The Economic Survey 2009

Printed by KIUTA Dar es Salaam - Tanzania

THE UNITED REPUBLIC OF TANZANIA ______________________

THE ECONOMIC SURVEY 2009

Produced by: The Ministry of Finance and Economic Affairs

DAR ES SALAAM – TANZANIA June, 2010

Table of Contents LIST OF TABLES ........................................................................................ i ABBREVIATIONS AND ACRONYMS ................................................... vii IMPORTANT ECONOMIC EVENTS IN 2009 .......................................... x CHAPTER 1 ................................................................................................. 1 THE DOMESTIC ECONOMY .................................................................... 1

Economic Growth ..................................................................................... 1 Price Trend ............................................................................................... 5 Capital Formation ..................................................................................... 7

CHAPTER 2 ............................................................................................... 38 Trend in World Trade ......................................................................... 39 The State of Africa Economy ............................................................. 40

International Economic Co-operation .................................................... 42 East African Community (EAC) ........................................................ 42 African Union (AU) ........................................................................... 43 Joint Permanent Commission (JPC) ................................................... 44 Southern Africa Development Cooperation (SADC) ......................... 44 Africa Peer Review Mechanism (APRM) .......................................... 45

CHAPTER 3 ............................................................................................... 46 EXTERNAL SECTOR ............................................................................... 46

Introduction ............................................................................................ 46 Merchandise Exports .............................................................................. 46

Traditional Exports ............................................................................. 46 Non-Traditional Exports ..................................................................... 48

TRADE IN SERVICE ............................................................................ 52 Service Receipts ................................................................................. 52

IMPORTS ............................................................................................... 52 Capital Goods ..................................................................................... 52 Intermediate Goods ............................................................................ 53 Consumer Goods ................................................................................ 53

SERVICES PAYMENTS ....................................................................... 53 TRENDS IN SELECTED REGIONAL AND BILATERAL TRADE .. 54 BALANCE OF PAYMENTS ................................................................. 58

Balance of Merchandise Trade ........................................................... 58 Balance on Services ............................................................................ 59 Balance on Investment Receipts ......................................................... 59 Balance on Current Transfers ............................................................. 59 Balance on Current Accounts ............................................................. 59 Balance on Capital Transfers .............................................................. 60 Balance on Investment Payments ....................................................... 60 Overall Balance of Payments ............................................................. 60

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Foreign Currency Reserves ................................................................ 60 Exchange Rate .................................................................................... 60

CHAPTER 4 ............................................................................................... 76 GOVERNMENT FINANCE ...................................................................... 76

Domestic Revenue .................................................................................. 76 Grants and Loans .................................................................................... 77 Expenditure ............................................................................................. 78 Implementation status of the Rescue Package ........................................ 78 Sectoral Allocation of Government Budget ........................................... 80 Public Debt ............................................................................................. 80 External Debt .......................................................................................... 80

Domestic Debt .................................................................................... 81 CHAPTER 5 ............................................................................................... 86

MONEY AND FINANCIAL INSTITUTIONS ..................................... 86 Money Supply and Domestic Credit ...................................................... 86 Commercial Banks’ Credit to Various Economic Sectors ..................... 86 Deposits in Commercial Banks .............................................................. 87 Trends in Interest Rates .......................................................................... 87 Parastatal Pension Fund (PPF) ............................................................... 88 National Social Security Fund (NSSF) ................................................... 88 Public Service Pension Fund (PSPF) ..................................................... 89 Government Employees Provident Fund (GEPF) .................................. 90 Dar es Salaam Stock Exchange (DSE) ................................................... 91 Tanzania Postal Bank (TPB) .................................................................. 92

CHAPTER 6 ............................................................................................. 100 HUMAN RESOURCES ........................................................................... 100

Population and Development ............................................................... 100 Labour Force and Employment ............................................................ 101 Unemployment ..................................................................................... 102

CHAPTER 7 ............................................................................................. 105 PRIVATE SECTOR DEVELOPMENT .................................................. 105

Investment in the Country .................................................................... 105 Foreign Direct Investment .................................................................... 106 Improvements of Business Environment .............................................. 107 ECONOMIC EMPOWERMENT ........................................................ 107

Mwananchi Empowerment Fund ..................................................... 107 Access to Credit ................................................................................ 108

CHAPTER 8 ............................................................................................. 110 CROSS CUTTING ISSUES ..................................................................... 110

HIV/AIDS ............................................................................................. 110 Environment ......................................................................................... 110 Good Governance ................................................................................. 112 Gender .................................................................................................. 112

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Public Safety ......................................................................................... 113 CHAPTER 9 ............................................................................................. 114 REVIEW OF THE IMPLEMENTATION OF NATIONAL STRATEGY FOR GROWTH AND REDUCTION OF POVERTY ............................ 114

Introduction .......................................................................................... 114 Growth and Reduction of Income Poverty ........................................... 114 Quality of Life and Social Well-being ................................................. 115 Governance and Accountability ........................................................... 115

CHAPTER 10 ........................................................................................... 118 AGRICULTURE AND COOPERATIVES ............................................. 118

Food crops ............................................................................................ 118 Cash Crops ............................................................................................ 118 Production of Oilseeds ......................................................................... 119 Investment in Agriculture ..................................................................... 120 Irrigation Farming ................................................................................ 120 Extension Services and Training .......................................................... 121 Research Activities ............................................................................... 121 Agriculture Input Trust Fund ................................................................ 122 LIVESTOCK ........................................................................................ 122

Livestock Production and its Products ............................................. 122 COOPERATIVES AND MARKETING ............................................. 124

Cooperative ....................................................................................... 124 Source: Ministry of Agriculture and Cooperatives. ......................... 125 The trend of crop prices .................................................................... 125

CHAPTER 11 ........................................................................................... 135 NATURAL RESOURCES AND TOURISM .......................................... 135

Growth Rate .......................................................................................... 135 Forestry and beekeeping ....................................................................... 135 Wildlife ................................................................................................. 137 Fishing .................................................................................................. 138 Tourism ................................................................................................. 139 Archives and Antiquities ...................................................................... 142

CHAPTER 12 ........................................................................................... 156 MINING ................................................................................................... 156

Growth Rate .......................................................................................... 156 Mineral Prospecting .............................................................................. 156 Mining and Mineral Sales .................................................................... 156

Diamond ........................................................................................... 156 Gold .................................................................................................. 156 Gemstones ........................................................................................ 157 Coal ................................................................................................... 157

The Value of Mineral Exports .............................................................. 157 CHAPTER 13 ........................................................................................... 160

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MANUFACTURING AND INTERNAL TRADE .................................. 160 Growth .................................................................................................. 160 Small Enterprises .................................................................................. 160 Production Costs ................................................................................... 160 Internal trade ......................................................................................... 161 Dar es Salaam International Trade Fair (DITF) ................................... 161

CHAPTER 14 ........................................................................................... 170 CONSTRUCTION AND LAND DEVELOPMENT ............................... 170

Construction ......................................................................................... 170 Road Network ....................................................................................... 170 Roads and Bridges Maintenance .......................................................... 171 Control of Cargo Weight on the Roads ................................................ 171 Road Board Fund .................................................................................. 171 Contractors Registration Board ............................................................ 171 Engineers Registration Board ............................................................... 172 Architects and Quantity Surveyors Registration Board ....................... 173 The National Building Council ............................................................ 173 Tanzania Building Agency ................................................................... 173 LAND DEVELOPMENT .................................................................... 173 House Development ............................................................................. 177

CHAPTER 15 ........................................................................................... 179 TRANSPORT AND COMMUNICATION ............................................. 179

Growth .................................................................................................. 179 TRANSPORT ....................................................................................... 179

Urban Commuter Services ............................................................... 179 Road Transport ................................................................................. 180 Usafiri Dar es Salaam (UDA) ........................................................... 181

Railway Transport ................................................................................ 181 Tanzania Railways Limited (TRL) ................................................... 181 Railways Holding Corporation (RAHCO) ....................................... 182 Tanzania- Zambia Railway Authority (TAZARA) .......................... 182

Air Transport ........................................................................................ 182 Water Transport .................................................................................... 183 Marine Transport .................................................................................. 184

SINOTASHIP ................................................................................... 185 Lake Transport ...................................................................................... 186 The Marine Service Company Limited (MSCL) .................................. 186 COMMUNICATION SERVICES ....................................................... 186

Tanzania Posts Corporation (TPC) ................................................... 186 Tanzania Communication Regulatory Authority (TCRA) ............... 188

INFORMATION AND COMMUNICATION TECHNOLOGY (ICT) .............................................................................................................. 189

The National ICT Infrastructure Backbone ...................................... 189

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Tele-centres ...................................................................................... 189 National Physical Address and Postal Codes ....................................... 190

CHAPTER 16 ........................................................................................... 198 ENERGY .................................................................................................. 198

Growth Rate .......................................................................................... 198 Electricity ............................................................................................. 198 Petrol ..................................................................................................... 199 Renewable Energy ................................................................................ 199

Solar Power ...................................................................................... 199 Geo thermal and Bio Gas ................................................................. 199

CHAPTER 17 ........................................................................................... 204 WATER .................................................................................................... 204

Introduction .......................................................................................... 204 Rural Water Supply .............................................................................. 205 Urban Water Supply ............................................................................. 205

CHAPTER 18 ........................................................................................... 209 EDUCATION AND TRAINING ............................................................. 209

Pre – Primary Education ....................................................................... 209 Primary Education ................................................................................ 209 Secondary Education ............................................................................ 210 Teachers’ Education ............................................................................. 210 Adult Education .................................................................................... 211 Schools and Colleges’ Inspection ......................................................... 211 Technical Education ............................................................................. 212 Vocational Training .............................................................................. 213 Higher Education .................................................................................. 213

CHAPTER 19 ........................................................................................... 226 HEALTH .................................................................................................. 226

Introduction .......................................................................................... 226 Health Facilities .................................................................................... 226 Community Health Education .............................................................. 226 Maternal and Child Health ................................................................... 226 Food and Nutrition ............................................................................... 227 Social Welfare Services ........................................................................ 228

CHAPTER 20 ........................................................................................... 235 COMMUNITY DEVELOPMENT .......................................................... 235

Folk Development Colleges ................................................................. 235 Community Development Colleges ..................................................... 235 Gender and Women Development ....................................................... 236 Child Development ............................................................................... 236 Coordination of Non-Governmental Organisations (NGOs) ............... 236

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LIST OF TABLES Table A: Basic Economic Statistics – Statistics Tanzania Mainland ............... Table 1: Gross Domestic Product by Kind of Economic Activity, at current prices ................................................................... Table 1A: Gross Domestic Product (Monetary & non-Monetary GDPfc) by Kind of Economic Activity, at current prices .................................... Table 2: Sectoral Contribution to Overall GDP at factor cost at current prices ................................................................................. Table 2A: Sectoral Contribution to Overall GDP (%) Monetary & Non-Monetary, at current prices........................................................ Table 2B: Gross Domestic Product and Expenditure, at current market prices ..................................................................................... Table 3: Gross Domestic Product (GDPfc) by Kind of Economic Activity, at constant2001 prices ........................................................ Table 3A: Gross Domestic Product (Monetary & non-Monetary) by Kind of Economic Activity, at constant 1992 prices .................. Table 4: Gross Domestic Product (GDPfc) by Kind of Economic Activity - Percentage Growth Rates, at constant 1992 prices ........... Table 4A: Gross Domestic Product (Monetary & non-Monetary GDPfc) by Kind of Economic Activity - Percentage Growth Rates, at constant 2001 prices .......................................................................... Table 4B: Sectoral Contribution to Overall GDP (%) at constant 2001 prices ...................................................................... Table 4C: Sectoral Contribution to Overall GDP (%) - Monetary & non-Monetary at constant 2001 prices .............................................

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Table 4D: Gross Domestic Product and Expenditure, at constant 2001 market prices .................................................................................... Table 5: Capital Formation by Type of Assets, at current prices .................... Table 6: Capital Formation by Type of Assets, at constant 2001 prices ................................................................................................. Table 7: Capital Formation by Public and Private Sectors, at current price .... Table 8: Index of Retail Prices of goods consumed by minimum wage earners in Dar es Salaam (2001=100). .............................................. Table 9: Index of Retail Prices of goods consumed by minimum

wage earners in Dar es Salaam (2001 = 100) ................................... Table 10: Cost of Living Index of goods and services consumed by middle grade wage earners in Dar es Salaam (2001=100). ........................... Table 11: Cost of Living Index of goods and services consumed by middle grade wage earners in Dar es Salaam (2001=100). ........................... Table 12: Cost of Living Index for the high income group in Dar es Salaam (2001=100). ....................................................................................... Table 13: Cost of Living Index for high income group in Dar es Salaam (2001=100). ....................................................................................... Table 14: Cost of Living Index of goods and services consumed by urban dwellers in Tanzania Mainland (2001=100). .....................................

Table 15: Cost of Living Index of goods and services consumed by urban dwellers Tanzania Mainland (2001=100) ......................................... Table 16: Different Indices of goods and services consumed by urban residents in Tanzania Mainland (2001 =100). ......................... Table 17: Value of Tanzania's Foreign Trade ....................................................

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Table 18: Volume and Value of Domestic Exports ........................................... Table 19: Volume and Value of Traditional and Non-traditional Exports .............................................................................................. Table 20: Export Prices of Principal Commodities (Tshs/Ton).........................

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

Table 23: Composition of Imports ..................................................................... Table 24: Balance of Payments ......................................................................... Table 25: Trends in Government Finance ......................................................... Table 26: Classification of Central Government Expenditure by Purpose .............................................................................................. Table 27: Monetary Survey: Tanzania Mainland .............................................. Table 28: Growth of Money Supply and Domestic Credit: Tanzania Mainland ........................................................................... Table 29: Trend of Exchange Rates of the Tanzania Shs. against the US$. ..................................................................... ............ Table 30: Commercial Banks Lending by Sectors ............................................ Table 31: Trend of Commercial Banks Deposits .............................................. Table 32: Average Nominal Interest Rates ....................................................... Table 33: Regional Distribution of Tanzania Population (1996 – 2005) .......... Table 34: Tanzania Investment Centre (TIC): Approved Projects .................... Table 35: Domestic Production and Consumption of Sugar. ............................

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Table 36: Cotton procurement and local sales ................................................... Table 37: Tea crop area, production and local sales .......................................... Table 38: Coffee procurement and local sales ................................................... Table 39: Sisal plantations, production and local sales ..................................... Table 40: Tobacco procurement and local sales ................................................ Table 41: Pyrethrum procurement and local sales ............................................. Table 42: Cashewnuts procurement and local sales. ......................................... Table 43: Summary of Marketed Quantities and Value of Principal Cash Crops ................................................................................................. Table 45: Tree Planting - Seedlings planted ...................................................... Table 47: Exports of Forestry Products ............................................................. Table 48: Export of Government Trophies ...................................................... Table 48A: Earnings from Tourist Hunting and Export of Live Animals ............ Table 48B: Number of Tourist Hunters ............................................................... Table 49: Export of Live Animals and Animal Tusks/Teeth............................. Table 50: Production in the Fisheries Sector (1993 -2005) .............................. Table 51: Export of Fish Products ..................................................................... Table 51A: Summary of Fish Export Products (1996 -2005) .............................. Table 51B Trends of Nile Perch Exports (1996 – 2005) .................................... Table 52: Number of visitors, hotel bed-nights and foreign exchange earnings .............................................................................................

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Table 53: Number of Tourists and Foreign Exchange Earnings(1995-2005) ... Table 55: Hotel Capacity and Occupancy Rates ............................................... Table 55A: Tourist Accommodation in Tanzania (1996 – 2005) ........................ Table 56: Minerals Production .......................................................................... Table 57: Minerals Exports (2000-2005) .......................................................... Table 58: Production and Consumption of Cement .......................................... Table 59: Production in selected industries ....................................................... Table 60: Industries - Estimated number of employees .................................... Table 61: Industries - Estimated labour costs .................................................... Table 62: Industries - Summary Statistics ......................................................... Table 63: Industries - Regional Summaries ...................................................... Table 65: Performance Indicators in the Industrial sector................................ Table 67: Tanzania Railways Corporation (TRC). ............................................ Table 68: The UHURU Railway (TAZARA). .................................................. Table 69: Shipping Statistics: Dar es salaam, Tanga & Mtwara ....................... Table 70: Postal Services Statistics ................................................................... Table 71: Telecommunication Services ............................................................ Table 72: Telecommunication Services ............................................................ Table 73: Air Tanzania Corporation (ATC). .....................................................

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Table 74: Electricity: Installed Capacity and Total Units Generated by Station ........................................................................................... Table 75: Electricity sales by Type of Use ........................................................ Table 76: Quantity of Electricity Sold by Region ............................................. Table 77: Rural Water Supply for the year 2005 ............................................... Table 78: Rural Water Services during the year 2005 ....................................... Table 79: Total Number of Boreholes Drilled during the year 2005 ................. Table 80: Government Secondary Schools: Number of Students by Form ....... Table 81: Private Secondary Schools: Number of Students by Form ................ Table 82: Number of Tanzania Students at the University of DSM, Sokoine University of Agriculture and the Open University of Tanzania ....... Table 83: Summary of Education Statistics....................................................... Table 84: Health Facilities in the Country ......................................................... Table 85: Training Output of Health Personnel ................................................ Table 85A: Training Output of Health and Allied Health Personnel ......... Table 86: Utilisation of Health Facilities: Number of patients .......................... Table 87: Number of Medical Personnel ........................................................... Table 87A: Number of Hospital Beds in the Country ..........................................

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ABBREVIATIONS AND ACRONYMS

AGOA African Growth and Opportunity Act

AIDS Acquired Immune Deficiency Syndrome

APRM African Peer Review Mechanism

ARVs Anti-retrievals

BEST Business Environment Strengthening for Tanzania

cif cost insurance and freight

CRB Contractor’s Registration Board

DHS Demographic and Health Survey

DITF Dar es Salaam International Trade Fair

DSE Dar es Salaam Stock Exchange

DSM Dar es Salaam

EAC East Africa Community

EMS Expedited Mail Services

EPZs Economic Processing Zones

EU European Union

EWURA Energy and Water Utilities Regulatory Authority

f.o.b free on board

FDI Foreign Direct Investment

GEPF Government Employees Provident Fund

GWh Gigawatt hour

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HBF Household Budget Surveys

HIPC Highly Indebted Poor Countries

HIV Human Immunodeficiency Virus

ICT Information and Communication Technology

IMF International Monetary Fund

IXP Internet Exchange Point

MDAs Ministry, Department and Agencies

MDRI Multilateral Debt Relief Initiative

MW Mega Watts

NEMC National Environmental Management Council

NEPAD New Partnership for Africa’s Development

NGOs Non Government Organizations

NHC National Housing Corporation

NHIF National Health Insurance Fund

NMB National Microfinance Bank

NSGRP National Strategy for Growth and Reduction of Poverty

NSSF National Social Security Fund

PBFT Property and Business Formalization Programme in Tanzania

PCB Prevention of Corruption Bureau

PEDP Primary Education Development Programme

PHDR Poverty and Human Development Report

PPF Parastatal Pension Fund

PSPF Public Service Pension Fund

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SACCOS Savings and Credit Cooperatives Societies

SADC Southern Africa Development Community

SEDP Secondary Education Development Programme

SEZs Special Economic Zones

SIDO Small Industries Development Organisation

SMEs Small and Medium Enterprises

STI Sexual Transmitted Infections

SUMATRA Surface and Marine Transport Regulatory Authority

TASAF Tanzania Social Action Fund

TAZARA Tanzania and Zambia Railways Authority

TCAA Tanzania Civil Aviation Authority

TCRA Tanzania Communication Regulatory Authority

THIS Tanzania HIV Indicator Survey

TIC Tanzania Investment Centre

TNBC Tanzania National Business Council

TOL Tanzania Oxygen Limited

TPB Tanzania Postal Bank

TRA Tanzania Revenue Authority

TRC Tanzania Railway Corporation

TTCL Tanzania Telecommunication Company Limited

US$ United States Dollar

VAT Value Added Tax

WTO World Trade Organization

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IMPORTANT ECONOMIC EVENTS IN 2009

Date Month Events

10-11 March The meeting between Africa Countries and IMF took place in Dar es Salaam, Tanzania

10 June Budget Day for East African Countries

1-7 July The Dar es Salaam International Trade Fair took place in Dar es Salaam, Tanzania

19-20 November Annual National Policy Dialogue week begun in Dar es Salaam

23-24 November Constitutive General Budget Support Meeting - GBS week

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Table A

2005 2006 2007 2008 2009 2008-2009 Change (%)

Population (millions) 36.2 37.5 38.3 39.3 40.7 3.6%Gross Domestic Product, at current prices (Shs. million) 15,965,294 17,941,268 20,948,403 24,781,679 28212646 13.8%Gross Domestic Product, at constant 2001 prices (Shs. million) 12,068,090 12,881,163 13,801,921 14,828,345 15721301 6.0%GDP per capita, at current prices (Shs.) 441030 478434 546956 630577 693185 9.9%GDP per capita, at constant 2001 prices (Shs.) 333373 343498 360363 377312 386273 2.4%Consumer Price Index (%) 4.3 7.3 7.0 10.3 12.3 19.4%Balance of merchandise trade (US$ million) -1321.8 -2120.7 -2634.0 -3403.2 -2679.4 -21.3%Current Account balance (US$ million) -867.6 -1345.8 -1580.1 -2333.4 -1745.8 -25.2%Consumption of cement ('000 Tons) 1375.2 1421.5 1629.9 1755.8 1940.8 10.5%Electricity sold (KWH million) 3623.0 2464.0 3057.0 3369.0 4802.1 42.5%Tourist earnings (US$ million) 823.0 950.0 1198.0 1354.0 1159.8 -14.3%Railways: Cargo transportation ('000 Tons) 1639 1330 1283 954 560 -41.3%Education: Students in primary schools ('000)* 72035.0 88076.0 83169.3 84372.4 84415.5 0.1%Education: Students in secondary schools ('000)* 524.3 675.7 1020.5 1222.4 1466.4 20.0%Education: Students in higher learning institutions (number)1 - - - - -Hospitals: Number of beds 37048 37228 37228 - 40118Doctors (number) - - 1339 - -

Exports of Cash Crops (Mill.US$)Traditional CommoditiesCoffee 74.3 61.4 98.10 97.50 111.70 14.6%Cotton 111.5 55.8 66.40 114.96 111.20 -3.3%Sisal 7.3 6.1 6.80 3.33 0.00 -100.0%Tea 25.6 31.0 28.70 40.80 34.50 -15.4%Tobacco 80.8 65.2 72.90 108.14 127.30 17.7%Cashewnuts 46.6 39.4 13.20 40.16 71.50 78.0%Cloves 8.5 8.2 4.20 13.50 14.70 8.9%Non-Traditional CommoditiesMinerals 711.30 836.80 886.50 995.47 1076.10 8.1%Manufactured goods 156.10 195.80 309.20 662.35 497.60 -24.9%Other exports 454.40 436.30 520.70 612.75 550.80 -10.1%

2005/06 2006/07 2007/08 2008/09 2009/10

Monetary AggregatesMoney supply (Shs. billion)2 3266.5 4299.1 6527.8 7866.0Net domestic credit (Shs. billion) 1504.2 2169.5 2477.7 4771.7Government FinanceGovernment Recurrent Revenue (Shs. billion) 2066.8 2739 3502.6 4293.1 5234.1 21.9%Government Recurrent Expenditure (Shs. billion) 2649.9 3137.5 3796.9 4681.5 6036.8 29.0%Government Development Expenditure (Shs. billion) 1385.2 1337.2 2201.1 2130.4 2825.4 32.6%

Source: Ministry of Finance and Economic Affairs * For Government and Private Schools** From 1998, Base year is 2001 1 Academic year ending in the respective years 2 Extended Broad Money (M3)

BASIC ECONOMIC STATISTICS - TANZANIA MAINLAND

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CHAPTER 1

THE DOMESTIC ECONOMY Economic Growth 1. In 2009, the real Gross Domestic Product (GDP) grew by 6.0 percent

compared to 7.4 percent in 2008. The slowdown in growth for 2009 was

attributed to the impact of the Global Financial Crisis (GFC) as well as the

2008/09 drought which affected agricultural production, hydro power

generation as well as industrial production; all of which have a significant

share in total GDP. However, the growth rate of electricity and gas,

communication and education sub-economic activities increased.

2. In 2009, the GDP amounted to shs. 28,212,646 million at current prices

which was equivalent to shs. 15,721,301 million at 2001 constant prices. Since

the population of Tanzania Mainland was estimated at 40.7 million in 2009,

the per capita income was shs. 693,185 in 2009 at current prices compared to

shs. 628,259 in 2008, equivalent to 10.3 percent increase.

3. In 2009, agricultural, hunting and forestry economic activities grew by 3.2

percent compared to 4.6 percent in 2008. The growth rate of crops sub

activity decreased to 3.4 percent in 2009 from 5.1 percent in 2008. This was

mainly attributed to drought during the 2008/09 season. The growth rate of

livestock sub activity was 2.3 percent in 2009 compared to 2.6 percent in

2008. The decrease was due to drought during the 2008/09 season particularly

in the Northern part of Tanzania that led to inadequate pasture and water for

livestock, and eventually decline in the price of livestock’s products Forestry

and hunting sub activities grew by 3.5 percent in 2009 compared to 3.4

percent in 2008. This was attributed to improved patrol with regard to

harvesting, transportation and marketing of the forest products, and increase in

demand for forest products in the domestic market. Further, the Government

promoted tourism in Asia and Far East countries particularly hunting tourism.

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4. The growth rate of monetary agriculture increased marginally by 2.2

percent in 2009 compared to 4.5 percent in 2008. On the other hand, the

growth rate of non-monetary agriculture was 5.0 percent in 2009 compared to

4.8 percent in 2008. In 2009, agricultural activities contributed 24.6 percent to

GDP compared to 25.7 percent in 2008.

5. The growth rate of fishing activities declined to 2.7 percent in 2009

compared to 5.0 percent in 2008. The decrease was emanated from continued

use of poor fishing gear; destruction of fish hatcheries; and increased

competition in the European Union (EU) market following in particular

modernization of production and breeding of fish from China and Vietnam.

Notwithstanding, the decline in growth, the share of fishing activities to

overall GDP increased to 1.4 percent in 2009 from 1.2 percent in 2008.

6. Industry and construction economic activities grew by 7.0 percent in 2009

compared to 8.0 percent in 2008. The decline in growth rate was caused by the

low growth in all sub activities except electricity and gas sub activities. The

share of industry and construction economic activities to GDP increased

slightly to 22.0 percent in 2009 compared to 21.0 percent in 2008.

7. The growth rate in manufacturing sub activity was 8.0 percent in 2009

compared to 9.9 percent in 2008. The lower growth rate was attributed to

decrease in the production of exported goods following the impact of the

Global Financial Crisis. However, production of some items such as food and

dairy products, chemicals, and printing increased. The contribution of

manufacturing to GDP in 2009 was 8.6 percent, compared to 7.8 percent in

2008.

8. The growth rate of the mining and quarrying sub activities decreased from

2.5 percent in 2008 to 1.2 percent in 2009. The shortfall was due to low

production of gold in Tulawaka and Resolute mines and decline in the prices

of Tanzanite and diamond in the world market. The contribution of mining

and quarrying sub activities to GDP decreased marginally from 3.4 percent in

2008 to 3.3 percent in 2009.

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9. In 2009, the construction sub activity grew by 7.5 percent compared to

10.5 percent in 2008. The growth was attributed to increase in construction

activities in: roads and bridges; residential and non residential buildings; and

land development. The share of construction sub activity to GDP was 7.9

percent in 2009 compared to 7.7 percent in 2008.

10. The growth rate of electricity and gas sub activities increased to 8.4 in 2009 compared to 5.4 percent in 2008. The increase was attributed to increased production of gas and coal. The contribution of electricity and gas sub activity to GDP was 1.7 percent in 2009, the same as in 2008. 11. The water supply sub-activity grew at the rate of 5.6 percent in 2009

compared to 6.6 percent in 2008. Such increase was particularly attributed to

the continued efforts by the government to improve water infrastructure and

implementation of new water construction projects in the rural areas. The

contribution of water supply sub activity to GDP continued to be 0.4 percent,

the same as it was in the previous year.

12. The growth rate of services economic activities declined to 7.2 percent in

2009 compared to 8.5 percent in 2008. The growth rates of all service sub-

activities decreased except for communication, education and other social and

personal services. The decline was mainly attributed to the impact of the GFC

specifically to hotel and restaurant (including tourism); trade and repair; and

financial services. The share of services economic activities to GDP was 43.6


13. The trade and repairs sub activities grew at a lower rate of 7.5 percent in

2009 compared to 10.0 percent in 2008. The decline in growth rate was

attributed to decreased demand of export goods on the account of the impact

of the global economic recession. Trade and repairs sub activities accounted

for 11.8 percent of the total GDP in 2009 compared to 11.6 percent in 2008.

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14. The hotel and restaurants sub activities (including tourism), grew by 4.4

percent in 2009 compared to 4.5 percent in 2008. The slowdown in the growth

rate emanated mainly from the decline in numbers and expenditure by tourist

owing to the impact of the GFC. Contribution of the hotel and restaurants sub

activities to GDP declined slightly from 2.6 percent in 2008 to 2.3 percent in

2009.

15. The transport sub activity grew by the rate of 6.0 percent in 2009

compared to 6.9 percent in 2008. The decline was due to inefficiency in cargo

and passengers freight on road and railway, in particular TRL and Air

Tanzania companies. However, the contribution of transport sub activity to

GDP increased to 5.0 percent in 2009 compared to 4.2 percent in 2008.

16. The communication sub activity continued to record highest growth

compared to other economic activities for the past six years. The growth rate

for this sub economic activity was 21.9 percent in 2009 compared to 20.5

percent in 2008. The growth was attributed to the increase in investment in

communication sector, increase in mobile phone customers and sale of airtime

vouchers. The contribution of communication sub-activity to GDP was 2.1


17. The financial intermediation services sub activity grew by 9.0 percent in

2009 compared to 11.9 percent in 2008. This was mainly on the account of

decreased credit to the private sector following cautious stance taken by banks

to hedge against the impact of the GFC. Furthermore, the demand for money

to finance investment, insurance and business services decreased during the

transitional period of the GFC. The contribution of financial intermediation

sub activity to GDP was 1.7 percent in 2009 compared to 1.6 percent in 2008.

18. The growth rate of real estate and business services sub activity was 6.8

percent in 2009 compared to 7.1 percent in 2008.This was attributed to the

decline in growth of business services as well as real estate for residential and

non residential buildings. The growth rate of monetary real estate and business

5

service activities decreased to 5.7 percent in 2009 compared to 7.1 percent in

2008. However, the growth rate of non monetary real estate and business

services increased to 9.0 percent in 2009 from 7.1 percent in 2008. The

contribution of real estate and business services to GDP was 9.0 percent in

2009 compared to 9.6 percent in 2008.

19. In 2009, public administration sub-activity grew by 4.4 percent compared

to 7.0 percent in 2008. The share of public administration sub-activity to GDP

in 2009 was 8.1 percent compared to 8.2 percent in 2008.

20. The rate of growth in education services sub-activity was 7.1 percent in

2009 compared to 6.9 percent in 2008. The growth in education sub activity

was due to continued implementation of second phase of Primary Education

Development Program (PEDP II) and Secondary Education Development

Program (SEDP). Regarding the health sub activity, the rate of growth in

health services sub-activity was 6.7 percent in 2009 compared to 9.0 percent in

2008. Education and health sub activities contributed 1.4 percent and 1.6

percent of GDP in 2009 compared to 1.3 percent and 1.5 percent in 2008

respectively.

Price Trend 21. In 2009, the annual average inflation was 12.1 percent compared to 10.3

percent in 2008. The increase in the price of goods and services was caused by

the increase in the price of food owing to bad weather in the 2008/09 season.

In addition, increase in the transportation costs of oil imports contributed to

the increase in the prices of goods and services.

22. The average increase of food price index in 2009 was 17.5 percent

compared to 12.7 percent in 2008. This increase emanated from low food

production that resulted from unfavourable weather condition. The average

non food inflation decreased to 3.8 percent in 2009 compared to 6.7 percent in

2008. The price indices for the groups of goods and services of: rent;

education; sports and recreation; beverages and cigarettes; health services;

6

clothing and footwear; furniture and household utensils; and other household

requirements; increased substantially by an annual average of 12.5, 10.7, 9.2,

8.8, 7.4, 6.3, 6.1, and 5.2 percent in 2009 compared to 2.4, 7.0, 5.5, 8.1, 5.0,

1.5, 6.0 and 3.2 percent in 2008 respectively. The price index for electricity,

kerosene and water decreased by 1.7 percent in 2009 compared to 10.7 in

2008. However, the price index for transport increased by an annual average

of 0.7 in 2009 compared with 6.9 percent in 2008.

23. The price indices of goods and services in accordance with income-groups

revealed a decreasing trend for the rate of inflation in high and lower income

strata. This was on the account of decreased price of goods and services

commonly consumed by these groups including rent; electricity, kerosene and

water; and transport. The average price indices for the lower and high income

groups were 16.8 percent and 15.7 percent in 2009 compared to 17.3 percent

and 18.2 percent in 2008 respectively. Regarding the middle income group,

the average price index increased by an average of 16.5 percent in 2009

compared to 15.3 percent in 2008 owing to the increase in the average price of

goods and services commonly used by this group particularly food; beverages

and cigarettes; clothing and footwear; and health services.

24. In 2009, the price indices for food and health services increased for all

income groups for the residents of Dar es Salaam compared to 2008. The

average price indices for those groups of goods and services for the residents

of Dar es Salaam belonging to lower, middle and high income groups were as

follows (rates for 2008 in parenthesis): Food 19.4, 20.4, and 23.8 (15.2, 16.1,

and 18.5); and health services 22.2, 27.8 and 27.1 (16.8, 12.0 and 9.7).

Nonetheless, inflation rate for rent and electricity, kerosene and water declined

in all these groups in 2009 compared to 2008. In 2009, the average increase in

the price indices for the residents of Dar es Salaam belonging to high, middle

and lower income groups for those goods and services were as follows (rates

for 2008 in parenthesis): Rent 3.7, 15.1, and 14.3 (36.4, 35.5, and 25.0); and

electricity, kerosene and water 2.5, 4.9, and 5.8 (29.0, 25.1, and 24.2)

respectively. The price indices for all other goods and services differed from

7

one income group to another. Tables 8 – 16 show the price indices for various

goods and services.

Capital Formation 25. Capital formation at current prices increased by 10.7 percent to shs.

8,173,221 million in 2009 from shs. 7,381,257 million in 2008. Furthermore,

capital formation at 2001 prices was shs. 3,982,283 million in 2009 compared

to shs. 3,616,866 million in 2008, equivalent to an increase of 10.1 percent.

The ratio of capital formation to Gross Domestic Product at current prices was

29.0 percent compared to 29.7 percent in 2008.

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

equipment increased by 10.0 percent from sh. 3,571,629 million in 2008 to sh.

3,928,805 million in 2009 at 2001 constant prices. Capital formation in

building activities at 2001 constant prices increased from sh. 1,141,401

million in 2008 to sh. 1,211,008 million in 2009, equivalent to 6.1 percent

increase. This was due to the increase on the growth rates of residential and

non residential buildings from 6.2 percent each in 2008 to 6.6 percent and 6.3

percent in 2009 respectively. Furthermore, the Government continued to

sensitize the private sector to participate in, and improve access to mortgage

finance. In addition, housing loans were provided through the Government

Civil Servant Revolving Fund. The growth rate of capital formation in rural

own account decreased to 5.4 percent in 2009 compared to 5.6 percent in

2008.

27. Other construction works including land improvements, roads and bridges,

and water supply increased by 5.5 percent from sh. 902,309 million in 2008 to

sh. 952,312 million in 2009, at 2001 constant prices. Capital formation in

roads and bridges activities grew at a negative rate of 6.5 percent in 2009

compared to a growth of 6.3 percent in 2008. The growth rates of land

improvements and water supply were 5.3 percent and 6.3 percent in 2009

compared to 5.4 percent and 6.1 percent in 2008 respectively.

8

28. Importation of capital equipment increased from sh. 1,527,920 million in

2008 to sh. 1,765,485 million in 2009 at 2001 constant prices, equivalent to an

increase of 15.5 percent. The import value of transport equipment increased by

38.5 percent compared to 7.0 percent in 2008. In contrary, the growth of

imports of machinery and other equipment decreased to 4.9 percent in 2009

compared to 12.0 percent in 2008

29. The value of increase in stock of capital was sh. 53,478 million in 2009

compared to sh. 45,237 million in 2008 at 2001 prices, equivalent to an

increase of 18.2 percent. In addition, the value of increase in stock of capital at

current prices increased by 42.4 percent from sh. 106,943 million in 2008 to

sh. 152, 252 million in 2009.

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

institutions and parastatals) increased from sh. 1,929,442 million in 2008 to

sh. 2,241,507 million in 2009 at current prices, equivalent to an increase of

16.2 percent. The public sector’s contribution to capital formation was 27.4

percent in 2009 compared to 26.1 percent in 2008.On the other hand, capital

formation in private sector increased from shs. 5,344,872 million in 2008 to

sh. 5,779,463 million in 2009, at current prices, equivalent to an increase of

8.1 percent. Contribution of private sector to capital formation was 70.7


9

Table No.1 ECONOMIC ACTIVITY 2001 2002 2003 2004 2005 2006 2007 2008 2009 2008/09Agriculture, Hunting and Forestry 2636193 2988383 3479646 4116444 4410478 4708556 5413257 6374476 6945213 9.0%

Crops 1945945 2236209 2641586 3122896 3272143 3452690 3983327 4700326 5187080 10.4%Livestock 459448 502800 563136 669021 791823 867772 990996 1169375 1135527 -2.9%Hunting and Forestry 230800 249374 274924 324527 346512 388094 438934 504774 622606 23.3%

Fishing 153660 172989 187693 207025 225658 241454 277189 296592 399715 34.8%Industry and construction 1638459 2051559 2538485 2899263 3316757 3723978 4431057 5194434 6193765 19.2%

Mining and quarrying 159979 220000 288200 357368 457431 576363 742932 839513 941094 12.1%Manufacturing 762400 866228 1002827 1129558 1269145 1395282 1625504 1935975 2434754 25.8%Electricity, gas 196860 209640 227081 244977 271925 276915 335898 421216 479768 13.9%Water supply 43840 48666 53925 61474 68605 75809 84982 93310 104263 11.7%Construction 475380 707025 966452 1105886 1249651 1399609 1641741 1904420 2233885 17.3%

Services 4139962 4617402 5174913 5870447 6786597 7773898 9076622 10846587 12300072 13.4%Trade and repairs 1182797 1298349 1454527 1593717 1752826 2044421 2416506 2875642 3341496 16.2%Hotels and restaurants 250978 269120 286883 319365 394417 459584 559722 649278 635414 -2.1%Transport 487062 526710 577977 637720 706291 769830 886844 1037608 1409636 35.9%Communications 112783 130496 161623 206877 277216 374241 487132 611350 596230 -2.5%Financial intermediation 140000 179715 204766 229370 265261 299734 345000 403727 477492 18.3%Real estate and business services 936440 1008089 1135252 1270108 1520109 1723571 1982107 2378528 2532770 6.5%Public administration 640649 754654 866917 1076215 1278881 1440913 1652556 2026815 2282763 12.6%Education 188733 211372 223409 236813 251022 268594 289617 333060 392507 17.8%Health 118972 151993 174789 200933 233032 275726 327658 383360 454990 18.7%Other social and personal services 81548 86904 88770 99329 107542 117284 129482 147221 176775 20.1%

Gross value added before adjustments 8568274 9830333 11380737 13093179 14739490 16447886 19198125 22712088 25838765 13.8%less FISIM -80000 -90400 -105382 -120588 -141723 -169661 -208281 -260029 -328478 26.3%

Gross value added at current basic prices 8488274 9739933 11275355 12972591 14597767 16278225 18989844 22452059 25510287 13.6%add Taxes on products 612000 704574 831707 999001 1367527 1663043 1958559 2329620 2702359 16.0%

GDP (At current market prices) 9100274 10444507 12107062 13971592 15965294 17941268 20948403 24781679 28212646 13.8%Source : National Bureau of Statistic

Shs.million GROSS DOMESTIC PRODUCT BY KIND OF ECONOMIC ACTIVITY

At current prices

10

Table No.1AECONOMIC ACTIVITY 2001 2002 2003 2004 2005 2006 2007 2008 2009 2008/09A. MONETARYGross Domestic Product at market prices 7638099 8795422 10214161 11680834 13431438 15152834 17761462 20834475 24171305 16.0%Agriculture, Hunting and Forestry 1610975 1824450 2104035 2404037 2589263 2737686 3154263 3696524 4439294 20.1%

Crops 1151820 1324078 1523553 1743041 1831665 1901931 2250434 2638184 2904765 10.1%Livestock 307313 336310 399611 447491 529630 580430 631254 744879 982709 31.9%Forestry and hunting 151842 164062 180871 213505 227968 255325 272575 313461 551820 76.0%

Fishing 149760 168598 182929 201771 219930 235045 269831 288719 235045 -18.6%Industry and construction 1550360 1957554 2437259 2776974 3149293 3515928 4173741 4895331 5847691 19.5%

Mining and quarrying 159979 220000 288200 357368 457431 576363 742932 839513 941094 12.1%Manufacturing 762400 866228 1002827 1129558 1269145 1395282 1625504 1935975 2434754 25.8%Electricity, gas 196860 209640 227081 244977 271925 276915 335898 421216 479768 13.9%Water supply 29840 32421 37597 42697 47696 54872 57816 63482 70934 11.7%Construction 401281 629265 881554 1002374 1103096 1212496 1411592 1635146 1921141 17.5%

Services 3795004 4230646 4763613 5419639 6247148 7170793 8413349 9884310 11275394 14.1%Trade and repairs 1182797 1298349 1454527 1593717 1752826 2044421 2416506 2875642 3341496 16.2%Hotels and restaurants 250978 269120 286883 319365 394417 459584 559722 649278 635414 -2.1%Transport 487062 526710 577977 637720 706291 769830 886844 1037608 1409636 35.9%Communications 112783 130496 161623 206877 277216 374241 487132 611350 596230 -2.5%Financial intermediation 140000 179715 204766 229370 265261 299734 345000 403727 477492 18.3%Real estate and business services 591482 621333 723952 819300 980660 1120466 1318834 1416251 1508091 6.5%Public administration 640649 754654 866917 1076215 1278881 1440913 1652556 2026815 2282763 12.6%Education 188733 211372 223409 236813 251022 268594 289617 333060 392507 17.8%Health 118972 151993 174789 200933 233032 275726 327658 383360 454990 18.7%Other social & personal services 81548 86904 88770 99329 107542 117284 129482 147221 176775 20.1%

Gross value added before adjustments 7106099 8181248 9487836 10802421 12205634 13659452 16011184 18764884 21797423 16.2%less FISIM -80000 -90400 -105382 -120588 -141723 -169661 -208281 -260029 -328478 26.3%

Gross value added at current basic prices 7026099 8090848 9382454 10681833 12063911 13489791 15802903 18504855 21468946 16.0%Add Taxes on products 612000 704574 831707 999001 1367527 1663043 1958559 2329620 2702359 16.0%

Non-monetaryGross domestic product at market prices 1462175 1649085 1892899 2290757 2533855 2788434 3186941 3947204 3887282 -1.5%Agriculture, Hunting and Forestry 1025218 1163933 1375611 1712407 1821215 1970870 2258995 2677952 2505920 -6.4%

Crops 794125 912131 1118034 1379855 1440478 1550759 1732893 2062143 2282315 10.7%Livestock 152135 166490 163524 221530 262193 287342 359742 424496 152818 -64.0%Forestry & hunting 78958 85312 94053 111022 118544 132769 166360 191313 70786 -63.0%

Fishing 3900 4391 4764 5254 5727 6409 7358 7873 10610 34.8%Industry and construction 88099 94005 101224 122289 167464 208050 257315 299103 346074 15.7%

Water supply 14000 16245 16327 18777 20909 20937 27166 29828 33330 11.7%Construction 74099 77760 84897 103512 146555 187113 230149 269274 312744 16.1%

Services 344958 386756 411300 450807 539449 603105 663273 962277 1024678 6.5%Real estate & business services 344958 386756 411300 450807 539449 603105 663273 962277 1024678 6.5%

Total GDP (at market prices) 9100274 10444507 12107060 13971591 15965293 17941268 20948403 24781679 28058587 13.2%Source: National Bureau of Statistic

Shs.million At current pricesGROSS DOMESTIC PRODUCT (Monetary & Non-monetary GDPmp) BY KIND OF ECONOMIC ACTIVITY

11

Table No. 2 PercentagesECONOMIC ACTIVITY 2001 2002 2003 2004 2005 2006 2007 2008 2009Agriculture, Hunting and Forestry 29.0 28.6 28.7 29.5 27.6 26.2 25.8 25.7 24.6 Crops 21.4 21.4 21.8 22.4 20.5 19.2 19.0 19.0 18.4 Livestock 5.0 4.8 4.7 4.8 5.0 4.8 4.7 4.7 4.0 Hunting and Forestry 2.5 2.4 2.3 2.3 2.2 2.2 2.1 2.0 2.2 Fishing 1.7 1.7 1.6 1.5 1.4 1.3 1.3 1.2 1.4 Industry and construction 18.0 19.6 21.0 20.8 20.8 20.8 21.2 21.0 22.0 Mining and quarrying 1.8 2.1 2.4 2.6 2.9 3.2 3.5 3.4 3.3 Manufacturing 8.4 8.3 8.3 8.1 7.9 7.8 7.8 7.8 8.6 Electricity, gas 2.2 2.0 1.9 1.8 1.7 1.5 1.6 1.7 1.7 Water supply 0.5 0.5 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 Services 45.5 44.2 42.7 42.0 42.5 43.3 43.3 43.8 43.6 Trade and repairs 13.0 12.4 12.0 11.4 11.0 11.4 11.5 11.6 11.8 Hotels and restaurants 2.8 2.6 2.4 2.3 2.5 2.6 2.7 2.6 2.3 Transport 5.4 5.0 4.8 4.6 4.4 4.3 4.2 4.2 5.0 Communications 1.2 1.2 1.3 1.5 1.7 2.1 2.3 2.5 2.1 Financial intermediation 1.5 1.7 1.7 1.6 1.7 1.7 1.6 1.6 1.7 Real estate and business services 10.3 9.7 9.4 9.1 9.5 9.6 9.5 9.6 9.0 Public administration 7.0 7.2 7.2 7.7 8.0 8.0 7.9 8.2 8.1 Education 2.1 2.0 1.8 1.7 1.6 1.5 1.4 1.3 1.4 Health 1.3 1.5 1.4 1.4 1.5 1.5 1.6 1.5 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 Gross value added before adjustments 94.2 94.1 94.0 93.7 92.3 91.7 91.6 91.6 91.6 less FISIM 0.9- 0.9- 0.9- 0.9- 0.9- 0.9- 1.0- 1.0- 1.2- 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 add Taxes on products 6.7 6.7 6.9 7.2 8.6 9.3 9.3 9.4 9.6 GDP (At current market prices) 100.0 100.0 100.0 100.0 100.0 100.0 100.0 100.0 100.0 Source: National Bureau of Statistic

SHARES OF GROSS DOMESTIC PRODUCT BY KIND OF ECONOMIC ACTIVITY At market current prices

