through Community

Change Agents. Similarly, sensitization training was done to reporters

(JAMANET) who report about malaria and its controls.

Food and Nutrition

409. According to the Tanzania Demographic and Health Survey – (TDHS)

of 2010, stunted children under five years decreased from 38 percent in

2004/05 to 35 percent in 2010; underweight children under five years

decreased from 22 percent on 2004/05 to 21 percent in 2010; and wasting

condition increased from three percent 2004/05 to four percent in 2010. In

addition, obesity children under five years were five percent.

410. In 2010, children aged six months to 59 months, equivalent to 61

percent were given drops of vitamins A supplements. Moreover, one percent

of the children of that age were given iron minerals tablets. Demographic and

Health Survey of 2010 revealed that, pregnant women who are taking iron

mineral tablets for 90 days or more were four percent. Most of the pregnant

women are taking those tablets for less than 60 days. Status of feeding

according to the survey shows that, only 50 percent of women are

breastfeeding for the first six months. In addition, 69 hospitals out of 143,

equivalent to 58.8 percent of the surveyed hospitals in Tanzania mainland, met

264

the criteria of being child-friendly hospitals by implementing ten key tips to

achieve exclusive breastfeeding.

411. Other services related to upbringing children continued to be

strengthened. In 2010, 465 health care providers were trained on feeding

practices to infant and children with HIV/AIDS. Areas which benefited from

this training in Tanzania mainland include districts of Makete, Bagamoyo,

Temeke, Magu, Kigoma, Hai, Mafinga, Masasi, Mtwara Rural, Iringa Rural,

Mufindi, Njombe, Ludewa, Kilolo, Songea Rural, Mbinga, Namtumbo,

Tunduru, Iramba, Urambo, Nzega, Maswa and Kahama. Other districts

include: Tabora Rural, Uyui, Singida Rural, Sikonge, Igunga, Bariadi,

Bukombe, Mbozi, Mbarali, Sumbawanga Rural, Nkasi, Mpanda, Chunya and

Rungwe. In addition, municipality of Iringa, Tabora, Songea, Singida,

Shinyanga, Sumbawanga, Mbeya City and Unguja for Tanzania Zanzibar

benefited from the training.

412. The Demographic and Health Survey of 2010 revealed that 82 percent

of Tanzanian households use iodized salt. This is an increase of 8 percent

compared to 74 percent reported in 2004/05 survey.

Social Welfare

413. In 2010, the Government continued to provide and coordinate social

welfare services to people with disabilities, elderly, children who are not in

harmony with the law and vulnerable. These services aimed in protecting the

rights of these groups and strengthening service delivery in relevant

institutions. In ensuring that children who are not in harmony with the law are

getting their rights, the Government built one girls‘ dormitory in Urambo

district and two children‘s remand prison in Mbeya and Mtwara regions.

Further, modules of social justice empowerment were reviewed and amended

so as to conform to the New Children‘s Law of 2009.

265

414. In 2010, the Government continued to coordinate the provision of

services to all orphanage and vulnerable centres. A total of 16 registered

licences for orphanage and vulnerable centres were issued in 2010 making a

total of 93 centres with a total of 3,767 children of which 1,573 were girls and

2,194 boys.

266

Table No. 84

Type of facility

2008 2009 2010 2008 2009 2010 2008 2009 2010 2008 2009 2010 2008 2009 2010

Special/Referral hosp. 6 6 0 0 0 0 0 0 6 6 0

Regional hospitals 18 18 0 0 0 0 0 0 18 18 0

District hospitals 90 90 97 0 0 11 0 0 97 0 0 31 90 90 236

Other hospitals 3 0 6 15 96 116 24 47 129 178 0

Health Centres 395 431 449 4 151 5 124 41 155 72 114 75 595 737 684

Dispensaries 3649 3526 3773 112 189 70 689 635 717 613 842 572 5063 5192 5132

Others* 0 0 269 0 0 0 0 0 0 0 0 0 269

TOTAL 4161 4071 4588 122 355 86 909 792 969 709 1003 678 5901 6221 6321


* Includes special clinics, nursing homes, medical laboratories and private X-ray services