12

Table No. 2A PercentagesECONOMIC ACTIVITY 2001 2002 2003 2004 2005 2006 2007 2008 2009A. MONETARYGross domestic product at market prices 83.9 84.2 84.4 83.6 84.1 84.5 84.8 84.1 86.1Agriculture, Hunting and Forestry 17.7 17.5 17.4 17.2 16.2 15.3 15.1 14.9 15.8

Crops 12.7 12.7 12.6 12.5 11.5 10.6 10.7 10.6 10.4Livestock 3.4 3.2 3.3 3.2 3.3 3.2 3.0 3.0 3.5Forestry and hunting 1.7 1.6 1.5 1.5 1.4 1.4 1.3 1.3 2.0

Fishing 1.6 1.6 1.5 1.4 1.4 1.3 1.3 1.2 0.8Industry and construction 17.0 18.7 20.1 19.9 19.7 19.6 19.9 19.8 20.8

Mining and quarrying 1.8 2.1 2.4 2.6 2.9 3.2 3.5 3.4 3.4Manufacturing 8.4 8.3 8.3 8.1 7.9 7.8 7.8 7.8 8.7Electricity, gas 2.2 2.0 1.9 1.8 1.7 1.5 1.6 1.7 1.7Water supply 0.3 0.3 0.3 0.3 0.3 0.3 0.3 0.3 0.3Construction 4.4 6.0 7.3 7.2 6.9 6.8 6.7 6.6 6.8

Services 41.7 40.5 39.3 38.8 39.1 40.0 40.2 39.9 40.2Trade and repairs 13.0 12.4 12.0 11.4 11.0 11.4 11.5 11.6 11.9Hotels and restaurants 2.8 2.6 2.4 2.3 2.5 2.6 2.7 2.6 2.3Transport 5.4 5.0 4.8 4.6 4.4 4.3 4.2 4.2 5.0Communications 1.2 1.2 1.3 1.5 1.7 2.1 2.3 2.5 2.1Financial intermediation 1.5 1.7 1.7 1.6 1.7 1.7 1.6 1.6 1.7Real estate and business services 6.5 5.9 6.0 5.9 6.1 6.2 6.3 5.7 5.4Public administration 7.0 7.2 7.2 7.7 8.0 8.0 7.9 8.2 8.1Education 2.1 2.0 1.8 1.7 1.6 1.5 1.4 1.3 1.4Health 1.3 1.5 1.4 1.4 1.5 1.5 1.6 1.5 1.6Other social & personal services 0.9 0.8 0.7 0.7 0.7 0.7 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 77.7less FISIM -0.9 -0.9 -0.9 -0.9 -0.9 -0.9 -1.0 -1.0 -1.2

Gross value added at current basic prices 77.2 77.5 77.5 76.5 75.6 75.2 75.4 74.7 76.5Add Taxes on products 6.7 6.7 6.9 7.2 8.6 9.3 9.3 9.4 9.6

B. NON MONETARY 0.0 0.0Gross domestic product at market prices 16.1 15.8 15.6 16.4 15.9 15.5 15.2 15.9 13.9Agriculture, Hunting and Forestry 11.3 11.1 11.4 12.3 11.4 11.0 10.8 10.8 8.9

Crops 8.7 8.7 9.2 9.9 9.0 8.6 8.3 8.3 8.1Livestock 1.7 1.6 1.4 1.6 1.6 1.6 1.7 1.7 0.5Forestry & hunting 0.9 0.8 0.8 0.8 0.7 0.7 0.8 0.8 0.3

Fishing 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0Industry and construction 1.0 0.9 0.8 0.9 1.0 1.2 1.2 1.2 1.2

Water supply 0.2 0.2 0.1 0.1 0.1 0.1 0.1 0.1 0.1Construction 0.8 0.7 0.7 0.7 0.9 1.0 1.1 1.1 1.1

Services 3.8 3.7 3.4 3.2 3.4 3.4 3.2 3.9 3.7Real estate & business services 3.8 3.7 3.4 3.2 3.4 3.4 3.2 3.9 3.7

Total GDP at market prices 100.0 100.0 100.0 100.0 100.0 100.0 100.0 100.0 100.0Source: National Bureau of Statistic

At current pricesSHARES OF GROSS DOMESTIC PRODUCT BY KIND OF ECONOMIC ACTIVITY - Monetary & Non-monetary

13

14

Table No. 2B Sh. Million2001 2002 2003 2004 2005 2006 2007 2008 2009

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

Final Consumption 7901761 8885098 10300882 11714438 13386429 15340093 18270124 20838037 23403570 Households 6822466 7512354 8442113 9352717 10581908 12195212 14231135 16516318 18476811 Government 1079295 1372744 1858769 2361721 2804521 3144881 4038989 4321718 4926759

Investment 1587743 1795412 2320538 3153367 4001088 4957782 6209741 7381257 8173221 Gross Fixed Capital Formation 1547100 1750816 2277151 3095522 3936683 4883490 6119013 7274314 8020970 Changes in Inventory 40643 44596 43387 57845 64405 74292 90728 106943 152252

Exports 1547644 1836223 2247385 2745596 3324425 4047990 5078248 6230729 6553198 Goods 746080 946834 1263064 1551554 1891705 2176987 2748509 3636824 3833992 Services 801564 889389 984321 1194042 1432720 1871003 2329739 2593906 2719206

Imports -1936874 -2072225 -2761744 -3641808 -4746646 -6404597 -8609710 -9612093 -9917343 Goods -1367474 -1460825 -2008052 -2615149 -3383801 -4837467 -6606784 -7698354 -7622953 Services -569400 -611400 -753692 -1026659 -1362845 -1567130 -2002926 -1913739 -2294390Source: National Bureau of Statistic

At current market pricesGROSS DOMESTIC PRODUCT AND EXPENDITURE

15

Table No.3

ECONOMIC ACTIVITY2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 Change

2007/2008Agriculture, Hunting and Forestry 2512170 2636193 2766479 2850956 3017988 3148384 3268238 3399648 3554488 3669646 3.2%

Crops 1847572 1945945 2055634 2122361 2262725 2361930 2457373 2567955 2698921 2790684 3.4%Livestock 441860 459448 472500 483001 503000 525109 537498 550398 564708 577922 2.3%Hunting and Forestry 222738 230800 238345 245594 252263 261345 273367 281295 290859 301039 3.5%

Fishing 146675 153660 164049 173892 185543 196676 206510 215734 226521 232637 2.7%Industry and construction 1536952 1638459 1792024 1988081 2204619 2433261 2639902 2889519 3138241 3357703 7.0%

Mining and quarrying 140400 159979 187000 219000 254000 295000 341000 377559 386998 391642 1.2%Manufacturing 726358 762400 819200 893000 977000 1071000 1162000 1263435 1388515 1499596 8.0%Electricity, gas 185847 196860 209000 223953 240708 263218 258347 286507 301978 327344 8.4%Water supply 42363 43840 45084 47128 49557 51700 54905 58474 62333 65824 5.6%Construction 441984 475380 531740 605000 683354 752343 823650 903544 998416 1073297 7.5%

Services 3890050 4139962 4460699 4806587 5182094 5596784 6035932 6527561 7085136 7594661 7.2%Trade and repairs 1111165 1182797 1281544 1405698 1486931 1585906 1736631 1906821 2097503 2254816 7.5%Hotels and restaurants 239528 250978 267162 275836 285732 301873 314921 328859 343658 358779 4.4%Transport 464481 487062 516000 541901 588574 627951 661000 703965 752539 797691 6.0%Communications 103716 112783 124549 144039 169158 200900 239537 287684 346659 422577 21.9%Financial intermediation 131000 140000 154108 170643 184775 204694 228000 251280 281120 306339 9.0%Real estate and business services 898961 936440 1003260 1068732 1141014 1226790 1316000 1408120 1508097 1610647 6.8%Public administration 580000 640649 699561 766760 871169 970786 1033488 1102951 1180158 1232313 4.4%Education 169462 188733 202000 207606 215910 224547 235774 248742 265905 284704 7.1%Health 112629 118972 129229 140437 151370 163572 177520 193142 210525 224654 6.7%Other social and personal services 79108 81548 83286 84935 87461 89765 93061 95998 98974 102141 3.2%

Gross value added before adjustments 8085847 8568274 9183251 9819516 10590244 11375105 12150582 13032462 14004385 14854646 6.1%less FISIM -78049 -80000 -87000 -97154 -106931 -119497 -137287 -158292 -175704 -190990 8.7%

Gross value added at current basic prices8007798 8488274 9096251 9722362 10483313 11255608 12013295 12874170 13828681 14663656 6.0%

add Taxes on products 577542 612000 655926 701372 756422 812482 867868 927751 999664 1057645 5.8%

GDP (market prices) 8585340 9100274 9752177 10423734 11239735 12068090 12881163 13801921 14828345 15721301 6.0%Source : National Bureau of Statistic

GROSS DOMESTIC PRODUCT BY KIND OF ECONOMIC ACTIVITY Shs. million At constant 2001 prices

16

Table No.3A

ECONOMIC ACTIVITY2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 Change

2008/2009A. MONETARYGross Domestic Product at market prices 7172563 7638006 8223867 8833128 9525201 10300744 11021170 11852682 12767259 13536636 6.0%Agriculture, Hunting and Forestry 1656413 1760735 1858279 1913425 1993064 2114515 2187610 2277890 2379345 2430546 2.2%

Crops 1070541 1151820 1225544 1259304 1312030 1399662 1446975 1510406 1587437 1617938 1.9%Livestock 295549 307313 316043 323067 334237 351232 359519 371398 379387 388264 2.3%Forestry and hunting 147324 151842 156806 161575 165963 171937 179847 185827 191750 198686 3.6%


Mining and quarrying 140400 159979 187000 219000 254000 295000 341000 377559 386998 391642 1.2%Manufacturing 726358 762400 819200 893000 977000 1071000 1162000 1263435 1388515 1499596 8.0%Electricity, gas 185847 196860 209000 223953 240708 263218 258347 286507 301978 327344 8.4%Water supply 28654 29748 30569 32062 33903 35417 37950 40841 43536 45418 4.3%Construction 372013 401281 453980 525013 601075 661783 723531 792529 875190 944502 7.9%

Services 3563385 3795004 4096913 4422457 4775960 5166826 5580151 6044462 6567737 7030934 7.1%Trade and repairs 1111165 1182797 1281544 1405698 1486931 1585906 1736631 1906821 2097503 2254816 7.5%Hotels and restaurants 239528 250978 267162 275836 285732 301873 314921 328859 343658 358779 4.4%Transport 464481 487062 516000 541901 588574 627951 661000 703965 752539 797691 6.0%Communications 103716 112783 124549 144039 169158 200900 239537 287684 346659 422577 21.9%Financial intermediation 131000 140000 154108 170643 184775 204694 228000 251280 281120 306339 9.0%Real estate and business services 572296 591482 639474 684602 734880 796832 860219 925021 990697 1046921 5.7%Public administration 580000 640649 699561 766760 871169 970786 1033488 1102951 1180158 1232313 4.4%Education 169462 188733 202000 207606 215910 224547 235774 248742 265905 284704 7.1%Health 112629 118972 129229 140437 151370 163572 177520 193142 210525 224654 6.7%Other social & personal services 79108 81548 83286 84935 87461 89765 93061 95998 98974 102141 3.2%

Gross value added before adjustments6673070 7106007 7654941 8228910 8875710 9607759 10290589 11083223 11943299 12669982 6.1%

less FISIM -78049 -80000 -87000 -97154 -106931 -119497 -137287 -158292 -175704 -190990 8.7%Gross value added at current basic prices

6595021 7026007 7567941 8131756 8768779 9488262 10153302 10924931 11767595 12478992 6.0%Add Taxes on products 577542 612000 655926 701372 756422 812482 867868 927751 999664 1057645 5.8%

B. NON MONETARY Gross domestic product at market prices 1412775 1462268 1528311 1590607 1714533 1767345 1859993 1949239 2061086 2184664 6.0%Agriculture, Hunting and Forestry 1002430 1029118 1072250 1111424 1210467 1230544 1287138 1337492 1401663 1471737 5.0%

Crops 777030 794125 830090 863057 950694 962268 1010398 1057549 1111484 1172746 5.5%Livestock 146311 152135 156457 159934 168763 173877 177979 179000 185322 189658 2.3%Forestry & hunting 75413 78958 81539 84019 86301 89407 93520 95468 99109 102353 3.3%


Water supply 13709 14093 14515 15066 15654 16283 16955 17633 18797 20405 8.6%Construction 69971 74099 77760 79987 82279 90560 100119 111015 123227 128796 4.5%

Services 326665 344958 363786 384130 406133 429958 455781 483099 517399 563726 9.0%Real estate & business services 326665 344958 363786 384130 406133 429958 455781 483099 517399 563726 9.0%

Total GDP (At constant 2001 prices) 8585338 9100274 9752178 10423735 11239734 12068089 12881163 13801921 14828345 15721301 6.0%Source : National Bureau of Statistic

Shs. million At constant 2001 pricesGROSS DOMESTIC PRODUCT (Monetary & Non-monetary GDPmp) BY KIND OF ECONOMIC ACTIVITY

17

Table No.4 Percentages

ECONOMIC ACTIVITY 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009Agriculture, Hunting and Forestry 4.5 4.9 4.9 3.1 5.9 4.3 3.8 4.0 4.6 3.2 Crops 4.7 5.3 5.6 3.2 6.6 4.4 4.0 4.5 5.1 3.4 Livestock 3.9 4.0 2.8 2.2 4.1 4.4 2.4 2.4 2.6 2.3 Hunting and Forestry 4.8 3.6 3.3 3.0 2.7 3.6 4.6 2.9 3.4 3.5 Fishing 2.9 4.8 6.8 6.0 6.7 6.0 5.0 4.5 5.0 2.7 Industry and construction 4.5 6.6 9.4 10.9 10.9 10.4 8.5 9.5 8.6 7.0 Mining and quarrying 14.3 13.9 16.9 17.1 16.0 16.1 15.6 10.7 2.5 1.2 Manufacturing 4.8 5.0 7.5 9.0 9.4 9.6 8.5 8.7 9.9 8.0 Electricity, gas 6.2 5.9 6.2 7.2 7.5 9.4 1.9- 10.9 5.4 8.4 Water supply 3.4 3.5 2.8 4.5 5.2 4.3 6.2 6.5 6.6 5.6 Construction 0.8 7.6 11.9 13.8 13.0 10.1 9.5 9.7 10.5 7.5 Services 5.4 6.4 7.7 7.8 7.8 8.0 7.8 8.1 8.5 7.2 Trade and repairs 4.3 6.4 8.3 9.7 5.8 6.7 9.5 9.8 10.0 7.5 Hotels and restaurants 4.1 4.8 6.4 3.2 3.6 5.6 4.3 4.4 4.5 4.4 Transport 4.3 4.9 5.9 5.0 8.6 6.7 5.3 6.5 6.9 6.0 Communications 5.6 8.7 10.4 15.6 17.4 18.8 19.2 20.1 20.5 21.9 Financial intermediation 3.9 6.9 10.1 10.7 8.3 10.8 11.4 10.2 11.9 9.0 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 Public administration 10.7 10.5 9.2 9.6 13.6 11.4 6.5 6.7 7.0 4.4 Education 4.0 11.4 7.0 2.8 4.0 4.0 5.0 5.5 6.9 7.1 Health 5.1 5.6 8.6 8.7 7.8 8.1 8.5 8.8 9.0 6.7 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 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 less FISIM 1.4 2.5 8.7 11.7 10.1 11.8 14.9 15.3 11.0 8.7 Gross value added at current basic prices

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

GDP (Constant prices) 4.9 6.0 7.2 6.9 7.8 7.4 6.7 7.1 7.4 6.0 Source : National Bureau of Statistic

At constant 2001 prices GROSS DOMESTIC PRODUCT BY KIND OF ECONOMIC ACTIVITY - ANNUAL GROWTH RATES

18

19

Table No. 4A percentages

ECONOMIC ACTIVITY 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009A. MONETARYGross 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 Agriculture, Hunting and Forestry 4.3 6.3 5.5 3.0 4.2 6.1 3.5 4.1 4.5 2.2

Crops 5.8 7.6 6.4 2.8 4.2 6.7 3.4 4.4 5.1 1.9 Livestock 1.0- 4.0 2.8 2.2 3.5 5.1 2.4 3.3 2.2 2.3 Forestry and hunting 6.0 3.1 3.3 3.0 2.7 3.6 4.6 3.3 3.2 3.6

Fishing 2.9 4.7 6.8 6.0 6.7 6.0 5.0 4.5 5.0 2.2 Industry and construction 4.5 6.7 9.6 11.4 11.3 10.4 8.4 9.4 8.5 7.1

Mining and quarrying 14.3 13.9 16.9 17.1 16.0 16.1 15.6 10.7 2.5 1.2 Manufacturing 4.8 5.0 7.5 9.0 9.4 9.6 8.5 8.7 9.9 8.0 Electricity, gas 6.2 5.9 6.2 7.2 7.5 9.4 1.9- 10.9 5.4 8.4 Water supply 3.8 3.8 2.8 4.9 5.7 4.5 7.2 7.6 6.6 4.3 Construction 0.1 7.9 13.1 15.6 14.5 10.1 9.3 9.5 10.4 7.9

Services 5.4 6.5 8.0 7.9 8.0 8.2 8.0 8.3 8.7 7.1 Trade and repairs 4.3 6.4 8.3 9.7 5.8 6.7 9.5 9.8 10.0 7.5 Hotels and restaurants 4.1 4.8 6.4 3.2 3.6 5.6 4.3 4.4 4.5 4.4 Transport 4.3 4.9 5.9 5.0 8.6 6.7 5.3 6.5 6.9 6.0 Communications 5.6 8.7 10.4 15.6 17.4 18.8 19.2 20.1 20.5 21.9 Financial intermediation 3.9 6.9 10.1 10.7 8.3 10.8 11.4 10.2 11.9 9.0 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 Public administration 10.7 10.5 9.2 9.6 13.6 11.4 6.5 6.7 7.0 4.4 Education 4.0 11.4 7.0 2.8 4.0 4.0 5.0 5.5 6.9 7.1 Health 5.1 5.6 8.6 8.7 7.8 8.1 8.5 8.8 9.0 6.7 Other social & personal services 3.1 3.1 2.1 2.0 3.0 2.6 3.7 3.2 3.1 3.2

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

Gross value added at current basic prices5.0 6.5 7.7 7.5 7.8 8.2 7.0 7.6 7.7 6.0

Add Taxes on products 4.9 6.0 7.2 6.9 7.8 7.4 6.8 6.9 7.8 5.8 B. NON MONETARYGross 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 Agriculture, Hunting and Forestry 4.8 2.7 4.2 3.7 8.9 1.7 4.6 3.9 4.8 5.0

Crops 3.2 2.2 4.5 4.0 10.2 1.2 5.0 4.7 5.1 5.5 Livestock 15.4 4.0 2.8 2.2 5.5 3.0 2.4 0.6 3.5 2.3 Forestry & hunting 2.7 4.7 3.3 3.0 2.7 3.6 4.6 2.1 3.8 3.3

Fishing 3.1 6.1 6.8 6.0 6.7 6.0 5.0 4.5 5.0 21.4 Industry and construction 4.3 5.4 4.6 3.0 3.0 9.1 9.6 9.9 10.4 5.1

Water supply 2.5 2.8 3.0 3.8 3.9 4.0 4.1 4.0 6.6 8.6 Construction 4.6 5.9 4.9 2.9 2.9 10.1 10.6 10.9 11.0 4.5

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

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 Source : National Bureau of Statistic

GROSS DOMESTIC PRODUCT (Monetary & Non-monetary GDPmp) BY KIND OF ECONOMIC ACTIVITY - ANNUAL GROWTH RATESAt constant 2001 prices

20

Table No. 4B

ECONOMIC ACTIVITY2000 2001 2002 2003 2004 2005 2006 2007 2008 2009

Agriculture, Hunting and Forestry 29.3% 29.0% 28.4% 27.4% 26.9% 26.1% 25.4% 24.6% 24.0% 23.3%Crops 21.5% 21.4% 21.1% 20.4% 20.1% 19.6% 19.1% 18.6% 18.2% 17.8%Livestock 5.1% 5.0% 4.8% 4.6% 4.5% 4.4% 4.2% 4.0% 3.8% 3.7%Hunting and Forestry 2.6% 2.5% 2.4% 2.4% 2.2% 2.2% 2.1% 2.0% 2.0% 1.9%Fishing 1.7% 1.7% 1.7% 1.7% 1.7% 1.6% 1.6% 1.6% 1.5% 1.5%Industry and construction 17.9% 18.0% 18.4% 19.1% 19.6% 20.2% 20.5% 20.9% 21.2% 21.4%Mining and quarrying 1.6% 1.8% 1.9% 2.1% 2.3% 2.4% 2.6% 2.7% 2.6% 2.5%Manufacturing 8.5% 8.4% 8.4% 8.6% 8.7% 8.9% 9.0% 9.2% 9.4% 9.5%Electricity, gas 2.2% 2.2% 2.1% 2.1% 2.1% 2.2% 2.0% 2.1% 2.0% 2.1%Water supply 0.5% 0.5% 0.5% 0.5% 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%Services 45.3% 45.5% 45.7% 46.1% 46.1% 46.4% 46.9% 47.3% 47.8% 48.3%Trade and repairs 12.9% 13.0% 13.1% 13.5% 13.2% 13.1% 13.5% 13.8% 14.1% 14.3%Hotels and restaurants 2.8% 2.8% 2.7% 2.6% 2.5% 2.5% 2.4% 2.4% 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%Communications 1.2% 1.2% 1.3% 1.4% 1.5% 1.7% 1.9% 2.1% 2.3% 2.7%Financial intermediation 1.5% 1.5% 1.6% 1.6% 1.6% 1.7% 1.8% 1.8% 1.9% 1.9%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%Public administration 6.8% 7.0% 7.2% 7.4% 7.8% 8.0% 8.0% 8.0% 8.0% 7.8%Education 2.0% 2.1% 2.1% 2.0% 1.9% 1.9% 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%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%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%less FISIM -0.9% -0.9% -0.9% -0.9% -1.0% -1.0% -1.1% -1.1% -1.2% -1.2%Gross value added at current basic prices

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%

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%Source : National Bureau of Statistic

At constant 2001 prices SHARES OF GROSS DOMESTIC PRODUCT BY KIND OF ECONOMIC ACTIVITY

21

22

23

Table No.4C

ECONOMIC ACTIVITY2000 2001 2002 2003 2004 2005 2006 2007 2008 2009

A. MONETARYGross 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%Agriculture, Hunting and Forestry 19.3% 19.3% 19.1% 18.4% 17.7% 17.5% 17.0% 16.5% 16.0% 15.5%

Crops 12.5% 12.7% 12.6% 12.1% 11.7% 11.6% 11.2% 10.9% 10.7% 10.3%Livestock 3.4% 3.4% 3.2% 3.1% 3.0% 2.9% 2.8% 2.7% 2.6% 2.5%Forestry and hunting 1.7% 1.7% 1.6% 1.6% 1.5% 1.4% 1.4% 1.3% 1.3% 1.3%

Fishing 1.7% 1.6% 1.6% 1.6% 1.6% 1.6% 1.6% 1.5% 1.5% 1.4%Industry and construction 16.9% 17.0% 17.4% 18.2% 18.7% 19.3% 19.6% 20.0% 20.2% 20.4%

Mining and quarrying 1.6% 1.8% 1.9% 2.1% 2.3% 2.4% 2.6% 2.7% 2.6% 2.5%Manufacturing 8.5% 8.4% 8.4% 8.6% 8.7% 8.9% 9.0% 9.2% 9.4% 9.5%Electricity, gas 2.2% 2.2% 2.1% 2.1% 2.1% 2.2% 2.0% 2.1% 2.0% 2.1%Water supply 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%

Services 41.5% 41.7% 42.0% 42.4% 42.5% 42.8% 43.3% 43.8% 44.3% 44.7%Trade and repairs 12.9% 13.0% 13.1% 13.5% 13.2% 13.1% 13.5% 13.8% 14.1% 14.3%Hotels and restaurants 2.8% 2.8% 2.7% 2.6% 2.5% 2.5% 2.4% 2.4% 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%Communications 1.2% 1.2% 1.3% 1.4% 1.5% 1.7% 1.9% 2.1% 2.3% 2.7%Financial intermediation 1.5% 1.5% 1.6% 1.6% 1.6% 1.7% 1.8% 1.8% 1.9% 1.9%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%Public administration 6.8% 7.0% 7.2% 7.4% 7.8% 8.0% 8.0% 8.0% 8.0% 7.8%Education 2.0% 2.1% 2.1% 2.0% 1.9% 1.9% 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%Other social & personal services 0.9% 0.9% 0.9% 0.8% 0.8% 0.7% 0.7% 0.7% 0.7% 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%less FISIM -0.9% -0.9% -0.9% -0.9% -1.0% -1.0% -1.1% -1.1% -1.2% -1.2%

Gross value added at current basic prices76.8% 77.2% 77.6% 78.0% 78.0% 78.6% 78.8% 79.2% 79.4% 79.4%

Add Taxes on products 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%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%Agriculture, Hunting and Forestry 11.7% 11.3% 11.0% 10.7% 10.8% 10.2% 10.0% 9.7% 9.5% 9.4%

Crops 9.1% 8.7% 8.5% 8.3% 8.5% 8.0% 7.8% 7.7% 7.5% 7.5%Livestock 1.7% 1.7% 1.6% 1.5% 1.5% 1.4% 1.4% 1.3% 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%

Fishing 0.0% 0.0% 0.0% 0.0% 0.0% 0.0% 0.0% 0.0% 0.0% 0.0%Industry and construction 1.0% 1.0% 0.9% 0.9% 0.9% 0.9% 0.9% 0.9% 1.0% 0.9%

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% 0.8% 0.8% 0.8% 0.7% 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%Real estate & business services 3.8% 3.8% 3.7% 3.7% 3.6% 3.6% 3.5% 3.5% 3.5% 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%Source : National Bureau of Statistics

SHARES OF GROSS DOMESTIC PRODUCT BY KIND OF ECONOMIC ACTIVITY - Monetary and non-monetary At constant 2001 prices

24

Table No. 4D Shs. Million

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

Gross Domestic Product (GDPbp) 8007798 8488274 9096251 9722362 10483313 11255608 12013295 12874170 13828681 14663656Net taxes on product 577542 612000 655926 701372 756422 812482 867868 927751 999664 1057645Gross Domestic Product (GDPmp) 8585340 9100274 9752177 10423734 11239735 12068090 12881163 13801921 14828345 15721301

Gross Domestic Product (GDPmp) 8585339 9100274 9752178 10423735 11239734 12068090 12881163 13801921 14828345 15721301

Final Consumption 7630259 7901761 8486320 9052080 9748544 10855260 11735476 12517666 13337233 13838779 Households 6615765 6826396 7213608 7410284 7866521 8748590 9456059 10021704 10512581 10870070 Government 1014494 1075365 1272712 1641796 1882023 2106670 2279417 2495962 2824652 2968710

Investment 1421461 1587743 1711262 1945657 2144198 2535317 2938619 3358305 3616866 3982283 Gross Fixed Capital Formation 1381486 1547100 1669823 1903295 2100914 2493633 2893604 3313177 3571629 3928805 Changes in Inventory 39975 40643 41439 42362 43284 41684 45015 45128 45237 53478

Exports 1321129 1547644 1666860 1991479 2157615 2449820 2369701 2768705 3311236 3479706 Goods 596796 746080 814494 1049683 1120049 1256370 1004797 1089513 1441642 1519800 Services 724333 801564 852366 941796 1037566 1193450 1364904 1679192 1869594 1959906

Imports -1787510 -1936874 -2112264 -2565481 -2810623 -3772307 -4162633 -4842754 -5436991 -5579468 Goods -1157440 -1367474 -1489051 -1865350 -2018283 -2689212 -3146854 -3861190 -4499134 -4455068 Services -630070 -569400 -623213 -700131 -792340 -1083095 -1015779 -981564 -937856 -1124400Source : National Bureau of Statistics

GROSS DOMESTIC PRODUCT AND EXPENDITURE

EXPENDITURE ON GROSS DOMESTIC PRODUCT

At constant 2001 prices

25

Table No. 5 (Shs. millionType 2001 2002 2003 2004 2005 2006 2007 2008 2009Buildings: Residential 145210 150406 173687 266443 349977 390219 484652 581583 709531 Rural Own Account 302994 292190 348806 467417 552039 585329 701224 820432 951702 Non-Residential 245218 260413 509560 706356 947093 1035628 1282108 1538914 1877475Total 693422 703009 1032053 1440216 1849109 2011176 2467985 2940930 3538708Other Works: Land Improvement 17013 74044 42408 110434 119416 125256 137170 149515 182409 Roads & Bridges 30600 34259 35589 36920 39580 43239 51455 61797.5 75393 Water Supply 117056 223668 400163 479828 629842 701791 827411 984619 1153974 Others 122010 121949 88023 181805 245349 271512 344820 413784 508954Total 286679 453920 566183 808987 1034187 1141798 1360856 1609716 1920729Equipment: Transport Equipment 166000 219771 252439 293604 410919 629648 817913 956958 972933 Other Equipment 401000 374117 438122 552715 665348 1100867 1472259 1766711 1588599Total 567000 593888 690561 846319 1076267 1730515 2290172 2723669 2561532Fixed Capital Formation 1547101 1750817 2288797 3095522 3959563 4883489 6119013 7274314 8020970Increase in Stocks 40643 44596 43387 57845 64405 74292 90728 106943 152252Total Capital Formation 1587744 1795413 2332184 3153367 4023968 4957781 6209741 7381257 8173221

Source: National Bureau of Statistics

(At Current Prices)CAPITAL FORMATION BY TYPE OF ASSETS

26

Table No. 6: Shs. Million

Type2002 2003 2004 2005 2006 2007 2008 2009 change,

2008/09Buildings: Residential 145986 141750 176418 185882 206555 230059 244363 260491 6.6% Rural Own Account 270713 271724 283345 295766 314832 321112 339078 357405 5.4% Non-Residential 252762 415860 460289 473808 491387 525622 557960 593111 6.3%Total 669461 829334 920052 955456 1012774 1076793 1141401 1211008 6.1%Other Works: Land Improvement 68506 32988 46779 75517 111237 143282 151009 159013 5.3% Roads & Bridges 32277 28289 22813 21178 23724 26018 27666 25875 -6.5% Water Supply 206945 311305 311908 359854 396306 439900 466694 496096 6.3% Others 112833 68480 88285 130762 185891 242773 256940 271329 5.6%Total 420561 441062 469785 587311 717158 851973 902309 952312 5.5%Equipment: Transport Equipment 186549 226955 262150 350639 386998 452401 484069 670407 38.5% Other Equipment 393251 415201 448928 612469 776675 932009 1043851 1095078 4.9%Total 579800 642156 711078 963108 1163673 1384410 1527920 1765485 15.5%Fixed Capital Formation 1669822 1912552 2100915 2505875 2893605 3313177 3571629 3928805 10.0%Increase in Stocks 41439 42362 43284 41684 45015 45128 45237 53478 18.2%Total Capital Formation 1711261 1954914 2144199 2547559 2938620 3358305 3616866 3982283 10.1%


At Constant 2001 PricesCAPITAL FORMATION BY TYPE OF ASSETS

27

Table No. 7 Shs. million

Sector 2002 2003 2004 2005 2006 2007 2008 2009Public Sector:Central Gov't 568022 753610 953157 1039910 1134578 1352763 1628172 1921243Parastatals 59405 72745 119245 162413 141822 141570 148299 157197Institutions++ 72900 89624 120042 138362 141822 144659 152971 163067Total Public Sector: 700327 915979 1192444 1340685 1418222 1638992 1929442 2241507Private Sector 1050490 1372817 1903078 2618878 3465267 4480021 5344872 5779463Total Fixed Capital 1750817 2288796 3095522 3959563 4883489 6119013 7274314 8020970Increase in Stocks 44596 43387 57845 64405 74292 90728 106943 152252Total Capital Formation 1795413 2332183 3153367 4023968 4957781 6209741 7381257 8173221

++ Includes non-profit making organisationsSource: National Bureau of Statistics

CAPITAL FORMATION BY PUBLIC AND PRIVATE SECTORSAt Current Prices

28

Table No. 8

Year INDEX % CHANGE INDEX % CHANGE1982 2.7 - 3.2 -1983 3.3 22.2 3.9 21.91984 3.9 18.2 4.2 7.71985 5.7 43.6 6.1 45.21986 8.0 42.9 9.2 50.81987 10.1 26.3 11.5 25.01988 13.1 29.7 15.1 31.31989 17.1 30.5 19.5 29.11990 22.5 31.6 24.7 26.71991 30.6 36.0 33.1 34.01992 32.7 7.0 41.6 25.71993 40.2 22.8 50.1 20.41994 60.5 30.4 68.9 37.51995 65.7 7.4 73.7 7.01996 78.8 19.8 85.0 15.31997 84.1 6.8 89.1 4.81998 89.8 6.8 94.8 6.41999 90.6 0.9 93.7 -1.22000 92.2 1.7 91.8 -2.02001 100.0 8.5 100.0 8.92002 103.8 3.8 104.0 4.02003 109.8 5.8 109.6 5.42004 116.8 6.4 117.1 6.82005 126.5 8.3 125.7 7.32006 141.1 11.5 138.6 10.32007 154.2 9.3 151.5 9.32008 180.9 17.3 174.6 15.22009 211.3 16.8 208.5 19.4

Revised figuresSource: National Bureau of Statistics

ALL ITEMS FOOD

INDEX OF RETAIL PRICES OF GOODS CONSUMED BYMINIMUM WAGE EARNERS IN DAR ES SALAAM (2001=100)

29

Table No. 9Beverages Electricity, Clothing Furniture Services Recreation OVERALL

Year Food and Rent Kerosene and and and other Health and Transport Education Others PRICECigarettes and Water Footwear Household Household Services Entertain. INDEX

Utensils Requirements2001 First Quarter 103.0 99.2 100.0 97.1 100.1 104.2 108.3 98.7 103.9 104.3 90.3 107.8 101.7 Second Quarter 99.5 100.3 100.0 104.5 97.9 98.9 112.1 111.3 96.3 89.6 98.6 101.2 100.1 Third Quarter 99.0 100.7 100.0 100.5 100.9 94.8 109.9 87.8 87.7 103.5 102.2 96.1 99.3 Fourth Quarter 98.5 99.9 100.0 97.9 101.1 102.1 69.6 102.1 112.1 102.6 108.9 95.0 98.92002 First Quarter 115.7 100.9 100.0 98.8 90.4 112.3 74.4 98.6 105.3 104.8 108.2 112.5 109.8 Second Quarter 115.3 100.9 100.0 101.0 83.6 106.1 71.7 87.6 97.2 103.9 107.8 109.7 109.0 Third Quarter 106.9 107.4 100.0 112.1 87.0 106.0 73.1 91.9 105.4 104.4 139.9 127.7 105.8 Fourth Quarter 103.9 119.8 100.0 114.3 91.7 106.4 73.7 91.0 105.1 103.8 146.6 137.6 105.12003 First Quarter 114.7 119.9 100.0 126.3 87.3 110.8 74.7 71.5 103.8 104.5 173.3 155.9 113.3 Second Quarter 113.6 120.0 100.0 125.4 89.5 110.6 74.2 71.2 106.7 104.4 190.8 156.6 112.8 Third Quarter 113.8 119.4 100.0 121.2 88.6 115.5 74.8 72.1 90.0 104.8 183.4 145.3 112.2 Fourth Quarter 114.6 120.9 100.0 119.6 86.1 121.6 73.5 72.9 84.4 105.6 173.2 143.3 112.42004 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 118.6 122.6 111.9 140.1 109.7 117.4 102.3 117.0 103.7 101.1 115.0 104.7 118.52005 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 129.9 119.9 113.6 170.9 108.8 113.7 111.3 119.2 111.6 116.8 120.1 137.3 131.02006 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 94.1 130.1 144.62007 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 157.7 163.8 146.1 216.5 131.2 137.0 127.4 113.9 115.4 166.4 103.6 128.6 161.22008 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 185.4 181.0 203.5 280.4 134.4 168.2 150.6 141.7 120.1 197.9 101.8 142.5 191.42009 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

Average of three months for every quarter of the year (commencing 1995, the index is prepared monthly for all 12 months of the year)Source: National Bureau of Statistics

INDEX OF RETAIL PRICES OF GOODS CONSUMED BYMINIMUM WAGE EARNERS IN DAR ES SALAAM (2001=100)

30

Table No. 10

Year March June September December Average Change%

1988 10.3 11.4 11.5 13.3 11.6 33.31989 14.4 15.6 15.2 15.3 15.1 30.21990 17.4 18.3 19.3 21.1 19.0 25.81991 24.6 26.9 26.1 29.8 26.9 41.61992 30.1 31.3 32.9 34.8 32.3 20.11993 40.3 39.2 39.6 47.4 41.6 28.81994 49.9 56.3 54.5 62.5 55.8 34.1

First Quarter

Second Quarter

Third Quarter

Fourth Quarter

1995 67.4 69.3 71.7 77.1 71.4 28.01996 84.5 85.5 80.9 81.1 83.0 16.21997 87.1 89.3 86.7 89.9 88.4 6.41998 95.5 92.6 89.6 92.8 92.6 4.91999 95.2 96.4 89.8 92.1 93.4 0.92000 92.5 96.3 93.3 100.8 95.7 2.52001 104.7 99.2 98.6 97.6 100.0 4.52002 103.1 103.0 103.7 104.2 103.5 3.52003 104.2 104.2 106.2 108.8 105.9 2.32004 112.5 113.6 115.1 117.3 114.6 8.22005 119.7 121.3 126.0 127.9 123.7 7.92006 131.5 135.2 135.6 137.9 135.0 9.22007 143.2 148.7 152.3 157.9 150.5 11.52008 143.2 148.7 152.3 157.9 150.5 11.5

* Data have been revised ** Average of three months for every quarter of the year (commencing 1995, the index is prepared monthly for all 12 months of the year)Source: National Bureau of Statistics

Months

COST OF LIVING INDEX OF GOODS AND SERVICES CONSUMED BYMIDDLE GRADE WAGE EARNERS IN DAR ES SALAAM (2001=100)

31

Table No. 11Beverages Electricity Clothing Furniture Services Health Recreation OVERALL

Year Food and Rent Kerosene and and and other Services and Transport Education Others PRICECigarettes and Water Footwear Household Household Entertain. INDEX

Utensils Requirements2001 First Quarter 105.1 97.4 93.9 97.2 104.8 96.4 98.9 102.6 112.8 101.8 88.8 97.4 102.6 Second Quarter 102.5 99.6 102.0 102.8 92.1 97.7 104.3 102.0 91.9 94.0 92.2 97.1 101.6 Third Quarter 95.5 101.2 102.0 99.7 100.8 104.0 97.9 95.9 86.4 99.3 104.1 96.7 97.1 Fourth Quarter 96.9 101.8 102.0 100.3 102.3 101.8 98.8 99.4 108.9 104.9 114.8 108.9 98.72002 First Quarter 111.9 100.0 102.0 95.8 98.9 111.7 101.2 114.9 95.3 103.4 126.7 106.1 108.2 Second Quarter 113.0 100.0 102.0 108.1 92.0 105.4 94.6 114.1 93.1 100.8 134.5 123.0 108.6 Third Quarter 107.7 100.9 102.0 109.6 94.4 112.2 100.1 118.5 89.9 104.0 147.8 128.3 107.0 Fourth Quarter 108.3 117.1 102.0 112.6 95.4 104.2 104.3 134.3 93.4 105.1 155.8 140.3 109.12003 First Quarter 115.1 118.2 102.0 122.2 93.6 104.2 106.5 112.1 95.9 106.3 184.9 145.3 114.3 Second Quarter 115.5 118.8 102.0 120.8 97.9 107.7 105.9 115.9 100.7 106.6 191.3 148.6 115.1 Third Quarter 116.4 118.9 102.0 120.5 98.9 105.5 107.1 112.2 90.1 107.5 186.2 145.4 115.4 Fourth Quarter 122.8 121.4 102.0 117.6 93.0 106.9 103.0 104.5 86.9 108.4 174.0 139.0 118.62004* 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 120.3 103.3 111.9 147.7 107.8 102.3 108.5 101.1 102.3 110.2 102.3 120.6 117.32005 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 133.2 109.6 126.5 170.6 105.4 112.9 107.7 106.6 116.7 115.2 110.0 127.3 127.92006 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 136.8 130.9 134.3 207.6 113.8 139.1 111.7 118.6 110.9 137.1 119.1 109.8 137.92007 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 157.3 150.1 146.1 221.2 135.4 148.1 133.8 117.9 119.5 164.0 156.4 105.3 157.92008 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 180.1 171.2 203.5 287.1 121.7 175.6 165.8 137.5 130.6 183.9 179.4 107.8 180.82009 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

Source: National Bureau of Statistics * *Average of three months for every quarter of the year (commencing 1995, the index is prepared monthly for all 12 monthsof the year)

COST OF LIVING INDEX OF GOODS AND SERVICES CONSUMED BYMIDDLE GRADE WAGE EARNERS IN DAR ES SALAAM (2001=100)

32

Table No. 12Beverages Electricity Clothing Furniture Services Health Recreation OVERALL

Year Food and Rent Kerosene and and and other Services and Transport Education Others PRICECigarettes and Water Footwear Household Household Entertain. INDEX

Utensils Requirements2002 March 104.3 101.2 110.0 100.8 101.5 103.3 103.4 101.5 102.6 102.5 108.1 105.3 103.5 June 104.1 101.2 110.0 101.7 101.5 103.3 103.4 102.0 102.0 101.4 108.5 106.0 103.2 September 104.2 101.5 110.0 102.4 101.5 103.9 104.3 103.9 101.8 101.5 108.5 106.9 103.4 December 103.7 101.4 110.0 102.0 102.0 104.6 105.2 103.7 101.7 101.7 108.5 107.0 103.22003 March 106.8 106.8 116.0 116.5 110.7 102.2 104.9 103.2 105.0 103.3 110.9 109.0 106.9 June 107.6 107.5 116.0 119.7 115.7 109.4 107.8 103.8 105.0 103.4 111.6 109.2 108.0 September 107.9 108.4 116.0 117.8 117.3 105.6 108.4 102.7 105.3 103.1 109.4 108.3 107.9 December 108.6 108.9 116.0 118.7 114.5 105.5 108.6 105.4 104.7 103.2 107.8 107.0 108.12004 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 117.7 112.0 118.0 149.6 109.6 115.3 109.2 112.9 112.3 118.7 108.3 101.0 118.02005 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 131.1 116.6 120.0 176.7 114.7 115.5 116.4 126.8 114.8 136.5 117.4 108.0 131.52006 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 93.0 143.42007 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 81.1 164.22008 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 91.8 198.02009 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 * Data have been revisedSource: National Bureau of Statistics

COST OF LIVING INDEX OF GOODS AND SERVICES CONSUMED BY HIGH INCOME GROUP IN DAR ES SALAAM (2001=100)

33

Table No. 13Year Change

March June Sept. December %1989 - 13.2 - 18.2 15.1 43.81990 - 19.1 - 22.4 19.9 32.21991 - 25.4 - 28.9 26.1 31.01992 - 32.0 - 36.4 32.9 26.01993 - 37.1 - 46.8 40.2 22.41994 - 51.1 - 61.2 53.9 34.11995 61.6 59.1 62.6 67.3 62.6 16.11996 74.7 72.8 73.2 72.7 73.4 17.11997 77.4 75.7 77.1 78.7 77.2 5.21998 77.5 78.9 78.7 79.6 78.7 1.91999 82.8 82.2 85.0 92.1 83.6 6.32000 86.4 86.4 90.3 92.3 88.9 6.22001 110.3 100.6 96.6 92.3 100.0 12.52002 103.8 103.5 103.3 104.3 3.8 3.52003 109.8 105.9 107.7 109.9 5.8 2.32004 116.8 114.6 114.4 115.1 6.4 8.22005 126.5 123.7 124.2 120.9 8.3 7.92006 141.1 135.0 138.9 129.6 11.5 9.22007 154.2 150.5 157.5 138.7 9.3 11.52008 174.6 179.1 192.6 198.0 186.1 18.32009 206.3 208.7 220.2 225.9 215.3 15.7

* Data have been revised December 2001 = 100Source: National Bureau of Statistics

Months

GROUP IN DAR ES SALAAM (2001=100)

Average

COST OF LIVING INDEX FOR HIGH INCOME

34

Table No. 14Beverages Electricity Clothing Furniture Household Health Recreation OVERALL

Year Food and Rent Kerosene and and Operations Services and Transport Education Others PRICECigarettes Water Footwear Household Household Entertainment INDEX

Utensils Operations2004 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 93.4 118.12005 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 95.1 123.92006 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 96.9 101.3 131.72007 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 150.2 143.0 138.3 157.0 105.6 113.8 113.8 112.3 108.9 130.9 104.1 102.2 140.82008 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 175.0 152.1 141.6 172.5 108.6 122.1 119.1 120.3 117.6 139.6 112.7 105.2 158.42009 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

* Data have been revised December 2001 = 100 **Average of three months for every quarter of the year (commencing 1990, the index is prepared monthly for all 12 monthsof the year)Source: National Bureau of Statistics

COST OF LIVING INDEX OF GOODS AND SERVICES CONSUMED BYURBAN DWELLERS IN TANZANIA MAINLAND (2001=100)

35

Table No. 15

Year First Second Third Forth Average ChangeQuarter Quarter Quarter Quarter %

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 24.01994 37.7 40.6 41.2 45.4 41.2 35.31995 50.8 51.5 52.5 55.3 52.5 27.41996 63.7 63.9 62.2 64.5 63.6 21.01997 73.3 74.6 72.8 74.5 73.8 16.11998 83.8 84.0 81.8 83.3 83.3 12.91999 91.2 90.9 87.8 89.2 89.8 7.82000 97.1 96.3 92.9 94.2 95.1 6.02001 102.2 101.4 97.6 98.9 100.0 5.12002 103.5 104.1 103.8 105.9 104.3 4.32003 108.5 109.9 109.1 112.0 109.9 5.32004 113.9 114.0 114.2 118.1 115.1 4.72005 118.7 120.2 120.7 123.9 120.9 5.02006 127.9 131.3 127.8 131.7 129.6 7.32007 137.0 138.7 138.5 140.8 138.7 7.02008 149.2 151.7 152.8 158.4 153.0 10.32009 168.7 168.9 170.6 178.2 171.6 12.1

Data has been revised December 2001 = 100 * Average of three months for every quarter of the year (Starting 1995, the index is prepared monthly for each of the 12 months of the year)Source: National Bureau of Statistics

Period

COST OF LIVING INDEX OF GOODS AND SERVICES CONSUMEDBY URBAN DWELLERS IN TANZANIA MAINLAND (2001=100)

36

37

Table No. 16

Urban Dwellers

Urban Dwellers

Tanzania Mainland

Tanzania Mainland

Minimum Middle High Minimum Middle High1990 22.7 18.7 19.9 15.7 31.5 25.6 32.2 35.81991 30.9 26.5 26.1 20.1 36.3 41.4 31.2 28.71992 38.2 31.8 32.9 24.5 23.5 20.0 25.9 21.81993 46.9 41.0 40.2 30.4 22.9 29.1 22.3 24.01994 61.2 55.0 54.0 41.2 30.4 34.1 34.1 35.51995 65.7 70.3 62.6 52.5 7.3 27.9 16.1 27.41996 78.8 81.7 73.4 63.6 19.9 16.3 17.1 21.01997 84.1 86.9 77.2 73.8 6.8 6.3 5.2 16.11998 89.8 91.2 78.7 83.3 6.8 5.0 1.9 12.91999 90.6 91.9 83.6 89.8 0.9 0.8 6.3 7.82000 92.2 94.2 88.9 95.1 1.7 2.5 6.3 6.02001 100.0 100.0 100.0 100.0 8.5 6.1 12.5 5.12002 103.8 103.5 103.3 104.3 3.8 3.5 3.3 4.32003 109.8 105.9 107.7 109.9 5.8 2.3 4.3 5.32004 116.8 114.6 114.4 115.1 6.4 8.2 6.2 4.72005 126.5 123.7 124.2 120.9 8.3 7.9 8.6 5.02006 141.1 135.0 138.9 129.6 11.5 9.2 11.8 7.32007 154.0 150.2 157.3 138.7 9.2 11.2 13.3 7.02008 180.9 173.6 186.1 153.0 17.5 15.5 18.3 10.32009 211.3 202.1 215.3 171.6 16.8 16.4 15.7 12.1

Source: National Bureau of Statistics Data has been revised 2001 = 100

DIFFERENT INDICES OF GOODS AND SERVICESCONSUMED BY URBAN RESIDENTS IN TANZANIA MAINLAND (2001=100)

Index (%)

Income

Index

IncomeMwaka

38

CHAPTER 2

THE STATE OF THE WORLD ECONOMY AND INTERNATIONAL

ECONOMIC CO-OPERATION

THE STATE OF THE WORLD ECONOMY

World Economic Growth

31. In 2009, world output contracted by 0.6 percent compared to the

growth of 3.0 percent in 2008. The contraction was due to a decrease in

international trade and overall production in the world economy as a result of

the global economic crisis. This also led to the increase in unemployment up

to 10 percent in Developed Countries.

32. In 2009, output in Developed Economies decelerated by 3.2 percent

compared to growth of 0.5 percent in 2008. The growth in Emerging and

Developing Economies declined to 2.4 percent in 2009 from 6.1 percent in

2008. This was mainly driven by a decline in investments and exports, low

commodity prices and decrease in foreign direct investment.

33. In 2009, the output growth of Developing Asian countries including China

and India declined to 6.6 percent compared to a growth of 7.9 percent in 2008.

This was mainly due to decrease in exports particularly in European and

American markets, which were persistently affected by increased

unemployment as a result of crisis in capital and financial markets.

Table2.1 World Output from 2003-2009 (Annual percentage change) 2003 2004 2005 2006 2007 2008 2009 World Output 4.0 5.1 4.9 5.0 4.9 3.0 -0.6 Developed Economies 2.0 3.4 2.5 3.0 2.7 0.5 -3.2 Emerging and Developing Economies 6.4 7.6 7.5 7.8 7.9 6.1 2.4 Developing Asian Countries 8.1 8.8 9.2 9.6 9.7 7.9 6.6 Africa 4.6 5.5 5.6 5.9 6.2 5.2 1.9 Sub-Saharan Africa 4.2 5.6 6.0 6.4 6.8 5.5 2.1

Source International Monetary Fund (IMF), April 2010

39

Trend in World Trade

34. In 2009, the volume of world trade declined by -10.7 percent compared to

an increase of 2.8 percent in 2008. This was due to a decline in demand for

merchandise exports in Developed countries, thus leading to a decrease in the

volume of world trade. In addition, the crisis in capital and financial market

contributed to the decrease in international trade growth.

35. In 2009, the value of World merchandise exports was USD 12.1 trillion

compared to USD 15.8 trillion in 2008, equivalent to a decrease of 23 percent.

This was due to the decline in demand for merchandise exports and price of

fuel.

36. In 2009, the export for African Countries excluding South Africa

contracted by 33 percent compared to the growth of 29 percent in 2008.

Imports contracted by 13 percent in 2009 compared to the growth of 27

percent in 2008.

37. In 2009, China’s merchandise exports declined to -16 percent compared to

17 percent in 2008. Likewise, imports declined to -11 percent in 2009

compared to 19 percent in 2008.

40

Table No. 2.2: World Merchandise by Region and selected Countries 2009 (Value in- US$ billion and percentage)

Exports Imports

Value Annual percentage change Value Annual percentage change

2009 2005-09

2007 2008 2009 2009 2005-09 2007 2008 2009

World 12147 4 16 15 -23 12385 4 15 16 -24

North America

1602 2 11 11 -21 2177 -1 6 8 -25

USA 1057 4 12 12 -18 1604 -2 5 7 -26 Canada 316 -3 8 9 -31 330 1 9 7 -21

Mexico 230 2 9 7 -21 242 1 10 10 -24

South and Central America 461 6 14 21 -24 444 10 25 30 -25

Brazil 153 7 17 23 -23 134 15 32 44 -27 Other Countries of South and Central America

308 6 13 20 -24 311 9 23 25 -25

Europe 4995 3 16 11 -23 5142 3 16 12 -25 European Union 4567 3 16 11 -23 4714 3 16 12 -25 Germany 1121 4 19 9 -22 931 5 16 12 -21

France 475 1 11 9 -21 551 2 14 14 -22 Netherlands 499 5 19 16 -22 446 5 18 18 -23

Italy 405 2 20 8 -25 410 2 16 8 -26 UK 351 -2 -2 5 -24 480 -2 4 2 -24

Common Wealth Independent States (CIS)

452 7 21 35 -36 332 11 35 32 -33

Ussr 304 6 17 33 -36 192 11 36 31 -34

Africa 379 5 18 28 -32 400 12 23 27 -16 Africa excluding South Africa 317 5 17 31 -33 328 14 27 32 -13

South Africa 63 5 20 16 -22 72 4 12 12 -28

Asia 3566 6 16 15 -18 3397 6 15 21 -21

China 1202 12 26 17 -16 1006 11 21 18 -11 Japan 581 -1 10 9 -26 551 2 7 23 -28

India 155 12 23 30 -20 244 14 29 40 -24 Industrial Emerging Countries 853 4 11 10 -17 834 4 11 17 -24

Developing Countries 4697 7 17 19 -22 4432 8 19 22 -20

Poor Countries 125 11 25 32 -27 144 13 24 29 -11

Source: WTO 2010

The State of Africa Economy

38. In 2009, the rate of growth of output in Africa declined to 1.9 percent

from 5.2 percent in 2008. This was due to decline in export and foreign direct

investment.

39. In 2009, growth of output for Great Lakes Countries declined to 4.3

percent compared to 6.5 percent in 2008. The output in Sub-Saharan Africa

41

declined from 5.5 percent in 2008 to 2.1 percent in 2009. The rate of growth of

output for North African countries declined from 5.5 percent in 2008 to 3.2

percent in 2009. The output growth for Southern African countries declined

from 6.1 percent in 2008 to 0.0 percent in 2009 and the output growth for

West African countries declined to 2.6 percent in 2009 from 5.4 percent in

2008. Global economic crisis is one of the factors which caused the decrease

in economic growth in most of the African countries. The growth of output for

South Africa declined from 3.8 percent in 2008 to -1.8 percent 2009. The

decrease was caused by crisis in global capital and financial markets, as it had

invested more in these markets.

42

Table No.2.3: Trends of selected macroeconomic Indicators in some African Countries: 2006 – 2009

Country

Real output (percentage change)

Price for consumer i (percentage change )

Current Account a (percentage change)

2006 2007 2008 2009 2006 2007 2008 2009 2006 2007 2008 2009

Africa 5.9 6.3 5.2 1.7 6.0 6.3 10.3 9.0 3.1 2.9 2.5 -3.1

North Africa 4.4 3.5 4.1 3.2 3.1 3.1 4.4 3.9 14.3 12.0 10.6 -1.1 Algeria 2.0 3.0 3.0 2.1 2.5 3.6 4.5 4.6 25.2 22.6 23.2 2.7 Morocco 8.0 2.7 5.6 5.0 3.3 2.0 3.9 2.8 2.8 -0.1 -5.4 -5.5

Tunisia 5.5 6.3 4.6 3.0 4.5 3.1 5.0 3.5 -2.0 -2.5 -4.2 -3.8

Sub- Saharan Africa

6.4 7.0 5.5 2.1 7.3 6.8 11.9 10.5 -0.1 0.2 0.2 -3.7

Horn of Africa

11.3 10.4 8.7 5.4 9.1 11.2 18.7 21.0 -13.3 -10.1

-8.1 -9.0

Ethiopia

11.6 11.5 11.2 9.9 12.3 15.8 25.3 36.4 -9.1 -4.5 -5.6 -5.0

Sudan 11.3 10.2 6.8 4.0 7.2 8.0 14.3 11.0 -15.1 -12.5

-9.0 -11.2

Great lakes Countries

6.0 7.3 5.8 4.3 10.4 9.1 11.9 14.9 -4.4 -4.8 -8.1 -8.9

DRC 5.6 6.3 6.2 2.7 13.2 16.7 18.0 39.2 -2.4 -1.5 -15.3

-14.6

Kenya 6.1 7.1 1.5 2.1 14.5 9.8 13.1 11.8 7.8 -4.1 -6.9 -6.2 Tanzania 6.7 7.1 7.4 5.5 7.3 7.0 10.3 12.1 10.6 -9.0 -9.8 -9.4 Uganda 5.1 6.5 8.7 7.1 6.6 6.8 7.3 14.2 -4.0 -2.0 -3.2 -4.3 Southern Africa

10.8 11.6 8.5 0.0 11.2 7.6 12.6 11.0 15.2 6.3 0.2 -6.3

Angola 18.6 20.3 13.2 -0.4 13.3 12.2 12.5 14.0 23.3 15.9 7.5 -3.3 Zimbabwe -5.4 -6.9 14.1 3.7 1017 -72.7 156.2 9.0 -6.0 -

10.7 -29.5

-21.4

Central and West Africa

4.6 5.8 5.3 2.6 7.0 4.5 10.1 8.8 4.2 -1.6 3.1 1.4

Ghana 6.4 5.7 7.3 4.5 10.9 9.7 16.5 18.5 -10.9 -12.0

-18.7

-12.7

Nigeria 6.2 7.0 6.0 5.6 8.3 5.4 11.6 12.4 9.5 18.8 20.4 11.6

CFA Franc zone

2.2 4.6 4.1 1.8 3.6 1.7 7.0 3.0 -0.3 -2.6 -1.0 -2.9

Cameroon 3.2 3.3 2.9 2.0 5.1 1.1 5.3 3.0 -0.7 -0.8 -1.8 -2.7

Cote d’Ivoire -0.3 1.6 2.3 3.8 5.0 1.9 6.3 1.0 3.2 -0.7 2.4 7..3 South Africa 5.4 5.1 3.7 -1.8 4.7 7.1 11.5 7.1 -6.5 -7.3 -7.1 -4.0 Oil importers 5.7 5.3 4.7 1.4 6.3 6.3 10.9 8.9 -3.5 -5.2 -7.1 -5.7

Oil exporters 6.3 7.8 7.4 3.9 6.4 5.5 10.9 11.7 7.8 14.8 15.1 5.0

Source: IMF, 2010.

International Economic Co-operation East African Community (EAC)

40. In 2009, Heads of States met in Arusha in November 2009 and signed the

Protocol for establishment of EAC Common Market, marking the second

phase of the East African Community integration process. The Common

Market Protocol identifies four areas of co-operation; namely elimination of

trade barriers, liberalization of trade in services, free movement of capital and

43

free movement of labour. Furthermore, the Heads of States laid down the

foundation stone of the EAC Headquarter Offices in Arusha. The construction

of headquarter offices is expected to be completed within 24 months.

41. In strengthening the energy sector within the region, Member States

continued to implement the program of connecting power in border post areas;

whereby Namanga-Tanzania was connected with power from Namanga-

Kenya. In addition, the process of connecting power continued in Mutukula-

Tanzania from Mutukula–Uganda; Kobero- Burundi from Ngara-Tanzania;

Lungalunga-Kenya from Horohoro-Tanzania; Loliondo-Tanzania from Narok-

Kenya; and Murongo/Kikagati from Kagera river. Likewise, in improving

infrastructure, preparation strategy for transport development which include

commissioning of trade promotion and transport development project;

harmonization of policies and regulations for weight of vehicles in the roads;

and establishment of one stop border posts for immigration and custom

continued.

African Union (AU)

42. In 2009, the 12th African Union meeting of Heads of States and

Governments held in Addis Ababa, Ethiopia in February 2009 under the theme

of Development of Infrastructure in Africa. In this meeting, the president of

Libya, Colonel Muammar Gadaffi was appointed the AU Chairperson, to

replace H.E Jakaya M. Kikwete, the president of the United Republic of

Tanzania, who completed his term. In addition, the meeting failed to agree on

expediting transformation of African Union into the African Union Authority.

The meeting also deliberated on the impacts of global economic crisis in

Africa and agreed to submit the issue to the G 20 meeting held in London, UK

aimed at rescuing Africa from the impacts.

43. The 13th AU meeting of Heads of States and Governments was also

held in Sirte, Libya under the theme of Investing in Agriculture for Economic

Growth and Food Security. The meeting agreed to finalize the process of

44

transforming the Africa Union into Commission, and develop Security policy

and mainstreaming NEPAD into Africa Union systems.

Joint Permanent Commission (JPC)

44. In 2009, agreements on the establishment of Joint Permanent

Commission between the governments of Tanzania and Iran and Oman were

signed. In addition, the 7th meeting of JPC between governments of Tanzania

and India was held in New Delhi. The meeting extended areas of cooperation

in investment and financial sector. This cooperation increased the value of

trade between Tanzania and India from USD 751.79 million in 2007 and 2008

to USD 1.03 billion in 2009.

Southern Africa Development Cooperation (SADC)

45. In 2009, the Southern Africa Development Cooperation continued with

the implementation of the Free Trade Area, whereby 85 percent of trade in

goods is traded duty-free. All member states participate in SADC Free Trade

Area except Democratic Republic of Congo, Angola, Malawi and the

Seychelles which are yet to sign the Protocol. Member States continued with

the process of removing the remaining tariff of 15 percent to ensure that all

goods are traded at zero tariffs by 2012. In addition, member states continued

with the preparation to establish SADC Customs Union Protocol.

46. In an effort to scale up cooperation and expansion of trade, the three

regional economic co-operations: namely East African Community (EAC);

Southern Africa Development Community (SADC); and Common Market for

Eastern and Southern Africa (COMESA) are in the process of establishing the

Tripartite Free Trade Area, and thereafter Customs Union. In implementing

the directives of Tripartite meeting of Heads of States and Governments; the

meeting of council of Ministers and development partners was held in Lusaka,

Zambia, April 2009, whereby pledges were received to implement

development projects particularly infrastructure in North-South Africa

Corridor.

45

Africa Peer Review Mechanism (APRM)

47. The meeting of Heads of States and Governments was held in June

2009 Sirte, Libya, whereby the meeting received and discussed the APRM

reports from Mali, Mozambique and Lesotho. In addition, Cape Verde joined

the APRM after signed the Memorandum of Understanding. This makes the

number of APRM Members to be thirty. With regard to APRM process in

Tanzania, the National Management Council for APRM was inaugurated by

the President of the United Republic of Tanzania, H.E Jakaya M. Kikwete in

September 2009, and the reviewing process continued aiming at submitting

the country report to the meeting of Heads of States and Governments.

Africa Growth Opportunity Agreement (AGOA)

48. In 2009, the 8th meeting for Africa Growth Opportunity Agreement

(AGOA) was held in Nairobi, Kenya in August 2009, under the theme of

achieving AGOA goals by increasing trade and investment. Tanzania was

among the participants. Tanzanian commodities which accessed the market

include precious metals, minerals, cashewnuts, cotton, garments, handcraft,

coffee, vegetables and fruits. The value of Tanzania export to USA increased

to USD 42.2 million in 2009 from USD 40.3 million in 2008. In addition, the

Government prepared strategies including AGOA Action Plan aiming at

increasing the value of export to USA

46

CHAPTER 3

EXTERNAL SECTOR

Introduction

49. In 2009, the trend of merchandise exports was satisfactory, whereby

exports increased slightly compared to 2008. The value of traditional exports

increased whereas the value of non-traditional exports decreased. However,

non-traditional goods, particularly gold continued to contribute large

proportion of merchandise exports. Service receipts and payments increased in

2009 compared to 2008. On the other hand, merchandise imports decreased

particularly capital and intermediate goods, while imports of consumer goods

increased.

Merchandise Exports 50. In 2009, the value of merchandise exports increased to USD 3,096.3

million compared to USD 3,036.0 million in 2008, equivalent to an increase of

2.0 percent. This was due to the increase of the value of traditional exports by

12.5 percent, whereas non-traditional exports decreased by 4.7 percent. The

decrease in the value of non-traditional exports was due to decrease in the

export value of manufactured goods, fish and fish products, and re-exports.

The contribution of traditional exports was 15.2 percent and non-traditional

exports was 69.9 percent of total merchandise exports. Likewise, the share of

unrecorded trade was 14.9 percent.

Traditional Exports

51. In 2009, the value of traditional exports increased to USD 470.8 million

from USD 418.4 million in 2008, equivalent to an increase of 12.5 percent.

This was due to the increase in the export volume of coffee, cashew nuts and

cloves. The average price of coffee, cotton, cashewnuts and cloves decreased

whereas the average price of tea and tobacco increased in 2009. Tobacco

contributed 27.0 percent of traditional exports, while coffee contributed 23.7

percent and cotton 23.6 percent.

47

Coffee

52. In 2009, the value of coffee exports increased to USD 111.7 million from

USD 97.5 million in 2008, equivalent to an increase of 14.6 percent. This was

attributed to increase in the volume of coffee exported. The volume of coffee

exports was 56,100 tons compared to 44,200 tons in 2008, equivalent to an

increase of 26.9 percent. The average price of coffee in the world market in

2009 was USD 1,991.2 per ton compared to USD 2,203.4 per ton in 2008,

equivalent to a decrease of 9.6 percent.

Cotton

53. In 2009, the value of cotton exports was USD111.2 million compared to

115.5 million in 2008, equivalent to a decrease of 3.3 percent. The decrease

was due to fall in the price of cotton in the world market by 11.9 percent, from

an average of USD 1,257.8 per ton in 2008 to USD 1,107.5 per ton in 2009.

The volume of cotton exports increased from 91,400 tons in 2008 to 100,400

tons in 2009, equivalent to an increase of 9.8 percent.

Tea

54. In 2009, the value of tea exports was USD 34.5 million compared to USD

40.8 million in 2008, equivalent to a decrease of 15.4 percent. This was due to

decline in the production of tea and volume of tea exports. The volume of tea

exports decreased from 25,900 tons in 2008 to 19,200 tons in 2009, equivalent

to a decrease of 25.9 percent. The decrease in production was due to

unfavourable weather condition in tea production areas. However, the average

price of tea in the world market increased by 14.1 percent from USD 1,575.3

per ton in 2008 to USD 1,797.8 per ton in 2009.

Tobacco

55. In 2009, the value of tobacco exports was USD 127.3 million compared to

USD 108.1 million in 2008, equivalent to the increase of 17.7 percent. This

was mainly attributed to the increase in the price of tobacco in the world

market. The average price of tobacco was USD 3,761.6 per ton compared to

USD 3,041.2 in 2008, equivalent to the increase of 23.7 percent. However, the

48

volume of tobacco exports decreased to 33,800 tons in 2009 from 35,600 tons

in 2008, equivalent to a decrease of 4.8 percent. This was due to the decrease

in production of tobacco following the unfavourable weather condition during

the 2008/09 season.

Cashewnuts

56. In 2009, the value of cashewnuts exports was USD 71.5 million compared

to USD 40.2 million in 2008, equivalent to an increase of 78.0 percent. This

was due to increase in volume of cashewnuts exports from 55,000 tons in 2008

to 99,300 tons in 2009. However, the average price of cashewnuts in the world

market decreased by 1.4 percent from USD 730.1 per ton in 2008 to USD

720.0 per ton in 2009. The decrease in the average price of cashewnuts was

due to the impact of global financial crisis.

Cloves

57. In 2009, the value of cloves exports increased by 9.1 percent. During the

period under review, exports were USD 14.7 million compared to USD 13.5

million in 2008. This was due to an increase in the volume of cloves exported

from 3,800 tons in 2008 to 4,900 tons in 2009, equivalent to the increase of

28.6 percent. However, the average price of cloves in the world market

decreased to USD 3,035.8 per ton in 2009 from USD 3,577.5 per ton in 2008,

equivalent to a decrease of 15.1.

Non-Traditional Exports

58. In 2009, the value of non-traditional exports decreased to USD 2,163.2

million compared to USD 2,270.6 million in 2008, equivalent to a decrease of

4.7 percent. This was due to the decrease in exports of manufactured goods,

particularly cotton fibres; processed coffee, sisal products; re-exports and fish

and fish products. Gold continued to contribute significantly in the total

exports of non-traditional goods. Non-traditional exports contributed 82.1

percent of total merchandise exports compared to 84.4 percent in 2008.

49

Minerals

59. In 2009, the value of mineral exports increased to USD 1,114.8 million

from USD 995.5 million in 2008, equivalent to an increase of 12.0 percent.

The increase was mainly attributed to exports of gold which accounted for

96.5 percent of all minerals exported. The value of gold exports increased

from USD 932.4 million in 2008 to USD 1,076.1 million in 2009, equivalent

to the increase of 15.4 percent. This was due to the increase of gold prices in

the world market. Gold price in the world market increased from USD 871.7

per ounce in 2008 to USD 972.7 in 2009, equivalent to the increase of 11.6

percent. .However, diamond exports decreased from USD 20.2 million in 2008

to USD 18.9 million in 2009, equivalent to a decrease of 6.5 percent. The

value of other mineral exports decreased to USD 19.8 million in 2009 from

USD 42.8 million in 2008. This was due to the fall in the price of other

minerals in the world market following the impact of global financial crisis.

Manufactured Goods

60. In 2009, the value of exports of manufactured goods decreased by 24.9

percent to USD 497.6 million from USD 662.3 million in 2008. The value of

manufactured goods exported particularly cement; cooking oil; metal and

copper products decreased due to fall in demand in the neighbouring countries

as a result of global financial crisis. However, the value of tobacco exports

increased to USD 5.3 million in 2009 from USD 1.8 million in 2008. The

exports of manufactured goods accounted for 23.0 percent of total non-

traditional goods in 2009, compared to 29.2 percent in 2008.

Fish and Fish Products

61. In 2009, the export value of fish and fish products decreased to USD 127.6

million from USD 141.6 million in 2008, equivalent to a decline of 9.9

percent. This was due to decrease in production of fish and fish products as

well as stiff competition in the European market especially from China, and

Vietnam which use modern technology and aquaculture

50

Horticultural Products

62. The export value of horticultural products increased to USD 33.7 million

in 2009 from USD 32.2 million in 2008, equivalent to an increase of 4.5

percent.

Other Goods Exports

63. The export value of other goods was USD 310.6 million in 2009 compared

to USD 278.7 million in 2008, equivalent to an increase of 11.5 percent.

51

Table 3.1: Value (fob), Volumes and Prices of Goods Exports (2006-2009)

Goods exports 2006 2007 2008r 2009p 2008-2009(% change)

Traditional exports Coffee Value (US$ million) 61.4 98.1 97.5 111.7 14.6 Volume (‘000 ton) 31.5 45.0 44.2 56.1 26.9 Price (US$ per ton) 1,953.1 2,177.6 2,203.4 1,991.2 -9.6 Cotton Value (US$ million) 55.8 66.4 115.0 112.2 -3.3 Volume (‘000 ton) 55.0 59.1 91.4 100.4 9.8 Price (US$ per ton) 1,014.2 1,123.8 1,257.8 1,107.5 -11.9 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 34.5 -15.4 Volume (‘000 ton) 22.4 21.5 25.9 19.2 -25.9 Price (US$ per ton) 1,384.9 1,334.8 1,575.3 1,797.8 14.1 Tobacco Value (US$ million) 65.2 87.8 108.1 127.3 17.7 Volume (‘000 ton) 25.0 37.9 35.6 33.8 -4.8 Bei (US$ per ton) 2,611.4 2,291.5 3,041.2 3,761.6 23.7 Cashewnuts Value (US$ million) 39.4 25.6 40.2 71.5 78 Volume (‘000 ton) 66.3 41.3 55.0 99.3 80.5 Price (US$ per ton) 594.4 621.1 730.1 720.0 -1.4 Cloves Value (US$ million) 8.2 4.2 13.5 14.7 9.1 Volume (‘000 ton) 2.4 1.4 3.8 4.9 28.6 Price (US$ per ton) 3,346.2 2,968.3 3577.5 3035.8 -15.1 Subtotal (Traditional exports) 267.1 319.7 418.4 470.8 12.5 Non -Traditional Exports (US$million) Minerals 836.8 848.7 995.5 1114.8 12 Gold 786.4 788.2 932.4 1076.1 15.4 Diamond 22.2 26.0 20.2 18.9 -6.5 Other minerals 28.3 34.4 42.8 19.8 -53.8 Manufactured goods 195.8 309.8 662.3 497.6 -24.9 Fish and fish products 145.9 136.6 141.6 127.6 -9.9 Horticultural products 15.4 19.1 32.2 33.7 4.5 Re-exports 128.3 149.7 160.3 78.9 -50.8 Other exports 154.0 214.2 287.7 310.6 11.5 Sub Total (Non Traditional exports) 1,476.2 1,704.5 2,270.6 2,163.2 -4.7

Unrecorded Trade 174.3 202.4 347.8 462.3 32.9 GRAND TOTAL 1917.6 2,226.6 3,036.0 3,096.3 2.0

Source: Bank of Tanzania, and Ministry of Finance and Economic Affairs

- = Data not available

52

TRADE IN SERVICE

Service Receipts

64. In 2009, receipts from services increased to USD 2,059.6 million from

USD 1,998.8 million in 2008, equivalent to an increase of 3.0 percent. This

was attributed to increase in receipts from other services. Receipts from other

services which include fees from legal, accountancy, consultancy and research

services was USD 465.2 million in 2009 compared to USD 345.4 in 2008,

equivalent to an increase of 34.7 percent.

65. In 2009, receipts from tourism decreased to USD 1,260.1 million from

USD 1,288.7 million in 2008, equivalent to a decrease of 2.2 percent. The

decrease in receipts from tourism was due to the impact of global financial

crisis. For instance, up to November 2009, total number of tourist arrivals was

697,131, equivalent to a decrease of 10.6 percent compared to the same period

in 2008. Receipts from transportation decreased to USD 334.4 million from

USD 364.6 million in 2008, equivalent to a decrease of 8.3 percent. Receipts

from tourism accounted for 61.2 percent, cargo transportation 16.2 percent and

other services 22.6 percent of the total service receipts.

IMPORTS

66. In 2009, the value of goods imported (f.o.b) decreased to USD 5,775.7

million from USD 6,483.4 million in 2008, equivalent to a decrease of 10.9

percent. This was due to a decrease in importation of capital goods and

intermediate goods.

Capital Goods

67. In 2009, the import value of capital goods decreased to USD 2,513.1


percent. This was due to decrease in import of transport equipment, building

and construction, and plant equipment. Importation of transport equipment

decreased to USD 741.0 million from USD 787.8 million in 2008, equivalent

to the decrease of 5.9 percent. The importation of building and construction

equipment decreased from USD 619.5 million in 2008 to USD 562.1 million

53

in 2009, equivalent to a decline of 9.2 percent. Likewise, the importation of

plant and machinery decreased to USD 1,209.9 million in 2009 from USD

1,241.3 million in 2008, equivalent to a decrease of 2.5 percent.

Intermediate Goods

68. In 2009, the import value of intermediate goods decreased to USD 1,870.6


percent. The decrease was due to a drop in import value of oil and fertilizer

following the decline in prices in the world market. The value of oil import

decreased by 28.9 percent to USD 1,307.5 million in 2009 from USD 1,838.6

million in 2008. The value of fertilizer import decreased from USD 150.4

million in 2008 to USD 95.2 million in 2009, equivalent to a decrease of 36.7

percent. This was due to the increase in domestic production coupled with a

decline in price of fertilizer in the world market. Further, imports of industrial

raw materials decreased to USD 467.9 million in 2009 compared to USD

562.3 million in 2008, equivalent to a decrease of 16.8 percent.

Consumer Goods

69. In 2009, import of consumer goods increased to USD 1,392.1 million from

USD 1,283.5 million in 2008, equivalent to an increase of 8.5 percent. This

was due to increase of imports of food and food stuffs. The value of imports of

food and food stuffs increased to USD 341.9 million in 2009 from USD 290.9

million in 2008, equivalent to an increase of 17.5 percent. This was caused by

an increase in importation of cereal products particularly wheat. Likewise, the

imports of other consumer goods including pharmaceuticals, plastic products,

clothes, paper and rubber products increased from USD 983.4 million in 2008

to USD 1,050.2 million in 2009, equivalent to an increase of 5.8 percent.

SERVICES PAYMENTS 70. In 2009, services payment increased to USD 1,738.2 million from USD

1,605.8 million in 2008, equivalent to an increase of 8.2 percent. The increase

was due to the rise in the cost of business service payments. The value of

transportation costs decreased from USD 658.0 million in 2008 to USD 612.6

million in 2009.

54

TRENDS IN SELECTED REGIONAL AND BILATERAL TRADE 71. In 2009, the value of goods exported to the European Union (EU) market

and Switzerland decreased to USD 904.7 million from USD 957.4 million in

2008, equivalent to a decrease of 5.5 percent. The value of goods imported

from EU and Switzerland decreased to USD 1,182.6 million in 2009 from

USD 1,524.4 million in 2008, equivalent to a decrease of 22.4 percent. In

addition, the terms of trade between Tanzania and EU and Switzerland

registered a deficit of USD 257.2 million in 2009 compared to a deficit of

USD. 567.0 million in 2008.

72. In 2009, the value of Tanzania exports to the East African Community

(EAC) countries decreased to USD 263.7 million from USD 315.5 million in

2008, equivalent to a decrease of 16.4 percent. This was mainly due to the

decrease in exports to Kenya from USD 235.0 million in 2008 to USD 177.3

million, equivalent to a decrease of 24.6 percent. However, exports to Burundi

increased to USD 23.6 million from USD 19.5 million in 2008. The value of

goods exported to Uganda increased by 17.8 percent from USD 40.5 million in

2008 to USD 47.7 million in 2009, while the value of exports to Rwanda

decreased from USD 20.6 million in 2008 to USD 15.1 million in 2009,

equivalent to a decrease of 26.7 percent. The value of goods imported from

EAC countries increased from USD 204.8 million in 2008 to USD 310.4

million in 2009, equivalent to an increase of 51.6 percent. The terms of trade

between Tanzania and other EAC countries registered a deficit of USD 46.7

million in 2009 compared to the surplus of USD 110.7 million in 2008.

73. In 2009, the value of goods export to Southern African Development

Community (SADC) countries was USD 374.2 million compared to USD

443.4 million in 2008, equivalent to a decrease of 15.5 percent. This was due

to a decrease in exports to South Africa and the Democratic Republic of

Congo (DRC). The exports to South Africa accounted for 45.6 percent while

that of DRC accounted for 21.3 percent of the total exports to SADC

countries. On the other hand, imports from SADC countries decreased to USD

55

754.8 million in 2009 from USD 953.6 million in 2008, equivalent to a

decrease of 20.8 percent. This was mainly attributed to a decline in imports

from South Africa and Swaziland. The terms of trade between Tanzania and

other SADC countries recorded a deficit of USD 380.6 million in 2009

compared to a deficit of USD 510.2 million in 2008.

74. In 2009, the value of Tanzania exports to all African countries decreased

to USD 687.0 million from USD 855.0 million in 2008, equivalent to a

decrease of 19.6 percent. In addition, the value of goods imported from Africa

decreased from USD 1,230.2 million in 2008 to USD 1,100.2 million in 2009,

equivalent to a decrease of 10.6 percent. Most of the imported goods were

from SADC countries. The terms of trade between Tanzania and all other

African countries registered a deficit of USD 413.2 million in 2009 compared

to a deficit of USD 345.2 million in 2008.

75. In 2009, the value of exports to China, Japan, India, Hong Kong and

United Arab Emirates increased to USD 864.5 million from USD 610.9

million in 2008, equivalent to an increase of 41.5 percent. This was largely

attributed to the increase in exports to China, India and Japan. The value of

imports from China, Japan, India, Hong Kong and United Arab Emirates

decreased from USD 2,823.7 million in 2008 to USD 2,497.9 million in 2009,

equivalent to a decrease of 11.5 percent. The terms of trade between Tanzania

and those Asian countries recorded a deficit of 1,633.4 million in 2009

compared to USD 2,212.8 million in 2008.

76. The value of exports to America Continent decreased from USD 64.2

million in 2008 to USD 47.9 million in 2009, equivalent to a decrease of 25.4

percent. This was caused by the decline of exports to USA following the

global financial crisis. Likewise, the value of imports from America Continent

declined to USD 265.8 million in 2009 from USD 377.9 million in 2008,

equivalent to a decrease of 29.7 percent. The terms of trade between Tanzania

and the America continent registered a deficit of USD 217.9 million in 2009

compared to USD 313.7 million in 2008.

56

Table 3.2: Balance of Trade between Tanzania and Regional Economic Grouping (USD million)

Region/ Year 2003 2004 2005 2006 2007 2008r 2009p

EU -210.5 176.7 3.9 -77.8 -515.2 -567.0 -393.5

SADC -233.7 213.4 -103.2 -284.8 -355.4 -510.2 -380.6

EAC -35.6 -42.3 -64.0 -56.7 66.5 110.7 -46.7

Source: Bank of Tanzania p = provisional r = revised

57

Table 3.3: Tanzania: Exports by Country/Region of Destination (USD million)

COUNTRY/ REGION 2004 2005 2006 2007 2008r 2009p 2008-2009 (% changes)

EU & Switzerland 654.1 619.6 755.7 759.3 957.4 907.9 -5.2 OTHER EUROPEAN COUNTRIES - - - 41.6 38.7 20.6 -46.8 SUB TOTAL 654.1 619.6 755.7 800.9 995.2 928.0 -6.8 AFRICA SOUTHERN AFRICAN DEVELOPMENT COMMUNITY (SADC)South Africa 113.8 275.4 268.9 176.1 232.5 170.8 -26.5Zambia 6.8 8.7 18.5 22.4 36.6 44.3 21.0

Swaziland 2.8 0.6 1.9 0.2 0.6 20.8 3366.7 Zimbabwe 1.2 1.6 1.2 0.7 1.2 5.7 0.04 Mozambique 3.4 6.5 10.6 19.1 31.4 20.3 -35.4 Democratic Republic of Congo 10.1 12.6 18.3 58.9 124.0 79.9 -35.6 Other SADC countries 13.8 16.9 21.7 23.7 17.1 32.3 88.9 TOTAL- SADC 151.9 322.3 341.1 300.8 443.4 374.2 -15.6 EAST AFRICAN COMMUNITY (EAC) Burundi - - - 41.5 19.5 23.6 21.0 Kenya 83.7 76.3 97.2 101.1 235.0 177.3 -24.6 Rwanda - - - 11.2 20.6 15.1 -26.7 Uganda 11.7 20.1 20.5 19.3 40.5 47.7 17.8 TOTAL - EAC 95.4 96.4 117.7 173.1 315.5 263.7 -16.4 Other African countries 20.0 34.7 29.9 72.8 96.1 49.1 -48.9 TOTAL –AFRICA 267.3 453.4 488.7 494 885.0 687.0 -22.4 AMERICA USA 13.7 16.5 20.7 34.2 55.1 39.5 -28.3 Canada 4.8 39.2 6.0 2.3 3.8 6.1 60.5 Other American countries 2.6 3.7 1.1 6 5.4 2.3 -57.4 TOTAL-AMERIKA 21.1 59.4 27.8 42.4 64.2 47.9 -25.4 ASIA China - - - 141.3 223.5 363.7 62.7 India 100.7 63.2 63.8 77.3 171.8 183.7 6.9 Japan 64.3 68.7 82.0 57.1 136.9 164.6 20.2 United Arab Emirates 17.5 33.7 47.3 88.4 65.4 66.8 2.1 Hong Kong 12.3 9.6 7.6 14.1 13.4 85.6 538.8 TOTAL-ASIA 194.8 175.2 200.7 378.2 610.9 864.5 41.5 OTHER COUNTRIES 197.6 374.3 444.7 619.7 510.6 568.7 11.4

GRAND TOTAL 1,334.9 1,679.1 1,917.6 2,226.6 3,036.0 3,096.3 1.9 Source: Bank of Tanzania and Ministry of Finance and Economic Affairs

p = provisional r = revised

58

Table No.3.3: Tanzania Import by Country/Region of Origin (Value in Million USD)

COUNTRY/ REGION 2004 2005 2006 2007 2008r 2009p 2008-2009 (%change

s) EU & SWISS 477.3 615.7 833.5 1,274.6 1,524.4 1,182.6 -22.4 OTHER EUROPEAN COUNTRIES

- - - 139.0 201.0 138.9 -30.9

SUB TOTAL 477.3 615.7 833.5 1,413.6 1,725.4 1,321.5 -23.4 AFRICA SOUTHERN AFRICAN DEVELOPMENT COMMUNITY (SADC) South Africa 330.4 389.8 569.6 585.8 791.0 672.6 -14.9

Zimbabwe 1.5 1.7 1.3 1.8 27.6 0.62 -97.7

Zambia 6.1 3.9 11.6 18.5 27.6 23.3 -15.6

Mozambique 1.6 2.0 17.2 16.9 18.2 8.9 -51.1

Democratic Republic of Congo 0.8 0.5 0.2 0.6 19.6 1.2 -93.9

Swaziland 17.2 18.5 16.8 20.1 76.5 26.3 -65.6

Other SADC countries 7.7 9.1 9.2 12.4 19.2 21.8 13.5

TOTAL –SADC 365.3 425.5 625.9 656.2 953.6 754.8 -20.8

EAST AFRICAN COMMUNITY (EAC) Burundi - - - 0.02 0.4 0.4 0 Kenya 130.1 155.3 169.1 100.1 197.9 298.2 50.7 Rwanda - - - 0.01 0.1 0.02 -80.0 Uganda 7.6 5.1 5.3 6.4 6.4 11.9 85.9 TOTAL–EAC 137.7 160.4 174.4 106.6 204.8 310.4 51.6 Other African countries 43.2 22.3 62.9 60.2 71.9 35.0 -51.3 TOTAL –AFRICA 565.7 608.2 863.2 823 1,230.2 1,100.2 -10.6 BARA LA AMERIKA USA 78.1 99.9 123.1 187.1 200.4 135.9 -32.2 Canada 39.7 35.3 37.5 35.6 57.1 35.2 -38.3 Other American countries 32.6 46.7 41.2 111.2 120.3 94.6 -21.4 TOTAL-AMERIKA 150.4 181.9 201.8 333.9 377.9 265.8 -29.7 ASIA Japan 180.6 200.1 257.5 261.8 711.8 413.5 -41.9 United Arab Emirates 184.7 195.1 500.6 773.6 859.7 618.6 -28.0 China 171.4 217.4 309.4 406 711.8 677.9 -4.8 India 216.1 187.1 241.3 507 891.2 757.1 -15.0 Hong Kong - - - 11.8 18.1 30.7 69.6 TOTAL-ASIA 1,960.2 2,823.7 2,497.9 -11.5 OTHER COUNTRIES 304.0 719.4 656.8 329.9 326.3 590.3 80.9 GRAND TOTAL 2,280.8 2,925.0 3,864.1 4,860.6 6,483.4 5,775.7 -10.9

Source: Bank of Tanzania and Ministry of Finance and Economic Affairs

p = provisional r = revised

BALANCE OF PAYMENTS

Balance of Merchandise Trade

77. In 2009, balance of trade recorded a deficit of USD 2,679.4 million

compared to a deficit of USD 3,447.4 million in 2008, equivalent to a decrease

of 22.3 percent. The decrease in the deficit of the balance of merchandise trade

59

was mainly attributed to the decrease in the value of goods imported and

increase in the value of goods exported compared to 2008.

Balance on Services

78. The balance on services registered a surplus of USD 321.4 million in 2009

compared to the surplus of USD 392.9 million in 2008, equivalent to a

decrease of 18.2 percent. The decrease in surplus was due to a decline in

transit trade and tourism.

Balance on Investment Receipts

79. In 2009, the balance on investment receipts which includes compensation

to employees, investment income and interest payments registered a deficit of

USD 74.0 million compared to a deficit of USD 90.8 million in 2008,

equivalent to a decrease of 18.5 percent. This was due to a decrease in interest

payments.

Balance on Current Transfers

80. The balance on current transfers which includes money transfers, grants

and debt relief registered a surplus of USD 686.2 million in 2009 compared to

a surplus of USD 609.4 million in 2008, equivalent to an increase of 12.6

percent. This was due to an increase in grants to the Government to USD

654.1 million in 2009 from USD 588.5 million in 2008.

Balance on Current Accounts

81. In 2009, the balance on current account which includes balances on

merchandize trade, service, investment receipts as well as current transfers,

registered a deficit of USD 1,745.8 million compared to a deficit of USD

2,535.8 million in 2008, equivalent to a decrease of 31.2 percent. The decrease

in deficit was attributed to the decline in imports of goods and services,

investment payments and increase in exports.

60

Balance on Capital Transfers

82. In 2009, the balance on capital transfers, that comprises foreign aid

investment and external debt relief from international financial institutions and

development partners decreased to a surplus of USD 466.5 million from a

surplus of USD 537.0 million in 2008, equivalent to a decrease of 13.1

percent. This was mainly due to the decrease in external debt relief by

international financial institutions and development partners.

Balance on Investment Payments

83. The balance on investment payments that comprises Foreign Direct

Investments and foreign loans registered a surplus of USD 1,553.2 million in

2009 compared to a surplus of USD 1,745.7 million in 2008, equivalent to a

decrease of 11.0 percent. This was mainly caused by the decrease in

investment in the country.

Overall Balance of Payments

84. In 2009, the overall balance of payments had a surplus of USD 365.0

million, compared to a surplus of USD 148.0 million in 2008.

Foreign Currency Reserves

85. In 2009, foreign reserves increased to USD 3,551.3 million from USD

2,872.6 million in 2008, equivalent to an increase of 23.6 percent. Moreover,

the foreign reserve for 2009 was equivalent to 5.7 months of import of goods

and services compared to 4.6 months in 2008.

Exchange Rate

86. In 2009, the value of the Tanzania Shilling weakened to an average of

shilling 1,320.3 per USD compared to an average of shilling 1,196.3 per USD

in 2008, equivalent to a depreciation of 10.4 percent. The decline in the value

of Tanzania Shilling against the USD was due to the tendency by general

public to hoard foreign currency purposely to hedge against the impact of the

global financial crisis. By the end of December 2009, the value of Tanzanian

61

Shilling was 1,313.3 per USD compared to shilling 1,280.3 per USD at the

end of December 2008.