HEALTH FACILITIES IN THE COUNTRY

PrivateGovernment ParastatalReligious institutions and

NGOsTotal

267

Type of Training 2010

Assistant Medical Officer 211

Assistant Dental Officer 12

Health Officers 146

Health Records Technician 20

Clinical Officers 430

Clinical Assistants 360

Dental Therapist 41

Laboratory Assistant 240

Laboratory Technicians 160

Physiotherapist 17

Radiologist 37

Public Health 16

Orthopaedic Technician 14

Pharmaceutical Assistants 26

Optometry Technician 12

Dental Laboratory

Technologist

3

Pharm. Technologist 58

Med. Lab. 30

Nursing 3790

Opthalmic Nurse 22

Theatre Mngmt 21

Total 5666


Table No.85

HEALTH SERVICES: TRAINING OUTPUT IN 2010

268

Table No. 87

Cadre 2010

All Medical Doctors (foreigners and Tanzanians) 578

Tanzanian Medical Officers ( MO)+

- -

Assistant Medical Officers (AMO) 1,527

Pharmacists (PH) - 200

Assistant Pharmaceutical Officers (APhO) - 129

Medical Assistants (MA) -

Clinical Officers 5,781

Rural Medical Aids (RMA) - -

Health Officers (HO) 1,242

Nurse 9,286

Dental 65

Assistant Dental 422

Village Midwives (MCHA) 855

Others 909


- Not available

NUMBER OF MEDICAL PERSONNEL

Table No. 87A

Government Parastatal

Religious

institutions

and NGOs

Private

Special/Referral hospitals 0 0 0 0 0

Regional hospitals 0 0 0 0 0

District hospitals 15,828 1,647 14,638 1,167 33,280

Other hospitals 0 0 0 0 0

Health Centres 7,695 121 3,151 994 11,961

Dispensaries 0 0 0 0 0

Total 23,523 1,768 17,789 2,161 45,241


NUMBER OF HOSPITAL BEDS IN THE COUNTRY - 2010

Owner

Type of facility Total

269

CHAPTER 21

COMMUNITY DEVELOPMENT

Folk Development Colleges

415. In 2010, the Government conducted training in 53 Folk Development

Colleges. The training was on masonry skills, carpentry, needlework, cookery,

mechanics, vegetable farming, animal husbandry and preventions against

HIV/AIDS pandemic. The number of community members who benefited

from these trainings was 31,039 compared to 29,557 members in 2009,

equivalent to an increase of 5.0 percent. The increase was due to the expansion

of specialties, and improvements in college premises. Long courses were

offered to 4,913 community members; short courses to 1,989 members; out-

station courses were offered to 9,176 members; and training to 13,347

members was conducted in collaboration with other institutions within the

college and out-station, compared to 4,708 members trained on long courses;

6,411 members on short courses; 4,443 member on out-station and 13,995

members were trained in collaboration with other institutions in 2009.

416. In 2010, Tengeru Community Development College was upgraded to

become among of the higher education colleges. During the academic year

2010/2011, the college had 259 students. Training on Diploma in Community

Development was offered in Rungemba, Buhare, Monduli and Missungwi

colleges whereby in academic year 2010/2011, those colleges had 947

students. Further, certificate courses on Community Development was offered

in Ruaha, Uyole, Mlale, Mabughai, Misungwi and Buhare colleges, whereby

2,676 students were in academic year 2010/2011.

Gender and Women Development

417. In 2010, Women Development Bank continued to provide services to

individuals, companies and various community groups whereby total accounts

opened at the bank increased to 21,281 from 4,220 accounts in 2009. Out of

these, 80 percent were held by women, 18.3 percent by men and 2.1 percent

was held by other groups. In addition, accounts opened by women increased

270

by 8.7 percent while number of account opened by men decreased by 10.7

percent. This was due to inadequate sensitization about the Bank, which is

perceived to serve women only. In 2010, the Bank issued loans amounting to

shilling 10.1 billion. These loans were issued to 4,081 clients through their

established groups and 431 individuals and companies, equivalent to 90 and

10 percent respectively. In addition, business training was provided to 450

women entrepreneurs and were facilitated to participate in International Trade

Fair 2010.

418. In 2010, the Government continued to provide training on fight against

women, child and albino violence to heads of 40 police stations and 43 village

leaders in Kigoma, Arusha, Dodoma, Tabora and Manyara regions; and 106

legal administrators in Rorya, Tarime, Bukombe and Kahama districts.

419. In 2010, the Central Government released a total of shilling 80 million

to 10 districts that completed reimbursement of fund to Women Development

Fund.

Children Development

420. In 2010, the Government conducted a study to assess the problem of

street children in Dar es Salaam, Morogoro, Mbeya, Iringa, Dodoma, Arusha,

Singida and Mwanza townships. The study was conducted on 2,295 children

including 538 girls and 1,757 boys. The study findings indicated that 50

percent of children abandoned their homes due to abuses at homes, streets and

schools. In addition, 35 percent of children abandoned their homes due to

poverty, 11 percent due to lack of parental care and 4 percent due to

misunderstandings among parents.

421. The study also indicated that street children faced various problems

including violence and abuses (29 percent); illiteracy, hunger and lack of

clothing and shelter as well as health services (15 percent); homeless (24

percent); hazardous child labour (13 percent); sexual abuse (10 percent); and

sustained hunger (9 percent).

271

422. In 2010, the Government conducted a study on child abuse in all

regions in Tanzania Mainland and Zanzibar. The study findings indicated that

30 percent of girls and 15 percent of boys have experienced sexual violence.

The results of the study entailed, among others, the preparation of Community

Strategic Plan for Fight against Street Children, and the National Strategy for

Fight against Child Abuse.

Coordination of Non-Government Organisations (NGOs)

423. In 2010, the Government continued to encourage the participation of

citizens in development activities under the Non-Government Organisations,

through registration in accordance with NGOs Act No. 24 of 2002. During

2010, a total of 554 organisations were registered, out of them 526 NGOs

were offered certificates of registration, while 28 NGOs were offered

certificates of acceptance.

424. In 2010, the Government, through the National Board of NGOs

Coordination, visited 25 NGOs in Iringa and Tanga and provided consultancy

services on how to improve public service delivery. Further, the Board met

286 NGOs‘ stakeholders in those regions for exchanging experience by

identifying successes and effective ways of dealing with challenges faced

during the implementation of NGOs National Policy of 2001.

425. In 2010, the Government facilitated sharing of information on NGOs

with various stakeholders, whereby 4,045 stakeholders received various

information on NGOs through the Office of Registrar; National Website on

NGOs Coordination; exhibitions during Public Service Week; and Nane-Nane

(Farmers‘ exhibitions). The beneficiaries of such information included

financial institutions, NGOs, development partners, Government institutions,

higher education institutions and individuals.

the economic survey 2010 econom… · natural resources and tourism ..... 161 growth rate ... folk...

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