62


Type of Goods 2001 2002 2003 2004 2005 2006 2007 2008 2009

Exports 738857 926892 1267322 1582111 1871265 2129250 2628866 3194928.9 3671935.3 Domestic Exports 673981 853158 1178027 1437423 1726241 1967358 2413809 2992530.4 3568070.9 Re-exports 64876 73734 89295 144688 148024 189374 215057 202398.59 103864.44Imports 1517151 1615037 2277176 2758953 3659962 5534418 7296763 8839274.1 8446720.7Total Value of Foreign Trade 2256008 2541929 3544498 4341064 5534227 7651768 9925929 12034203 12118656Balance of Merchandise Trade -778294 -688145 -1009854 -1176842 -1785697 -3338486 -4667897 -5644345.1 -4774785.4

Exchange Rate (Shs/US$) 876.4 966.7 1,038.40 1,089.4 1,122.7 1,251.9 1,232.8 1,196.3 1,320.3

Source: National Bureu of Statical, Bank of Tanzania and Tanzania Revenue Authority

VALUE OF TANZANIA'S FOREIGN TRADE

63

Table No. 18Commodity

Change(%) Change (%)2006 2007 2008 2009 2008/09 2006 2007 2008 2009 2008/09

Coffee 38822 53685 46,229 56,079 21.3% 92794 143255 122162 147427 20.7%Cotton 46467 40743 54,089 100,361 85.5% 56780 49807 95613 146752 53.5%Sisal 9984 7101 13,786 - 9296 7438 18453 -Tea 24803 30506 26,654 19,191 -28.0% 41682 48258 49615 45552 -8.2%Tobacco 37525 40743 45,284 33,839 -25.3% 129108 116893 208004 168057 -19.2%Cashewnuts 59180 14841 60,468 99,313 64.2% 62663 33816 82025 94413 15.1%Cloves 3033 3200 3,805 4,853 27.6% 9964 10628 15991 19453 21.7%Diamonds (Carats) 201782 149592 132,477 158,838 19.9% 28023 23381 20891 24988 19.6%Gold (Gms.) 44,449,460 67,334,000 32,319,880 34,600,000 7.1% 968026 672111 1115163 1420756 27.4%

Source: National Bureau of Statistics and Tanzania Revenue Authority

Value (Shs. milion)Quantity (Ton)

VOLUME AND VALUE OF DOMESTIC EXPORTS

64

Table No. 19

Change (%) Change (%)Commodity 2005 2006 2007 2008 2009 2008/09 2005 2006 2007 2008 2009 2008/09

Traditional Commodities:Coffee 46100 38822 53685 44,248 56,079 26.7% 74.3 61.4 98.1 97.5 111.7 14.5%Cotton 112900 46467 40743 86,995 100,361 15.4% 111.5 55.8 66.4 115.0 111.2 -3.3%Sisal 9300 9984 7101 2,659 8,198 208.3% 7.3 6.1 6.8 3.3 -Tea 21800 24803 30506 25,898 19,191 -25.9% 25.6 31.0 28.7 40.8 34.5 -15.4%Tobacco 31100 37525 40743 35,557 33,839 -4.8% 80.8 65.2 72.9 108.1 127.3 17.7%Cashewnuts 62000 59180 14841 55,011 99,313 80.5% 46.6 39.4 13.2 40.2 71.5 78.0%Cloves 3000 3033 3200 3,774 4,853 28.6% 8.5 8.2 4.2 13.5 14.7 9.1% Sub-Total 354.60 267.10 290.30 418.4 470.8 12.5%Non-Traditional Commodities: Petroleum Products 0.0 0.0 0.0 0.0 0.0 Minerals 711.3 836.8 848.7 995.5 1114.8 12.0% Manufactured Goods 156.1 195.8 309.8 662.3 497.6 -24.9% Other Exports 454.4 436.3 546.1 612.7 1013.1 65.3% Sub-Total 1321.80 1468.90 1704.6 2270.6 2625.5 15.6%GRAND TOTAL 1676.40 1736.00 1994.9 2688.9 3096.3 15.2%

Source: National Bureau of Statistics and Bank of Tanzania

Value (mill.US$)Quantity (Ton)

VOLUME AND VALUE OF TRADITIONAL AND NON-TRADITIONAL EXPORTS

65

66

67

68

69

Table No. 20Shs/Ton*

Change(%)Commodity 2001 2002 2003 2004 2005 2006 2007 2008 2009 2008/09

Coffee 1025147.00 926170.00 1107030.00 1380191.00 1812959.00 2390242.65 2668414.00 2,642,540.0 2,628,933.6 -0.5%

Cotton 792225.00 811982.00 1051900.00 1147061.00 1126467.00 1221942.45 1222475.00 1,767,694.2 1,462,235.9 -17.3%

Sisal 423290.00 491650.00 533190.00 624068.00 879366.00 931089.74 1047444.00 1,338,522.4 -

Tea 1100790.00 1166030.00 1233010.00 1495671.00 1322780.00 1680522.52 1581921.00 1,861,434.9 2,373,682.9 27.5%

Tobacco 1724819.00 1993530.00 2101200.00 2109220.00 2938727.00 3440586.28 2869021.00 4,593,309.3 4,966,396.2 8.1%

Cashewnuts 536007.00 596730.00 618290.00 890338.00 874903.00 1058854.34 2278459.00 1,356,503.9 950,656.4 -29.9%

Cloves 4670138.00 3117980.00 1901360.00 2524410.00 3210533.00 3285196.18 3321160.00 4,202,786.1 4,008,131.5 -4.6%

Diamonds (Carats) 94556.42 114719.00 29421.00 128582.00 129576.00 138878.00 156300.00 157,692.0 15,731.9 -90.0%

Gold (Gms.) 6109.00 7409.00 8679.00 11316.00 24223.00 21778.00 9982.00 34,503.9 41,062.3 19.0%

Source: Custom Department, 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

70

Table No. 21US$/Ton*Change(%)

Commodity 2002 2003 2004 2005 2006 2007 2008 2009 2008/09

Coffee 970.00 1080.00 1284.78 1611.71 1931.89 2164.58 2203.36 1991.16 -0.10

Cotton 840.00 1020.00 1062.66 987.60 987.80 991.65 1321.42 1107.50 -0.16

Sisal 510.00 520.00 578.23 784.95 751.20 849.67 1251.37 -

Tea 1220.00 1200.00 1386.07 1174.31 1358.71 1283.23 1575.27 1797.84 0.14

Tobacco 2090.00 2050.00 2078.91 2598.07 2779.48 2327.31 3041.22 3761.57 0.24

Cashewnuts 620.00 600.00 830.61 751.61 855.02 1848.25 730.09 720.03 -0.01

Cloves 3260.00 1850.00 2337.84 2833.33 2637.65 2694.07 3577.52 3035.77 -0.15

Diamonds (Carats) 119.98 28.65 119.20 115.40 110.90 126.79 133.37 1191.54 7.93

Gold (Gms.) 7.70 8.45 10.47 12.30 17.40 8.10 21.93 544.70 23.84

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

71

0

500

1000

1500

2000

2500

3000

1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009

US D

olla

rs

IIA: TREND OF COFFEE AND COTTON EXPORT PRICES (US$/Ton)

Coffee Cotton

72

(1985 = 100)Table No. 22 Shs.Commodity % Change

1991 1992 1993 1994 1995 1996 1997 1996-97

Coffee 692 773 1409 3384 3648 2647 3222 21.72Cotton 1577 1834 2228 3848 4212 3829 3975 3.81Sisal 1539 1540 4159 5488 4876 5566 5375 -3.43Tea 1114 1486 3137 3755 2517 2582 3799 47.13Tobacco 1558 2214 2219 2270 3054 3789 5283 39.43Cashewnuts 2252 2811 3353 4601 5599 5026 5547 10.37Diamonds (Carats) 1962 621 906 1114 957 1137 2270 99.65Gold (Gms.) - - - - - - - -

Source: Ministry of Planning, Economy and Empowerment - Figures not available

EXPORT PRICE INDICES OF PRINCIPAL COMMODITIES

73

Table No. 23 Shs. MillionConsumer Intermediate Capital

Goods Goods Goods

1986 8014 13058 18899 399711987 13180 23819 41948 789471988 29841 55284 43950 1290751989 34779 60176 96804 1917591990* 18783 116277 96223 2312831991 62000 69710 139668 2713781992 101641 94233 196791 3926651993 194604 107481 229657 5317421994 247076 128544 290638 6662581995 201347 294224 275207 7707781996 182340 267600 252501 7024411997 301018 203418 198670 7031061998 441025 155225 311244 9074951999 503868 197271 360225 10613632000 401612 222399 444427 10684382001 468173 386317 648361 15028512002 499346 408872 697209 16054262003 654630 705729 846251 22066102004 917953 1024705 1029389 29720462005 934526 1447183 1337876 37195852006 1068323 1977275 1799472 48450702007 1362538 2479491 2163117 60051462008 1524352 3008549 3168576 77014772009 1837990 2469753 3318046 7625789

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 $ milion2000 2001 2002 2003 2004 2005 2006 2007 2008 2009

Actual Actual Actual Actual Actual Actual Actual Actual ActualLikely

Outturn

Goods Balance -704.3 -709.0 -531.7 -717.4 -1009.7 -1321.8 -1946.5 -2634.0 -3403.2 -2679.4 Exports (fob) 663.3 851.3 979.6 1216.1 1473.1 1675.8 1917.6 2226.6 3036.7 3096.3 Imports (fob) 1367.6 1560.3 1511.3 1933.5 2482.8 2997.6 3864.1 4860.6 6439.9 5775.7

Service balance -52.2 266.1 287.6 222.1 158.9 61.8 278.7 460.3 570.9 321.4 Receipts 643.8 915.4 920.1 947.8 1133.6 1269.2 1528.1 1875.7 2168.9 2059.6 Payments 696.0 649.3 632.5 725.7 974.7 1207.3 1249.4 1415.4 1598 1738.2

Income -103.9 -152.3 -88.9 -149.1 -119.1 -104.1 -64.1 -58.1 -118.1 -74 Receipts 50.4 55.3 67.9 87.1 81.8 80.9 80.3 107.3 121.6 155.3 Payments 154.3 207.6 156.8 236.2 200.9 185.0 144.4 165.4 239.7 229.3

Current transfers 390.8 395.3 431.3 556.9 586.7 496.4 588.7 651.7 617.0 686.2 Inflows 463.7 474.8 494.3 619.9 651.7 563.9 654.6 724.0 697.2 762 Government 427.8 418.4 427.7 553.3 582.0 478.5 559.7 626.9 594.2 654.1 Other Sectors 35.9 56.4 66.6 66.6 69.7 85.4 94.9 97.1 103 107.9 Outflows 72.9 79.5 63.0 63.0 65.0 67.5 65.9 72.3 80.2 75.8

CURRENT ACCOUNT -469.6 -199.9 98.3 -87.5 -383.2 -867.6 -1143.2 -1580.1 -2333.4 -1745.8

Capital Transfers 330.4 1003.6 785.7 692.8 460.0 393.2 5217.7 923.7 637.5 466.5 Inflows 330.4 1003.6 785.7 692.8 460 393.2 5217.7 923.7 637.5 466.5 Outflows 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0

Financial Account 572.5 -427.0 255.4 61.2 275.6 807.6 -3954.6 946.1 1915.7 1553.2 Direct Investment 463.4 467.2 387.6 308.2 330.6 494.1 597.0 647 776.4 645 Portfolio Investment 0.0 8.2 2.2 2.7 2.4 2.5 2.6 2.8 2.9 3 Other Investment 109.1 -902.4 -134.4 -249.7 -57.4 311.0 -4554.2 296.3 1136.4 905.2

Errors and Omissions -439.5 -544.0 -806.8 -277.4 -146.3 -555.4 375.0 123.3 111.1 91

OVERALL BALANCE -6.2 -167.3 332.6 389.1 206.1 -222.2 494.9 413.0 330.9 364.9

Financing 6.2 167.3 -332.6 -389.1 -206.1 222.2 -494.9 -413.0 -330.9 -364.9

Source: Bank of Tanzania

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

2000 2001 2002 2003 2004 2005 2006 2007 2008 2009

US $ million

TREND OF BALANCE OF PAYMENTS

Goods Balance CURRENT ACCOUNT OVERALL BALANCE

76

CHAPTER 4

GOVERNMENT FINANCE

87. The Government has continued to implement budget for fiscal year

2009/10 in line with the National Development Vision 2025 objectives;

Millennium Development Goals 2015; and the National Strategy for Growth

and Reduction of Poverty (NSGRP). The budget for 2009/10 projected

domestic revenue amounting to shs. 5,096 billion; revenue from Local

Government Authorities own sources shs. 138 billion; grants and loans from

development partners shs. 3,181.9 billion; and shs. 15 billion as privatisation

proceeds. The budget projected spending amounting to shs. 9,513.7 billion in

line with the resource envelope. In addition, the Parliament approved

supplementary estimates amounting to shs. 19 billion in February 2010. These

resources would be uses to enhance the capital at Tanzania Investment Banks.

Thus, this led to an increase in total budget estimates to shs. 9,532.7 billion.

Domestic Revenue 88. Budget implementation for the period July 2009 – March 2010 was faced

with challenge in domestic revenue collection, whereby actual collection

reached shs. 3,490,263 million or 91.3 percent of estimated Tsh. 3,821,397

million. Out of the revenue collected, Tsh. 3,330,020 million, or 95.4 percent

was derived from taxes and Tsh. 160,243 million was non tax revenue. The

notable shortfall in revenue was from excise duty and non tax revenue. The

shortfall in excise duties is attributed to the non-implementation of the

removal of special fuel levy exemptions granted to existing mining companies

and the lower than projected production of the main excisable items, more

specifically beer and cigarettes. Under-collection in non-tax revenues is

attributed to a delay in the implementation of new rates approved in the

2009/10 budget, associated with residence permits, visas and immigration

fees. Nonetheless, domestic revenue collections increased by 9.1 percent

compared to the corresponding period in fiscal year 2008/09 and average

77

collection increased from Tsh. 355 billion in 2008/09 to Tsh. 388 billion in

2009/10.

100

170

240

310

380

450

July August September October November December January February March

In B

illio

n TS

h.Monthly Collection 2008/09 – 2009/10

2009/10 2008/09

89. During that period, the Government projected to realise shs. 15,000

million as revenue from privatisation. As of end March 2010, Tsh. 9,659

million was realised from the sale of Government shares to NMB workers.

The process in underway to sell the remaining shares. There was a drawdown

of Government deposits from Central Bank amounting to shs. 155,300 million

to bridge the gap arising from revenue shortfall. In addition, Treasury bills and

bonds amounting to shs. 424,393 million were sold in the domestic market for

rollover of maturing securities.

Grants and Loans 90. The Government projected to receive shs. 1,193,910 million as grants and

loans in fiscal year 2009/10. During the period July – April 2010,

disbursement amounting to shs. 1,214,665 million was received, being 2

percent higher than shs. 869,563 million received in the corresponding period

of fiscal year 2008/09. Project grants and loans from development partners

amounted to shs. 1,328,814 million as of end March 2010, equivalent to 93

percent of estimates and 53 percent higher than the amount received in the

corresponding period of 2008/09. These resources comprised shs. 678,267

million as project grants and shs. 650,267 million as project loans.

78

Expenditure 91. During the period July – March 2010, actual expenditure amounted to shs.

6,143,918 million, which was 91 percent of the estimated shs. 6,718,713

million during that period. Out of that amount, recurrent expenditure was shs.

4,189,721 million and development expenditure shs. 1,954,197 million.

Expenditure trend was in line with the resources during that period.

92. Payment for salary and wages for Government employees amounted to

shs. 1,276,706 million during July – March 2010, equivalent to 97 percent of

estimates of shs. 1,320,908 million. This incorporates salary adjustments for

Government employees, and reflects an increase of 3.2 percent from shs.

1,237,171 million in 2008/09.

93. Expenditure on Other Charges for Ministries, Independent Departments

and Agencies, Regions and LGAs reached shs. 2,462,851 million, equivalent

to 97 percent of shs. 2,528,442 million estimated in that period.

Implementation status of the Rescue Package 94. In response to the global financial and economic crisis, the Government

prepared a rescue package to mitigate the adverse impact of the crisis on the

Tanzanian economy. The medium term rescue package amounted to shs. 1.7

billion and was to be obtained from Government revenues and development

partners, particularly, the World Bank and the International Monetary Fund.

The implementation of the plan consisted of five major areas, namely (i)

bridging the gap arising from shortfall in domestic revenue collection; (ii)

Balance of Payment Support; (iii) protection of employment and income

(iv)ensure food security (v) protection of key investments, particularly in

infrastructure.

Bridging domestic revenue gap 95. A total of shs. 660.84 billion was borrowed through sale of Government

securities compared to shs. 828.0 billion approved. Out of that amount, shs.

323.0 billion was borrowed in June 2009, equivalent to 1.2 percent of GDP to

79

finance revenue shortfall in 2008/09. The remaining amount was borrowed

between July 2009 – March 2010 to cater for various Government

expenditures, including infrastructure development.

Balance of Payment support 96. The Central Bank received a total of shs. 411.2 billion from the

International Monetary Fund through the Exogenous Shock Facility (ESF) to

compensate a shortfall in foreign exchange earnings. The remaining USD

27.62 million is expected to be received in June 2010 after the approval by the

IMF Board of Directors.

Protection of employment and income 97. As of end March 2010, shs. 19.9 billion was paid to compensate for losses

incurred by cotton and coffee farmers through CRDB Bank and Kilimanjaro

Bank. On the other, A total of shs. 15.0 billion was disbursed as loan

rescheduling guarantee compared to shs. 45 billion projected. The guarantee is

aimed at enabling borrowers to access loans from commercial banks to finance

their economic activities, especially buying crops from farmers during

2009/10 season. Further, The Government disbursed shs. 20 billion for

subsidization of cotton price. In addition, the Government disbursed shs. 8.0

billion to expand the fund facility of Export Credit Guarantee Scheme (ECGS)

and Small and Medium Enterprises (SMEs) guarantee scheme.

Ensure food security 98. The Government disbursed shs. 10 billion in order to enhance food reserve

at the National Food Reserve Agency (NFRA). As of end March 2010, TIB

had received shs. 19 billion for facilitating loans to agricultural activities.

Further, the Government disbursed shs. 20 billion for provision of loans for

agricultural inputs.

Protection of key investments, particularly in infrastructure 99. The Government provided shs. 10 billion on-lending facility to

ARTUMAS Company, through the Tanzania Investment Bank. The loan was

intended to finance investment in energy sector in the southern regions;

80

Sectoral Allocation of Government Budget 100. Overall, all sector budgets for 2009/10 increased compared to the

levels in 2008/09. General public services were allocated 25.0 percent of total

budget, while expenditure on public debt was allocated 16.0 percent. Health

affairs and services were allocated 4.9 percent of total budget for 2009/10,

reflecting an increase of 83.2 percent compared to the levels in 2008/09.

Education affairs and services were allocated 12.3 percent of total budget for

2009/10.

101. Agriculture, forestry, fishing and hunting affairs and services was

allocated 6.7 of total budget for 2009/10. The allocation for these services

represented a growth of 47.7 percent compared to the budget for 2008/09. The

budget for agricultural affairs and services has continued to take the largest

share compared to that of forestry, fishing and hunting affairs and services. In

addition, the budget for mining and mineral, manufacturing and construction

affairs and services has increased by 38 percent compared to the levels in

2008/09, and it was equivalent to 0.7 percent of total budget compared to 0.6

percent in 2008/09. Nevertheless, the budget for manufacturing and

construction affairs and services decreased while the budget for mining and

minerals increased during the period under review. Transportation and

communication affairs and services were allocated 11.4 percent of the budget,

reflecting an increase of 1.1 percent compared to the allocations in 2008/09.

Public Debt 102. As of end December 2009, public debt stood at USD 10,690.3 million

compared to USD 8,346.3 million in 2008, representing an increase of 26.6

percent. This level of public debt is sustainable under the criteria set in Debt

Sustainability Analysis (DSA) and is equivalent to 28.5 percent of GDP

compared to 30.0 percent in 2008. Out of the total debt, USD 7,641.9 million

is external debt, which is 72.3 percent of total debt.

External Debt 103. Total external debt amounted to USD 7,641.9 million in 2009

compared to USD 5,811.1 million in 2008, reflecting an increase of 31.5

percent. Of this amount, USD 6,163.2 million or 79.3 percent was principal

81

debt while USD 1,604.9 million or 20.7 percent was interest arrears. In

addition, Central Government debt amounted to USD 5,369.5 million,

compared to USD 4,334.9 million in 2008 and Government guaranteed debt

was USD 721.6 million in 2009, compared to USD 487.2 million in 2008.

104. During the year 2009, a total of USD 12.0 million was paid for

principal external debt while USD 7.2 million was interest payment. Thus, the

overall external debt service amounted to USD 19.2 million.

Domestic Debt

105. As of end December 2009, domestic debt amounted to Tsh. 3,837.7

billion, compared to shs. 3,245.8 billion in 2008, equivalent to an increase of

18.2 percent. Of this amount, shs. 2,512.9 billion or 65.5 percent was

Government guarantee and the balance was other government debt. The

observed increase was attributed to the increase in liquidity papers as well

Treasury bills and bonds.

106. During the period July – December 2009, a total amount of shs. 324.0

billion was paid for domestic principal debt through rollover, while shs. 53.0

billion was paid for interest.

82

Table No. 252004/05 2005/06 2006/2007 2007/08 2008/2009 2009/10 2009/10 2009/10

Actual Actual Actual Actual Actual Budgeted July-DecLikely

Outturn

A. DOMESTIC REVENUE 1773710 2124844 2739022 3634581 4293075 5234069 3490264 4568365 1. Tax Revenue 1615248 1946433 2529439 3359250 4043674 4840877 3330021 4522730 Import Duty and Excise Duty 350532 452406 765644 965498 1130860 1396742 906710 1271035 Sales Tax (local & imports) 0 0 0 0 0 0 0 0 Value Added Tax (VAT) 731597 845790 861050 1110951 1333789 1588007 1133782 1527199 Imports 439796 502437.3 431614 550289 641392 746477 568984 761407 Domestic 291801 343353 429436 560661 692397 841530 564798 765792 Income Tax 465455 581244 790877 1028902 1257861 1476538 1039887 1387946 Other Taxes 132040 136954 218581 382792 462544 552577 369914 497319 Refunds Accounts -64376 -69961 -106713 -128893 -141380 -172987 -120272 -160769 2. Non-Tax Revenue 158462 178411 209583 275331 249401 393192 160243 45635

B. TOTAL EXPENDITURE 3248352 3972607.8 4474680 5208995.9 6811827 8862273 6143918 8639082 1. Recurrent Expenditure 2017490 2661862.5 3137469 3398024 4681459 6036842 4189721 5813651 2. Development Expenditure 1230862 1310745 1337211 1810972 2130368 2825431 1954197 2825431 Local Funds 239651 296100 503291 567421 906023 968028 625383 968028 Foreign Funds 991211 1014645.2 833920 1243551 1224345 1857403 1328814 1857403

C. DEFICIT/SURPLUS (A-B) -1474642 -1847764 -1735658 -1574415.3 -2518752 -3628204 -2653654 -4070717

D. FINANCING 1474642 1847764 1735660 1574415.3 2518752 3649204 2654219 3103339 1. External Sources 1416618 1604640.6 1689337 2302805.2 2201485 3128011 2308551 3159622 Grants 992975 1043422 971547 1573195 1257283 2090946 1341033 2102172 Basket support 156745 82302 47331 200628 151370 290076 189446 290076 Import Support/OGL Loans 65396 257677 266946 365038 331315 368464 339590 388849 Project Loans 308592 328956 433203 209342 488795 432461 461101 432461 Amortization (foregn) -107090 -107716 -29690 -45399 -27278 -53936 -22619 -53936 2. Internal Sources 58024 243123 46323 -728390 317267 521193 345668 -56283 Non-Bank Borrowing 144954 219241 212475 -19795 1108 206193 -101600 206193 Bank Borrowing 0 129645 25533 -316755 212567 300000 256900 300000 Proceeds from privatisation 0 33309 0 0 45000 15000 9659 15000 Payment of arrears 0 0 0 0 0 0 0 0 NBC bonds 0 0 0 0 0 0 0 0 Recapitalisation 0 0 0 0 0 0 0 0 Adjustment to Cash 53211 37104 -60370 -78308 275298 0 616945 436236 Amortization (local) 0 -19001 0 -14648 0 0 0 -577476 Expenditure float -140141 -157174 -131315 -298884 -216706 0 -436236 -436236

Source: Ministry of Finance and Economic Affairs

TRENDS IN GOVERNMENT FINANCE

83

‐6000000

‐4000000

‐2000000

0

2000000

4000000

6000000

8000000

10000000Sh. m

ilion

TRENDS IN GOVERNMENT FINANCE

A. DOMESTIC REVENUE B. TOTAL EXPENDITURE C. DEFICIT/SURPLUS (A‐B)

84

Table No. 26 Shs. mill

Recurrent Development Total Exp. Recurrent Development Total Exp. Recurrent Development Total Exp.

1.0 GENERAL PUBLIC SERVICES 2,243,486 460,646 2,704,132 2250295 361657 2611952 1852201 524211 23764111.1 Executive and legislative organs, financial and fiscal

affairs external affairs other than foreign aid 1,990,579 208,940 2,199,519 2,097,783 246,277 2344060 1,377,587 464,087 18416741.2 Foreign economic aid 11,972 0 11,972 5,757 0 5757 7,445 0 74451.3 Fundamental research affairs and services 95,255 20,928 116,183 17,523 7,750 25273 21,512 4,323 258351.4 General services 144,485 225,205 369,690 129,232 93,550 222782 445,656 50,300 4959571.5 General public services n.e.c. 1,194 5,573 6,768 0 14,080 14080 0 5,500 5500

2.0 DEFENCE AFFAIRS AND SERVICES 254,390 406 254,796 298286 56512 354798 394101 0 394101

2.1Military and civil defence administration and operation 254,390 406 254,796 298,286 56,512 354,798 393,423 0 393,423

2.2 Foreign military aid 0 0 0 0 0 0 0 0 0

2.3Defence-related applied research and experimental development 0 0 0 0 0 0 678 0 678

2.4 Defence affairs n.e.c. 0 0 0 0 0 0 0 0 0

3.0 PUBLIC ORDER AND SAFETY 181,240 14,320 195,560 207498 35504 243003 241132 35038 2761703.1 Police and fire protection 109,113 4,083 113,196 120,493 12,764 133,257 163,112 2,982 166,0943.2 Law courts 34,557 4,009 38,566 38,214 9,150 47,364 46,772 22,994 69,7673.3 Prison administration and operation 5,263 200 5,463 9,743 800 10,543 8,602 0 8,6023.4 Public order and safety n.e.c. 32,307 6,028 38,335 39,049 12,791 51,839 22,645 9,062 31,707

4.0 EDUCATION AFFAIRS AND SERVICES 408,709 144,025 552,733 420060 136666 556726 568506 599649 11681554.1 Pre-primary & primary education affairs & services 12,742 0 12,742 108,843 1,925 110,768 0 562,899 562,8994.2 Secondary education affairs and services 103,757 70,470 174,227 0 24,216 24,216 2,306 550 2,8564.3 Tertiary education affairs and services 264,399 62,740 327,139 271,379 80,453 351,832 336,022 28,636 364,6584.4 Education services not definable by level 595 0 595 1,368 17,754 19,122 177,635 0 177,6354.5 Subsidiary services to education 0 0 0 0 0 0 829 0 8294.6 Education affairs and services n.e.c. 27,215 10,815 38,030 38,470 12,318 50,788 51,714 7,565 59,279

5.0 HEALTH AFFAIRS AND SERVICES 200,274 173,611 373,884 209916 301330 511246 286798 174711 461510

5.1 Hospitals affairs and services 48,292 130,924 179,217 42,872 164,351 207,223 39,412 133,149 172,561

5.2 Clinics, and medical, dental and paramedical practitioners 142,592 41,547 184,139 154,730 67,260 221,990 237,783 41,325 279,108

5.3 Public health affairs and services 1,465 1,139 2,604 4,561 22,042 26,603 0 238 2385.4 Medicaments, protheses, medical equipment and

appliances or other prescribed health-related 4,526 0 4,526 3,569 0 3,569 5,398 0 5,3985.5 Applied research and experimental development

related to health and medical delivery system 0 0 0 0 0 0 4,205 0 4,205

5.6 health affairs and services n.e.c. 3,399 0 3,399 4,183 47,678 51,861 0 0 0

6.0 SOCIAL SECURITY AND WELFARE AFFAIRS AND SERVICES 68,823 96,519 165,342 61947 4606 66554 257237 10070 267307

6.1 Social security affairs and services 2,547 2,364 4,912 1,904 580 2,484 1,800 300 2,100

6.2 Welfare affairs and services 65,271 92,019 157,290 59,095 2,771 61,866 254,517 9,391 263,909

6.3 Social security and welfare affairs n.e.c. 1,005 2,135 3,140 948 1,255 2,204 920 378 1,299

7.0 HOUSING AND COMMUNITY AMENITY AFFAIRS AND SERVICES 14,946 214,143 229,089 21824 213308 235132 31880 48830 80711

7.1 Housing and community development 4,595 1,039 5,634 5,216 759 5,975 7,695 0 7,6957.2 Water supply affairs and services 5,916 202,429 208,345 8,457 190,438 198,895 15,328 41,465 56,793

7.3Sanitary affairs and services including pollution abatement and control 4,195 10,675 14,870 6,666 22,112 28,778 6,930 7,365 14,295

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. 240 0 240 1,484 0 1,484 1,928 0 1,928

8.0 RECREATIONAL, CULTURAL & RELIGIOUS AFFAIRS & SERVICES 5,436 8,419 13,855 14271 16188 30459 11165 2654 13819

8.1 Recreational, cultural and religious affairs and services 5,436 8,419 13,855 14,271 16,188 30,459 11,165 2,654 13,819

This table continues on the next page

2009/10*2008/09*

CLASSIFICATION OF CENTRAL GOVERNMENT EXPENDITURE BY PURPOSE

2007/08

85

...Table No. 26 (continues)

Recurrent Development Total Exp. Recurrent Development Total Exp. Recurrent Development Total Exp.

9.0 FUEL AND ENERGY AFFAIRS AND SERVICES 31,405 310,412 341,817 33047 313316 346363 0 39132 391329.1 Fuel affairs and services 31,405 310,412 341,817 32,229 313,316 345,545 0 39,132 39,1329.2 Electricity and other energy sources 0 0 0 0 0 0 0 0 09.3 Fuel and energy affairs and services n.e.c. 0 0 0 818 0 818 0 0 0

10.0 AGRICULTURE, FORESTRY, FISHING AND HUNTING AFFAIRS AND SERVICES 95,086 56,279 151,365 126196 183854 310050 218792 418995 637788

10.1 Agriculture affairs and services 43,008 21,421 64,429 66,973 136,306 203,279 169,825 378,178 548,00410.2 Forestry affairs and services 9,387 5,993 15,381 11,630 11,082 22,712 14,754 12,380 27,13410.3 Fishing and Hunting affairs and services 12,868 11,858 24,726 18,395 15,305 33,700 13,462 15,098 28,560

10.4Agricultural research and experimental development n.e.c. 14,639 8,997 23,636 19,610 9,884 29,494 14,250 12,321 26,571

10.5Agriculture, forestry, fishing and hunting affairs and services n.e.c. 15,184 8,010 23,194 9,588 11,278 20,866 6,501 1,019 7,520

11.0 MINING, MINERAL ,MANUFACTURING AND CONSTRUCTION AFFAIRS AND SERVICES 168,796 431,981 600,777 7953 25665 33618 51428 13195 64624

11.1Mining and mineral resources affairs and services, other than fuel 2,966 1,047 4,014 3,768 4,863 8,632 46,391 13,195 59,587

11.2 Manufacturing affairs and services 410 104 514 180 400 580 497 0 49711.3 Construction affairs and services 165,420 430,829 596,249 2,576 20,402 22,978 4,540 0 4,540

11.4Mining , mineral ,manufacturing & construction affairs & services n.e.c. 0 0 1,428 0 1,428 0 0 0

12.0 TRANSPORTATION AND COMMUNICATION AFFAIRS AND SERVICES 45,498 34,596 80,094 203511 592054 795565 300806 781048 1081853

12.1 Road transport affairs and services 512 0 512 161,819 548,015 709,834 17,013 572,237 589,25112.2 Water transport affairs and services 0 0 0 0 0 0 0 0 012.3 Railway affairs and services 0 0 0 0 0 0 0 0 012.4 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. 27,929 33,746 61,675 0 0 0 269,270 206,194 475,46412.7 Communication affairs and services 15,563 850 16,413 4,779 90 4,869 5,858 2,225 8,083

12.8Transportation and communication affairs and services n.e.c. 1,494 0 1,494 36,913 43,949 80,862 8,665 391 9,055

13.0 OTHER ECONOMIC AFFAIRS AND SERVICES 60,846 249,579 310,425 785515 213141 998656 870803 173122 1043925

13.1

Distribution trade affairs and services including storage and warehouse; hotel and restaurant affairs and services 7,978 2,458 10,436 1,523 2,198 3,720 10,455 4,867 15,322

13.2 Tourism affairs and services 4,541 4,345 8,886 6,865 4,547 11,412 6,127 3,571 9,698

13.3Multipurpose development project affairs and services 27,598 154,337 181,934 752,295 181,020 933,315 21,716 148,721 170,436

13.4General economic & commercial affairs other than general labour affairs 12,209 83,386 95,595 16,866 14,201 31,068 37,000 2,404 39,404

13.5 General labour affairs and services 3,765 904 4,668 2,849 2,978 5,828 4,693 4,663 9,35713.6 Other economic affairs and services n.e.c. 4,756 4,149 8,905 5,116 8,197 13,313 790,811 8,897 799,708

14.0 OTHERS 86,802 6,162 92,964 86331 35677 122009 1603403 4776 160817914.1 9.1 Public Debt 1,457 0 1,457 2,115 0 2,115 1,518,079 0 1,518,07914.2 9.2 Financial and Capital Subscription 84,509 6,162 90,671 83,689 8,237 91,927 84,483 4,776 89,25914.3 9.3 Pension and Gratuities 835 0 835 527 27,440 27,967 842 0 842

GRAND TOTAL 3,865,736 2,201,096 6,066,832 4,726,650 2,489,480 7,216,130 3,045,233 1,430,268 4,475,501

Source: National Bureau of Statistics * Estimates

2009/10*2008/09*2007/08

86

CHAPTER 5

MONEY AND FINANCIAL INSTITUTIONS

Money Supply and Domestic Credit 107. In 2008/2009, narrow money supply (M1) increased to shs. 3,149.1

billion from shs. 2,833.9 billion in 2007/08, equivalent to an increase of 11.3

percent. The increase was attributed to the increase in demand deposits and

currency in circulation outside banks. During the period under review, broad

money supply (M2) increased to shs. 5,772.4 billion from shs. 4,774.7 billion

in 2007/08, which is equivalent to 19.5 percent.

108. In 2008/09, extended broad money supply (M3) increased to shs.

7,866.0 billion from shs. 6,527.8 billion in 2007/08, equivalent to an increase

of 18.9 percent. By the end of December 2009, the broad money supply (M2)

increased to shs. 6,603.9 billion, while extended broad money supply (M3)

increased to shs. 8,831.8 billion. The increase is equivalent to 20.8 percent and

18.4 percent respectively, compared to the target of 21.7 percent for each. The

lower level than the targeted band was due to low credit extended to private

sector, following cautious stance taken by banks to mitigate the impact of the

global financial crisis.

109. Domestic credit increased from shs. 3,541.8 billion in 2007/08 to shs.

4,771.7 billion in 2008/09, equivalent to an increase of 34.7 percent. By the

end of December 2009, domestic credit increased to shs. 5,067.97 billion,

equivalent to an increase of 19.7 percent. This growth rate was lower

compared to that of June 2009. The decline in credit extended to the private

sector was due to the impact of global financial crisis.

Commercial Banks’ Credit to Various Economic Sectors 110. By the end-December 2009, credit extended to private sector increased

to shs. 4,992.2 billion, which is an increase of shs. 436.0 billion compared to

87

the reported credit by the end of December 2008. The rate of growth of credit

extended to private sector decreased to 9.6 percent at the end of December

2009, which is below the target of 26.7 percent. This was due to the risks

involved following the global financial crisis. The implementation of the

Government’s Economic Rescue Plan which commenced in June 2009 is

expected to improve the situation.

111. Economic sectors which received large share of credit include trade

and manufacturing activities with an average of 16.5 percent and 13.8 percent

during the period ended December 2009 respectively. Other economic

activities which benefited from the credit were personal loans (20.5%) and

agriculture (10.7%).

112. In 2009, the value of Government securities issued was shs. 2,746.5

billion, equivalent to an increase of 4.2 percent compared to securities issued

in 2008. Treasury bonds issued in 2009 worth shs. 392.1 billion compared to

shs. 241.1 billion in 2008, equivalent to an increase of 62.6 percent.

Deposits in Commercial Banks 113. In 2009, total deposits in commercial banks increased to shs. 7,264.4

billion from shs. 6,020.1 billion in 2008, equivalent to an increase of 20.7

percent. The increase was due to the improvement of bank services and

introduction of new bank products. The composition of transferable deposits

to total deposits increased from 38.0 percent in December 2008 to 41.0 percent

in December 2009, while demand deposits to total deposits decreased from

29.0 percent to 28.0 percent. The composition of foreign currency deposits to

total deposits decreased to 31.0 percent in 2009 from 33.0 percent in 2008.

Trends in Interest Rates 114. The average lending rate offered by commercial banks decreased from

16.05 percent in December 2008 to 14.38 percent in December 2009. The

average saving deposit rate increased from 2.74 percent in December 2008 to

2.83 percent in December 2009. The overall time deposit rate decreased from

6.63 percent in December 2008 to 6.36 percent to December 2009. Due to this

trend of interest rates, the spread between lending rate (up to one year) and

88

time deposit rate narrowed from 5.07 December 2008 to 4.97 percent in

December 2009.

115. The overall weighted average lending rate for foreign currency

decreased from 9.62 percent in December 2008 to 9.01 percent in December

2009. The average savings deposit rate for foreign currency increased from

1.43 percent in December 2008 to 1.46 percent in December 2009. The

average time deposits rate decreased from 3.87 percent in December 2008 to

1.68 percent in December 2009.

Parastatal Pension Fund (PPF) 116. In 2009, members of the Parastatal Pension Fund (PPF) increased to

133,000 from 104,684 in 2008, equivalent to an increase of 27 percent. The

increase was attributed to efforts made by the Fund to register new members

from the private sector. Collection from members’ contributions increased

from shs.109,780.8 million in 2008 to shs.132,365.9 million in 2009,

equivalent to an increase of 21 percent. In 2009, benefits paid to members

were shs.41, 311.1million compared to shs.35, 167.9 million in 2008,

equivalent to an increase of 17 percent. The increase in benefits was attributed

to retirement of members and retrenchment of workers.

117. In 2009, the total value of assets of the Fund increased to shs.

607,742.3 million from shs. 499,330 million in 2008, equivalent to an increase

of 22 percent. In 2009, the Fund’s investment value to Government securities

decreased to shs. 84,608.4 million from shs. 93,465.1 million in 2008,

equivalent to a decrease of 9.5 percent. Investment income increased from shs.

60,419.4 million in 2008 to shs. 60,501.5 million in 2009.

National Social Security Fund (NSSF) 118. In 2008/09, members of the National Social Security Fund (NSSF)

increased to 475,993 compared to 447,787 in 2007/08, equivalent to an

increase of 6.3 percent. Members’ contribution increased to shs. 255,715.6

million in 2008/09 from shs. 201,733.9 million in 2007/08, equivalent to an

increase of 26.8 percent. The increase in contributions was attributed to

89

registration of 84,471 new members and 1,756 new employers as well as

timely submission of contributions by employers.

119. In 2008/09, the value of benefits paid to members was shs. 84,638.71

million compared to shs. 81,818.2 million in 2007/08, equivalent to an

increase of 3.4 percent . In addition, the number of members benefited from

the Fund increased to 207,860 in 2008/09 from 136,232 in 2007/08. The

increase in the number of beneficiaries was a result of increased members of

Social Health Insurance Benefits Fund from 75,717 in 2007/08 to 144,615 in

2008/09, equivalent to an increase of 91.0 percent.

120. The total value of investment increased to shs. 862,039.8 million in

2008/09 from shs. 670,280.0 million in 2007/08, equivalent to an increase of

28.6 percent . The value of investment in Government securities decreased to

shs.158,838.50 million in 2008/09 from shs.164,969.44 million in 2007/08,

equivalent to a decreased in 3.9 percent.

121. The total investment income of the Fund increased to shs. 64,175.14

million in 2008/09 from shs. 46,532.42 million in 2007/08, equivalent to an

increase of 37.9 percent. The overall increase in investment income was

attributed to increase in investments in equity, real estate, long term loan,

Government Securities and Fixed Deposit. Income from Government

securities decreased to shs. 17,073.61 million in 2008/09 from shs. 17,162.65

million in 2007/08.

122. The value of net assets of the Fund increased to shs. 921,294.4 million

2008/09 compared to shs.746,449.4 million in 2007/08. In addition, the value

of the total asset amounted to shs. 967,288.21 million in 2008/09 compared to

shs. 783,658.49 million in 2007/08.

Public Service Pension Fund (PSPF) 123. In 2008/09, members of Public Service Pension Fund (PSPF) increased

to 245,668 compared to 244,054 in 2007/08, equivalent to an increase of 1.0

percent. Contribution of members to the Fund increased to shs. 232,026.9

90

million in 2008/09 from shs.151,622.1 million in 2007/08, equivalent to an

increase of 53.0 percent. The increase in contribution was attributed to the

incremental of civil servant salaries and recruitment of employees. The total

value of investment increased from shs. 577,774 million in 2007/08 to shs.

704,583.6 million in 2008/09. The total investment income of the Fund

increased to shs. 41,094.2 million from shs. 29,981.6 million in 2007/08,

equivalent to an increase of 37.1 percent. This was attributed to the increase

in returns from equity, loans, and Government Securities.

124. In 2008/09, investment in Government securities was shs. 138,016.1

million compared to shs. 258,041.4 million in 2007/08, equivalent to decrease

of 46.5 percent. The decrease was caused by a decline in interest rate paid on

Government securities. Benefits paid to members in 2008/09 was

shs.145,298.9 million compared to shs.132,405 million in 2007/08, equivalent

to an increase of 9.7 percent.

Table 5.1: Status of Public Service Pension Fund in 2006/07-2008/09 (shs. Millions)

Item 2006/07 2007/08 2008/09 Total value of the fund 496,834.7 577,774.0 704,583.6

Total investment income 28,906.7 29,981.87 41,094.23

Government Securities 243,853.2 258,041.4 138,016.1

Member’s contributions 127,439.9 151,622.2 232,026.90

Government Employees Provident Fund (GEPF) 125. In 2008/09, members of the Government Employees Provident Fund

increased to 30,228 from 29,897 in 2007/08, equivalent to an increase of 1.0

percent. The benefits offered by the Fund to members increased from shs.

1,353.60 million in 2007/08 to shs. 1,800.00 million in 2008/09, equivalent to

an increase of 24 percent.

126. The total value of investment increased from shs. 50,282.30 million to

shs. 72,549.60 million, equivalent to an increase of 44.3 percent. Investment

91

income increased to shs 6,220.96 million in 2008/09 from shs. 4,863.60

million in 2007/08, equivalent to an increase of 27.9 percent.

Dar es Salaam Stock Exchange (DSE) 127. In 2008/09, market capitalization at the Dar es Salaam Stock Exchange

increased to shs. 5,181.50 billion from shs. 3,411.0 billion in 2007/08,

equivalent to an increase of 52.0 percent. This increase was a result of listing

of NMB Bank Limited, CRDB Bank Plc and Dar es salaam Community Bank

Limited. The stock market price index increased by 14.2 percent from 1,077.7

in 2007/08 to 1,231.09 in 2008/09. The value of shares traded at the DSE

increased from shs. 26.4 billion in 2007/08 to shs. 33.8 billion in 2008/09,

equivalent to an increase of 28 percent. This was attributed to the increase in

price of shares traded at the market. Moreover, the listed companies increased

from 11 in 2007/08 to 15 in 2008/09.

128. The value of Government bond listed at the DSE decreased from shs.

317.5 billion in 2007/08 to 276.0 billion in 2008/09, equivalent to a decrease

of 13.1 percent. The decrease was due to the Government’s measure to reduce

issuance of new bonds. In 2008/09, ALAF Company Limited acquired capital

valued at shs. 15.1 billion through issuance of corporate bonds. By the end of

June 2009, the Government bonds listed in DSE was shs. 955.1 billion while

corporate bonds was shs. 77.7 billion. In 2008/09, DSE earned a profit of shs.

133 million compared to the loss of 12.2 million in 2007/08.

National Health Insurance Fund (NHIF) 129. In 2008/09, members of the National Health Insurance Fund (NHIF)

increased to 332,650 from 316,460 members in 2007/08, equivalent to an

increase of 5.1 percent. The increase of members was due to amendment of

the NHIF Act. New members include business persons, volunteers, students

and new employees.

130. By the end of June, 2009, the Fund registered a total of 4,493 health

centres, out of these, 3,712 centres (83%) are owned by the Government, 571

centres (13%) by Religious based organizations, and 201centeres (4%) by

individuals.

92

131. In 2008/09, benefits offered by the Fund was sh. 14,052.2 million out

of the request of sh. 15,232.4 million compared to sh. 10,188.4 million out of

requests of sh. 10,759.0 million in 2007/08, equivalent to an increase of 37.9

percent. This was attributed to an increase of members using health insurance

services. By end of June 2009, services offered by the Fund were; consultation

and registration fee, out-patient care, comprehensive diagnostic tests, in-

patient care, surgical; and investigative tests. The Fund also provided dental

and optical services.

132. In 2008/09, the Fund’s income from the membership contributions

increased to sh. 73,282 million compared to sh. 55,472 million in 2007/08,

equivalent to an increase of 32.0 percent. Investment income decreased from

sh. 16,342.6 million in 2007/08 to sh. 16,316.95 million in 2008/09, equivalent

to a decrease of 0.2 percent. Income from other sources decreased from sh.

352.6 million in 2007/08 to sh. 343.4 million in 2008/09. The decrease was

due to decline in rental income and basket fund income.

Tanzania Postal Bank (TPB) 133. In 2009, the customers’ deposits held in the Tanzania Postal Bank

increased to sh. 88,331 million from sh. 79,152 million in 2008, equivalent to

an increase of 11.6 percent. The increase was due to the measures taken by the

bank to improve financial services, mobilize new depositors and expand the

market.

134. In 2009, total investment of the TPB increased to 82,241 million

compared to sh. 80,906 million in 2008, equivalent to an increase of 14.2

percent. Investment in treasury bonds increased to sh. 21,229 million in 2009

compared to sh. 3,531 million in 2008, equivalent to an increase of 56.9. On

the other hand, total value of loans issued was sh. 38,179 million in 2009

compared to sh. 45,655 million in 2008, equivalent to a decrease of 16.4

percent.

93

135. In 2009, the gross income of bank was sh. 17,887 million, compared to

sh. 15,820 million in 2008, equivalent to an increase of 13.1 percent. In

additional Bank earned a profit of sh. 897 million, compared to sh. 313 million

earned in 2008 equivalent to an increase of 187 percent

94

Table No. 27

2002 2003 2004 2005 2006 2007 2008 2009 Amount %

Base Money (M0)* 429384 473704 590441 734912 853959 1047221 2079537 2678959 599422 28.8Demand Deposits 386192 507444 595622 793920 956470 1123442 1560407 1724994 164587 10.5Narrow Money (M1) 815576 981148 1186063 1528833 1810429 2170664 3639944 4403953 764009 21.0Time Deposits 218602 246719 269133 328711 472050 539334 830626 1238806 408180 49.1Saving Deposits 299346 330917 401130 508964 754949 940731 1110146 1313899 203753 18.4Broad Money (M2) 1333524 1558784 1856326 2366508 3037428 3650728 5580716 6956658 1375942 24.7Foreign Currency Deposits 464366 647109 746609 899976 1368687 1666476 1781555 2093636 312081 17.5Extended Broad Money (M3) 1797890 2205893 2602935 3266484 4406115 5317204 7362271 9050295 1688023 22.9

Net Foreign Assets 1293645 1871286 2134183 2279294 2914493 3383818 3628827 4196787 567960 15.7

Net Domestic Assets 750102 334607 468752 987131 1491622 1936424 2983319 3669241 685922 23.0 Net Domestic Credit 684920 858203 1123588 1504012 2439087 2785793 3384781 4771737 1386956 41.0 Net Claims on Government 202879 199679 157607 284638 729393 449793 -151058 61509 212567 -140.7 Lending to Non-Govt. Sectors 482041 658524 965981 1219374 1709694 2336000 3535839 4710228 1174389 33.2 Other Items (Net) 65181 -523596 -654836 -516881 -947466 -849369 -401462 -1102495 -701034 174.6

Source: Bank of Tanzania * Currency in circulation outside banks

MONETARY SURVEY : TANZANIA MAINLAND

Change 2008-2009For the period ended JuneShs. milion

95

Table No. 28

2002 2003 2004 2005 2006 2007 2008 2009

Base Money (M0)* 14.5% 10.3% 24.6% 24.5% 16.2% 22.6% 98.6% 28.8%Demand Deposits 22.1% 31.4% 17.4% 33.3% 20.5% 17.5% 38.9% 10.5%Narrow Money (M1) 18.0% 20.3% 20.9% 28.9% 18.4% 19.9% 67.7% 21.0%Time Deposits 27.4% 12.9% 9.1% 22.1% 43.6% 14.3% 54.0% 49.1%Saving Deposits 26.7% 10.5% 21.2% 26.9% 48.3% 24.6% 18.0% 18.4%Broad Money (M2) 21.3% 16.9% 19.1% 27.5% 28.4% 20.2% 52.9% 24.7%Foreign Currency Deposits 24.2% 39.4% 15.4% 20.5% 52.1% 21.8% 6.9% 17.5%Extended Broad Money (M3) 22.1% 22.7% 18.0% 25.5% 34.9% 20.7% 38.5% 22.9%

Net Foreign Assets 29.2% 44.7% 14.0% 6.8% 27.9% 16.1% 7.2% 15.7%

Net Domestic Assets 59.1% -55.4% 40.1% 110.6% 51.1% 29.8% 54.1% 23.0% Net Domestic Credit 5.8% 25.3% 30.9% 33.9% 62.2% 14.2% 21.5% 41.0% Net Claims on Government -24.6% -1.6% -21.1% 80.6% 156.3% -38.3% -133.6% -140.7% Lending to Non-Government Sectors 27.4% 36.6% 46.7% 26.2% 40.2% 36.6% 51.4% 33.2% Other Items (Net) -137.1% -903.3% 25.1% -21.1% 83.3% -10.4% -52.7% 174.6%

Source: Bank of Tanzania * Currency in circulation outside banks

For the period ended June

GROWTH OF MONEY SUPPLY AND DOMESTIC CREDIT - TANZANIA MAINLAND

96

Table No. 29 2000/01 2001/02 2002/03 2003/04 2004/05 2005/06 2006/07 2007/08 2008/09

Shs/US Dollar, end of year 888.0 946.9 1047.4 1107.3 1126.3 1258.5 1265.0 1180.9 1299.4Shs/US Dollar, average for the year 830.5 931.2 1003.4 1089.4 1122.7 1182.9 1277.4 1183.8 1313.5% Nominal Change, end of year 4.1% 12.1% 7.8% 8.6% 3.1% 5.4% 8.0% -7.3% 11.0%


TREND OF EXCHANGE RATES OF THE TANZANIA SHILLING AGAINST THE US DOLLAR

97

Table No. 30

2006 2007 2008 2009 Growth SharesPublic Sector 0.0 0.0 0.0 0.0 0.0Agricultural production 172291.3 263379.6 279694.9 488058.7 74.5% 10.7%Fishing, Forest & Hunting 14846.5 22479.8 15546.6 19228.1 23.7% 0.4%Financial intermidiaries 31767.0 75675.3 79286.0 106015.4 33.7% 2.3%Mining and Quarrying 24966.5 35449.8 27572.2 15688.2 -43.1% 0.3%Manufacturing 370597.2 421143.9 444583.9 609729.4 37.1% 13.3%Build, Construct, Real estate&Leasing 114905.3 169763.2 202529.7 209954.7 3.7% 4.6%Transport and communication 122176.3 168035.2 294304.6 459585.2 56.2% 10.1%Trade 369088.6 450142.7 545701.4 813710.1 49.1% 17.8%Hotel and Restaurant & Tourism 79913.9 111847.0 176109.3 220459.2 25.2% 4.8%Electricity, gas and water 91120.5 121050.8 174949.6 247003.2 41.2% 5.4%Education and Health 11202.9 23834.2 49416.3 73554.6 48.8% 1.6%Other Services 35252.0 78289.3 4038.2 13552.2 235.6% 0.3%Personal 218709.7 318499.4 1093231.6 1293322.6 18.3% 28.3%Total 1658843.7 2261597.2 3386964.2 4571870.6 35.0% 100.0%Treasury Bills 440011.6 1182403.9 1031509.7 -100.0% 0.0%Govt. Stocks and Treasury Notes 297056.6 346136.8 381939.0 1392326.2 264.5% 30.5%Total Government Securities 737068.2 1528540.7 1413448.7 1392326.2 -1.5% 30.5% TOTAL 2395911.9 3790137.9 4800412.9 5964196.8 24.2% 130.5%


2008/ 2009

COMMERCIAL BANKS LENDING BY ECONOMIC ACTIVITIES

Type of Activity For the period ended June

98


2003 2004 2005 2006 2007 2008 2009 Amount %

Demand Deposits 507444 595622 793920 942660 1106663 1556902 1721150 164248 10.5%Time Deposits 246719 269133 328711 455180 517776 - - -Savings Deposits 330917 401130 508964 691508 864118 2000252 2622901 622649 31.1%Foreign Deposits 647109 746609 899976 1353523 1651819 1780934 2037101 256167 14.4%Total 1732189 2012494 2531572 3442871 4140376 5338087.3 6381151.9 1043065 19.5%Source: Bank of Tanzania

Table No. 32

Type 2003 2004 2005 2006 2007 2008 2009

Discount rate (Central Bank) 10.60 12.60 13.92 13.40 21.42 12.84 10.31 3.70Deposit Rates Savings 2.50 2.40 2.62 2.50 2.63 2.79 2.69 2.83 Fixed Deposits (3-6 months) 3.50 4.30 4.41 6.60 8.96 6.66 6.77 6.36Lending Rates Short - term 16.40 15.70 16.06 15.80 13.95 13.93 14.57 13.96 Medium & Long term 13.50 14.10 15.38 14.53 16.13 16.64 15.23 14.52Treasury Bills 91 days 6.10 7.70 8.12 7.80 12.62 5.76 5.56 6.06 182 days 5.80 8.00 9.43 8.50 16.74 7.63 7.86 6.59 364 days 5.90 8.20 10.51 9.60 18.30 10.00 9.11 8.83Source: Bank of Tanzania

End-Dec. 2009

AVERAGE NOMINAL INTEREST RATES

TREND OF COMMERCIAL BANKS DEPOSITS

Type Change (2008-2009)End - June

End - June

99

100

CHAPTER 6

HUMAN RESOURCES

Population and Development 136. In 2009, the population of Tanzania was estimated at 41,915,799, of

which 21,311,150, equivalent to 50.8 percent were female, while 20,604,730,

equivalent to 49.2 percent were male. Tanzania mainland had an estimated

population of 40,683,294, while Tanzania Zanzibar had an estimated

population of 1,232,505. Population distribution showed that 31,143,439

people, equivalent to 74.3 percent of the total population live in rural areas,

while 10,772,360 people live in urban areas. These estimates are based on the

population growth rate of 2.9 percent per annum established during the 2002

Population and Housing Census.

137. In 2009, the analysis of population indicates that 44.4 percent of the

total population compose of young people aged below 15 years. The

population aged below 5 years were 7,670,591, or 18.3 percent of the total

population, of which, males were estimated at 3,867,978 and females at

3,802,613. The population aged 5-14 years was 9,506,503, or 22.7 percent of

the total population, of which, males were 4,757,463 and 4,749,040 were

female. Population aged 15–24 years was estimated at 8,299,328, or 19.8

percent of the total population, out of which, 4,159,037 were female and

4,140,291 were male. Population aged 25–64 years was estimated at

13,580,719, or 32.4 percent of the total population. Population aged 65 years

and above were 1,425,137, or 3.4 percent of the total population, in which

750,130 were female and 675,007 males. Population aged 15-64 years, which

constitute the labour force was estimated at 21,880,047 or 52.2 percent of the

total population, out of which 11,319,519 were female and 10,560,528 males.

138. According to 2009 population estimates, population density was 47

people per square kilometre. Population density in Tanzania Mainland and

101

Tanzania Zanzibar was 45 people and 502 people per square kilometre,

respectively. The population distribution shows that the region with the

highest population density is Dar es Salaam with 2,182 people per square

kilometre, followed by Mwanza with 177, Kilimanjaro with 120, and Mara

with 90 people per square kilometre. The region with lowest population

density is Lindi, with 14 people per square kilometre followed by Ruvuma and

Rukwa regions with 21 people per square kilometre each. In Tanzania

Zanzibar, all regions had a higher population density, ranging from 129 to

2,049 people per square kilometre.

139. In 2009, the regional population distribution shows that Shinyanga

continued to have higher population of 3,692,941 followed by Mwanza

(3,464,566) and Dar es Salaam (3,040,118). The higher population in

Shinyanga was mainly due to high fertility rate of 7.3 children per woman.

The region with lowest population in Tanzania Mainland was Lindi with

905,480 people. In Tanzania Zanzibar, the region with highest population was

Mjini Magharibi (459,502) while the lowest population was Kusini Unguja

(107,811). The lowest population in Lindi and Kusini Unguja regions was

caused by low fertility rate and internal migration.

140. In 2009, live births estimated at 1,718,551, while deaths were

estimated at 586,822. The birth rate was estimated at 41 children per 1,000

people, while the mortality rate was estimated at 14 per 1,000 people. The

total fertility rate in Tanzania was estimated at 5.3 children per woman. The

infant mortality rate was estimated at 84.0 per 1,000 live births, while under-

five mortality rate was estimated at 134 per 1,000 live births.

Labour Force and Employment 141. In 2009, active labour force was estimated to have remained at 20.6

million according to the Integrated Labour Force Survey (ILFS) of 2005/06.

Also, the Survey reveals that 18.3 million people were employed, out of

which, 9.0 million were male and 9.3 million were female . Agriculture

remains the main source of livelihood.

102

142. In 2009, the informal sector generated more employment opportunities

compared to the formal sector. The increase of employment opportunities in

informal sector was due to rural –urban migration, which has compelled many

of them to indulge in informal activities due to simplicity in setting them up.

143. In 2009, Tanzania Employment Services Agency (TaESA) opened two

zonal offices in Arusha and Dodoma in order to extend public employment

services closer to the people that include linking job seekers to employers

locally and internationally. Likewise, the Agency has provided training on

interview techniques and labour market information.

Unemployment 144. The ILFS of 2005/06 reveals that 1.3 million females and 1.0 million

males were unemployed, or 11.0 percent of the total labour force. In Dar es

Salaam City, 31.4 percent of active labour force was unemployed compared to

unemployment of 46.0 percent in 2000/01. Unemployment in other urban

areas was 16.1 percent compared to 26.0 percent in 2000/01, while in rural

areas unemployment was 7.1 percent compared to 8.0 percent in 2000/01.

103

Table No. 33

Region 2002* 2003 2004 2005 2006 2007 2008** 2009**

Dodoma 1,698,996 1,713,196 1,753,056 1,786,073 1,896,786 1,951,072 2,004,544 2,058,630Arusha 1,292,973 1,323,856 1,377,884 1,427,904 1,475,489 1,522,974 1,570,394 1,617,728Kilimanjaro 1,381,149 1,395,282 1,417,786 1,435,847 1,503,014 1,535,976 1,569,212 1,602,530Tanga 1,642,015 1,661,125 1,691,296 1,716,271 1,753,284 1,837,660 1,880,389 1,923,468Morogoro 1,759,809 1,791,772 1,838,969 1,881,113 1,929,087 1,975,160 2,021,713 2,068,426Pwani 889,154 902,908 924,840 944,145 968,637 991,585 1,014,968 1,038,654Dar es Salaam 2,497,940 2,577,164 2,690,399 2,799,241 2,801,675 2,881,548 2,961,150 3,040,118Lindi 791,306 796,920 808,155 816,815 851,764 869,521 887,434 905,480Mtwara 1,128,523 1,140,601 1,160,157 1,176,112 1,220,248 1,246,089 1,271,912 1,297,751Ruvuma 1,117,166 1,137,172 1,167,126 1,192,680 1,235,161 1,268,738 1,303,330 1,338,800Iringa 1,495,333 1,511,016 1,533,852 1,553,392 1,617,696 1,649,199 1,679,828 1,709,225Mbeya 2,070,046 2,105,065 2,156,198 2,201,206 2,346,388 2,423,636 2,502,258 2,581,792Singida 1,090,758 1,102,326 1,127,973 1,150,367 1,222,810 1,258,545 1,294,584 1,330,931Tabora 1,717,908 1,762,262 1,826,859 1,887,507 2,004,115 2,086,047 2,170,926 2,258,664Rukwa 1,141,743 1,169,811 1,212,691 1,251,697 1,302,278 1,349,578 1,398,866 1,450,118Kigoma 1,679,109 1,741,514 1,827,145 1,910,592 1,970,750 1,601,020 1,669,078 1,740,111Shinyanga 2,805,580 2,874,313 2,970,748 3,060,176 3,277,784 3,411,022 3,549,342 3,692,941Kagera 2,033,888 2,081,089 2,146,613 2,206,814 2,210,217 2,293,093 2,379,637 2,469,904Mwanza 2,942,148 3,008,570 3,106,401 3,196,714 3,168,904 3,265,730 3,364,378 3,464,566Mara 1,368,602 1,393,261 1,428,532 1,461,270 1,572,068 1,631,031 1,692,449 1,756,442Manyara 1,040,461 1,060,325 1,101,393 1,141,376 1,198,051 1,241,994 1,288,280 1,337,015Tanzania Mainland 33,584,607 34,249,548 35,268,073 36,197,312 37,526,206 38,291,218 39,474,672 40,683,294

Kaskazini Unguja 136,953 139,386 142,945 146,221 155,066 160,240 165,544 171,150Kusini Unguja 94,504 95,898 97,933 99,678 103,191 105,456 107,811 110,183Mjini Magharibi 391,002 404,802 423,434 441,446 461,759 447,716 459,502 471,341Kaskazini Pemba 186,013 188,591 192,786 196,221 216,174 224,951 234,142 243,759Kusini Pemba 176,153 178,857 183,018 186,651 207,348 216,479 226,055 236,072Zanzibar 984,625 1,007,534 1,040,116 1,070,217 1,143,538 1,154,842 1,193,054 1,232,505

Tanzania 34,569,232 35,257,082 36,308,189 37,267,529 38,669,744 39,446,060 40,667,726 41,915,799

Source: Ministry Finance and Economic Affairs * Data from the Population Census 2002** Projections based on the Population Census - 2002

REGIONAL DISTRIBUTION OF TANZANIA POPULATION (2002-2009)

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105

CHAPTER 7

PRIVATE SECTOR DEVELOPMENT Investment in the Country 145. In 2009, a total of 572 projects worth shs. 2,970,730.10 million were

registered with employment potential of 56,615 people compared to 871

projects worth shs. 7,991,481 million with employment potential of 109,521

people in 2008. Out of total projects registered in 2009, 407 projects were new

while, 165 were for rehabilitation and expansion. Projects owned by local

investors were 284, while 149 were foreign investors and 139 joint venture

projects.

146. In 2009, manufacturing activities attracted more investors with 183

projects worth shs. 654,472 million and employment potential of 14,143

people. Other economic activities which attracted investors include: tourism

with 151 projects worth shs. 519,259 million and employment potential of

7,302; commercial buildings with 81 projects worth shs. 922,467 million and

employment potential of 3,360; transport with 61 projects worth shs. 303,849

million and employment potential of 5,659; agriculture with 27 projects worth

shs. 45,626.10 million and employment potential of 15,114; human resources

with 25 projects worth shs. 174,226 million and employment potential of

6,597; services with 16 projects worth shs. 25,026.30 million and employment

potential of 814; financial institutions with 8 projects worth shs. 65,661.7,

million and employment potential of 665; economic infrastructure with 6

projects worth shs. 80,535 million and employment potential of 1,495;

telecommunications with 5 projects worth shs. 3,900 million and employment

potential of 88; broadcasting with 4 projects worth shs. 77,376 million and

employment potential of 1,098; energy with 3 projects and natural resources

with 2 projects worth shs. 21,112 million and employment potential of 88.

147. In 2009, Dar es Salaam and Arusha regions attracted more investment

projects. Projects registered in those regions were 314 and 57 respectively.

Projects in other regions were as follows: Mwanza 23 projects; Pwani 23;

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Kilimanjaro 15; Tanga 13; Mbeya 11; Morogoro 10; Iringa 5; Dodoma 5;

Shinyanga 5; Tabora, Mara and Kagera three projects each; Ruvuma, Manyara

and Mtwara two projects each; and Lindi and Singida one project each.

148. In 2009, Tanzania Investment Centre handled 12,703 applications

compared to 14,300 applications in 2008. The trend of applications is as

shown in Table No. 7.1.

Table No. 7.1 Services Rendered by the Tanzania Investment Centre

Service 2008 2009Tax 4,789 3,968 Immigration Grade A Immigration Grade B

3202,642

327 2,578

Employment 3,220 3,473 Land 2,882 2,191 Company Registration 269 104 Business Registration 178 62 Total 14,300 12,703

Source: Tanzania Investment Centre Foreign Direct Investment

149. The value of Foreign Direct Investment (FDI) was USD 650 million in

2009 compared to USD 744 million in 2008, equivalent to a decrease of 14.5

percent. The decrease was a result of the impact of the global financial and

economic crises.

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Table No. 7.2: Foreign Direct Investment 1995 - 2009

Year Value of FDI (In US$ million) 1995 150.86 1996 148.64 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 2009 650*

Source: Bank of Tanzania *Provisional Improvements of Business Environment 150. In 2009, the Government continued to make reforms aimed at reducing

cost of doing business through Tanzania National Business Council and the

programes under Business Environment Strengthening for Tanzania (BEST)

and Business and Property Formalization (BPF). According to the World Bank

Doing Business Report, Tanzania made progress on indicators related to

business contracts and employment. In general, Tanzania’s ranking rose

slightly to 126th position out of 183 countries in reducing cost of doing

business compared to 127th position out of 181 countries in 2008.

ECONOMIC EMPOWERMENT Mwananchi Empowerment Fund

151. In 2009, Mwananchi Empowerment Fund disbursed loans worth shs.

3.4 billion to SACCOS in Mtwara, Lindi, Manyara, Singida and Rukwa

regions. A total of 4,437 entrepreneurs benefited from the loans, out of which

1,341 were women, equivalent to 30.2 percent and 3,096 men, equivalent to

69.8 percent. In addition, the loan repayment rate reached to average of 98

percent.

152.

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Access to Credit

153. In 2009, the Second Phase of Economic Empowerment and

Employment Creation Program continued to be implemented. In this phase, a

total of 2.3 billion was advanced to 12 banks and financial institutions, which

in turn extended loans to 6,404 entrepreneurs. Out of those entrepreneurs,

2,967 were women, equivalent to 46 percent and 3,437 men, equivalent to 54

percent. The Banks and financial institutions involved in this phase were:

CRDB; Akiba Commercial Bank; Tanzania Postal Bank; Kagera Farmers

Cooperative Bank Ltd; Kilimanjaro Cooperative Bank; Uchumi Commercial

Bank; Mwanga Community Bank; Pride Tanzania; Presidential Trust Fund;

SCCULT; Dunduliza; and Azania Bank Ltd.

154. By the end of December 2009, the Small and Entrepreneurs Loan

Facility (SELF) approved loans amounting to shs. 1.8 billion to 2,071

entrepreneurs. In addition, the average loan repayment rate was 93.4 percent.

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Table No.34

Sekta A B C D E F G H

Agriculture and Livestock 45 31 14 18 11 16 8,584 199,784 Natural Resources 6 3 3 0 2 4 554 6,412 Tourism 268 190 78 167 45 56 17,822 680,749 Manufacturing 221 161 60 83 80 58 26,451 2,185,767 Petroleum Products and Mining 1 0 1 0 1 0 58 2,512 Construction - - - - - - - - Commercial Buildings 141 108 33 73 34 34 10,214 792,843 Transport 93 66 27 60 18 15 7,265 412,643 Services 26 16 10 7 8 11 3,699 198,289 Computer 0 0 0 0 0 0 - - Financial 13 6 7 4 2 7 1,095 74,028 Communication 6 3 3 1 0 5 2,878 1,299,588 Human Resource 4 3 1 1 2 1 357 39,957 Energy 32 24 8 24 5 3 2,660 219,762 Economic Infrastructure 8 5 3 5 0 3 27,739 1,871,544 Broadcasting 7 5 2 7 0 0 145 7,603 TOTAL 871 621 250 450 208 213 109521 7,991,481

Source: Tanzania Investment Centre (TIC)A Total number of approved projectsB New projectsC Old projects (expansion and rehabilitation)D Local projectsE Foreign projectsF Joint projectsG Total employmentH Total investment (Shs. million)

2008

TANZANIA INVESTMENT CENTRE (TIC): APPROVED PROJECTS

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CHAPTER 8

CROSS CUTTING ISSUES HIV/AIDS 155. In 2009, the HIV pandemic in Tanzania continued to be a major threat

in the society, though over the recent there are signs of declining in prevalence

rate. The HIV and Malaria Indicator Survey - 2007/08, revealed that the HIV

transmission rate in the country has declined. The study also showed that,

prevalence rate in rural area is 5.7 percent and in urban area is 10.6 percent.

156. The study indicated that women and youth have been more affected.

The prevalence rate for people aged 15-49 was 5.7 percent, of which women

was 6.6 percent, men 4.6 percent and youth 2.4 percent. In 2009, number of

people who were counselled and voluntary tested for HIV was 7.3 million.

The HIV counselling and testing centres increased to 1,743 in 2009 from

1,643 centres in 2008. In addition, as of end December 2009, number of

people who were trained on HIV and AIDS counselling reached 5,000.

157. In 2009, the Government continued to improve health care services for

people living with HIV and AIDS by ensuring that antiretroviral drugs are

available in all heath care centres. The number of people living with HIV and

AIDS and access antiretroviral drugs increased to 284,227 in 2009, from

208,579 in 2008. Out of that, children under 15 years were 20,959. Home-care

services increased from 96 districts in 2008 to 110 districts in 2009. In

addition, 160,430 people received home care services.

Environment 158. In 2009, Government continued to implement policies, strategies, laws,

and environment management regulations (Cap. 191). Three regulations were

formulated, making the Act to have a total of twelve regulations. The

regulations include: Safety Use of Modern Biotechnology of 2009;

Management of Solid Wastage of 2009; and Management of Poisonous

Wastage of 2009. Furthermore, the Government continued with role of

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coordinating and implementing various international conventions regarding

climate change; address drought and deforestation; control of the chemicals

which destroy ozone layer; conservation of biodiversity; control over

transportation and disposal of poisonous wastage; and importation of

poisonous wastage in African continent.

159. In 2009, environmental status report was prepared. In ensuring

sustainable management of the environment, 21 inspectors from the National

Environment Management Council were appointed in order to increase

efficiency in managing environment in the country. Further, 90 percent of the

Councils in the country appointed environmental officers in order to bring

technical services to the grassroots level. Furthermore, in ensuring effective

conservation of water sources and afforestation, Presidential Award on

Conservation of Water Sources and Afforestation was launched.

160. In 2009, Government continued to enforce investors in the country to

adhere to the Environmental Impact Assessment (EIA) before executing their

projects. More than 90 percent of the projects were given operational

certificates after meeting the EIA requirements and standards.

161. In 2009, in an effort to destroy solid wastages, the Government

continued to sensitize industries to use solid wastages as raw materials. Those

industries are: Tanpack and China Paper which use paper wastage to produce

paper; Morogoro Plastic Industries, Kemi Cortex and Simba Plastic which

recycle plastic wastage; Aluminium Industry which recycles metal tins to

produce aluminium products. Furthermore, sisal companies use sisal wastages

to generate electricity. Moreover, sugar industries use sugarcane residuals to

produce energy.

162. In 2009, Government continued to coordinate activities of Global

Environment Fund in the Country. Two major projects valued at US Dollar 6.5

million were approved. Furthermore, three projects of controlling the impact

of climatic change, valued at US Dollar 4.8 million were prepared and

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presented to the financing Fund. Total of 19 small environmental projects

valued at US Dollar 750, 910 were financed through the Fund.

Good Governance 163. In 2009, in efforts to separate prosecution and investigation roles,

Attorney General’s Chamber established three zonal offices in Shinyanga,

Lindi and Mara regions, making a total of 19 zones. State Attorneys started

prosecution proceedings in Resident Magistrate and District Courts in: Arusha,

Dar es Salaam, Kilimanjaro, Mbeya, Shinyanga, Tabora and Tanga regions.

Moreover, under this programme, more than 250 State Attorneys were

employed. In 2009, total of 42 bills were prepared. Out of that, 9 bills were

passed by the Parliament to become Laws. Furthermore, 203 by-laws were

published in Government Gazette.

164. In order to achieve Government’s intention in fighting corruption, 15

grand corruption cases were filed in courts. Furthermore, 222 cases were filed

by PCCB in courts in 2009 compared to 147 in 2008, equivalent to an increase

of 51 percent. Moreover, 5,930 complaints were received by PCCB from their

offices countrywide. The Bureau won 49 cases in 2009 compared to 37 cases

in 2008 whereas suspects were sentenced.

165. In 2009, a total of 2,030 anti-corruption clubs with 178,142 members

were established. This made a total of 3,961 clubs with 251,968 members

established since the inception of the campaign in 2007. A total of 3,490

development projects valued at sh.115.6 billion in various councils were

audited in 2009. Out of those projects, 340 projects valued at sh. 13.42 billion

were not perfectly handled, and 178 investigation files were opened.

Gender 166. In sustaining training on gender analysis issues in planning,

programmes and budgeting in various sectors in 2009, a total of 175

participants were trained. The participants include members of Parliamentary

Committee on Social Development; 45 members of the Local Government

Accounts Committee; 25 permanent secretaries from ministries; 43 directors

of policy and planning; and 66 gender desk officers.

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167. In 2009, a total of 6,000 copies of the agreement for Women

Discrimination Removal were translated into a simple language. Furthermore,

Say no Campaign against brutality to women, children and albino was made

through Uhuru Torch races under the slogan “Protect Gender, Women,

Children and Albino Brutality”.

Public Safety 168. In 2009, the public security was generally peaceful in spite of crime

and traffic offences. Criminal offences reported in all police stations was

69,134 in 2009 compared to 68,023 offences in 2008, equivalent to an increase

of 1,111 offences or 1.6 percent.

169. In 2009, road accidents reported was 22,019, compared to 17,768

accidents in 2008, equivalent to an increase of 4,251 accidents or 24 percent.

During the period under review, a total of 3,853 people died on road accident

while 18,830 were injured compared to 2,653 died and 17,037 injured in 2008,

equivalent to an increase of 998 deaths or 35 percent and 1,793 injuries or 10.5

percent. The higher increase of road accidents was caused by carelessness of

drivers; irregular maintenance of vehicles and poor infrastructure; carelessness

of pedestrians, motorcycle and bicycles riders; and drunkenness.

170. By the end of December, 2009, the number of refugee was 273,782

people from Burundi, Democratic Republic of Congo, and Somalia and from

other countries (Rwanda, Uganda, Sudan, Ethiopia and Zimbabwe) compared

to 321,909 refugees in December, 2008. Composition of refugees is as

follows: Burundi 240,480 refugees; Democratic Republic of Congo 79,706;

Somalia 1,522; other countries 201. In addition, a total of 25,696 refugees

were returned to their home countries (Burundi 24,375 refugees and

Democratic Republic of Congo 1,321 refugees) in 2009, compared to 109,991

refugees in 2008 (Burundi 94,501 refugees and Democratic Republic of

Congo 15,490 refugees).

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CHAPTER 9

REVIEW OF THE IMPLEMENTATION OF NATIONAL STRATEGY FOR GROWTH AND REDUCTION OF

POVERTY Introduction 171. The review of MKUKUTA-I was finalised in 2009. This review

highlighted the MKUKUTA implementation progress including the lessons,

challenges and strategic issues for the design of MKUKUTA II. Details on

MKUKUTA achievements and challenges are documented in various reports

including the Poverty and Human Development Report (PHDR 2009),

MKUKUTA Annual Implementation Report (MAIRs) and sectorial surveys.

172. In general, findings from these reports show that for the period of four

years (2005-2009) of MKUKUTA implementation, the economy recorded an

impressive growth and social services provision improved considerably.

Enrolment at all levels of education - primary, secondary, tertiary and higher

education levels improved significantly. Infant and child mortalities declined

over the period; financial services, human settlements, communication and

infrastructure improved favourably. Challenges remain, whatsoever, including

inadequate human and financial resources, and marginal decline in income

poverty.

Growth and Reduction of Income Poverty 173. The Household and Budget Survey (HBS) - 2007 shows a limited

decline in income poverty levels in all areas between 2000/01 and 2007/08.

The proportion of the population below the basic needs poverty line in rural

areas declined slightly from 38.7 percent to 37.6 percent. In Dar es Salaam

city, income poverty declined from 17.6 percent to 16.4 percent, while in other

urban areas, poverty declined from 25.8 percent to 24.1 percent. These

achievements are below MKUKUTA targets, of reducing income poverty to

24 percent in rural areas and 12.9 percent in urban areas by 2010

115

174. As data show, income poverty declined marginally due to low growth

of the agricultural sector which employs the majority of the poor. The growth

of agricultural sector was lower (averaging 4.4 percent) than other sectors-

mineral, construction, manufacturing and communication services.

Quality of Life and Social Well-being 175. In 2009, access to social services continued to improve during

MKUKUTA implementation. The evaluation of MKUKUTA indicates that,

enrolment in all education levels increased annually. Proportion of teacher to

student in primary schools was 1:53, which is below target of 1:45 due to

increased in enrolment in primary education. The student-textbook ratio

remained at 3:1 over the period.

176. Between 2004/05 and 2008/09, under-five mortality rate declined from

112 per 1,000 live births to 91 per 1,000 live births in 2007/08. Infant

mortality rates declined from 68 per 1,000 live births in 2004/05 to 58 per

1,000 live births during the same period. However, the challenge remains in

reducing maternal mortality. Maternal mortality is still higher at 578 deaths

per 100,000 live births compared to 529 recorded in 1996. HIV/AIDS

prevalence rate remains at 5.7 percent.

177. Access to safe and clean water increased from 79 percent in 2007/08 to

83 percent in 2008/09 in urban areas, while in rural areas increased from 57.1

percent to 58.3 percent. In Dar es Salaam, access to safe and clean water

increased from 50 percent in 2005 to 68 percent in 2008. Access to sanitation

services also increased from 17 percent in 2007/08 to 18 percent in 2008/09.

Water pollution declined from 8 percent in 2008 to 3.4 percent in 2009.

Governance and Accountability 178. Regarding governance and accountability, there has been impressive

progress. The number of women representation in decision making bodies

increased to 29 percent in 2009. Compliance to procurement regulations and

procedures also improved significantly to 71 percent in 2009 from 43 percent

recorded in 2008. Public financial accountability at local level also improved

significantly, with transparency allocations of budget at LGAs using formula

116

base and publish of these allocations in the news papers. During the period

under review, PCCB has completed investigation of 706 corruption cases.

117

118

CHAPTER 10

AGRICULTURE AND COOPERATIVES 179. In 2009, agricultural activities which include: crops, livestock, and

forestry and hunting grew by 3.2 percent, compared to 4.6 percent in 2008.

Crops, livestock, and hunting and forestry sub activities grew by 3.4; 2.3; and

3.5 percent in 2009 compared to 5.1; 2.6; and 3.4 percent in 2008 respectively.

The share of agriculture activities to GDP was 24.6 percent in 2009 compared

to 25.7 percent in 2008.

Food crops 180. In 2009, the trend of food crop production was not satisfactory due to

unfavourable weather. Production of maize declined by 6.5 percent in 2009,

compared to an increase of 7.7 percent in 2008. Production of rice increased

by 1.2 percent in 2009 compared to 0.34 percent in 2008. Likewise,

production of sorghum and millet decreased substantially by 80.9 percent in

2009 compared to an increase of 8.7 percent in 2008. Production of food crops

is as shown in table No. 10.1.

Table No. 10.1: Production of Food Crops 2008-2009 (Tone 000)

Crop 2007 2008 2009 % change 2008/09

Maize 3,302 3,555 3,324.2 -6.5 Rice 872 875 885.61 1.2 Wheat flour 83 92 93.69 1.8 Millet/sorghum 1,165 1,064 203.58 -80.9 Cassava 1,733 1,797 1,758.79 -2.1 Beans/ 1,156 1,125 1,183.88 5.2 Banana 1,027 982 990.54 0.9 Sweet Potato 1,322 1,379 1,381.12 0.2

Source: Ministry of Agriculture and Cooperatives. Cash Crops 181. In 2009, the production of selected cash crops: cotton, pyrethrum, and

tobacco increased. Production of cotton increased from 200,662 tons in 2008,

to 267,004 tons in 2009. Nonetheless, production of pyrethrum and tobacco

increased from 1,500 tons and 55,356 tons in 2008, to 3,320 tons and 60,900

tons in 2009, respectively. The increase was due to an increase in the use of

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subsidised agricultural inputs especially insecticides, competition among

cotton growers, enough rain, improved pyrethrum seedlings and extension of

acreage for tobacco production.

182. In 2009, production of main cash crops which are coffee, sisal,

cashewnuts, and tea decreased compared to 2008. The decrease in production

was caused by unfavourable weather and lack of pesticides. In addition,

conflict in Lupembe tea estate which led to 200 hectares of tea in Lupembe not

to be harvested and conflict between tea farmers and Rungwe Cooperative

Society steered the decrease in tea production.

Table No. 10.2: Production of Cash Crops 2006-2009 (Tons)

Crop 2006 2007 2008 2009 Changes (%) 2008/09

Cotton 130.565 199,954 200,662 267,004 33.06Tobacco 50,617 50,784 55,356 60,900 10.02Sugar 290,863 279,494 276,605 279,850 1.17Tea 31,348 34,763 34,770 33,160 -4.63Pyrethrum 2,046 1,000 1,500 3,320 121.3Coffee 45,534 33,708 58,052 40,000 -31.1Sisal 30,847 33,039 33,000 26,363 -20.11Cashewnuts

88,213 92,573 99,107 74,169 -25.16 Source: Ministry of Agriculture and Cooperatives. Production of Oilseeds 183. In 2009, production of oil seeds which includes sunflower, simsim and

soya increased. Production of sunflower increased from 418,317 tons in 2008,

to 466,831 tons in 2009. Parallel to that, production of simsim and soya

increased from 46,767 and 3,450 tons in 2008 to 115,295 and 3,900 tons in

2009 respectively. The increase was due to enough rain in areas growing these

crops and reliable market particularly for simsim. Production of groundnuts

decreased from 396,769 tons in 2008 to 385,480 tons in 2009, equivalent to a

decrease of 2.9 percent.

120

Table No. 10.3: Production of Oilseeds (Tons) Crop 2007 2008 2009 Change(%) 2008/09 Sunflower 369,803 418,317 466,831 10.39Groundnuts 408,058 396,769 385,480 -2.93

Simsim 155,794 46,767 115,295 147Soya 3,000 3,450 3,900 11.54

Source: Ministry of Agriculture and Cooperatives. Investment in Agriculture 184. In 2009, a total of 472 tractors and 495 power tillers were imported

compared to 463 tractors and 212 power tillers imported in 2008. The increase

in importation was attributed to rise in demand of tractors as well as increase

in access to loans for farming implements.

Irrigation Farming

185. In 2009, a total of 326,492 hectares for paddy irrigation were

developed compared to 289,245 hectors in 2008. Production and productivity

of paddy from irrigation increased from 6.5 tons per hectare in 2008, to 6.7

tons in 2009. Progress of irrigation development is shown in the table No.

10.4.

186. In 2009, a total of 37,247 hectares of irrigation farming for various

crops were developed compared to 32,800 hectares in 2008. The acreages

were developed in seven zones namely: Kilimanjaro, Tabora, Mtwara,

Mwanza, Mbeya, Central and Morogoro.

187. In 2009, a feasibility study and designing were conducted covering a

total of 275,744 hectares for irrigation compared to 145, 683 hectares in 2008,

equivalent to an increase of 89 percent.

Table No. 10.4 Irrigation Service. Achievements 2008 2009 Change (%) Feasibility study – Hectares 145,683 275,744 89 Water reservoir 8 12 50 Developed hectares 289,245 326,492 12.87 Productivity (Tons/Hectare) 6.5 6.7 3.1 Source: Ministry of Agriculture and Cooperatives.

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Extension Services and Training 188. In 2009, a total of 1,058 extension officers were recruited by local

government councils. In addition, 3,498 pre-service students were enrolled in

2009, out of which, 2,753 students were in first year, certificate and diploma

levels, and 745 students are in second year in diploma level. Likewise, a total

of 1,999 youth are in pre-service practical training on extension services in 64

districts.

189. In 2009, a total of 75 extension workers from private sector were

trained on contract based extension services in order to extend services to

farmers. The process of building 141 centres of agricultural resources at ward

levels began in some Council in the country. The centres helped to impart

knowledge and technology to farmers especially in Urambo and Lushoto

Councils. Likewise, 2,020 demonstration farms with 52,845 farmers (27,703

men and 25,142 women) were established in councils for the purpose to

educate farmers on principles of modern farming.

Research Activities 190. In 2009, 25 types of improved seeds for food and cash crops including

maize (four), paddy (five), cassava (eight), sugarcane (two), groundnuts (five),

and simsim (one) were produced, compared to five types of improved seeds

produced in 2008. Furthermore, research centres produced various types of

breed seeds to be used by Tanzania Seeds Agency. A total of 121 tons of

seeds, 12,284,121 pieces of stems/stalks and 44,000 seedlings were produced.

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Table No 10.5: Production of Breed seeds No. Crop Production of Breed seeds

1 Grain 51.2 2 Beans 43.5 3 Oil 10.3 4 Roots 11.7 million 5 Pyrethrum 21,500 6 Sisal 18,000 7 Banana plant 4,500 8 Cotton 16 9 Cashew nuts 31,500 10 Grapevine 506,000 13 Cotton 6.0 14 Cassava (stem/stalk) 27.6 million

Source: Ministry of Agriculture and Cooperatives. Agriculture Input Trust Fund 191. In 2009, loans to purchase 57 power tillers were issued by the Fund,

compared to 27 power tillers purchased in 2008, equivalent to an increase of

111.1 percent. The increase was attributed to the grant of power tillers from

Republic of Korea to the Agriculture Input Trust Fund in order to lend to

Morogoro farmers at half of the market price. Furthermore, loans for 165

tractors were issued in 2009 compared to 99 loans in 2008, equivalent to an

increase of 66.7 percent. Credits for insecticides and pesticides increased from

157 in 2008 to 238 in 2009, equivalent to an increase of 51.6 percent.

Table No 10.6: Credits through Agriculture Input Trust Fund (AGITF) Type of Input Credits in

2008 Credits in

2009 Change

% Power Tiller 27 57 111.1 New Tractors 99 165 66.7 Maintenance 0 1 - Crop and Livestock Inputs 157 238 51.6

Source: Ministry of Agriculture and Cooperatives. LIVESTOCK

Livestock Production and its Products

192. Production of beef, mutton, lamb, pork and chicken increased by 10.0

percent from 410,706 tons in 2008 to 452,230 tons in 2009. This was a result

123

of surge in sales of livestock as precaution against drought. Furthermore, a

decline in livestock price attracted traders to purchase more livestock for

butchery.

193. Production of milk increased to 1.6 billion litres in 2009 from 1.5

billion litres in 2008, equivalent to an increase of 7.0 percent. The increase

was attributed to increase in production, collection and sensitization on milk

drinking.

194. Production of eggs increased by 4.3 percent from 2.7 billion eggs in

2008, to 2.8 billion eggs in 2009. Likewise, number of chicken increased from

33 million in 2008, to 34 million in 2009, equivalent to an increase of 3.0

percent. The increase was attributed to positive response by poultry farmers to

use appropriate vaccine for chicken tick.

Table No. 10.7 Production of Livestock Products 2008 – 2009. Product Production

/Unit 2008 2009 Change

Meet: Beef Tons 218,976 255,178 17% Mutton/Lamb Tons 81,173 82,884 2% Pork Tons 33,307 36,000 8% Chicken Tons 77,250 78,168 1% Total 410,706 452,230 Milk: Cows Litre (000) 980,000 1,012,436 3% Cows (High breed) Litre (000) 520,000 591,690 14%

Total 1,500,000 1,604,126 Eggs Total (000) 2,690,000 2,806,350 4%

Source: Livestock Development and Fishery. Exports of Livestock and its Products 195. In 2009, a total of 3,264 cattle and 1,834 goats and sheep worth shs.

2.1 billion were exported compared to 2,772 cattle and 874 goats and sheep

worth shs. 1.8 billion in 2008.

196. In 2009, a total of 221.9 tons of beef, mutton and lamb worth shs.

654.4 million (139.8 tons of beef worth shs. 416.9 million, 35.4 tons of lamb

124

worth shs. 120.2 million and 46.7 tons of mutton worth shs. 117.3 million)

were exported compared to 195 tons of beef, mutton and lamb worth shs. 500

million, exported in 2008.

197. In 2009, a total of 982,668 pieces of cattle skin; 2.7 million pieces of

goat skin, and 769,936 pieces of sheep skin worth 12.8 billion were exported,

compared to 2.3 million pieces of cow skins, 1.6 million pieces of goat skin

and 1.1 million pieces of sheep skin worth 21.5 billion in 2008. Earnings from

export of skin products dropped by 40.4 percent in 2009 due to the impact of

Global Financial Crisis.

Table No. 10.8: Trends of Skin Exports

Year Cattle Skin Goat Skin Sheep Skin Value (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 Source: Livestock Development and Fishery. COOPERATIVES AND MARKETING Cooperative

198. In 2009, cooperative unions increased to 9,510 from 8,597 unions in

2008. Likewise, cooperative members increased to 1.8 million in 2009 from

1.6 million in 2008. A number of Savings and Credits Cooperative Societies

(SACCOS) increased to 5,332 in 2009 from 4,524 in 2008. SACCOS’

members increased from 773,172 members in 2008 to 820,670 members in

2009. Shares of members increased to shs. 33.5 billion in 2009 from shs. 30

billion in 2008. Savings and deposits increased from shs. 133.6 billion in 2008

to shs. 148.1 billion in 2009. Loans disbursed to members increased from shs.

354.6 billion in 2008 to shs. 383.5 billion in 2009.

125

Table No. 10.9: Trend in Cooperative Development Type of Cooperative YEAR Change - %

2008 2009SACCOS 4,780 5,332 11.5AMCOS 2,614 2,817 7.7Irrigation Scheme societies 10 113 103

Source: Ministry of Agriculture and Cooperatives.

The trend of crop prices

199. In 2009, the price of cotton seeds and sisal declined in the domestic

market compared to 2008. Likewise, production of cotton seeds, pyrethrum,

and sisal also declined. This was caused by a decline in the price in the world

market. Nevertheless, the price of tobacco, sugar, tea, pyrethrum, coffee and

cashewnuts increased in 2009 compared to 2008. The trend of crop prices is

indicated in table No. 10.10.

Table No. 10.10 Trend of Crop prices in the Domestic Market

Crop Farm Price Shs/Tons 2008 2009

Cotton Seeds 450,000 440,000 Tobacco 1,469,000 2,805,220 Sugar 805,532 864,000 Tea 137,000 138,023 Pyrethrum 700,000 - 1,500,000 1,000,000 Coffee 1. Arabica 2. Robusta

1,700,000600,000

2,100,000 1,600,000

Sisal 950,000-1,000,000 750,000 – 800,000 Cashewnuts 675,000 675,000– 700,000

126

Table No. 35Season1 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 6.691978/79 1169 197 1366 96.20 114267 127712 7.421979/80 1180 210 1390 101.20 122530 112282 6.341980/81 854 193 1047 106.20 114667 115961 6.371981/82 1135 203 1338 137.30 124326 120629 6.441982/83 1090 113 1203 170.00 101996 93179 4.841983/84 1372 160 1532 238.00 131525 108369 5.481984/85 1148 105 1253 323.70 108102 111433 5.481985/86 1003 104 1107 352.30 100287 95379 4.561986/87 991 72 1063 463.00 94815 109462 5.091987/88 997 102 1099 600.00 101266 96271 4.351988/89 787 91 878 750.00 96227 126771 5.291989/90 963 98 1061 1748.45 111236 190750 5.471990/91 1068 116 1184 2525.90 118560 212585 5.931991/92 967 114 1081 3476.85 108480 202478 6.071992/93 1098 273 1371 5267.67 121414 204126 6.111993/94 1105 362 1467 6200.00 123949 139829 5.381994/95 914 370 1284 8600.00 104624 238424 5.381995/96 997 372 1369 8900.00 116810 268910 ..1996/97 951 347 1298 9500.00 116100 275700 5.541997/98 808 176 984 10500.00 116100 271790 5.701998/99 948 320 1268 12500.00 113622 101272 5.871999/00 907 341 1248 12500.00 116927 100127 6.702000/01 1050 284 1334 14000.00 135534 122534 10.002001/02 1134 389 1523 14700.00 164498 142398 10.102002/03 1402 411 1813 15000.00 190120 167300 10.422003/04 1672 670 2342 16800.00 223839 290711 10.902004/05 1594 752 2346 20568.00 229617 328005 10.902005/06 1545 956 2501 22383.00 263317 343292 12.002006/07 1430 611 2041 29000.00 192095 366708 12.002007/08 1967 799 2766 32767.00 265434 382518 13.002008/09 2056 693 2749 32770.51 279850 396113 13.40

Change (%)06/07-07/08 0.05 -0.13 -0.01 0.00 0.05 0.04 0.03Increase (%)77/78-07/08 1.04 4.97 1.45 339.65 1.10 2.55 1.00

Source: Tanzania Sugar Bord1 Season is between July and June2 Price is for sugar cane with 10.5% of Sucrose3 includes sugar transported to Zanzibar4 For Tanzania mainland.. Not available

DOMESTIC PRODUCTION AND CONSUMPTION OF SUGAR

127

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 72301977/78 153292 14790 168082 2.30 1.15 46555 5821 52376 14422 12186 93701978/79 152267 14248 166515 2.40 1.20 51072 4696 55768 14253 12340 88101979/80 162087 18367 180454 3.00 1.30 52546 3931 56477 17284 13750 110401980/81 166233 8344 174577 3.20 1.50 54189 2962 57151 15634 13750 110401981/82 126799 6127 132926 3.70 1.70 42439 2153 44592 14070 15480 117301982/83 124559 3351 127910 4.70 2.50 40521 2381 42902 12660 15420 117301983/84 136151 4647 140798 6.00 3.70 41779 2175 43954 11771 15867 120381984/85 152355 4490 156845 8.40 4.50 50858 1154 52012 16236 26000 174001985/86 97384 8515 105899 13.00 7.00 29715 17775 47490 13247 52250 373501986/87 210454 4115 214569 16.90 9.10 55108 2338 57446 11389 52250 373501987/88 252177 2738 254915 19.45 9.10 67057 659 67716 13247 81350 672501988/89 184524 4720 189244 22.35 10.00 61552 1880 63432 11084 175000 1400001989/90 112333 572 112905 28.00 11.00 37652 192 37844 13184 225000 1900001990/91 148124 1017 149141 41.00 14.00 48880 341 49221 300000 300000 2400001991/92 26841 32 26873 70.00 28.00 90706 11 90717 14301 325000 2550001992/93 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 - -Change (%)07/08-08/09 0.84 0.84 0.07 0.75 0.75 0.78

Increase (%)77/78-08/09 1.08 -1.00 0.89 239.00 -1.00 1.01 -1.00 0.83 7.17

Source: Cotton Marketing Board 1 Season is between July and June 2 Total is for AR and BR 3 Provisional - Not compiled .. 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

128

Table No. 37Crop Area Price Local2

Season 1 (Hectars) to Farmers SalesEstates 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 29941977/78 9214 9334 18548 65933 22598 88531 32784 55747 88531 1.50 41681978/79 9268 9280 18548 60062 24230 84292 27177 57115 842292 1.50 37351979/80 9268 9289 18557 61294 21780 83074 27249 55825 83074 1.50 43761980/81 9268 9289 18557 59603 18800 78403 25267 53136 78403 1.50 54871981/82 9268 9289 18557 59603 18800 78403 25267 53136 78403 1.50 54871982/83 9268 9365 18633 56023 18540 74563 22622 51941 74563 1.50 67351983/84 9699 9177 18876 65309 18931 84240 22869 61371 84240 2.80 37631984/85 9699 9177 18876 51443 21493 72936 18346 54590 72936 2.80 42861985/86 9699 9177 18876 55680 21550 77230 22369 54861 77230 4.10 47141986/87 9699 9177 18876 52271 19201 71472 17564 53908 71472 4.90 63461987/88 9699 9177 18876 46752 17942 64694 12333 52361 64694 7.60 45561988/89 9699 9177 18876 45771 17851 63622 12749 50883 63632 9.90 42601989/90 9699 9177 18876 52194 18874 71068 18099 52969 71068 13.40 35591990/91 9699 9177 18876 70442 22434 92876 23531 69345 92876 17.00 34911991/92 9699 9177 18876 62994 20229 83223 19296 63927 83223 28.00 27501992/93 9699 9197 18896 80896 19934 100830 32218 68412 100630 45.00 32781993/94 10029 9197 19226 81159 21231 102390 32148 70242 102390 45.00 111241994/95 10149 9197 19346 93608 22641 116249 36825 79424 116249 50.00 .. 1995/96 10652 9332 19984 79968 13803 93771 25935 67836 93771 55.00 23501996/97 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 23862001/02 10811 10364 21175 97297 13999 111296 22794 88502 111296 80.00 26832002/03 11097 9762 20889 100677 31718 132395 28679 103716 132395 85.00 31582003/04 11485 10801 22286 95986 31993 127979 26384 101595 127979 86.00 32252004/05 11271 11442 22713 94172 39246 133418 20649 112769 133418 86.00 40042005/06 11310 10977 22287 91337 31881 123218 29046 94172 123218 93.00 38812006/07 11271 11956 23227 109632 49024 158656 39673 118983 158656 100.00 47372007/08 11272 11449 22722 97310908 51160136 148471044 33455685 115015359 148471044 111.00 42532008/09 11271 11449 22722 100644 41167 141811 31677 110134 141811 118.00 4464

07/08-08/09 0.00 0.00 0.00 -1.00 -1.00 -1.00 -1.00 -1.00 -1.00 0.06 0.05

76/77-08/09 0.25 0.24 0.25 0.70 2.01 0.94 0.14 1.44 0.94 130.11 0.49

Source: Tanzania Tea Authority 1 Season is between July and June 2 Made Tea .. Not Available

Change (%)

Increase (%)

TEA CROP AREA, PRODUCTION AND LOCAL SALES

Quantity of leaf tea produced (Tons)Zones (Farms)Ownership (Farms)

129

Table No. 38Coffee Procurement (Tons) Price (Shs/kg) Local Sales+

Season1 ARABICA ROBUSTA TOTAL ARABICA ROBUSTA QUANTITY VALUEMild Hard Mild Hard Raw (Tons) (shs'000)

1976/77 35263 2424 10995 48682 15.00 11.00 8.90 1625 95161977/78 38222 2851 12023 53096 10.89 17.50 5.27 758 63001978/79 33853 2551 12946 49350 9.07 14.16 4.64 587 82321979/80 30850 2968 14216 48034 11.42 13.32 5.55 336 55411980/81 52301 3223 11237 66761 12.36 10.50 4.50 687 70121981/82 36090 3753 10947 50790 14.90 10.50 5.93 997 130721982/83 38852 2216 12728 53796 15.17 10.55 10.55 1020 201701983/84 36436 1729 11509 49674 22.87 16.35 16.35 1730 257161984/85 36270 1974 10836 49080 29.68 15.07 15.07 895 364181985/86 41042 2820 11285 55147 45.80 20.90 20.90 1408 941171986/87 39060 2702 16975 58737 50.75 29.00 29.00 1146 966261987/88 32804 2514 10389 45707 66.00 37.70 37.00 1122 1206381988/89 41230 2280 11620 55130 90.00 51.00 51.00 1220 2293221989/90 34945 1702 16427 53074 165.00 66.50 55.00 783 1449981990/91 31304 1416 11403 44123 165.00 66.50 60.50 783 1510881991/92 37065 1926 8996 47987 230.00 100.00 70.00 1140 25591992/93 36901 2128 12217 51246 316.00 123.00 100.00 765 1282001993/94 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 466702004/05 23870 888 9133 33891 2593.50 1976.00 1235.00 33891 625662005/06 24116 1362 8856 34334 1200.00 420.00 270.00 33300 793042462006/07 33345 2417 19076 54838 2840.00 1796.00 1616.00 548 12986752007/08 26330 1588 15606 43524 2995.00 1875.00 1734.00 43523 89,0992008/09 37207 1727 29643 68577 2887.00 2172.00 1836.00 68577 165,615,552

Change (%)07/08-08/09 0.41 0.09 0.90 0.58 -0.04 0.16 0.06 0.58 1857.77

Increase (%)76/77-08/09 0.1 -0.3 1.7 0.4 191.5 196.5 205.3 41.2 17402.9

Source: Coffee Marketing Board + Clean Coffee 1 Season is between July and June 2 Provisional .. Not available

COFFEE PROCUREMENT AND LOCAL SALES

130

Table No. 39Area (Hectares) Sisal Production Local Sales+

Quantity Producer Price Quantity ValueSeason1 Matured Unmatured Total (Tons) (Shs/ton) (Tons) (Shs. milion)

1977/78 11626 38626 150252 91873 2474 25104 57.71978/79 107371 32589 139960 81384 2549 32023 95.61979/80 106866 26024 132890 85978 3135 35730 125.41980/81 99771 21642 121413 73753 3749 19687 68.01981/82 82257 17998 100255 60635 3784 30851 117.41982/83 85314 15720 101034 46187 4797 22384 94.91983/84 69799 13121 82920 38255 6410 12573 70.01984/85 62307 11796 74103 32247 7213 13075 88.31985/86 67606 13606 81212 30151 16099 19842 200.01986/87 67606 13606 81212 33170 19472 16477 407.01987/88 32932 20866 53798 33268 38750 20635 862.01988/89 47651 30584 78235 32265 64604 22661 1464.01989/90 48826 33780 82606 33743 94003 25563 2403.01990/91 49374 36240 85614 36001 89633 10398 932.01991/92 49374 36240 85614 24309 89203 17644 1582.21992/93 49374 36240 85614 21221 107079 18067 1517.61993/94 54485 24608 79093 29002 163540 17694 .. 1994/95 52953 25757 78710 24716 216026 18206 .. 1995/96 52018 27153 79171 28902 370807 18719 2549.01996/97 50459 28507 78967 25022 .. 18606 3374.01997/98 48745 29997 78742 22180 .. 18819 .. 1998/99 151869 33997 185666 23229 .. 6712 2146.01999/00 34645 7942 42587 41084 .. 16033 5617.82000/01 34645 11473 46118 23542 368077 7569 2786.02001/02 34645 11473 46118 23641 337732 4947 1671.02002/03 39462 10611 50073 23280 450000 6300 2835.02003/04 29493 12204 41697 26758 540000 6370 4027.02004/05 45079 14500 59579 27794 617342 8213 5070.02005/06 26384 13264 39649 30934 810000 10767 8613.02006/07 28273 13608 41882 33327 975000 11010 10152.02007/08 28577 15622 44199 34057 1000000 16997 15800.02008/09 35751 18023 53774 25996 1000000 11496 10100.0

Change (%)06/07-08/09 25.1% 15.4% 21.7% -23.7% 0.0% -32.4% -36.1%

Increase(%)77/78-08/09 207.5% -53.3% -64.2% -71.7% 40320.4% -54.2% 17404.3%

Source: Tanzania Sisal Authority + Types of sisal are Line fibre, Tow and Flume Tow 1 Season is between July and June .. Not available

SISAL PLANTATIONS, PRODUCTION AND LOCAL SALES

131

Table No. 40

Season1 Flue cured Fire cured Air cured Total Flue cured Fire cured Air curedFlue cured Fire cured Flue cured Fire cured

1977/78 14451 2653 33 17137 7.40 5.20 4.80 3694 433 56.10 6.101978/79 14403 2654 30 17087 7.40 5.20 4.80 3254 1212 54.90 13.301979/80 13005 4195 34 17234 8.80 6.25 6.50 2829 1197 51.80 19.301980/81 12972 3670 33 16675 10.50 6.25 6.50 2981 958 57.70 43.401981/82 12164 4060 40 16264 12.60 7.70 6.80 3515 685 61.60 10.801982/83 9576 3987 52 13615 18.00 11.50 10.00 4048 462 99.00 31.101983/84 9009 1963 40 11012 18.00 11.50 10.00 3571 583 114.50 19.301984/85 10554 2726 36 13316 25.20 16.10 14.00 4417 333 179.80 13.201985/86 12113 415 21 12549 37.90 23.30 20.30 2302 281 126.30 13.801986/87 15009 1422 14 16445 49.25 30.30 26.40 4040 256 452.40 32.501987/88 11111 1802 8 12921 63.00 39.00 34.00 4069 259 651.90 45.101988/89 10187 1355 12 11554 75.60 48.75 37.32 4383 537 1074.10 88.201989/90 8461 3342 5 11808 93.04 76.49 40.25 8027 1057 2554.50 392.001990/91 10718 5733 8 16459 117.00 91.00 61.00 3845 531 4319.40 301.301991/92 18754 4566 2 23322 264.61 157.65 106.54 5364 172 7457.90 114.401992/93 18756 4566 2 23324 313.95 221.28 234.20 5372 209 7463.40 122.301993/94 21838 3953 6 25797 343.97 253.00 286.00 3164 285 4540.60 103.401994/95 18269 4362 19 22650 564.58 353.30 373.22 18260 4360 10309.00 1984.001995/96 23415 5183 - 28598 561.00 455.00 - 1319 183 1785.00 1331.001996/97 27101 8279 - 35380 632.00 551.00 - 2914 86 1236.00 1332.001997/98 42041 9054 - 51095 714.00 477.00 - 2647 117 1890.00 1320.001998/99 32041 5482 - 37957 530.00 454.00 - 979 69 2077.00 2435.001999/00 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 6881.00 427.002005/06 50494 5228 741 56464 983.00 735.00 635.00 3486 168 9335.00 392.002006/07 49576 1038 170 50784 1264.00 881.00 960.00 3685 0 14302.00 0.002007/08 52597 2474 286 55357 1144.000 849.000 957.000 4057 231 15392 8012008/09 56663 3641 437 60741 2741.470 1658.850 1698.480 5544 0 26167 0

Change (%)07/08 - 08/09 0.08 0.47 0.53 0.10 1.40 0.95 0.77 0.37 -1.00 0.70 -1.00

Increase (%)77/78-08/09 2.92 0.37 12.24 2.54 369.47 318.01 352.85 0.50 -1.00 465.44 -1.00

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+

132

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 1609.0 332.00 880.00 555.001978/79 50 1550 1600 4.00 1.1 95.0 270.0 338.00 1298.00 224.001979/80 26 1598 1624 6.00 0.7 156.0 216.0 322.00 2829.00 550.001980/81 59 1943 2002 7.50 1.7 224.0 303.0 184.00 4870.00 885.001981/82 70 1817 1887 10.00 2.1 180.0 254.0 1280.00 4596.00 998.001982/83 32 1569 1601 10.00 0.7 175.0 241.0 500.00 4700.00 1330.001983/84 19 1419 1438 14.00 1.0 223.0 175.0 764.00 5936.00 1329.001984/85 8 1534 1542 19.50 2.1 151.0 373.0 3563.00 7100.00 1585.001985/86 12 1340 1352 21.10 0.5 215.0 207.0 978.00 12900.00 1419.001986/87 12 1219 1231 29.50 0.3 183.0 358.0 1092.00 17535.00 3663.001987/88 6 1406 1412 35.40 1.0 140.0 321.0 3900.00 16600.00 4100.001988/89 8 1305 1313 47.80 0.6 106.0 239.0 3021.00 15389.00 5436.001989/90 8 1582 1590 60.00 0.8 139.0 253.0 6681.00 22907.00 1636.001990/91 16 1656 1672 120.00 0.8 59.0 253.0 11654.00 26120.00 2315.001991/92 43 2425 2468 230.00 0.3 38.0 59.0 18390.00 19040.00 672.001992/93 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

Change (%)07/08-08/09 0.09 0.09 0.43

Increase (%)77/78-08/09 -0.33 -0.37 374.00 25.00 0.18 -0.61 -1.00 -1.00 -1.00

Source : Tanzania Pyrethrum Bord 1 Season is between July and June 2 Price is for grade V 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)

133

Table No. 42

Season1 Upper Lower Upper Lower Quantity ValueGrade Grade Total Grade Grade (Kg) (Shs.'000)

1977/78 54238 14245 68483 1.15 0.95 20083 387601978/79 44190 12878 57068 1.70 1.40 24620 697981979/80 38102 3314 41416 1.80 1.50 22044 624951980/81 47792 8766 56558 3.00 2.00 36205 1591211981/82 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 1420801988/89 18602 673 19275 40.00 27.00 275016 2244401989/90 16829 230 17059 84.00 56.00 152752 4979701990/91 27426 1444 28870 110.00 73.00 161703 8877501991/92 41238 * 41238 137.00 89.00 151804 6545171992/93 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 30432000/01 122283 * 122283 250.00 - 934 2332001/02 64886 14394 79280 300.00 180.00 2928 8782002/03 79300 15700 95000 360.00 290.00 5630 21222003/04 65000 15000 80000 462.00 370.00 6061000 25213762004/05 59425 11575 71000 750.00 600.00 7013017 47337862005/06 61976 15470 77446 600.00 480.00 10738 63542402006/07 82154 8587 90741 600.00 480.00 22299 130010002007/08 89,639 8,633 98,273 610.00 488.00 98273 593356522008/09 48,633 - 48,633 700.00 560.00 48633410 34043387

Change (%) 07/08-08/09 -0.46 -0.51 0.15 0.15 493.88 -0.43

Increase (%)77/78-08/09 -0.10 -0.29 607.70 588.47 2420.62 877.31

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

134

Table No. 43

Change%Crop 1997/98 1998/99 1999/00 2000/01 2001/02 2002/03 2003/04 2004/05 2005/06 2006/07 2007/08 2008/09 2007/08-2008/09

Sisal 22180 23229 41084 23542 23641 23280 26758 27794 30934 33,327 34,057 11,496 -66.2%Coffee 30848 39718 32842 57988 53500 76428 38704 33891 34334 54,838 43,524 68,577 57.6%Cotton1 202217 105853 100500 123558 148180 188689 139969 341589 376591 130,585 200,662 123,582 -38.4%Tobacco 51095 37523 24434 24809 27704 27872 43547 47451 56464 50,784 55,357 60,741 9.7%Pyrethrum 430 500 739 1466 1735 709 842 1000 2800 1,600 1,470 1,600 8.8%Tea2 120548 105800 105940 118735 111296 132395 127979 133418 123218 158,656 148,471 141,811 -4.5%Cashewnuts 99915 106442 121207 122283 79280 95000 80000 71000 77446 90,741 98,273 48,633 -50.5%Sugar Cane 985 1248 1254 1334 1523 1813 2342 2346 2501 2,041 2,766 2,749 -0.6%

Source: Respective Marketing Boards 1 Seed cotton 2 Green leaves

Quantity (Tons)

SUMMARY OF MARKETED QUANTITES AND VALUE OF PRINCIPAL CASH CROPS

135

CHAPTER 11

NATURAL RESOURCES AND TOURISM Growth Rate 200. In 2009, forestry and hunting sub activity grew by 3.5 percent

compared to 3.4 in 2008. The contribution of forestry and hunting economic

activities to the GDP was 2.2 percent in 2009 compared to 2.0 in 2008.

Forestry and beekeeping 201. In 2009, receipts from forestry and beekeeping sub-sector increased by

35 percent to shs. 21.98 billion from shs. 16.29 billion in 2008. The increase

was emanated from strengthening patrols in harvesting, transport and markets;

decline in timber imports from neighbouring countries; and increase in exports

of forestry products. However, exports of forestry products declined from

USD 200,914.5 in 2008 to USD 70,247.7 in 2009. The decrease was caused by

Government measures to restrict log exports, world economic crisis and less

competition of locally forestry products in the world markets.

202. In 2009, implementation of the Mangrove Forestry Conservation

Program continued along Rufiji Delta by involving villages around the Delta

in planting mangrove trees surrounding conservation area. A total of 191

committee members were trained on conservation of mangrove trees. Further,

assessment to identify encroached areas was conducted in Mkuranga, Temeke,

Kinondoni, Ilala and Bagamoyo districts. In 2009, a total of 2,328 villages of

4,122,500 hectares in 63 districts were facilitated to implement the

Participatory Forest Management Programme compared to 59 districts with

1,821 villages in 2008. Out of that, 1,457 villages managed community forests

of 2,345,500 hectares and 863 villages managed forests of 1,777,000 hectares

in collaboration with the Government compared to 1,102 villages which

managed community forests of 2,060,608 hectares and 719 villages which

managed a total of 1,612,246 hectares in 2008.

136

203. In 2009, a total of 7,806,652 tree seedlings were developed and planted

in 6,805.8 hectares. Also, a total of 7,829.8 hectares of trees were pruned and

weeded compared to 4,082 hectares in 2008. In addition, 2,275.5 kilometres of

fire breaker roads were constructed compared to 2,241.2 kilometres in 2008.

204. In 2009, export of honey increased to 621 tons from 430 tons in 2008,

equivalent to 44.4 percent. Export earnings from honey increased from shs.

605.6 million in 2008 to shs. 1,222.9 million in 2009, equivalent to 50.5

percent., During the period under review, a total of 2,947 bee-keepers from 92

villages were trained on quality bee keeping practices and harvesting of bee

products. In addition, modern equipment for bee keeping such as 572 modern

bee hives, and 151 bee keeping tools were distributed to bee keepers. A total

of 296.5 tons of wax worth shs. 1,956.5 million was exported in 2009

compared to 502.3 tons worth shs. 2,865.4 million in 2008.

Table No. 11.1: Export of Bee Products (Honey and Wax 2005-2009 Wax Honey

Year Tons Value (Tshs.) Tons Value (Tshs)

2005 288 1,166,384,698 465 544,513,855 2006 330.59 1,855,703,156 316 491,945,014 2007 413.77 2,360,210,620 370 521,265,423 2008 502.336 2,865,405,326 430 605,617,695 2009 296.502 1,956,533,461.4 621 1,222,852,355 Total 2458.696 11,189,193,800 3,224 4,160,646,627 Source: Wildlife Department

205. In 2009, the average price of honey in the European Union market

ranged from USD 1,600 to USD 1,800 per ton. Also, the average price for wax

ranged from USD 4,500 to USD 5,200 per ton in the external markets. The

average farm gate price of honey ranged from shs. 1,500 to shs. 2,000 per 1.5

kilogram. Similarly, farm gate price of wax ranged between shs. 3,800 and

shs. 4,000 per kilogram.

206. In curbing illegal harvesting, transportation and marketing of forest

products, the Government continued to reinforce patrol groups by providing

training and essential working tools to forest reserve officers. Illegal forest

137

products apprehended during the patrols include 7,714 bags of charcoal,

21,398 pieces of timber, and 2,140 pieces of logs, 12,276 piece of poles, 97

plant sap, 12 bicycles, 6 chain saws and 3 traditional saws.

Wildlife 207. In 2009, receipts from wildlife sub-sector increased to shs 23,575.7

million from shs. 18,387.4 million in 2008, equivalent to an increase of 22

percent. This situation was a result of an increase in activities of tourism such

as photographic sceneries, wild animal hunting and licencing of trophy

business. However, earnings from exports of trophies and hunted wild animals

declined. This was due to problems associated with trophy business, such as;

avian influenza disease, shortage of flights for transporting live birds and

restrictions in some European countries.

Table No: 11.2: Trends in Earnings from Wildlife Resources 2006 -2009

No Source 2006 2007 2008 2009Change (% anad Tshs mil.)

1 Export permits 8.3 10.5 10.2 5.7 -4.62 Catching permits for live 236 74.5 408.5 87.6 -320.93 Permit for Owning 2.2 2.9 24 1.5 -0.94 Hunting Tourism 14,364.50 6,743.60 17,834.10 22,112.60 4,278.605 Photograpic Tourism 531.7 648.5 18.8 1,350.60 1,331.806 Other fees 16.1 84.7 11.4 7.4 -104.17 Trophy Business Licences 123 3.2 2 10.4 8.4

Source: Ministry of Natural Resources and Tourism 208. In 2009, a total of 42,544 patrols days were conducted in reserve

forests and non reserved areas compared 40,000 patrols in 2008. A total of 714

cases involving 3,052 suspects were filed in 2009 compared to 384 cases with

1,185 suspects in 2008. Out of that, 426 cases with 691 suspects were

concluded and 445 individuals were convicted and fined a total of shs. 131.1

million compared to 168 cases concluded in 2008 with 354 suspects.

Similarly, 45 poachers were jailed for 433 months and one acquitted compared

to 54 poachers in 2008.

209. In controlling destructive wild animals, a total of 2,100 patrol days

were undertaken in 23 districts affected by destructive incidences in 2009

compared to 35 in 2008. The affected districts were Ilala, Pangani, Kilolo,

Manyoni, Arumeru, Rombo, Hai, Siha, Simanjiro, Makete, Songea,

Nanyumbu, Singida Vijijini, Bunda, Monduli, Serengeti, Biharamulo, Kilosa,

138

Karagwe, Mkuranga, Iringa, Nzega and Kondoa. Also, centre for controlling

destructive wild animals was constructed in Rombo district.

210. In improving forest reserves, a total of 110 kilometres of roads were

rehabilitated in Selous Game Reserve in 2009. In addition, a total of 101.5

kilometres of boundaries were cleared in reserved forests of

Ikorongo/Gurumet (51.5Km) and Lukwika (50Km).

211. In implementing Participatory Forest Management Programme, a total

of shs. 200 million was disbursed to 9 communities with hunting blocks in

2009. The communities are JUHIWAI -Ipole- Tabora, MBOMIPA- Idodi and

Pawaga - Iringa, JUHIBU-Burunge - Babati, Enduimet - Longido,

Mbarang'andu - Songea, Ngarambe Tapika - Kibiti, Ikona - Serengeti,

NALIKA-Tunduru and MAGINGO –Liwale.

Fishing 212. In 2009, fishing activities grew by 2.7 percent compared to 5.0 percent

in 2008. The decline was attributed to poor fishing gears, destruction of fish

hatcheries and stiff competition in the European market especially from China,

and Vietnam which use modern technology and aquaculture. The contribution

fishing activities in GDP was 1.4 percent in 2009 compared to 1.2 percent in

2008.

213. In 2009, a total of 344,567.2 tons of fish worth about shs. 408 billion

were harvested compared to 350,311.4 tons worth shs. 235.3 billion in 2008.

In addition, 174,540 artisanal fishermen participated in fishing using 56,164

fishing vessels compared to 170,038 artisanal fishermen using 52,174 fishing

vessels in 2008. Out of that, 136,933 fishermen operated in fresh water using

48,221 fishing vessels and harvesting 299,729.1 tons of fish worth shs. 354.4

billion. Artificial artisans from the Coastal zone were 37,607 harvested 44,838

tons of fish worth shs. 56.6 billion using 7,943 fishing vessels.

In 2009, a total of 41.1 million kilograms of fish and 53,188 pieces of aquarium and live fish worth shs. 1,136.9 billion were exported compared to 51.4 million kilograms and 33,066 aquarium and live fish in 2008. receipts from aquarium and live fish exports were shs. 6.3 billion in 2009 compared to shs. 6.6 billion in 2008. Nile perches exports declined by 24.3 percent to

139

29,308,384 tons worth shs. 130.8 billion compared to 38,721,422.2 tons worth shs. 180.4 billion in 2008. 214. In 2009, the Deep Sea Fishing Authority did not issue licences for

fishing for deep water fishing following the Government notice to revoke all

deep sea fishing permits.

215. In 2009, a total of 9,617 patrols were conducted to control illegal

fishing in the sea, lakes, rivers and country boundaries compared to 7,227

patrols in 2008. During the patrol, illegal fishing gears and various tools were

confiscated. Among them were 3,116 fishing nets , 5,023 monofilament nets,

29,927 makila nets, 244 sardine nets ( less than 10 mm); 700,540 synthetic

rope; 147,710 kilograms of crescent fish, 10,033 kilograms of fresh fish, 215

kilograms of sea shells, 23,985 kilograms of sardine . Also, 987 suspects were

detained for various offences compared to 717 suspects in 2008.

216. In 2009, a total of 831 inspections were carried out to ensure quality of

fish products in 14 fish processing industries and 13 storage facilities

compared to 1,233 inspections carried out in 2008. In addition, a total of 975

samples of fish products, water and soil were tested at the National Fish

Quality Control Laboratory at Nyegezi Mwanza: the Tanzania Bureau of

Standards, South Africa Bureau of Standards and Chemiphar of Uganda to

detect harmful bacteria and mineral contents compared to 708 samples in

2008. Also, a total of 31,263,286 kilograms of fish and fish products and

51,663 aquarium fish were inspected before exported. All samples tested met

the international safety and standards.

Tourism 217. In 2009, number of tourists visited various tourist attractions in the

country declined by 7.3 percent to 714,367 from 770,376 tourists in 2008.

Similarly, earnings from tourism declined by 3.0 percent from USD 1,198. 76

million in 2008 to USD 1,162.80 million in 2009. The decline was caused by

the world economic crisis.

218. In 2009, the process of improving tourism services and infrastructures

were undertaken by tourism agency. The exercise of ranking hotels in Dar es

Salaam and Pwani regions was carried out in March 2009, whereby 203 hotels

140

were assessed. Out of which, 99 hotels were qualified for ranking. However,

65 hotels were star rated and 34 hotels were not rated.

219. In 2009, a total of 647,193 tourists visited National Parks, whereby

533,655 tourists were foreigners and 113,538 were locals. Earnings from

tourists visited the National Parks was shs. 67.3 billion. In addition, a total of

438,179 tourists visited Ngorongoro Conservation Authority, of which

234,767 were foreigners and 203,412 were locals. Earnings from tourists

visited Ngorongoro was shs. 34.7 billion.

220. In 2009, the Government continued to promote tourist attractions in

domestic and foreign markets. The promotion included participation in trade

fairs in Tokyo, Moscow, Barcelona, London and Las Vegas.

141

Table No. 11.3: Tourists visited National Parks and Earnings for January - Desemba 2009.

N0 National Park Foreigners Locals Total Revenue

(Tshs)1 ARUSHA 40,268 9,235 49,503 2,339,387,301 2 GOMBE 1,202 432 1,634 204,503,850 3 KATAVI 1882 292 2,174 202,229,175 4 KILIMANJARO 41,879 1,183 43,062 30,109,748,440 5 KITULO 366 187 553 36,145,700

6 ZIWA MANYARA 118,565 16,361 134,926 4,758,228,813

7 MAHALE 810 58 898 342,847,429 8 MIKUMI 25,282 10,616 35898 792,552,744 9 MKOMAZI 647 263 910 70,588,250

10 RUAHA 14,125 3,118 17,242 1,153,754,858 11 RUBONDO 472 153 625 65,701,650 12 SAADANI 2,755 1,335 4,090 105,268,080 13 SAANANE 1,936 51 1985 8,875,800 14 SERENGETI 202,537 58841 261,378 22,956,673,451 15 TARANGIRE 77,739 10,018 87,757 4,019,454,771 16 UDZUNGWA 3163 1395 4,558 121,871,763

JUMLA KUU 533,655 113,538 647,193 67,287,832,075 Source : TANAPA Table No. 11.4: Tourists visited Ngorongoro Conservation Authority and

Earnings for January - December 2009 Monthi Foreigners Locals Total Revenue (Tshs.) January 19,176 18,462 37,638 3,184,363,880.10 February 23,628 17,239 40,867 3,601,413,146.50 March 14,072 14,463 28,535 3,162,927,138.70 April 10,271 12,239 22,510 1,289,,337,307.95 May 8,714 12,062 20,776 1,332,029,171.80 June 16,075 15,940 32,015 2,456,883,262.00 Julay 31,908 21,786 53,694 4,231,731,129.51 Agost 32,995 22,030 55,025 4,289,879,099.00 September 19,916 17,224 37,140 3,024,501,009.97 October 21,916 17,392 39,308 3,045,013,094.00 November 14,703 14,229 28,932 2,240,074,238.15 December 21,393 20,346 41,739 2,883,440,244.21 Total 234,767 203,412 438,17 34,741,592,721.89

Source: Ngorongoro Conservation Area 221. In 2009, potential beach areas for investment were identified in Dar es

salam (Temeke). The areas are suitable for developing hotels, ecological

tourism such as canoeing, walking safaris and water sports and cultural

tourism.The process for storing pictures of these areas in Compact Disc (CD)

has started so as to be used by the respective council. Likewise, tourist

142

attraction sites were identified in Coast region (Bagamoyo) and Dar es

Salaam.

222. In 2009, the Government through the Tourist Trainning Programme

conducted customer care service training to 300 hotel workers in Arusha,

Mbeya, Mwanza and Iringa regions. In addition, 217 tutors were trained in

Dar es Salaam, Arusha, Zanzibar, Mwanza, Kilimanjaro and Lindi. Similarly,

the Government prepared, and control quality of curricula that will be used in

hotel and tourism colleges.

Archives and Antiquities 223. In 2009, temporary pavilion was built at Laetoli, and the process of

preparing Archive and Business Plan commenced. In addition, the Caravan

Serai building in Bagamoyo was rehabilitated and Kaole centre was improved.

Similarly, the strategy to restore Kilwa Kisiwani and Songo Mnara from

UNESCO list of distinct areas was prepared, Further, the 50 years anniversary

for the discovery of Zinjanthropus Skull and the establishment of Ngorongoro

Conservation Authority and the current Serengeti National Park was done.

Receipts from tourists who visited archives were shs. 216.5 million in 2009

compared to shs. 215.6 million in 2008.

143

Table No. 11.5: Visitors who visited Antiquities Centres and Earnings

Centre Visitors Revenue (Tshs)Olduvai George 102,925 140,691,000

Kaole 16,840 9,663,800Isimila 2,465 1,064,700Mji Mkongwe 8,245 5,276,800Caravan Serai 14,810 3,060,500Kolo 205 138,700Kalenga 90 126,000Engaruka - -Kilwa 761 816,900Mbozi 693 349,400Amboni 7,205 3,644,300Tongoni 311 431,600Kunduchi - -Ujiji 558 1,737,000Kwihara 865 1,409,600Makao Makuu 48,050,990Jumla 167,295 216,461,290

Source: Ministry of Natural Resources and Tourism

144

Table No. 45

RegionNumber of seedlings (Target)

Number of seedlings (Planted)

Number of seedlings (Target)


Number of

seedlings (Target)


Number of seedlings (Target)


Arusha - 1,591,934 - 4,141,250 - 4,312,043 7,450,000 6,967,717Dar es Salaam - 949,844 - 1,668,801 - 1,668,800Dodoma - 2,472,127 - 3,859,176 - 3,859,180Iringa - 17,000,000 - 20,000,000 - 17,486,732 93,290,764Kagera - 5,831,745 - 11,035,410 - 5,293,435 13,000,000 10,442,300Kilimanjaro - 3,054,132 - 6,000,000 - 4,817,061Kigoma - 1,819,307 - 2,013,451 - 2,013,452Lindi - 2,927,204 - 6,000,000 - 3,773,313 6,200,000Mara - 6,030,801 - 5,094,200 - 5,297,968Mbeya - 4,681,448 - 11,953,129 - 5,950,835Mtwara - 1,845,270 - 3,186,400 - 1,713,806 8,560,000 6,914,500Mwanza - 2,439,019 - 7,730,189 - 5,084,184Morogoro - 5,295,470 - 6,467,449 - 5,862,747 10,500,000 5,314,243Coast - 2,672,490 - 4,006,275 - 5,432,241 7,823,726Rukwa - 3,166,911 - 3,261,918 - 3,392,395Ruvuma - 3,208,223 - 6,500,000 - 4,750,000 8,500,000Singida - 357,163 - 2,128,150 - 1,830,458Shinyanga - 3,835,080 - 19,910,981 - 34,839,431 6,000,000 1,498,289Tabora - 3,338,540 - 4,120,530 - 3,238,550 6,900,000 3,728,781Tanga - 66,869,301 - 5,596,002 - 6,873,579 12,000,000Manyara - 1,784,543 - 3,606,308 - 4,154,855 7,500,000 4,614,004TOTAL - 141,170,552 - 138,279,619 - 131,645,065 187,724,490 39,479,834

Source: Departments of Forestry and Beekeeping and Environmental Department - statistics not available

2008/092007/08

TREE PLANTING - SEEDLINGS PLANTED

2006/072005/06

145

Table No. 47

Volume/Weight Value Volume/Weight Value Volume/Weight Value Volume/Weight Value Volume/Weight Value(USD '000) (USD '000) (USD '000) (USD '000) (USD '000)

Tree logs 5867.48 1939.18 5,117.10 11,096.10 12,850.76 35.40 3,191.93 9.56 6,895.10 27.20Timber (Rough sawn) 87918.30 767.11 24,859.30 66,741.20 51,908.84 137.98 79,037.73 73.35 113.90 2.70Ebony Timber 65.24 3312.15 2,269.20 2,321.70 137.70 4.81 11,002.26 3.46 0.23 52.00Floor Boards 75.09 300.00 107.70 378.90 140.20 0.55 5.38 1.28 28,560.40 18.90Wood carvings/sculptures 6655.00 66.70 45,296.90 27,271.20 63,634.70 40.54 114,937.58 28.86 - -Rail gauges 272.06 125.15 19.90 81.60 - - - - -Sandals Tree 4964.00 178.32 398,555.50 3,011.40 550.00 1.52 - 1,333.00 3.30Furniture - 471614.00 6,504.00 4,092.10 6,504.00 6.72 183.18 2.51 -Tannin 114.00 600.00 0.00 - - 458,000.00 2.50Mimosa Bark 15.72 11.48 304.00 1,102.00 532.00 2.00 1,417,000 7.86Terminalia bark 1180.00 200.00 0.00 - 637.00 8.90Tree Seeds - - 1,150.00 - 1,787.00 36.28 - 296.50 1,505.10Bees Wax 288.00 124110.00 330.60 - - - 428.68 1,892.00 620.50 940.70Honey 465.18 77971.40 315.80 - - - 94.00 80.89 -Tree's Glue 0.00 - - 27.11 172.00Poles 904.06 8,791.80 85,000.00 - 0.4583 7,839 42.12 5,968 1.80Sandals Oil 21.25 2907.44 11,325 3.15 628,201 4.10Cinchona Bark 84.38 0.53 412,120 1.98Handicrafts 5,667.26 3.761Coral Tree Leaves 5.00 0.0333

681375.49 11637.34 681375.49 2147.02 2,739.20

Source: Forestry and Beekeeping Department - Not available

2008/092005/06 2006/07

EXPORTS OF FORESTRY PRODUCTS

Product2007/08

Total

2004/05

146

Table No. 48

Birds Number 159229 152230 161220 100516 91075 98112 90869 6236 15347 15347 18798Reptiles Number 58115 59112 62112 66857 58566 73620 54221 101467 112630 114171 110056Other mamals than primat Number 1043 1112 1099 1090 950 569 509 229 274 296 202Primates Number 929 825 1026 1282 155 476 437 273 736 738 50Amphibians Number 24591 25570 23820 34509 33457 27007 18823 37989 43967 46402 47055Insects Number 17548 16320 19320 30211 57735 59376 73057 107489 77245 111512 100171

Source: Wildlife Department

2007 2008 2009

EXPORT OF GOVERNMENT TROPHIES

20051999 2000 2001 20002 2003 2004UnitType of Trophy 2006

147

Table No. 48AActivity Unit 2001/02 2002/03 2003/04 2004/05 2005/06 2006/07 2007/08 2008/09

Tourist Hunting US $ 9,021,000.00 9,322,719.00 8,824,305.00 9,775,749.00 11,676,847.00 12,030,510.00 14,704,370 14,861,740Export of live animals Shs. 151,280,269.52 152,310,335.00 162,103,453.55 177,028,656.80 165,465,745.62 180,686,042.85 206,671,428 204,897,124


Table No. 48BYear Number of

companies Foreign Tanzanians

1994/95 43 668 1941995/96 42 694 1601996/97 35 937 1711997/98 35 992 3551998/99 35 933 3911999/00 35 923 4292000/01 39 893 4072001/02 40 1035 4182002/03 40 1018 3592003/04 40 1274 3802004/05 46 1245 4092005/06 54 1482 8552006/07 54 1582 8552007/08 54 1508 17252008/09 54 1152 1454


NUMBER OF TOURIST HUNTERS

Number of Hunters

EARNINGS FROM TOURIST HUNTING AND EXPORT OF LIVE ANIMALS

148

Table No. 50Number Fish catch and Revenues

of Artisanal Fresh Sea Total Fresh Waters TotalYear 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 41,445,649.001994 61,943.0 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 45,177,320.001995 62,486.0 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 74,384,956.001996 62,486.0 18,696.0 3,768.0 22,464.0 308,600.0 38,200,000.00 48,200.0 24,100,000.00 356,800.0 62,300,000.001997 62,486.0 18,696.0 3,768.0 22,464.0 306,750.0 42,265,000.00 50,210.3 25,350,000.00 356,960.3 67,615,000.001998 62,486.0 18,696.0 3,768.0 22,464.0 300,000.0 47,486,100.00 48,000.0 29,273,500.00 348,000.0 76,759,600.001999 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 77,518,000.002000 92,529.0 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 77,680,000.002001 101,195.0 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 81,222,385.002002 119,856.0 31,849.0 4,727.0 36,576.0 273,856.0 54,771,300.00 49,675.0 33,372,136.00 323,531.0 88,143,436.002003 119,856.0 31,849.0 4,927.0 36,776.0 301,855.0 141,073,500.00 49,270.0 34,489,000.00 351,125.0 175,562,500.002004 122,514.0 32,172.0 4,947.0 37,119.0 312,040.0 147,743,000.00 50,470.0 40,376,000.00 362,510.0 188,119,000.002005 133,197.0 32,172.0 7,190.0 39,362.0 320,566.0 256,452,800.00 54,969.0 82,452,930.00 375,535.0 338,905,730.002006 156,544.0 44,362.0 7,190.0 51,552.0 292,518.7 248,640,903.50 48,590.5 37,077,636.79 341,109.2 285,718,540.292007 163,037.0 44,362.0 7,342.0 51,704.0 284,347.9 252,525,197.95 43,459.6 39,210,207.20 327,807.50 291,735,405.152008 170,038.0 44,832.0 7,342.0 52,174.0 303,936.0 194,725,415.72 46,375.5 40,563,641.20 350,311.40 235,289,056.922009 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

Source: Fisheries Department

Number of BoatsMarine Waters

PRODUCTION IN THE FISHERIES SECTOR : 1993 - 2009

149

EXPORT OF FISH PRODUCTS Table No. 51

Quantinty Value Quantinty ValueProduct Kg TShs. US $ Kg TShs. US $Prawns 305,275.8 1,881,259,276.1 1,580,600.4 Frozen lobsters 51,842.6 830,852,002.7 649,730.5 91,392.0 663,246.0 794,917,714.2 Live Lobsters 22,052.0 440,706,290.6 370,156.2 90.0 3,147,323.0 2,700.0 Lobster tail 3,567.5 70,569,832.0 48,836.1 29,481.6 531,252,087.2 434,900.6 Live crabs 74,068.0 556,046,935.8 460,438.0 130,150.0 970,817,144.3 812,010.0 Frozen Crabs 35,100.0 143,731,976.2 110,959.9 38,050.4 612,853,089.5 519,142.8 Kayabo 9,600.0 25,991,100.0 20,910.0 94,364.0 246,547,559.8 166,995.7 Octopus 1,595,737.0 7,823,260,307.2 6,369,364.0 51,912.0 1,265,569,448.3 1,064,067.8 Squids 54,676.0 211,791,359.7 175,481.4 15,210.0 59,497,061.1 49,118.0 Sea shells 213,929.0 154,485,971.5 126,446.3 331,977.0 122,827,900.8 105,993.7 Belly flaps 388,380.0 160,868,340.0 128,897.2 387,906.0 498,020,025.0 409,652.5 Chilled Fillets 18,806,455.0 79,227,427,108.6 64,234,127.1 Dried fish 222,762.5 475,550,851.4 383,099.3 109,217.7 438,818,809.8 179,483.7 Fish Skins/Frozen Fish offcuts 215,444.0 104,389,449.2 83,986.8 52,836.0 3,753,001.8 62,008.0 Frozen chest 656,679.0 309,649,712.8 223,213.6 638,136.0 339,240,743.9 283,077.0 Frozen H&G 799,360.0 3,400,918,320.8 2,786,376.8 9,991,275.3 9,207,902,985.9 7,828,705.0 Fish fillets 497,588.0 237,986,617.2 190,503.4 18,110,009.0 97,808,348,123.3 83,751,334.3 Dried Sardines 5,868,585.6 5,117,098,641.1 4,309,613.0 9,991,275.3 9,207,902,985.9 7,828,705.0 Nile Perch fillet 24,001,066.8 102,033,115,430.9 82,843,100.7 13,124,329.2 67,608,219,164.9 56,839,820.9 Frozen Fish Frames/Cuttle fish 129,413.0 82,526,354.0 64,587.0 136,982.0 89,634,583.0 33,648.5 Nile Perch chips 29,616.0 9,336,576.0 7,404.0 Nile Perch belly flaps/Fish maws 1,606,592.8 8,546,194,603.2 6,941,700.0 1,416,296.0 7,992,408,211.5 7,228,395.5 Fish meals 1,759,247.0 650,630,412.5 548,509.9 1,551,425.0 364,605,116.6 316,415.0 Frozen Octopus/Lobsters/tails 47,753.0 254,910,224.3 219,512.9 1,677,983.0 8,606,861,247.9 7,290,475.1 Sea weeds 400,000.0 228,353,080.0 200,000.0 331,977.0 122,827,900.8 105,993.7 Sub-Total 57,794,790.6 212,977,650,773.6 173,077,554.3 58,302,274.4 206,101,717,760.1 970,230,357.0 Acquarium fish (No. of Pcs) 26,225.0 233,608,064.6 195,115.5 33,066.0 240,106,146.0 192,055.4 Live Fish (No. of Pcs)Sea shells (No. of Pcs) .. .. ..Sub-Total 26,225.0 233,608,064.6 195,115.5 33,066.0 240,106,146.0 192,055.4 Grand Total 57,821,015.6 213,211,258,838.2 173,272,669.8 58,335,340.4 206,341,823,906.1 970,422,412.4

Source : Fisheries Department .. Not available

2007 2008

150

Table No. 51AQuantity Duties

Kgs T.shs US $ T.shs1996 25,544,863.0 24,837,660,718.5 61,782,880.1 1,513,450,669.01997 32,098,151.0 41,879,810,576.2 70,165,111.2 2,512,741,838.51998 46,660,954.0 54,836,980,435.0 83,523,090.0 3,290,218,972.21999 28,928,780.8 44,712,630,055.1 61,789,857.7 2,687,065,028.72000 41,725,215.8 51,173,638,115.5 64,535,114.8 3,071,388,241.32001 41,640,238.9 82,999,691,956.4 95,451,374.6 5,244,333,672.02002 32,953,787.4 88,940,963,071.8 94,244,093.3 4,981,373,636.92003 42,352,738.1 132,862,401,373.8 129,606,515.4 7,789,955,962.72004 46,026,817.4 112,922,686,607.3 112,761,195.1 7,190,356,743.12005 57,310,093.7 162,619,492,949.1 141,597,362.2 9,142,768,083.82006 44,495,623.4 170,184,661,003.1 138,120,145.1 6,236,615,179.22007 57,795,513.6 213,211,258,838.2 173,272,670.4 7,589,576,913.92008 51,426,207.7 205,054,092,452.9 174,409,214.4 6,629,846,700.12009 41,148,261.0 1,136,908,534,123.7 905,730,134.0 6,322,405,964.0

TOTAL 590,107,245.7 2,523,144,502,276.5 2,306,988,758.4 74,202,097,605.4Source : Fisheries Department

SUMMARY OF FISH EXPORT PRODUCTS - 1996-2009

ValuesYear

151

Table No. 51BQuantity Duties

Kgs T.shs US $ T.shs1996 20,296,124.4 19,338,404,278.7 52,277,681.3 1,185,728,961.91997 23,075,904.6 33,125,889,871.5 54,821,414.1 1,987,549,609.21998 36,386,241.0 43,258,023,811.9 65,727,795.0 2,595,481,431.81999 23,757,461.9 37,554,505,909.0 51,992,752.5 2,257,832,543.02000 30,831,841.0 36,401,237,005.8 45,903,212.8 2,184,070,656.42001 31,385,651.5 67,179,279,502.2 77,212,250.7 4,022,462,279.72002 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 6,122,922,418.22004 30,312,898.3 82,356,866,789.0 76,261,406.4 5,171,324,343.02005 53,675,473.7 148,785,948,008.6 129,184,492.6 8,419,301,970.42006 39,472,977.7 156,160,190,326.6 126,829,665.7 5,491,786,878.82007 50,078,575.6 195,242,463,549.7 158,422,058.5 6,660,034,977.02008 38,721,422.2 180,366,779,818.2 153,740,732.3 5,412,912,979.22009 29,308,384.0 168,672,111,452.0 130,877,948.3 4,640,564,903.5

TOTAL 463,752,748.2 1,344,324,304,498.1 1,301,940,676.2 56,151,973,952.1Source : Fisheries Department

ValuesYear

TRENDS OF NILE PERCH EXPORTS - 1996-2009

152

Table No. 52Description 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009

Total number of visitors (000) 482 627 502 525 575 576 582 613 644 719 765 714Total bednights (000) 2944 3381 3837 5549 8430 9600 9625 10630 11792 12748 11390 10593 Tanzanians 1888 1686 2160 2917 3971 4100 4100 4500 4837 5350 4061 3708 Foreigners 2534 1695 1677 2632 4459 5500 5525 6130 6955 7398 7329 6885Visits to National Parks by Foreigners 482 627 778 880 1029 1031 1032 1083 1150 1214 1292 1163Foreign exchange earnings (US $ Mil.) 570 733 739 725 730 731 746 823 862 1037 1354 1159.82


NUMBER OF VISITORS, HOTEL BED-NIGHTS AND FOREIGN EXCHANGE EARNINGS

153

Table No. 53

Year Number of Tourists % Change Foreign exchange

earnings (US $ mil.) % Change

1995 293834 12.3 258.14 34.41996 326192 11.0 322.00 24.71997 360000 10.4 392.41 21.91998 482331 34.0 570.00 45.31999 628188 30.2 733.30 28.62000 501668 -20.1 739.10 0.82001 525122 4.7 725.00 -1.92002 575000 9.5 730.00 0.72003 576000 0.2 731.00 0.12004 582000 1.0 746.08 2.12005 612754 5.3 823.05 10.32006 644124 5.1 950.00 15.42007 719031 11.6 1198.0 26.12008 770376 7.1 1354.0 13.02009p 714367 -7.3% 1159.8 -14.34%

Source: Ministry of Natural Resources and Tourism

NUMBER OF TOURISTS AND FOREIGNEXCHANGE EARNINGS: 1995-2008

154

Table No. 55Unit 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009

Total number of tourists Number 482331 627325 501669 525122 575000 576000 582000 613000 644000 719000 765000 714.367Number of tourists in hotels Number 457331 564593 479652 501081 550000 522000 553000 590000 605000 673722 715000 665.48Total earnings US $ million 570 733 739 725 730 731 746 823 950 1037 1354.0 1159.8Average earnings per tourist US $ 1182 1169 1473 1169 1270 1269 1282 1342 1475 1442 1700.0 1625.0Average number of bednights per visit Days 8 8 8 8 10 10 11 12 125 122 235 148Average daily expenditure per tourist US $ 156 152 184 173 127 127 128 140 12 12 12.0 11.0Number of hotels Number 215 321 326 329 465 469 474 495 503 515 520 529Number of hotel rooms Number 7500 9575 10025 10325 25300 306000 30840 31365 31689 31870 32045 32315Number of hotel beds Number 13400 15325 17303 18284 45500 55500 55932 56562 56781 56995 57205 58167Total tourist bednights in hotels Number 2943600 1686000 1888000 1955000 8430000 9600000 9625000 10587000 11792000 12748000 13768 10710Average hotel occupancy rate per year % 60 64 54 59 51 47 47 48 48 48 49 47

Number of employees in the tourist secto Number 132000 148000 156050 156500 160200 160500 198050 199000 199300 250000 250500 250800

Source: Ministry of Tourism and Natural Resources, National Bureau of Statistics

TOURIST ACCOMODATION IN TANZANIA (1998-2009)

155

Table 55B

Local foreigner Local foreigner Local foreigner Local foreigner Local foreigner

Olduvai Gorge 107 39835 2616 50619 3418 32227 1037 59058 860 54428(Makumbusho ya Mwl Nyerere) HQ 853 8 684 0 1039 0 0 0 0 0Isimila 849 588 1799 681 993 890 2431 1148 667 619Kalenga 551 158 548 122 571 64 1130 211 491 228Ngome Kongwe - Bagamoyo 6969 562 8903 759 0 0 0 0 73 119Kaole 6437 442 2003 155 3674 153 11355 552 18983 1336Kolo - Kondoa 120 122 105 148 334 227 0 0 202 217Amboni 5281 391 6004 453 5110 391 7174 421 5010 276Tongoni 0 0 0 0 70 28 284 98 218 93Kwihara - Tabora 172 60 180 108 0 0 266 60 254 139Mbozi - Kimondo 0 0 0 0 0 0 0 0 1991 387Caravan Serai 0 0 0 0 1267 102 4937 309 10170 1003Kunduchi 0 0 0 0 0 0 109 30 301 24Engaruka 72 137 8 45 19 321 84 181 264 466Kilwa Kisiwani 548 791 546 0 0 0 0 0 233 1206Ujiji 1258 847 847 391 1579 990 1134 700 2212 600Total 23217 43941 24243 53481 18074 35393 29941 62768 41929 61141

Chanzo: Idara ya Mambo ya Kale,

2006/2007

NUMBER OF VISITORS TO CULTURAL TOURISM CENTRES

2002/2003 2003/2004 2004/2005 2005/2006

Centre/year

156

CHAPTER 12

MINING Growth Rate 224. The mining and quarrying sub activity grew by 1.2 percent in 2009

compared to 2.5 percent in 2008. The decrease was due decline in minerals

prospecting and investment following economic downturn of 2008.

Mineral Prospecting 225. In 2009, a total of 4,831 mining and prospecting licenses were issued

compared to 4,980 in 2008, equivalent to a decline of 3 percent. Out of which,

877 licenses were for prospecting and 3,954 for mining activities. The decline

was due to economic slowdown of 2008.

Mining and Mineral Sales Diamond

226. In 2009, diamond production declined by 22.8 percent from 237,676

carats in 2008 to 181,874 carats. This was due to decrease in production at

Williamson Diamonds Limited (WDL), following obsolete of the plant

machines. However, the value of diamond exports amounted to USD 22.73 in

2009 compared to 22.4 in 2008, equivalent to an increase of 1.5 percent. This

increase was a result of Williamson Diamond Limited (WDL) transacting its

diamonds through tendering in the world market, whereby the prices were

competitive as compared to previous procedures where diamonds were sold to

DTC, which is a subsidiary company of De Beers.

Gold

227. In 2009, a total of 39,112 kgs of gold were produced compared to

36,477 kgs in 2008, equivalent to an increase of 7.2 percent. The increase was

attributed to the commencement of production in Buzwagi Gold Mines, and

increase in production at Geita and North Mara Gold Mines. However,

production in Tulawaka and Resolute Mines declined as a result of falling

mineral contents (ore grade) of gold.

157

228. The value of gold exports was USD 1,140.7 in 2009 compared to USD

992.8 in 2008, equivalent to an increase of 14.9 percent. The increase in value

of exports was due to increase in volume exported and price of gold in the

world market. The average price of gold in the world market increased from

USD 871.7 per ounce in 2008 to USD 972.7 per ounce in 2009, equivalent to

an increase of 11.6 percent.

Gemstones

229. In 2009, production of gemstones was 1,068,481.kilograms compared

to 1,858,119 kilograms in 2008, equivalent to a decrease of 42.4 percent. The

value of gemstones exports was USD 20.7 million in 2009 compared to USD

49.8 million in 2008, equivalent to decrease of 58.4 percent. The decrease was

caused by decline in production and prices of Tanzanite and other gemstones

in the world market following the impact of the world economic crisis.

Coal

230. In 2008, coal production was 15,242 tons compared to 27,198 in 2007.

In 2009, Kiwira Coal Mines stopped its production due to lack of fund to meet

operational costs. Likewise, Upendo Group Company Limited in Rukwa

suspended coal production due to lack of markets.

The Value of Mineral Exports 231. The value of mineral exports was USD 1,217.3 million in 2009

compared to USD 1,098.8 million in 2008, equivalent to an increase of 10.8

percent. The increase was attributed to increase in gold production and prices

of gold and diamond in the world market.

158

Table No. 56Mineral Unit 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009

Diamonds Carats 97830 235000 354388 254271 239761 236582 303920 219639 272204 282786 237676 181874Gold Kgs 4270 4890 15060 30088 43320 48018 48176 52236 39750 40193 36434 39112Gemstones Kgs 48518 95200 150800 96866 195842 1531547 1613848 1936618 2493133 1286297 1858287 1068481Salt Ton 75000 35893 70000 65000 71200 58978 57062 135410 34798 35224 25897 27392.8Phosphate Ton 1431 7250 5100 4000 1182 3738 6570 7096 2881 8261 28684 752Limestone 000 Ton 1181 1241 1500 2269 2857 1206 1391 2780 1608 1322 1282000 1284000Tin Ore Ton - - - - - - - - - - - -Gypsum Ton 59066 21195 60000 72000 73000 33232 59231 63377 32798 2730 55730 8105Coal Ton 45073 75044 79184 77789 79210 54610 65041 74800 17940 27198 15242 1Pozolana Ton - 2274 57014 41468 52000 105910 152679 163499 129295 184070 260403 61501Kaolin Ton - - - - - - - - - 1020 13926 18624Silver ore Kgs - - - 6681 7669 7986 13216 12891 14906 12381 10388 8231Copper Pound - - - 5832158 9309812 8191035 9348181 7632959 7241639 7222390 6288503 4451697Bauxite Ton - - - - - - - 1640 5373 5003 20601 122920

Source: Minerals Department * Provisional data - Not available Carat = 0.205 gms

MINERAL PRODUCTION

159

Table No. 57Type of mineral Unit

2004 2005 2006 2007 2004 2005 2006 2007 2008 2009

Diamonds (Rough) '000 Carats 4341 220 272 283 221 33680 25350 25913 28913 2238 22727Diamonds (Cut) '000 Carats - - - - - - - - - - -Diamonds (Contract goods) '000 Carats - - - - - - - - - - -Gold '000 Grams 3269 52172 39750 40095 36392 596620 643640 772059 888873 992802 1039456Gemstones '000 Grams 7280 1936618 2493211 1090213 1858107 26890 40530 10256 35582 49850 20674Salt Ton - 16963 18226 17965 13523 2050 1630 1998 2174 2380 1738Phosphate Ton 42 6613 2881 8261 2684 510 638 275 715 280 148Tin Ton 3 - - - - - - - - - -Gypsum Ton 8 2400 5650 2500 2025 - 50 28 74 650 84Graphite Ton 90 - - - - - - - - - -Silver 000grams - 12891 14906 12381 9835 2950 2990 5540 5317 6680 4961Copper 0001b - 7633 7242 7222 6288 12170 12620 19896 21063 21063 11499Indusrial mineral Ton - - - - - - - - - - -Bauxite Ton - 1850 5373 4700 20601 - 30 51 571 480 2127Total ('000 US $) 674870 727478 836016 983282 1076423 1103414Source: Ministry of Minerals and Energy, Minerals Department - Not available * Revised figure ** Provisional figures

MINERAL EXPORTS: 2004- 2009

Quantity exported Value ( ' 000 US $)

160

CHAPTER 13

MANUFACTURING AND INTERNAL TRADE Growth 232. Manufacturing activities grew by 8.0 percent in 2009 from 9.9 percent

in 2008. The decline was largely attributed by the world economic crisis. The

contribution of manufacturing activities to GDP increased from 7.8 percent in

2008 to 8.6 percent in 2009.

Small Enterprises 233. In 2009, advisory services related to business development were

provided to 21,922 entrepreneurs compared to 6,139 in 2008, equivalent to an

increase of 257 percent. Out of that, 10,203 entrepreneurs were trained on

food and leather processing. In addition, 2,152 entrepreneurs participated in

trade fairs in 2009 and sell goods worth shs.1.72 billion. Likewise, credit

extended to small entrepreneurs amounted to shs. 3.6 billion in 2009 compared

to shs. 1.2 billion in 2008. The provision of credit facilitated creation of

13,300 employment opportunities in 2009 compared to 3,669 in 2008.

Production Costs 234. The production costs increased to shs. 1,764,351 million in 2009 from

shs 1,747,351 million in 2008, equivalent to an increase of 1.0 percent. The

increase was due to rise in the production cost of food, beverages, tobacco,

cigarettes and chemicals.

Production in Selected Industries 235. Production in selected industries in 2009 increased by more than 100

percent. The increase was attributed by increase in domestic demand.

Production of Konyagi increased by 151.9 percent from 4,049,000 litres in

2008 to 10,201,000 litres in 2009. Production of pyrethrum products also

increased from 73 tons in 2008 to 266 tons in 2009, equivalent to an increase

of 264.4 percent.

161

236. Production wheat flour increased from 287,925 tons in 2008 to

368,885 tons in 2009, equivalent to an increase of 28.1 percent. Chibuku

production increased from 10,235 litres in 2008 to 16,141 litres in 2009,

equivalent to an increase of 57.7 percent. Production of iron sheets increased

to 50,664 tons in 2009 from 31,743 tons in 2008, equivalent to an increase of

59.6 percent. Production of dry batteries increased to 78 million batteries in

2009, from 53 million batteries in 2008, equivalent to an increase of 47.2

percent.

237. Production of cement increased from 1,756,000 tons in 2008 to

1,941,000 tons in 2009. The increase was attributed to increase in demand of

cement in the domestic market, whereby consumption of cement increased

from 1,940,845 tons in 2008 to 2,399,458 tons in 2009, equivalent to an

increase of 58.5 percent.

238. Production of aluminium declined from 105 tons in 2008 to 58 tons in

2009, equivalent to a decline of 44.8 percent. Similarly, the production of

textiles declined from 140,531,000 square metres in 2008 to 91,501,000

square metres in 2009, equivalent to a decline of 34.9 percent. The decline of

production was noted in wood products (16.6 percent) biscuits and spaghetti

(1.5 percent), beer (2.2 percent), cigarettes (4.4 percent) and iron (13 percent).

Internal trade 239. Trade activities include wholesale trade, retail trade and repairs and

maintenance. In 2009, trade and repairs grew by 7.5 percent in 2009 compared

to 10.0 percent in 2008. The slowdown in growth was due to decline in

demand in the foreign market caused by world economic crisis. The

contribution of trade and repairs to GDP was 11.8 percent in 2009 compared


Dar es Salaam International Trade Fair (DITF) 240. In 2009, a total of 23 countries were represented at the Dar es Salaam

International Trade Fair in the Mwalimu J. K. Nyerere fair grounds, compared

to 27 countries in 2008. The decline in representation was caused by the world

economic crisis. A total of 2,103 exhibitors participated in the trade fair in

2009 compared to 1,930 exhibitors in 2008. Out of that, 1,760 exhibitors were

locals while 343 exhibitors were foreigners compared to 1,602 local exhibitors

162

and 328 foreigners in 2008. The increase in local exhibitors was attributed by

the increase in participation of Ministries and Government Institutions.

163

Table No.58 TonsYear Imported Exported Production Consuption % change1974 64613 30 296400 360983 6.201975 57043 0 266000 323043 -10.51976 58460 1861 243639 300238 -7.11977 54785 4139 246500 297146 -1.01978 73242 22714 250065 300593 1.21979 48375 7976 298891 339290 12.91980 30555 11110 305811 325256 -4.11981 49325 7751 389953 431527 32.71982 27541 16010 333531 345062 -20.01983 42428 20639 246919 268708 -22.11984 16895 18974 368644 366565 36.41985 111341 16424 375957 470874 28.51986 42028 6558 434898 470368 -0.11987 1383 11146 498261 488498 3.91988 9076 65765 590927 534238 9.41989 2145 29035 594791 567901 6.31990 2544 131469 663900 534975 -5.81991 2800 67766 1022580 957614 79.01992 3080 63065 677388 617403 -35.51993 3600 102282 748850 650168 5.31994 3160 53706 686200 617272 -5.11995 4000 72092 739156 671064 8.71996 1309 104811 725755 622253 -7.31997 2804 100165 621159 523798 -15.81998 14388 50718 777620 741290 41.51999 11418 29097 832602 814923 9.92000 7281 30497 833092 809882 -0.62001 56395 53517 900430 903308 11.52002 149079 37203 1026082 1137958 26.02003 166446 34396 1186434 1318484 15.92004 125007 37655 1280851 1368203 3.82005 120200 40430 1375222 1454992 6.32006 92711 98 1421460 1514073 4.12007 101827 52170 1629890 1679547 10.92008 356468 99688 1755862 2012642 19.82009* 516182 57569 1940845 2399458 58.5


PRODUCTION AND CONSUMPTION OF CEMENT

164

Table No.59% Change

Items Unit 1998 1999 2000 2001 2002 2003 2004 2005** 2006 2007 2008 2009 2008/09Biscuits Ton 805 611 891 1215 2284 5906 10214 10912 10565 11273 15435 15200 -1.5%Wheat flour Ton 87669 144693 162634 180098 219118 355616 338076 368019 434160 406336 287925 368885 28.1%Konyagi 000 Ltr 1994 1630 2214 2287 2937 3670 4105 4489 5365 5622 4049 10201 151.9%Beer 000 Ltr 170700 167478 183003 175649 175870 194100 202628 216604 299036 310194 291178 284906 -2.2%Chibuku 000 Ltr 11993 12392 17041 18750 19400 14825 10119 11106 11559 10320 10235 16141 57.7%Cigarrettes Million 3933 3371 3745 3491 3778 3920 4219 4445 5095 5821 6101 5831 -4.4%Textiles 000m2 45546 49757 73566 84325 106305 116714 111637 99134 146600 139000 140531 91501 -34.9%Sisal Ropes Ton 4329 3253 3900 4547 5901 6839 5161 5943 5854 7012 7783 7913 1.7%Fish nets Ton 35 24 42 57 30 41 260 274 119 156 - 64Canvas 000 m2 - - - - - - - - - - - 37152Wood products 000 Ton - 1953 568 450 304 32609 40248 37941 44310 45147 44547 266 -99.4%Pyrethrum product 000 Ton 9 17 44 71 36 16 23 25 33 33 73 -Fertilizer 000 Ton - - - - - - - - - - 25762Paints 000 Ltr 4943 12903 7085 9034 13564 16842 16621 16222 18402 17451 24857 -Petroleum products 000 Ton 312 287 177 - - - - - - - - 1941Cement 000 Ton 778 833 833 900 1026 1186 1281 1366 1422 1630 1756 34793 1881.4%Iron sheets Ton 9522 8982 11182 16340 25418 38794 41710 41299 44482 52163 39969 50664 26.8%Corrugated iron Ton 14918 23028 25046 25937 31742 31018 29573 29737 29898 36492 31743 58 -99.8%Aluminium Ton 180 187 133 137 141 199 171 183 105 110 105 -Radio 000 Number 15 - - - - - - - - - -Batteries Million 46 43 44 39 42 43 74 81 82 75 53 78 47.2%

Source: National Bureau of Statistics - No production ** Revised Figures

PRODUCTION IN SELECTED INDUSTRIES

165

Table No. 60

2006 2007 2008 2009 2006 2007 2008 2009 2006 2007 2008 2009151-4 Food processing 43690 44127 44564 45005 273 276 278 281 43962 44402 44842 45287155 Beverages 4083 4124 4165 4206 26 27 27 27 4110 4151 4192 4233160 Tobacco and

Cigarettes 6923 6992 7061 7131 0 0 0 0 6923 6992 7061 7131171-2,181

Textile Manufacturing10122 10223 10325 10427 52 52 53 53 10174 10276 10377 10480

191 Skins and Skins products 20 20 21 21 2 2 2 2 22 22 23 23

192 Shoes 1157 1169 1181 1192 6 6 6 6 1164 1175 1187 1199201-202 Timber and timber

products 2566 2592 2618 2644 77 78 78 79 2643 2670 2696 2723210 -221-

222Manufac. of paper product, printing 4333 4376 4420 4463 118 120 121 122 4451 4496 4540 4585

241 -2 Manufacturing of chemical 4863 4912 4960 5010 42 43 43 44 4906 4955 5004 5053

251 Rubber products 519 524 530 535 1 1 1 1 520 525 531 536252 Maufac. of plastic

products 2265 2288 2311 2334 17 17 18 18 2283 2305 2328 2351261 - 9

Manufacturing of non-metallic products

1705 1722 1739 1756 15 15 15 16 1720 1737 1754 1772271 - 369 Others 7095 7166 7237 7309 237 240 242 245 7333 7406 7480 7554

Total 89343 90236 91130 92033 867 876 885 894 90210 91112 92015 92927

Source: National Bureau of Statistics* Provisional Figures** Estimates

INDUSTRIES - ESTIMATED NUMBER OF EMPLOYEES

TotalISIC (Rev 3) Activities

OthersEmployees

166

Table No. 61 (Sh.million)

2007 2008 2009 2007 2008 2009 2007 2008 2009

151-4 Food Processing 62871 63500 64129 11526 11637 11753 74398 75137 75881

155 Beverages 29663 29960 30256 9371 9461 9555 39034 39421 39811

160 Tobacco and Cigarettes 19072 19263 19454 2139 2160 2181 21211 21423 21635

171-2, 181 Textile Manufacturing 11297 11410 11523 1626 1642 1658 12923 13052 13181

191 Skins and skins products 5 5 5 1 1 1 6 6 6

192 Shoes 758 765 773 117 118 119 875 884 893

201- 202 Timber and timber products 5060 5111 5161 403 407 411 5463 5518 5572210-221-

222 Manuf. of paper products, printing 26933 27202 27472 4560 4604 4649 31493 31806 32121

241 - 2 Manufacturing of chemical 6297 6360 6423 1666 1682 1699 7963 8042 8122

251 Rubber products 668 674 681 294 297 300 962 971 981

252 Manufacture of plastic products 2992 3022 3052 327 330 333 3318 3352 3385261 - 9

Manufacture of non-metallic products 9401 9495 9589 5048 5096 5147 14449 14591 14736271 -369

Others 16970 17139 17309 3605 3640 3676 20575 20779 20985Total 191987 193907 195827 40683 41075 41482 232670 234982 237308.9


Note 1. Activities identified above are those contributed more than one percent (Value Added) in 1999 and 2000 survey2. 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

Total

INDUSTRIES - ESTIMATED LABOUR COSTS

ISIC (Rev 3) Activities Salaries Other Payments

167

Table No. 62 (Tshs. Million)

2008** 2009 2008** 2009 2008 2009 2008** 2009

151-4 Food processing 817619 825715 585107 590840 232512 234874 33885 34220.3

155 Bevarages 488217 493051 307428 310440 180789 182611 27942 28218.9

160 Tobacco and Cigarettes 202561 204567 138594 139952 63967 64615 16685 16850.5

171-2, 181 Textile Manufacturing 128418 129690 64120 64748 64298 64942 5649 5704.87

191 Skins and Skins products 192 194 128 130 64 64 0 0

192 Shoes 11555 11669 9956 10054 1599 1615 592 597.994

201 Timber and timber products 23215 23445 19220 19409 3994 4036 679 685.453

210-221-222 Manuf. of paper products, printing 140421 141811 84525 85354 55895 56457 18454 18637

241 - 2 Manufacturing of chemical 142331 143741 125886 127119 16446 16621 6602 6667.31

251 Rubber Products 7866 7944 4121 4162 3745 3783 530 534.941

252 Manufacture of plastic products 67299 67965 53829 54356 13470 13609 5070 5120.58

261 - 9 Others 201279 203272 120109 121286 81170 81989 62186 62802

271 - 369 Manufacture of non-metallic products 293141 296044 234206 236501 58935 59543 6869 6936.94

Total 2524113 2549108 1747229 1764351 776884 784759 185144 186977


Note 1. Activities identified above are those contributed more than one percent (Value Added) in 1999 and 2000 survey2. 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 - SUMMARY STATISTIC

Depreciation

ISIC (Rev 3) Activities

Value addedCostsEarnings

168

Table No. 63

2006 2007 2008 2009 2006 2007 2008 2009 2006 2007 2008 2009 2006 2007 2008 2009

Dodoma - - - - - - - - - - - - - - -

Arusha, Manyara 3292 3325 3357 3391 3230 3230 3295 3327 6976 7006 7076 7146 72512 73237 72285 73017.2

Kilimanjaro 6902 6971 7041 7110 6828 6828 6964 7033 10261 10305 10408 10511 31958 32278 31858 32180.9

Tanga 8365 8449 8532 8617 8320 8320 8487 8571 10296 10340 10443 10547 20250 20453 20187 20391.2

Morogoro 11082 11193 11304 11416 11062 11061 11283 11395 22369 22464 22689 22913 49885 50384 49729 50232.8Coast - - - - - - - - - - - - - - - -Dar es Salaam, Coast 27604 27880 28156 28435 27143 27414 27686 27960 79789 80130 80932 81733 411352 415465 410062 414217Lindi 29 30 30 30 25 26 26 26 21 21 21 22 34 34 34 33.8794Mtwara 65 65 66 67 61 61 62 62 734 738 745 752 11 11 11 10.9453Ruvuma 1977 1996 2016 2036 1962 1982 2002 2022 721 724 731 739 1183 1195 1179 1191.36Iringa 15073 15224 15375 5527 15062 15213 15363 15516 14541 14603 14749 14895 15076 15226 15028 15180.7Mbeya 2810 2838 2866 2894 2787 2814 2842 2871 3753 3769 3807 3845 25053 25304 24975 25227.6Singida 20 20 21 21 20 20 21 21 3 3 3 3 0 0 0 0.12103Tabora 227 230 232 234 219 221 224 226 18878 18959 19148 19338 32688 33015 32586 32915.8Rukwa 87 88 89 89 81 82 82 83 20 20 20 20 123 125 123 124.192Kigoma - - - - - - - - - - - - - - -Shinyanga 226 229 231 233 217 219 221 224 2630 2641 2668 2694 30365 30669 30270 30576.6Kagera 1818 1836 1854 1873 1758 1776 1794 1811 3577 3593 3628 3664 42293 42716 42160 42587.6Mwanza 6894 6963 7032 7102 6842 6910 6979 7048 9170 9209 9302 9394 30902 31211 30805 31117Mara 3739 3776 3814 3852 3726 3763 3800 3838 7429 7461 7535 7610 15643 15799 15594 15751.8Total 90,210 91,112 92,015 82,927 89,343 89,941 91,130 92,034 191,170 191,987 193,907 195,826 779,329 787,121 776,884 784756


Region Number of workers Permanent employees Salaries (T.Shs. Million) Gross Value Aded (Tshs. Million)

INDUSTRIES - REGIONAL SUMMARIES

169

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 8.4 5.5 6.1 15.4 -1999 8.5 6.0 5.5 12.4 -15.7%2000 8.5 4.8 6.5 11.7 44.2%2001 8.4 5.0 7.2 9.1 29.4%2002 8.4 7.5 7.4 8.5 17.3%2003 8.6 9.0 6.8 8.4 27.2%2004 8.7 9.4 8.3 9.4 31.4%2005 8.9 9.6 9.3 11.8 41.8%2006 9.0 8.5 11.2 13.3 25.4%2007 7.80 8.73 14.50 18.01 57.9%2008 7.80 9.90 13.60 29.20 113.8%2009 8.60 8.00 18.90 23.00 21.7%

Source: Ministry of Finance and Economic Affairs

PERFORMANCE INDICATORS IN THE MANUFACTURING ACTIVITIES

170

CHAPTER 14

CONSTRUCTION AND LAND DEVELOPMENT . Construction 241. In 2009, the growth rate of construction activities was 7.5 percent compared

to 10.5 percent in 2008. The growth was mainly attributed to increase in construction

of roads and bridges; residential and non- residential building; and land development.

The contribution of construction activities to GDP was 7.9 percent in 2009 compared


Road Network 242. The total length of road networks in Tanzania is about 85,000 kilometres. Out

of that, 12,786.18 kilometres are trunk roads which connect regions and

neighbouring countries; 20,225.82 kilometres are regional roads, which connect

districts and major towns in the country; 20,000 kilometres connect districts and

villages; and 30,000 kilometres are feeder roads.

243. Generally, 53 percent of the road networks were in good condition, 33

percent were in fair condition and 14 percent were in poor condition. In 2009, the

road networks with good and fair condition declined and those with poor condition

increased compared to the condition in 2008. The decline was caused by the

upgrading of 3,165 kilometres of district roads to trunk roads in July, 2009. Most of

these roads were in fair and poor conditions. Moreover, heavy rain during November

and December, 2009 weakened the condition of roads.

244. In 2009, a total of 7,471.30 kilometres of trunk roads were in good condition

compared to 5,902.24 kilometres in 2008, equivalent to an increase of 26.6 percent.

In addition, a total of 4,190.98 kilometres were in fair condition compared to 3,386.2

kilometres in 2008, equivalent to an increase of 23.7 percent, while a total of 1,123.90

kilometres were in poor condition compared to 1,178 kilometres in 2008, equivalent

to an improvement of 4.6 percent.

245. In 2009, a total of 9,989.19 kilometres of regional roads were in good

condition compared to 10,701.87 kilometres in 2008, equivalent to a decrease of 6.7

percent. In addition, 6,903.54 kilometres were in fair condition compared to 6,352.03

171

kilometres in 2008. Likewise, 3,333.09 kilometres were in poor condition compared

to 1,936.49 kilometres in 2008, equivalent to a deterioration of 72.1 percent.

Table No. 14.1: Condition of Road Network by December 2009

Road Type Good km Fair km Poor km Total km Trunk Roads Tarmac 3,796.57 1,128.71 205.22 5,130.50 Gravel Roads 3,674.73 3,062.27 918.68 7,655.68 Sub-total 7,471.30 4,190.98 1,123.90 12,786.18 Regional Roads Tarmac 617.76 70.2 14.04 702.00 Gravel/Earth Roads

9,371.43 6,833.34 3,319.05 19,523.82

Sub-total 9,989.19 6,903.54 3,333.09 20,225.82 Grand Total

17,460.49

11,094.52

4,456.99

33,012.00

Source: Ministry of Infrastructure Development

Roads and Bridges Maintenance

246. In 2009, a total of 27,878 kilometres of roads and 2,232 bridges were

repaired. In addition, 859 kilometres of trunk roads and 290.12 kilometres of regional

roads and eight bridges were constructed.

Control of Cargo Weight on the Roads 247. In 2009, the control of weight loads ferried through trunk and regional roads

continued to be accorded high priority. In 2009, a total of 700,847 vehicles were

weighted. Out of that, 193,861 vehicles had excess load, equivalent to 27.66 percent,

whereby 10,210 vehicles, equivalent to 1.5 percent of the weighted vehicles had

excess load of more than 5 percent.

Road Board Fund 248. Collections of Road Fund increased to shs. 284.1 billion in 2009/10 mainly

attributed to the continued efforts of the Government to enhance the Road Fund. On

the other hand, in 2009/10, the Road Fund disbursed funds for the maintenance of

58,230.1 kilometres of roads. Moreover, the Internal Audit unit was reinforced with

the aim of improving follow up on funds disbursed. In 2009, Road Board Fund

recruited experts and established a task force team, whereby the study to identify

reasons for leakage on collections especially on petrol levy was conducted.

Contractors Registration Board 249. In 2009, the number of contractors registered by Contractors Registration

Board was 5,698 compared to 5,125 contractors in 2008. The Board registered 930

172

new contractors in 2009 compared to 656 contractors in 2008. Moreover, 154

contractors were upgraded after fulfilling the requirements compared to 142

contractors in 2008.

250. In 2009, the Board registered 2,847 projects worth shs. 2,402 billion

compared to 2,469 projects worth shs. 1,214.6 billion in 2008, equivalent to an

increase of 15.3 percent. In addition, the Board inspected 1,765 projects compared to

1,500 projects inspected in 2008. Out of those, 1,235 projects equivalent to 70 percent

adhered to the laws and regulations, while 530 projects equivalent to 30 percent had

several weaknesses, such as: health and safety (11.6%); unregistered contractors

(17%); and contractors executed projects beyond their grades (2.6%).

Table No. 14.2: Inspected Construction Projects Year 2005 2006 2007 2008 2009

Inspected Projects 785 1096 1251 1588 1765

Projects which comply with the regulations of building constructions (%)

61% 61.5% 78.4% 70.5% 70%

Source: Contractors Registration Board 251. In 2009, the Board used Local Contractors Fund in guaranteeing local

contractors to bid tender and make advance payments. The Fund facilitated 136

contractors to secure loans worth shs. 1.02 billion. In addition, members of the Fund

increased from 508 in 2007 to 561 in 2009.

252. In 2009, the Board conducted six courses through Sustainable Training

Program for contractors in Kagera, Dar es Salaam, and Ruvuma, Kilimanjaro,

Morogoro and Tabora regions. A total of 373 contractors attended the training. In

addition, the Board prepared strategy with the aim of developing and enhancing

capacity of local contractors to sustain competition.

Engineers Registration Board 253. In 2009, Engineers Registration Board registered 2,579 engineers compared

to 1,035 engineers in 2008. Out of the registered engineers, 2,308 were locals and 271

foreigners. In addition, 57 consultant engineering firms were registered compared to

21 companies in 2008. The above development has increased the stock of registered

engineers to 9,443 and consultant engineering firms to 181.

254. In 2009, Board coordinated practical training program for 986 graduated

engineers which enhanced their job experience/skills. Out of those attended the

training program,, 501 qualified and registered as professional engineers. Moreover,

173

15 short courses and 27 workshops on engineering were conducted, whereby 2,865

engineers participated. Likewise, Board inspected 285 projects, including

construction of roads, buildings, airports, industries and major gold mines. In 2009,

39 foreign engineers were registered while 7 foreign engineers could not qualify.

Architects and Quantity Surveyors Registration Board 255. In 2009, the Architects and Quantity Surveyors’ Registration Board

registered 94 architects and 54 quantity surveyors compared to 21 architects

and 14 quantity surveyors in 2008. This new registration has made the total

number of registered architects and quantity surveyors to reach 460 in 2009

compared to 433 in 2008. In addition, 57 technicians were registered in 2009

compared to 26 technicians in 2008, which has made a total number of current

registered technicians to be 62. Likewise, 55 architect and 30 quantity

surveyor companies were registered and make a total of registered companies

to be 222. Further, 4,534 construction sites were inspected in all regions of

Tanzania Mainland.

The National Building Council

256. In 2009, the National Building Council conducted training to 496

participants on tendering procedures and dispute resolution. The Council

resolved 141 disputes. In addition, technical inspection was conducted in 137

projects under construction worth shs. 12,602 billion. Likewise, procurement

inspection in 45 public agencies and technical consultancy to various

stakeholders were undertaken.

Tanzania Building Agency

257. In 2009, the Tanzania Building Agency completed five construction

projects under phase I. These projects are: construction of flats at

Simeone/Goliondoi Street – Arusha; Wachaga/Wasukuma Street – Arusha and

Moshi Street – Dodoma; construction of Agency head quarter with 16 storeys

at plot Na. 93/1 Ada estate – Dar es Salaam. High cost of construction, has

led to a slow pace of constructing civil servants residential houses.

LAND DEVELOPMENT

174

258. In 2009, a total of 26,231 land titles were issued compared to 13,378 in

2008, equivalent to an increase of 96.0 percent. This increase was attributed

by the increasing pace of issuing titles following the establishment of zonal

land offices in East zone (Dar es Salaam), Lake zone (Mwanza), Southern

Highland zone (Mbeya), Northern zone (Moshi, Arusha), Central zone (

Dodoma) and Southern zone (Mtwara).

259. In 2009, a total of 1,101 village boundaries were surveyed compared to

690 boundaries in 2008, equivalent to an increase of 59.5. In addition, a total

of 2,624 villages were given Village land certificates in 2009 compared to 498

villages in 2008, equivalent to an increase of 426.9 percent. The achievements

resulted from implementation of pilot project of surveying villager’s farms in

Babati, Bariadi, Namtumbo and Manyoni districts.

260. By the end of 2009, a total of 50,961 villager’s farms were surveyed.

Out of the villager’s farms, 40,293 customary title deeds were issued in 2009

compared to 2,834 customary title deeds in 2008. This increase was attributed

by the implementation of pilot project of surveying villager’s farms and

issuance of customary title deeds. These title deeds were used as collateral in

securing loans from financial institutions and Agriculture Input Trust Fund.

On the other hand, 38,700 plots were surveyed and given rights of occupancy

in 2009 compared to 21,962 plots in 2008. The increase was a result of using

modern technology and increase of private surveyors in land survey sub

sector. In addition, 623 farms were surveyed in 2009 compared to 676 farms in

2008.

175

Table No. 14.3: Total Number of Surveyed Plots and Farms

No. PLOTS FARMS 2008 2009 2008 2009

1. Arusha 1,616 1,547 110 22 2. Pwani 728 1,141 132 174 3. D'Salaam 7,202 7,971 21 3 4. Dodoma 144 97 2 0 5. Iringa 679 708 11 9 6. Kagera 584 454 56 36 7. Kigoma 37 1,414 1 0 8. Kilimanjaro 617 1,372 67 52 9. Lindi 82 594 5 3 10. Manyara 1,312 2,204 15 16 11. Mara 844 859 15 17 12. Mbeya 619 1,024 37 25 13. Morogoro 498 1,563 59 87 14. Mtwara 492 1,461 12 14 15. Mwanza 2,152 9,175 18 2 16. Rukwa 128 976 6 2 17. Ruvuma 1,083 797 20 12 18. Shinyanga 1,139 1,659 13 10 19. Singida 342 657 0 0 20. Tabora 1,336 1,310 0 14 21. Tanga 328 1,727 76 125

Source: Ministry of Land, Housing and Human Settlement Development

261. In 2009, a total of 18,961 disputes were reported at land and district

councils compared to 15,422 in 2008. Out of these, 7,123 disputes were

resolved in 2009 compared to 6,770 disputes in 2008. The increase in disputes

resolution was attributed to the increase of land disputes councillors (judges)

to two judges in some council with lots of disputes such as, Dar es Salaam and

Mwanza.

176

Table No. 14.4: Land and House Disputes Resolved in 2008 - 2009

Source: Ministry of Land, Housing and Human Settlement Development

Human Settlements Development

262. In 2009, land use plans were prepared in 146 villages in 26 districts

compared to 125 villages in 15 districts in 2008. In addition, the National

Land Use Framework Plan of 2009 – 2029 was prepared. The Plan includes 12

implementation programs. Stakeholders at national, regional and districts

levels were sensitized to implement those programs.

No. Councils Disputes in 2008

Resolved Disputes

2008

Disputes 2009 Resolved Disputes 2009

1 Arusha 912 357 927 390 2 Babati 754 409 817 399 3 Bukoba 1,119 341 1,472 476 4 Chato 45 17 198 99 5 Dodoma 328 169 426 191 6 Geita 192 36 171 24 7 Ifakara 122 27 412 167 8 Ilala 1,189 541 1,858 373 9 Iringa 324 123 391 182 10 Karatu 112 8 236 135 11 Kigoma 334 123 415 120 12 Moshi 463 318 678 275 13 Kinondoni 1,518 561 1,800 704 14 Lindi 121 54 95 57 15 Mbeya 703 410 564 165 16 Mbinga 102 10 155 114 17 Morogoro 732 329 726 161 18 Mtwara 155 114 237 106 19 Musoma 711 420 566 246 20 Mwanza 1,290 293 1,594 478 21 Njombe 89 16 182 89 22 Pwani 343 92 538 249 23 Rukwa 207 126 252 148 24 Rungwe 177 77 158 70 25 Same 47 28 22 7 26 Shinyanga 249 129 546 165 27 Simanjiro 62 32 99 46 28 Songea 308 138 291 134 29 Singida 344 156 502 227 30 Tabora 165 88 238 103 31 Tanga 287 98 370 144 32 Tarime 330 126 867 354 33 Temeke 1,588 1,004 1,158 525 Total 15,422 6,770 18,961 7,123

177

263. In 2009, a total of 3,972 plots were surveyed under the program of

formalizing the un-surveyed settlements. Owners of these plots were given title deeds

instead of the settlement licences. Out of the surveyed plots, 3,322 plots were in

Mwanza region and 650 plots in Njombe municipality.

House Development

264. In 2009, the National Housing Corporation (NHC) continued with its

responsibility of constructing residential and commercial houses. NHC

constructed 124 residential and commercial houses compared to 148 houses in

2008. These houses were constructed at Chwaku street (2) and Mbweni JKT

(20)- Dar es salaam; Kibla – Arusha (43); Chato – Kagera (16); Medeli –

Dodoma (39) and Haile Selasie Road – Arusha (4).

265. In 2009, construction of 13 storeys NHC House at junction of Samora

and Zanaki streets under the “Build-Operate-Transfer” was 90 percent

complete. In addition, NHC in collaboration with its partners completed the

construction of eight buildings in Dar es Salaam and other towns.

266. In 2009, housing loans worth shs. 2.15 billion were disbursed to 275

public servants through the Revolving Housing Loan Fund. These are long

term loans with an interest of three percent per year. In addition, arrangements

to acquire funds from the Word Bank worth USD 40 million for improving

housing industry were completed. Likewise, Tanzania Mortgage Refinance

Company was established to mobilize resource for long term loans.

178

Table No. 14.5: The Number of Villages Prepared in Planning and Use of Land between 2008 -2009

No. Districts Number of Villages (Year 2008)

Districts Number of Villages (Year 2009)

1. Kilwa 10 Ludewa 2 2. Nachingwea 6 Njombe 1 3. Bagamoyo 8 Lindi 2 4. Rufiji 14 Babati 9 5. Meatu 8 Musoma 3 6. Serengeti 6 Serengeti 5 7. Urambo 11 Bunda 2 8. Kigoma Vijijini 21 Kilombero 12 9. Morogoro Vijini 6 Ulanga 9 10. Kilosa 3 Morogoro 4 11. Mkinga 6 Tandahimba 2 12. Missungwi 2 Mkuranga 1 13. Kahama 2 Bagamoyo 8 14. Mpanda 21 Mbinga 4 15. Ireje 1 Namtumbo 15 16. - - Tunduru 4 17. - - Bariadi 9 18. - - Manyoni 9 19. - - Mkinga 9 20. - - Morogoro

Vijijini 22

21. - - Mpanda 2 22. - - Nkasi 2 23. - - Uyui 2 24. - - Kilosa 4 25. - - Kiteto 2 26. - - Kongwa 2

Total 125 146 Source: Ministry of Land, Housing and Human Settlement Development

179

CHAPTER 15

TRANSPORT AND COMMUNICATION Growth

267. In 2009, transport and communication sub-activities grew by 6.0

percent and 21.9 percent compared to 6.9 percent and 20.5 percent in 2008

respectively. The decrease in growth rate of transport sub-activity was due to

inefficiency in cargo and passenger transportation by railway, road and air

particularly with regard to TRL and ATCL. The growth in communication

sub-activity was attributed to the increase in investment in communication

sector, increase in mobile phone subscribers/users and service providers.

Further, the contribution of transport and communication sub-activities to

GDP was 5.0 percent and 2.1 percent in 2009 compared to 4.2 percent and 2.5

percent in 2008 respectively.

TRANSPORT

Urban Commuter Services

268. In 2009, urban commuter services continued to improve. The number

of commuter buses in some regions in Tanzania Mainland increased notably in

Arusha, Moshi, Tanga and Iringa townships compared to 2008. In Dar es

Salaam, the number of small commuter buses decreased from 2,978 buses in

July 2008 to 2,086 buses in December 2009, equivalent to a decrease of 29.9

percent. In addition, the number of mini-buses increased from 2,002 min-

buses in July 2008 to 3,488 mini-buses in December 2009, equivalent to an

increase of 74.2 percent. The decrease in number of small commuter buses in

Dar es Salaam city was a result of measures taken by the Surface and Marine

Transport Regulatory Authority (SUMATRA) to restrict renewal of licences,

aiming to reduce congestion in the city. The decision encouraged importation

of mini-buses in the city. Table 15.1 shows the number of commuter buses in

urban areas.

180

Road Transport

269. In 2009, the Surface and Marine Transport Regulatory Authority

(SUMATRA) continued with its efforts to reduce transport inconveniences to

passengers. In addition, SUMATRA continued to issue application forms

through its website in order to minimize time for license processing.

Table No. 15.1: Number of Commuter Buses in Urban Areas 2005-2009

Regions 2005 2006 2007 2008 2009 Dodoma 220 154 167 136 142 Arusha 837 892 1367 1255 1607 Moshi 143 170 178 310 625 Lindi 18 15 57 46 52 Tanga 136 105 162 93 184 Morogoro 300 400 236 267 289 Pwani 143 145 - - - Dar es Salaam 7000 8972 6144 5716 6,043 Mtwara 14 28 49 30 62 Ruvuma 78 171 202 93 84 Iringa 154 160 174 210 611 Shinyanga - - - - - Mbeya 544 - 375 1180 1115 Singida 17 14 88 34 56 Tabora 44 16 22 17 11 Kigoma 507 538 507 219 174 Bukoba 10 16 19 14 26 Musoma 48 48 28 16 26 Mwanza 886 892 1190 1290 1370 Manyara 59 61 49 37 10 Rukwa 43 20 49 53 47


270. In 2009, commuter buses licenses issued by SUMATRA increased to

25,114 compared to 24,299 licenses in 2008, equivalent to an increase of 3.35

percent. The increase was a result of improvement in license processing

through the use of SUMATRA website. Furthermore, in 2009 SUMATRA

started to issue licenses on cargo transportation whereby 36,853 licenses were

issued.

271. A survey conducted by SUMATRA in 2009, indicated that 76 percent

of road accidents in Tanzania Mainland are caused by drivers’ carelessness.

181

The implementation of survey recommendations has started including the use

of log book by bus drivers. In addition, other measures taken by SUMATRA

were to ensure possession of relevant documents such as vehicle inspection

report from traffic (police) and insurance certificate; to ensure that each bus

has more than one driver for routes taking more than twelve hours; adherence

to timetable; and the use of authorized routes.

272. In order to address traffic congestion in urban areas, particularly in Dar

es Salaam city, the Government has started to rehabilitate and construct

alternative roads. Some of the alternative roads under construction are:

Kigogo-Mandela; Vingunguti-Tabata; Ubungo maziwa-Kigogo-Yanga-

Kariakoo and Buguruni mnyamani–Vingunguti-Baracuda-Tabata.

Usafiri Dar es Salaam (UDA)

273. In 2009, the number of UDA buses was 17 compared to 27 buses in

2008. The decrease was due to the removal of 10 obsolete buses from

operation. The number of passengers served by UDA in 2009 was 1,345,900

compared to 1,647,925 passengers in 2008. The average number of buses

operated per day was 10 buses in 2009 compared to 13 buses in 2008.

Furthermore, the number of commuting trips in 2009 was 22,404 compared to

32,271 trips in 2008. UDA receipts decreased to shs. 563 million from shs.

768.85 million in 2008. This was a result of decrease in number of passengers,

commuting trips and decline in private hiring of UDA buses.

Railway Transport Tanzania Railways Limited (TRL)

274. In 2009, TRL transported 237,000 tons of cargo compared to 429,000

tons in 2008, equivalent to a decrease of 44.8 percent. Similarly, a total of

285,000 passengers were transported by TRL in 2009 compared to 392,000

passengers in 2008, equivalent to a decrease of 27.3 percent. The decline in

cargo and passenger transportation was due to the shortage of wagons, tear

and wear of infrastructure, and inefficiency resulting from workers’ strikes.

182

Furthermore, floods in Kilosa -Morogoro destructed the central railway line

which led to the cancellation of railway operations between Dar es Salaam and

Dodoma, hence, affected cargo and passenger transportation.

Railways Holding Corporation (RAHCO)

275. In 2009, RAHCO finalized the feasibility study for the rehabilitation of

the central railway line from Isaka-Dar es Salaam to the standard gauge.

Furthermore, RAHCO finalized the upgrading of 47 kilometres of railway

sleepers between Malongwe and Itigi with strength of 80 pound.

Tanzania- Zambia Railway Authority (TAZARA)

276. In 2009, TAZARA transported 333,000 tons of cargo compared to

525,000 tons in 2008, equivalent to a decrease of 36.6 percent. Likewise,

923,000 passengers were transported by TAZARA in 2009 compared to 1.2

million passengers in 2008, equivalent to a decrease of 21.6 percent. The

decline in cargo and passenger transportation was caused by financial

constraints to meet the operation costs as well as increased competition from

road transport.

Air Transport

277. In 2009, the number of airline service providers increased to 63

compared to 46 providers in 2008, equivalent to an increase of 36.9 percent.

However, the number of domestic and international passengers declined to

988,637 in 2009 compared to 1,089,346 passengers in 2008, equivalent to a

decrease of 9.2 percent. The cargo transported by air was 27,279.0 tons in

2009 compared to 30,107.9 tons in 2008, equivalent to a decrease of 9.4

percent. The decline was mainly due to the cancellation of international flight

services and the reduction of domestic flight schedules by ATCL. In addition,

the decline resulted from the impact of the global economic crisis which

caused the decline in the number of foreign tourists.

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Table No. 15.2: The Number of Domestic and International Passengers

2005-2009

Air companies 2005 2006 2007 2008 2009 Air Tanzania Company Ltd

267,329 245,513 294,920 207,305 60,018 Precision Air 334,630 334,630 466,475 530,116 583,398 Coastal Travel 118,828 118;828 162,727 138,508 141,995 Regional Air Services 38,512 37,583 32,682 49,632 31,749 Air Excel 19,950 19,950 19,930 20,749 16,573 Flight Link - 370 603 973 1,889 Zan Air 54,806 57,156 61,256 66,709 68,886 Other Companies 125,925 697,208 80,831 73,346 84,129 Total 961,985 1,011,265 1,074,424 1,087,329 988,637 Source: Tanzania Civil Aviation Authority (TCAA)

278. In 2009, the VHF- omni-directional radio range equipment which

facilitates availability of information on flight direction and distance was

installed at Mwanza airport. Furthermore, the multi- channel digital voice and

data logger machines, which help to identify the source of flight accidents,

were installed at Julius Nyerere International Airport.

Water Transport

279. In 2009, the SUMATRA continued to ensure the safety of water

transport vessels as per Water Transport Act of 2003 as well as various

protocols and international agreements. Furthermore, the Dar es Salaam

Maritime Rescue Coordination Centre was launched in March 2009. Since its

inauguration, the Centre has handled emergency information for 17 vessels in

the Tanzania Maritime Search and Rescue region.

280. In 2009, the government continued to inspect water transport vessels in

order to ensure adherence to standards. Furthermore, SUMATRA issued 5,581

certificates to seamen in 2009 compared to 4,835 certificates in 2008, who

complied with international training standards. Moreover, there were 13 water

accidents in 2009 compared to 12 water accidents in 2008. Most of the

accidents occurred during March, April, May and June due to strong winds in

ocean and lakes. In addition, strengthening in information sharing system on

water accidents following the establishment of Dar es Salaam Maritime

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Rescue Coordination Centre simplified access to information on water

accidents.

Table No. 15.3: Trend of water accidents in 2008-2009

Year Jan Feb Mar Apr May June July Aug Sep Oct Nov Dec Total

2008 0 0 1 1 2 2 2 2 0 0 2 0 12

2009 0 2 4 3 3 1 0 0 0 0 0 0 13 Source: SUMATRA

Marine Transport

281. In 2009, Dar es Salaam Port handled a total of 4,946,000 tons of cargo

compared to 2,316,000 tons in 2008, equivalent to an increase of 113.6

percent. The increase was attributed to the acquisition of equipment for cargo

handling, construction of yards for vehicles and container cargo as well as the

expansion of areas for handling cargo. Passengers served by the Dar es Salaam

Port in 2009 were 141,000 compared to 310,000 passengers in 2008,

equivalent to a decrease of 54.5 percent. Furthermore, the number of ships

served by the Dar es Salaam Port increased to 1,842 ships in 2009 compared

to 697 ships in 2008, equivalent to an increase of 164.3 percent. The increase

was attributed to improved services provided by the port, expansion of areas

for handling cargo and the acquisition of new equipment.

282. In 2009, the number of containers with 20 feet length handled by Dar

es Salaam Port was 353,738 compared to 373,548 containers in 2008,

equivalent to a decrease of 5.6 percent. This was caused by decline of goods

transported in containers, following the impact of global economic crisis.

283. The average number of days taken by a ship for arrival and departure

was 8.2 days in 2009 compared to 10.5 days in 2008, equivalent to an increase

in efficiency by 22.0 percent. Moreover, the average number of days for a ship

to queue before docking at the port decreased to 5.0 days in 2009 compared to

7.2 in 2008, equivalent to an increase in efficiency by 30.5 percent. The

decrease in number of days for ships to arrive and depart at the port was

attributed to improved efficiency in cargo handling at the port and the

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establishment of dry ports for handling containers in order to reduce

congestion at the port.

Table No. 15.4: Handling of Containers by TICTS

Month Waiting time for

a ship Offloading

time Time for ship arrival

and departure 2009 2008 2009 2008 2009 2008

January 12.7 9.6 6.2 3.3 18.9 12.9 February 14.7 10.4 4.1 3.4 18.8 13.8 March 8.0 12.4 3.5 4.2 11.5 16.6 April 2.5 10.2 2.9 3.4 5.4 13.6 May 3.4 5.8 2.3 3.9 5.7 9.7 June 2.7 3.6 2.5 2.9 5.2 6.5 July 2.6 2.7 3.7 2.7 6.3 5.4 August 1.7 2.2 2.2 3.1 3.9 5.3 September 2.9 6.0 2.6 3.0 5.5 9.0 October 3.4 7.6 2.7 3.2 6.1 10.8 November 2.9 9.0 3.3 3.0 6.2 12.0 December 3.3 8.9 3.0 3.3 6.3 12.2 Average no. of days

5.0 7.2 3.2 3.3 8.2 10.5

Source: Tanzania Ports Authority

284. In 2009, Tanga Port handled 359,000 tons of cargo compared to

178,000 tons in 2008, equivalent to an increase of 101.7 percent. The number

of ships served by Tanga Port in 2009 was 144 ships compared to 95 ships in

2008, equivalent to an increase of 51.6 percent. The increase in cargo handled

at Tanga Port was due to increase in the numbers of ships, acquisition of cargo

handling equipment and increase in depth of the dock.

285. Mtwara Port handled 95,000 tons of cargo in 2009 compared to

112,000 in 2008, equivalent to a decrease of 15.2 percent. The number of

ships served at Mtwara Port was 32 in 2009 compared to 36 ships in 2008,

equivalent to a decrease of 11.1 percent.

SINOTASHIP

286. In 2009, SINOTASHIP Company transported 81,665 tons of cargo

compared to 48,590 tons in 2008, equivalent to an increase of 68.1 percent.

Furthermore, the number of trips made by the company was 7 compared to 11

186

trips in 2008. The decrease in number of trips was due company’s decision to

sell its two ships to safeguard its capital as well as reducing the loss. In

addition, delay in the construction of a new ship with the capacity of handling

57,000 tons of cargo attributed to the decline.

Lake Transport The Marine Service Company Limited (MSCL)

287. In 2009, the Marine Service Company Limited transported 116,386

tons of cargo compared to 137,938 tons in 2008, equivalent to a decrease of

15.6 percent. The decline was caused by the decision to lay off operations of

MV Victoria to allow for major maintenance and increased competition from

private ship owners particularly in Lake Victoria. Furthermore, the company

transported 408,424 passengers in 2009 compared to 487,201 passengers in

2008, equivalent to a decrease by 16.2 percent. The decrease was caused by

the rescheduling of transporting refugees to Congo DRC via MV Liemba and

MV Mwongozo ships following the recurring of political instability in the

eastern part of Congo DRC.

Table No. 15.5: Operations of MSCL (2003-2009) Years 2003 2004 2005 2006 2007 2008 2009 Passengers 347,564 483,619 477,520 543,359 569,442 487,201 408,424 Cargo 143,751 167,177 213,358 201,603 203,135 137,938 116,386

Source: Marine Service Company Limited (MSCL) COMMUNICATION SERVICES Tanzania Posts Corporation (TPC)

288. In 2009, the Tanzania Posts Corporation handled 15,183,230 inland

letters compared to 14, 741,000 inland letters in 2008. Similarly, a total of

7,753,960 letters were posted abroad in 2009 compared to 7,532,000 letters in

2008. This was due to the increase in postage of commercial letters.

289. In 2009, the number of inland and foreign parcels posted was 18,988

compared to 36,653 parcels in 2008, equivalent to a decrease of 48.2 percent.

The decrease was a result of increased competition mainly from private

companies and insufficient tools (vehicles) for collecting parcels. In addition,

187

6,999 parcels were posted abroad in 2009 compared to 12,968 parcels in 2008,

equivalent to a decrease of 46 percent. The decrease was caused by the global

financial and economic crisis.

290. The number of inland registers posted in 2009 was 386,408 compared

to 590,653 registers in 2008, equivalent to a decrease of 35 percent. The

decrease was a result of increased competition in the domestic market. The

number of registers posted abroad in 2009 was 42,688 compared to 40,701

registers in 2008, equivalent to an increase of 5 percent. Most of the registers

were from companies which use registers to post dividends to their

shareholders. However, those companies are currently using bank accounts to

transfer dividends to their shareholders, hence leading to a decline in inland

registers.

291. In 2009, money transfer through Expedited Mail Services (EMS)

decreased to 62,019 orders compared to 78,230 in 2008, equivalent to a

decrease of 21 percent. Similarly, money transfer abroad through EMS was

1,736 orders in 2009 compared to 2,807 orders in 2008, equivalent to a

decrease of 38 percent. The decrease was a result of increased competition

from financial institutions that provide money transfer services; the use of

electronic money transfer technology (e.g M-PESA, ZAP e.t.c); and the use of

mobile banks.

292. In 2009, express mail handled increased to 285,070 mails from

249,045 mails in 2008, equivalent to an increase of 15 percent. Moreover, the

number of express mail posted abroad was 18,208 in 2009 compared to 17,336

mails in 2008, equivalent to an increase of 5 percent. The increase was a result

of improved ‘track and trace’ electronic service.

293. In 2009, inland telegraphic money orders were 150,173 compared to

337,727 orders in 2008, equivalent to a decrease of 56 percent. The decrease

resulted from the increased use of mobile services of money transfer.

294. In 2009, express messages increased to 28,095 orders from 22,418

orders in 2008, equivalent to an increase of 25 percent. However, express

messages abroad decreased to 157 orders in 2009 from 203 orders in 2008,

188

equivalent to a decrease of 23 percent. The decrease was caused by increased

use of emails.

295. In 2009, the financial services through Giro decreased, since the

incoming orders were 31 and the outgoing orders were 100,876 compared to

34 incoming orders and 100,929 outgoing orders in 2008. The incoming

orders decreased by 9 percent while the outgoing orders decreased by 0.1

percent.

Tanzania Communication Regulatory Authority (TCRA)

296. In 2009, the number of voice telecommunication service providers

increased to 7 from 6 providers in 2008, whereby Dovetel (Sasatel) company

was a new service provider in 2009. The number of mobile phone subscribers

increased to 17.5 million in 2009 from 13.0 million subscribers in 2008,

equivalent to an increase of 34.3 percent. Moreover, the number of landline

telephone subscribers was 172,922 in 2009 compared to123,809 subscribers in

2008, equivalent to an increase of 39.7 percent. Furthermore, the number of

data service providers was 61 in 2009 as it was in 2008.

Table No.15.6: Number of Telephone Customers 2004-2009 A: Mobile phone customers Companies Number of customers

2004 2005 2006 2007 2008 2009 VODACOM 1,050,000 1,562,435 2,975,580 3,870,843 5,408,439 6,883,661 TIGO 303,000 422,500 760,874 1,191,678 2,569,527 4,178,089 ZAIN 504,000 882,693 1,516,832 2505546 3,862,371 4,910,359 ZANTEL 85,000 96,109 355,246 678,761 1,057,652 1,378,595 TTCL - - 6,390 72,729 105,804 115,681 BENSON ONLINE

- - - 3,300 3,000 3,101

Sub-Total 1,942,000 2,963,737 5,614,922 8,322,857 13,006,793 17469486 B: Fixed line customers TTCL 148,360 154,420 150,897 157,816 116,265 157,321 ZANTEL - - 747 5,453 7,544 15,601 Sub-total 148,360 154,420 151,644 163,269 123,809 172,922 Total 2,090,360 3,118,157 5,766,566 8,486,126 13,130,602 17,642,408 Source: Tanzania Telecommunication Regulatory Authority

297. The Government introduced the registration of mobile phones and the

Subscriber Identity Module (SIM) cards in July 2009. The aim was to control

189

misuse and theft of mobile phones. A total of 9,138,749 subscribers were

registered up to the end of December 2009.

INFORMATION AND COMMUNICATION TECHNOLOGY (ICT) The National ICT Infrastructure Backbone

298. In 2009, the National ICT Infrastructure Backbone project was at its

first phase of implementation. At this phase, a total of 4,393 kilometres was at

the construction stage. These include 2,088 kilometres for TANESCO

infrastructure backbone. The first phase is divided into two implementation

stages. The first stage covers the following areas: Singida- Rusumo (at the

border of Rwanda and Tanzania); Kabanga (at the border of Burundi and

Tanzania); Mutukula (at the border of Uganda and Tanzania); and the

Northern Zone. This stage has the length of 1,296 kilometres. The second

stage includes Mwanza- Musoma; and Iringa-Tunduma.

299. In facilitating implementation of this project, a total of 1,052

kilometres have been excavated and 1,090 kilometres have been used to lay

the fibre infrastructure. Out of that, 900 kilometres of optic fibre are between

Rusumo and Singida. Furthermore, the National ICT Infrastructure Backbone

was connected to SEACOM in July, 2009. Some of the Government offices

and higher education institutions in Dar es Salaam and Dodoma have been

connected to the National ICT Infrastructure Backbone.

Tele-centres

300. In 2009, the government continued to strengthen the existing tele-

centres and construct new ones. The number of tele-centres increased to 9 in

2009 from 4 tele-centres in 2008, equivalent to an increase of 125 percent. The

new tele centres established in 2009 were Mrijochini-Kondoa (Dodoma);

Bagamoyo (Coastal region); Kilolo (Iringa); Micheweni (Pemba); and Tegeta-

Kinondoni (Dar es Salaam).

190

National Physical Address and Postal Codes

301. The introduction of physical address is one of the measures to

implement the National Postal Policy of 2003. The Policy directs the

establishment of full physical addresses that indicate streets, names of big

buildings, and house number, all of which will facilitate availability of citizen

address. In 2009, a pilot project for the establishment of national physical

address system was undertaken in Arusha municipality, whereby roads and

streets of seven wards were marked. The selected wards include Kaloleni,

Kati, Sekei, Levolosi, Orelioni, Unga Limited, and Themi. Moreover,

implementation of this project is planned to continue in Dodoma, Zanzibar and

Moshi Municipalities.

191

Table No. 67Item Units 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009

Railway length (mainline) Kms. 2605 2722 2721 2722 2722 2707 2707 2707 2707 2707 2707 2707Locomotive engines: Number 124 130 81 81 77 103 100 99 99 84 91 43 Steam Number - 1 1 1 1 1 1 1 1 1 1 1 Diesel Number 124 129 80 80 76 102 99 98 98 83 90 0

Total Wagons: Number 2071 2260 1472 1478 1479 1779 1592 1951 1828 1912 1648 1357 Passengers Number 143 118 91 97 98 82 83 82 54 102 45 68 General use Number 1634 1699 1148 1104 1104 1104 1104 1464 1369 1369 1190 1093 Oil tanks Number 293 272 164 164 164 164 164 164 164 208 244 178 Livestock Number 4 96 51 51 51 69 69 69 69 76 18 39 Others Number 50 75 18 62 62 360 172 172 172 157 151 105

Transportation Number Passengers '000 570 617 - 728 685 666 464 514 594 524 392 285 Freight 000Tons 955 1127 - 1351 1446 1443 1002 1169 775 714 429 237

Source: Tanzania Railways Corporation

TANZANIA RAILWAYS CORPORATION (TRC)

192

Table No. 68

Item Unit 1998 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009Railway length+ Kms 1860 1860 1860 1860 1860 1860 1860 1860 1860 1860 1860 1860 1860Locomotive engines: Number 89 89 89 89 89 21 22 58 58 21 19 10 16 Mainline Number 75 75 44 44 75 14 15 42 42 15 14 8 11 Shunting Number 14 14 14 14 14 7 7 16 16 6 5 2 5Passenger Rolling Stock: Number 128 128 128 128 128 67 60 75 75 66 71 62 53 Passenger Coaches Number 102 102 102 102 102 106 102 61 61 52 59 53 44 Restaurant unit Number 14 14 14 14 14 6 5 5 5 6 8 4 3 Luggages Number 12 12 12 13 12 9 8 9 9 8 4 5 6Freight Rolling Stock: Number 2225 2225 2225 2225 2225 2110 1401 1556 1518 1455 1458 1371 1412 Luggages Number 1746 1746 1746 1446 1948 2019 1088 1354 1364 1297 1295 1217 1174 Livestock Number 28 28 28 28 24 5 2 2 16 20 6 0 0 Oil Tanks Number 209 209 209 209 114 82 103 83 81 72 81 114 196 Refrigerated Units Number 20 20 20 20 20 4 4 3 8 3 10 4 7 Other Units Number 93 93 93 93 2 - 148 22 2 2 2 2 2 Brake Units Number 73 73 73 73 64 64 15 64 26 44 46 17 16 Ballast Units Number 56 56 56 56 48 28 45 28 21 17 18 17 17Freight (Tonnes) '000 639 639 619 638 558 677 147 298 470 555 569 525 333Passengers '000 1634 1634 1388 1609 1262 1212 261 390 611 1063 1000 1177 923

Source: Tanzania Zambia Railway Authority + Actual length is 1860.54 kms, and 974.814 kms are inside Tanzania

THE UHURU RAILWAY - TAZARA

193

Table No. 69Item Unit 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009

Total number of ships Number 4249 4277 5427 5894 5232 3676 3120 2350 2898 3895 4154 3038 697 1842Net registered capacity 000 Tons 9858 6046 6046 6965 3425 1013 4011 4285 5848 11506 18257 16588 7260 17472Total passengers 000 773 640 624 606 551 479 516 648 525 1072 664 714 310 141Total Cargo handled 000dwt 3400 4112 3554 3709 2860 4193 4514 5346 4179 4307 6320 5703 2316 4946 Off-loading 000dwt 2638 3396 2871 3129 2863 3422 3628 4415 3390 3599 5292 4932 2136 4382 General cargo 000dwt 969 1098 1049 1065 1230 1562 2022 2650 1928 2107 3164 2762 1053 2430 Cement 000dwt - - - 6098 380 286 - - - - - - 0 1852 Petroleum 000dwt 1612 2104 1581 1398 1126 1445 1402 1696 1382 1311 1909 2054 1013 100 Others1 000dwt 57 194 241 46 128 129 203 70 80 181 219 116 70 565 Loading 000dwt 761 717 683 569 561 - 717 930 623 708 1027 761 181 466 General Cargo 000dwt 695 544 529 468 538 624 664 848 581 654 971 713 153 24 Petroleum 000dwt 63 172 154 101 38 40 53 82 32 35 34 48 28 7 Others1 000dwt 3 14 - - - - - - 10 19 22 0 0 68 Transhipments 000dwt - - - 21 27 20 168 253 251 308 371 126 -

Source: Tanzania Harbours Authority 1 Such as mollasses, tallow fats etc. - Not available

SHIPPING STATISTICS: DAR ES SALAAM

194

Table No. 69 (contd.)Item Unit 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009

Total number of ships Number 226 250 175 913 111 118 186 234 185 215 281 242 95 144Net registered capacity 000 1125 613 67 953 430 264 258 440 628 964 551 133 671Total passengers 000 NA 17 22 15 7 0.7 0.5 2.7 4 6.4 6.6 7.1 8.3 0Total Cargo handled 000dwt 149 131 183 177 168 194 201 259 162 289 519 542 178 359 Off-loading 000dwt 60 55 95 91 80 108 104 118 127 165 307 330 836 213 General cargo 000dwt 49 40 62 54 68 79 81 93 113 111 195 242 817 147 Petroleum 000dwt 6 15 33 37 12 29 22 25 14 54 112 88 19 66 Loading 000dwt 89 76 88 86 88 84 97 141 104 134 134 212 66 145 General cargo 000dwt 83 76 88 86 88 84 97 141 104 134 134 212 66 145 Petroleum 000dwt - - - - - - - - - - - - - Transhipment 000dwt - - - - - - - - - - - - -

Source: Tanzania Harbours Authority - Not available

SHIPPING STATISTICS: TANGA

195

Table No. 69 (contd.)Item Unit 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009

Total number of ships Number 106 91 122 167 203 136 194 138 85 107 110 99 36 32Net registered capacity 000 311 88 - 352 465 264 392 263 106 165 161 251 131 31Total passengers 000 45 18 23 44 63 36 62 33 10 28 9.4 10 0 0Total Cargo handled 000 105 134 215 169 176 175 177 141 169 60.5 153 542 82 95 Off-loading 000dwt 42 57 81 81 81 61 78 70 44 41 62 53 26 23 General cargo 000dwt 24 36 56 55 57 40 57 59 30 32 53 47 22 23 Petroleum 000dwt 18 15 - 26 17 21 20 11 14 9 9 6 4 0 Loading 000dwt 63 77 134 88 96 109 99 71 75 16 92 59 56 72 General cargo 000dwt 63 77 134 88 96 109 99 71 75 19 92 59 56 72 Petroleum 000dwt - - - - - - - - - - - - - Transhipment 000dwt - - - - - - - - - - - - -

Source: Tanzania Harbours Authority - Not available

SHIPPING STATISTICS: MTWARA

196

Table No. 70

Item Unit 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009

Sub Post Office Number 214 209 198 190 149 139 136 162 162 167 202Departmental Post Office Number 145 144 152 151 154 91 92 91 86 172 170

Total Number 359 353 350 341 303 230 228 230 228 339 372

Private Boxes 000 121.0 159.2 161.7 305.1 168.9 171.7 171.8 172.0 173.0 173.5 117Rented Boxes 000 279.0 126.5 128.8 137.5 143.7 148.0 147.5 146.0 150.0 130.2 87.2

Unfulfilled requests 000 23 7 23.8 0.129 0 0 0 0 0 0 0Rented Postal bags Number 278 217 223 222 215 222 214 203 217 182 62

Posted letters Mil. 23 17 6.2 25.04 21 20.1 - 19.9 16.9 9.8 14

Registers and Urgent letters 000 285 266 990 5.1 - 8.2 6.8 5.2 377Inland Parcels 000 20 22 27.2 31.9 29 43.3 48.4 36 29 18 8.6

Foreign Parcels 000 5 4 5 5.7 6.7 7.9 6.6 12 12 6.2 2Licences issued for stamp selling Number 13099 2597 25950 10767 11100 10113 10099 12824 6324 6242 6256

Franchized offices Number 71 81 81 83 85 91 92 91 86 113 81EMS letters and parcels Inland Number 154350 - 125323 260486 309736 247268 297061 312110 262381 216762 493709

Foregn Number 16688 - 9795 19675 29409 30693 37331 36930 12289 14650 4012EMS Money Fax Number 54248 123959 156701 188790 216710 259449 300357 533821 379084 366382 23165

EMS Fax (sent) Number 2553 8093 8745 4440 16112 22394 22968 23328 14659 121901 103558

Overnight Mail Services Number NA NA NA NA NA NA NA NA NA NA NA Letters'bags transported Number 16956 38444 23612 53572 70170 71199 70086 101486 75900 85595 68912

Newspapers parcels transported Number 12416 27301 15029.4 81477.91 21992 20204 21692 28753 20314 12754 13934Post Mini Bus Services No. of letters bag transported Number 3763 8045 4570 8555 6587 5337 5993 3690 6542 4328 268

Expess Money Order(EMO) issued Number 135064 299298 145593 284495 251685 218937 207997 210440 214558 - 20057Expess Money Order(EMO) paid Number 275530 140419 216961 271924 224630 147020 233325 132030 93508 23069

Speed Cash/interstate money order NA NA NA NA NA NA NA NA NA NA

Sent Number 116 2014 3794 2210 1393 1602 1586 1788 1519 1354 1030 Received Number 389 974 1821 1605 1061 1202 1001 1105 686 671 150

Postal Order Sold Number 81277 40416 26068 28683 16445 12714 8277 8029 9152 8062 8831Postal Order Paild Number 98803 51029 20215 25843 15113 12653 7565 7639 4615 5709 5490Savings Bank TransactionsDeposit Number 189499 227327 217191 173304 114155 102288 66885 42255 25382 24574 9535Withdrawal Number 115225 208842 192152 157532 132538 89517 55392 32294 19534 21122 11663

Source: Tanzania Posts CorporationNA: statistics not available

POSTAL SERVICES STATISTICS

197

Table No. 73Item Unit 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009Ton-Kilometers: Available 000 47508 40725 53207 47631 40524 28023 91769 33198 42627 32533 - 5313 Used 000 20127 17957 21289 19843 17258 11351 58579 18121 22085 18480 - 1508 % Utilisation % 42.4 44.1 40.0 41.7 42.6 40.5 63.8 54.6 51.8 56.8 - 28.4Seats-Kilometers Available 000 397640 337934 419419 393098 317522 238618 343250 334427 365265 306461 469426 41396 Used 000 189149 176269 197749 182101 163597 123433 164553 185085 221307 190006 129000 16469 % Utilisation % 47.6 52.2 47.1 46.3 51.5 51.7 47.9 55.3 60.6 62.0 27.5 39.8Passengers ++ 000 502 190 195 177 137 157 271 197 224 190 188 27Excess load Tani NA NA NA NA NA NA NA NA NA 103 30 9Load carriage Tani 2915 2307 3100.6 13864 2233 1379 1506 1200 1502 1123 1044 54Postal mail Tani 188 180 252 2843 162 82 235 214 299 241 162 11

Source: Air Tanzania Corporation + Scheduled traffic only ++ Full-fare passengers NA Not available

AIR TANZANIA CORPORATION (ATC)+

198

CHAPTER 16

ENERGY

Growth Rate

302. In 2009, electricity and gas economic sub-activities grew by 8.4

percent compared to 5.4 percent in 2008. Contribution of electricity and gas

economic sub-activities to GDP continued to be 1.7 percent as it was in 2008.

Electricity

303. In 2009, a total of 59,547 new customers were connected with

electricity by TANESCO compared to 56,383 customers in 2008, equivalent to

an increase of 5.8 percent. Electricity generated through the National Grid and

other sources was 3,290.3 GWh in 2009 compared to 2,917.3 GWh in 2008,

equivalent to an increase of 12.5 percent. This was due to the increase in the

production of gas. However, hydro power generation decreased mainly due to

reduction of water levels in hydropower stations and breakdown of power

generation plants. In 2009, out of the total electricity generated, 2,242 GWh

was from hydro power and 1,592.5 GWh was from natural gas and petrol. In

2009, electricity sold to Zanzibar was 186 GWh compared to 229 GWh in

2008. In additional, imported electricity from neighboring countries was 55.2

GWh.

304. Electricity sold to different users in Tanzania Mainland decreased.

Electricity used for domestic consumption was 1,432 GWh in 2009 compared

to 1,647GWh in 2008; commercial and industrial consumption was 1,497 in

2009 compared to 1,722 in 2008. In 2009, electricity loss increased to 1,686

GWh from 827 GWh in 2008. The average price of electricity was shs. 114.8

per KWh in 2009 compared to shs. 85.5 per KWh in 2008.

199

Petrol

305. In 2009, the price of oil in the world market was low compared to

2008. The average price of petrol in the world market was USD 60.0 per barrel

in 2009 compared to USD 96.9 in 2008. In additional, the average price of

petroleum in the world market was USD 541.3 per ton, 458.2 (diesel) and

496.1 for kerosene. The average pump price in filling station was shs 1,550

per litre (petrol), 1,500 diesel and 1,300 for kerosene in 2009 compared to shs.

1,610.3 per litre (petrol), 1,707.2 (diesel) and 1,178.9 of kerosene in 2008.

Renewable Energy Solar Power

306. In 2009, a total of MWp 3.1 of solar energy was generated compared

to MWp 0.6 generated in 2008. A project to enhance solar power market was

launched in 13 regions of Tanzania Mainland. In additional, technical training

on solar power system and business management was provided to technicians

and various business communities.

Geo thermal and Bio Gas

307. A survey conducted from 2006 to 2008 by Tanzania Geological

Agency .and TANESCO revealed the possibility of geo thermo power

existence in Songwe - Mbeya The amount of geo thermo available will be

known after conducting thorough research.

308. In 2009, the investment guideline and sustainable development of bio-

fuel was prepared. The guideline emphasized on key issues such as: land

ownership, food security, citizens participation, environmental conservation

and others. The aim is to ensure that benefits from the development of bio-fuel

are shared to all.

200

ELECTRICITY: INSTALLED CAPACITY AND TOTAL UNITS GENERATED BY STATIONTable No. 74STATION

Capacity Generated Capacity Generated Capacity Generated Capacity GeneratedMW GWH MW GWH MW GWH MW GWH

NATIONAL GRIDKidatu (Morogoro) 204 488.1 204 1028.65 204 1061.6 204 1097.83Mtera 80 96.78 80 421.97 80 344.02 80 450.85Hale (Tanga) 21 62.04 21 69.25 21 60.18 21 43.05New pangani 68 266.26 68 309.46 68 261.99 68 166.67Nyumba ya Mungu (Moshi) 8 22.26 8 27.07 8 25.06 8 32.88Kihansi 180 500.81 180 655.99 180 893.15 180 845.62Uwemba Min Hydro 2.87 0.84 3 Total - Hydro 561 1436.25 561 2512.39 561 2648.87 561.84 2639.9

Ubungo Diesel 34.37 4.09 34.37 0.03 34.37 0 34.37 0Ubungo GTSUbungo-Watsila 266.07 104.76 630.41Tegeta - Watsila 43.65 17.51Dodoma (Zuzu) 7.44 6.15 7.44 0.32 7.44 2.08 7.44 2.43Mbeya Iyunga 13.9 1.72 13.9 0.01 13.9 0 13.9 0Musoma 2.56 - 2.56 - 2.56 - 2.56 0Mwanza Nyakato 12.5 0.22 12.5 - 12.5 - 12.5 0Tabora 10.2 4.74 10.2 0.08 10.2 0.01 10.2 0 Total - Thermal 80.97 16.92 80.97 0.44 80.97 268.16 229.38 650.35

TOTAL - GRID 641.97 1453.17 641.97 2512.83 641.97 2917.03 791.22 3290.25

OTHER BRANCHESBukoba 2.56 0.03 2.56 0.1 2.56 0.09 2.56 0.12Kigoma 6.11 17.25 6.11 14.7 6.11 17.82 6.25 15.19Kilwa /Masoko 1.24 2.42 1.24 2.15 1.24 2.34 1.5 2.44Lindi 2.28 6.13 2.28 3.41 2.28 0.04 0 0Mafia 0.85 2.86 0.85 2.82 0.85 2.15 0.85 2.63Mtwara 4.86 13.07 4.86 0.58 4.86 0 1.14 0Njombe 1.28 5.01 1.28 1.24 1.28 1.28 0Songea 5.67 15.45 5.67 15.08 5.67 17.15 6.43 16.38Sumbawanga 2.14 - 2.14 - 2.14 - 1.5 0Mpanda 1.92 4.46 1.92 4.93 1.92 3.95 1.66 4.57Ikwiriri 0.85 1.49 0.85 1.67 0.85 1.77 0.85 2.3Tunduru 0.7 2.33 0.7 2.57 0.7 1.83 2.07 2.85Masasi 4.5 15.96 4.5 16.39 4.5 13.74 4.5 13.23Liwale 0.75 1.12 0.75 1.3 0.75 1.31 0.6 1.32Ngara 0.95 1.77 0.95 2.08 0.95 2.17 0.95 2.57Biharamulo 0.95 2.01 0.95 2.38 0.95 2.62 0.95 2.42Mbinga 1.14 2.26 2.13Ludewa 0.1 1.28 0.65OTHER BRANCHES-TOTAL 37.61 91.36 38.45 72.6 37.61 68.22 36.63 68.8

GRAND TOTAL 679.58 1544.53 680.42 2585.43 679.58 2985.25 827.85 3359.05

OTHER SOURCES 2045.2 1619.17 1440.12 1443.04

TOTAL MEGAWATT MADE 3589.73 4204.6 4425.37 4802.09Source: Tanzania Electric Supply Co. (TANESCO) MW Megawatt GWH GigaWatt-Hour = Million KWH * Provisional

2006 2007 2008 2009

201

Table No. 75(Mill. KwH)

Mainland Tanzania Power TotalYear Public Domestic Commercial Zanzibar Transmission power

Lighting & Industrial Loss Generated

1980 6 157 575 0 59 7971981 6 168 577 39 33 8231982 4 178 526 29 93 8301983 4 175 485 29 163 8561984 4 187 503 30 200 9241985 5 198 581 39 229 10521986 5 234 629 42 236 11461987 4 269 632 49 318 12721988 5 311 691 54 317 13781989 5 330 753 64 357 15091990 5 350 897 52 325 16291991 8 460 932 57 366 18231992 11 506 866 52 417 18521993 11 527 834 45 551 19681994 10 546 850 54 351 18111995 11 660 876 84 246 18771996 7 927 809 86 193 20221997 3 1023 635 89 222 19721998 8 1059 740 104 253 21641999 2 1126 566 115 516 23252000 0.88 1002 833 105 547 24882001 0.55 980 965 127 675 27482002 0.10 1108 1085 133 714 30402003 0.04 1029 1257 145 792 32232004 0.05 1131 1419 161 841 35522005 0.03 900 1519 185 982 35862006 0.09 871 1593 204 924 35922007 0.01 1420 1459 231 917 40272008 0.01 1647 1722 229 827 44252009 0.01 1432 1498 186 1686 4802

Source: Tanzania Electric Supply Company (TANESCO)Data from 2002 - 2007 has been revised

ELECTRICITY SALES BY TYPE OF USE

202

203

Table No. 76

Region 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008

Dodoma 39 37 40 37 40 39 43 46 46 48 49 59 68 79Arusha 167 159 173 162 126 156 171 165 194 202 193 223 296 236Kilimanjaro 112 107 116 109 106 91 106 100 101 102 96 110 14 17Tanga 133 127 138 129 89 101 126 141 143 156 154 165 109 88Morogoro 102 97 105 98 73 87 80 88 86 113 107 119 169 166Coast 6 6 6 6 1 1 1 6 6 7 0 0 136 121Dar-es-Salaam 791 754 823 771 836 957 1110 1077 1130 1198 0 0 0 94Dar-es-Salaam&Coast 0 0 0 0 0 0 0 1143 1263 1110 1136 1574 1745 1200Lindi 5 5 6 6 5 9 8 10 10 10 12 12 11 11Mtwara 16 15 16 15 1 23 15 18 19 20 20 29 23 29Ruvuma 11 10 11 10 9 9 11 12 13 13 13 14 15 15Iringa 90 86 93 87 41 69 62 53 59 60 61 79 79 85Mbeya 69 66 71 67 86 81 84 82 105 95 99 109 115 125Singida 10 10 10 9 11 12 13 14 15 18 46 28 18 26Tabora 22 21 23 22 72 49 52 60 111 67 71 37 98 84Rukwa 10 10 10 9 8 8 9 9 9 9 11 12 11 12Kigoma 9 9 9 8 7 10 9 13 13 9 12 10 12 12Shinyanga 41 39 43 40 38 36 142 157 174 176 177 195 196 253Kagera 18 17 17 16 161 18 18 20 20 28 35 36 37 33Mwanza 74 71 77 72 82 78 105 118 127 136 132 151 173 192Mara 18 17 20 19 18 24 29 37 42 47 40 95 44 52

Total - Mainland Tanzania 1743 1663 1807 1692 1810 1858 2194 3369 3686 3623.4 2464 3057 3369 2930

Zanzibar 86 89 104 115 105 127 133 145 161 185 204.1 231 229 186

TOTAL 1829 1752 1911 1807 1915 1985 2327 3514 3847 3808.4 2668.1 3288 3598 3116

Source: Tanzania Electric Supply Co. (TANESCO)

QUANTITY OF ELECTRICITY SOLD BY REGION (GWH)

204

CHAPTER 17

WATER

Introduction

309. In 2009, a survey to identify water sources continued in nine basins, in

which 12,357 water sources were identified compared to 10,423 water sources

in 2008. Out of those, 8,480 sources related to wells, 2,771 to rivers, 776 to

spring and 301 to dams. Moreover, 688 areas under the potential ground water

sources in all nine basins were surveyed to find out the possibility of drilling

bore holes.

310. In 2009, a total of 3,569 water samples were collected from various

water sources, for laboratory testing compared to 2,914 samples in 2008. Out

of that, 3,367 water samples, equivalent to 94 percent of all tested samples

were in good quality for human consumption. Likewise, 276 sewerage

samples from industrial and water cleaning plants were collected and tested in

Morogoro, Iringa, Musoma, Tanga, Mwanza, Dodoma and Dar es Salaam

municipalities. Laboratory results revealed that, 261 sewerage samples,

equivalent to 95 percent qualified the standard and were environmental

friendly.

311. In 2009, a total of 153 certificates for using water in six basins were

issued as follows: Rufiji basin 49 certificates; Wami/Ruvu basin 33

certificates; Central basin 29 certificates; Pangani basin 24 certificates;

Ruvuma basin 13 certificates and Lake Victoria basin 5 certificates. In

addition, there were 27 conflicts, of which 18 were in Pangani basin; 5 in

Central basin; and 4 in Wami/Ruvu basin. Out of that, 25 conflicts were

resolved as follows: 18 conflicts in Pangani basin; 4 in Central basin and 3 in

Wami/Ruvu basin.

205

Rural Water Supply

312. In 2009, a total of 2,060 rural water supply projects were completed

compared to 1,493 projects in 2008, equivalent to an increase of 38.0 percent.

The increase was attributed to rehabilitation of water infrastructure and

implementation of new projects. Those projects enabled the availability of

3,615 water fetching centres for 903,750 villagers who benefited from using

clean and safe water. In addition, a total of 573,513 villagers were trained and

sensitized on the importance of maintaining clean environment. Furthermore,

599 pit-latrines were built.

Urban Water Supply

313. The production of water in urban areas decreased from 126.1 cubic

metres in 2008 to 111.3 cubic metres in 2009, equivalent to a decrease of 11.7

percent due to drought. On the other hand, 19 urban water authorities served

3,167,054 people out of 3,649,600 people in 2009 compared to 2,942,692

people out of 3,442,202 people in 2008 who reside in those authorities.

314. The level of unrecorded water declined from 37.3 percent in 2008 to

33.7 percent in 2009. The decline was a result of increased number of water

meter connections in 19 urban water authorities. In 2009, receipts from water

bills increased by 15 percent to shs. 35.8 billion from shs. 31.2 billion in 2008

due to increase in number of new water connections to 244,422 customers,

from 221,135 new water users.

315. In 2008/09, water production in 21 townships of the districts, which

were evaluated, was 36,320 cubic metre per day compared to 32,108 cubic

metre per day in 2007/08, equivalent to an increase of 27 percent.

206

Arusha 13,197,478 18,001,080 3,984,732,776Babati 1,063,277 1,464,000 273,180,975Dodoma 9,620,136 10,759,000 3,596,944,605Mbeya 11,051,297 11,656,050 2,925,542,714Morogoro 8,663,000 10,386,000 3,553,517,009Moshi 8,815,529 8,820,000 2,777,756,215Mtwara 1,905,807 3,816,000 951,483,379Mwanza 20,581,248 829,440 5,921,170,292Tabora 4,291,665 8,415,000 1,089,550,702Tanga 9,564,823 9,784,675 3,731,585,972Bukoba 2,250,451 2,737,500 712,297,315Iringa 3,986,958 5,110,000 1,802,106,522Kigoma 2,551,254 9,416,000 451,651,702Musoma 3,850,894 8,640,000 1,024,353,259Shinyanga 3,735,376 7,140,997 1,288,835,335Singida 1,729,854 2,574,000 455,045,230Sumbawanga 1,840,800 2,928,000 336,482,500Songea 2,225,611 3,095,940 730,780,010Lindi 402,125 1,800,000 198,673,439GRAND TOTAL 111,327,583 127,373,682 35,805,689,951

Source: Ministry of Water and Irrigation

WATER SUPPLY AND REVENUE COLLECTION IN URBAN AREAS - 2009Table No.77

Authority Total Water production (cubic

metres)

Estimated Water Demand (cubic

metres)

Revenue Collection (Tshs)

207

Table 78

Town Water

Production (m3/per)

Revenue

Mpwapwa 1,253 5,852,022 Kondoa 3,252 11,733,333 Njombe 2,729 24,195,541 Same 1,560 15,766,199 Ngara 1,047 12,502,128 Kahama 6,280 122,959,949 Kibondo 317 2,170,024 Liwale 1,160 6,365,650 Kyela 4,090 6,424,933 Ileje 883 1,569,717 Rungwe 4,973 13,074,217 Mbeya Rural 1,283 11,258,457 Masasi 2,136 4,594,692 Mbinga 1,041 3,528,448 Namtumbo 600 1,430,783 Nzega 1,107 13,474,489 Korogwe 1,548 33,749,518 Pangani 1,076 1,712,568 Kiteto 493 736,911

Total 36,829 293,099,579

WATER SUPPLY IN TOWNSHIP -2009

208

Table 79Region 2005 2006 2007 2008 2009

Arusha 5 16 8 5Pwani 21 24 36 54Dar es Salaam 184 200 141 153Dodoma 5 1 8 24Iringa 11 5 7 18Lindi 5 33 7 6Mwanza 38 25 37 22Mara - 2 13 1Morogoro 25 16 6 10Mtwara 27 44 23 1Mbeya 10 10 37 59Tabora 42 28 47 76Rukwa 2 2 20 60Shinyanga 3 1 10 -Kigoma - - - -Ruvuma - 1 - -Kilimanjaro 5 4 24 21Tanga 10 10 6 7Singida 3 3 14 13Manyara - 5 3 16

TOTAL 396 430 447 546

Source: Ministry of Water and Irrigation

TOTAL NUMBER OF BOREHOLES DRILLED

209

CHAPTER 18

EDUCATION AND TRAINING

Pre – Primary Education

316. In 2009, enrolment in pre – primary schools increased to 896,146

pupils from 873,981 pupils in 2008, equivalent to an increase of 22,165 pupils

or 2.5 percent. Out of that, 445,867 pupils were boys and 450,279 were girls.

The number of pupils in Government pre – primary schools was 851,064, of

which, 422,893 were boys and 428,191 were girls. The number of pupils in

non government pre – primary schools was 45,062 whereby 22,974 pupils

were boys and 22,088 were girls. The pupil-teacher ratio at the pre – primary

level in 2009 was 1:37 compared to 1:36 in 2008.

Primary Education

317. Gross enrolment in primary schools increased to 8,441,553 pupils in

2009 from 8,410,094 pupils in 2008, equivalent to an increase of 31,459 pupils

or 0.4 percent. Out of those, 4,248,764 or 50.3 percent were boys, and

4,192,789 or 49.7 percent were girls. In addition, enrolment in standard I

decreased from 1,380,190 pupils in 2008 to 1,358,790 pupils in 2009,

equivalent to decrease of 21,400 pupils or 1.6 percent. This was caused by a

decrease in enrolment of pupils aged above seven years. Since the

commencement of PEDP, enrolment was at higher level because many

children were out of school and thus the number/enrolment kept on decreasing

year after year.

318. In 2009, the number of primary schools increased to 15,727 from

15,673 in 2008, equivalent to an increase of 0.3 percent. Government primary

schools increased to 15,301 in 2009 from 15,257 in 2008 equivalent to 54

schools or 0.3 percent. The non government primary schools increased to 426

210

in 2009 from 416 in 2008 equivalent to 10 schools or 2.4 percent. The Gross

Enrolment Ratio declined to 110.5 percent in 2009 from 112.3 percent in

2008. The Net Enrolment Ratio declined to 95.9 percent in 2009 compared to

97.2 percent in 2008. This was a result of increased motivation by parents to

enrol children less than seven years.

319. In 2009, the number of teachers in government primary schools

increased to 157,185 from 154,895 in 2008. The average teacher - pupil ratio

was 1:54 in 2009, as it was in the previous year. The drop – out ratio increased

to 3.7 percent in 2009 from 3.1 percent in 2008. The increase was due to

pupils be pregnant and involvement in petty businesses.

Secondary Education 320. In 2009, the number of secondary schools was 4,102 compared to

3,798 schools in 2008. Out of those, 3,283 were government schools and 819

were non government schools. The number of government secondary schools

increased to 3,283 in 2009 from 3,039 schools in 2008, equivalent to 244

schools or 8 percent.

321. In 2009, the number of students in secondary schools (form I – VI)

increased to 1,466,402 from 1,222,403 in 2008, equivalent to an increase of

243,999 pupils. In 2009, the number of girls was 653,457, equivalent to 44.6

percent and boys were 812,945, equivalent to 55.4 percent compared to

543,279 girls equivalent to 44.4 percent and 679,124 boys, equivalent to 55.6

percent in 2008.

Teachers’ Education

322. In 2009, the number of students in government teachers’ colleges

increased to 21,723 from 16,700 students in 2008, equivalent to an increase of

5,023 students or 30 percent. Out of those, female were 9,300 and male were

12,409. The training were in the following grades: Special education training

program 26 students; Certificate level 11,177 students; Diploma 837 and

Diploma (in – services) 2,148. The number of students in non government

teachers’ colleges increased to 13,648 in 2009 from 5,188 students in 2008,

211

equivalent to an increase of 8,460 students or 163 percent. In addition, the

number of government teachers’ colleges was 34 while the non government

teachers’ colleges were 43.

Adult Education

323. In 2009, the number of people who participated in the Integrated

Community Based Adult Education (ICBAE) decreased to 957,289 from

1,059,124 participants in 2008. Out of those, male were 449,103, equivalent to

46.9 percent and female were 508,186 equivalents to 53.1 percent in 2009

compared to 507,793 male and 551,331 female in 2008.

324. In 2009, the number of participants in long distance learning and face

to face program increased to 39,689 participants from 16,801 in 2008. Out of

those, 18,336 were male, equivalent to 46.2 percent and 21,353 were female in

2009 compared to 7,596 male, equivalents to 45.2 percent and 9,205 female,

equivalent to 54.8 percent in 2008.

325. In 2009, the number of pupils in Complementary Basic Education in

Tanzania (COBET) decreased to 82,989 pupils from 111,413 pupils in 2008,

equivalent to a decrease of 25.5 percent. This was due to a decrease in number

of out-of-school children and those who were in COBET classes qualified for

standard V.

Schools and Colleges’ Inspection

326. In 2009, the practice of managing and monitoring implementation of

policy, rules and regulations in the education system through inspection

department whose main objective is to ensure delivery of quality education in

the country continued. In 2008/09 a total of 5,610 educational institutions

were inspected out of 23,560 targeted institutions, equivalent to 23.8 percent.

212

Table No: 18.1 Institutions inspected in 2008/09 Institution Targeted

institutions Institutions inspected

Change (%)

Pre – Primary schools 6,570 1,600 24.4 Primary schools 6,763 2,132 31.5

Adult Education Centres

7,786 1,455 18.7

Vocation Education Centres

352 32 9.1

Special Education schools

258 33 12.8

Secondary Schools 1,764 346 19.6 Teachers’ Colleges 67 12 17.9 Total 23,560 5,610 23.8 Source: Ministry of Education and Vocational Training Technical Education

327. In 2009, the number of technical colleges was 221 compared to 214

colleges in 2008, equivalent to an increase of 3.3 percent. Out of those, 128

colleges were owned by the government and 93 colleges by non government

in 2009 compared to 122 government colleges and 92 non government

colleges in 2008.

328. In 2009, the number of students enrolled in technical training colleges

was 49,185 compared to 34,603 students in 2008, equivalent to an increase of

42.2 percent. Out of those, 41,214 students were in government colleges and

7,967 students were in non government colleges in 2009, compared to 27,365

students in government colleges and 7,238 students in non government

colleges in 2008.

329. In 2009, the number of female students enrolled in technical colleges

was 21,244 compared to 14,625 students in 2008, equivalent to 45.3. Out of

those, 17,056 female students were enrolled in government colleges and 4,188

female students in non-governmental colleges in 2009, compared to 10,833

female students enrolled in government colleges and 3,792 female students in

non government colleges in 2008.

213

Vocational Training

330. In 2009, the number of vocational training colleges was 889 compared

to 938 colleges in 2008. Out of those, government vocational training colleges

were 21 and non-governmental colleges were 868. The number of students in

vocational training colleges was 114,295 in 2009 compared to 124,644

students in 2008, equivalent to a decreased of 8.3 percent. Out of that, 53,818

students (29,873 male and 23,945 female) completed long term courses while,

38,882 students (19,396 male and 19,623 female) completed short term

courses. In 2009, the number of female students registered for long term

courses in vocational training colleges was 30,863 while those registered for

the short courses was 22,428.

Higher Education

331. In 2008/09 there were 31 universities, of which 11 were government

universities and 20 were non government universities. The total number of

students in these universities increased to 95,525 in 2009 from 82,529 students

in 2008. The number of female students increased to 31,820 students in 2009

from 26,217 in 2008.

332. The number of students in the government universities increased to

70,785 in 2009 from 64,664 students in 2008, equivalent to an increase of

6,121 students or 9.5 percent. In 2009, the number of female students was

22,083, equivalent to 32.3 percent and male students were 48,702, equivalent

to 67.8 percent compared to 19,505 female students, equivalent to 30 percent

and 45,159 male students, equivalent to 70 percent. The number of students in

non government universities increased to 24,740 students from 17,865

students in 2008. The number of female students in non government

universities increased to 9,737 students in 2009 from 6,712 students in 2008.

333. In 2008/09, the Higher Education Students Loan Board (HESLB)

disbursed loans worth shs. 140.3 billion to 58,841 students compared to shs.

112.5 billion disbursed to 55,687 students in 2008.

214

Table No. 80 (Number)Year I II III IV V VI Total1986 10789 9855 8401 8679 2363 2276 433631987 11626 10870 9528 9162 2313 2322 458211988 14258 11195 10373 9180 2313 2240 495591989 16034 14815 11275 10018 2980 2360 574821990 18654 16340 14199 11157 3777 2859 669861991 18892 18679 15459 13915 3646 3355 739461992 19299 19443 17044 14864 4136 3874 786601993 20267 20110 17597 16713 4261 4016 829641994 21589 19823 17513 16474 4179 3863 834411995 25200 22237 19118 17067 4541 3903 920661996 28289 23874 20197 16468 4528 4035 973911997 32043 29748 23810 19697 6412 4846 1165561998 37094 31218 24925 21182 5163 4748 1243301999 39144 36682 28589 23996 6305 5248 1399642000 43643 36734 31132 25456 6654 6143 1497622001 47204 45078 30531 29188 7198 6601 1658002002 56101 50371 36989 29045 7711 7126 1873432003 52863 60643 36906 35653 7780 6885 2007302004 98738 67294 46546 36385 8353 7572 2648882005 134963 109398 46188 46489 9710 8444 3551922006 196391 151448 72167 42584 18211 9691 4904922007 401011 218060 105770 70796 21789 11668 8290942008 395930 332393 175353 95214 25240 11743 10358732009 480529 308131 159789 167355 31201 12695 1159700

Change (% )2008-2009 21.4% -7.3% -8.9% 75.8% 23.6% 8.1% 12.0%

Source: Ministry of Education and Vocational Trainings

GOVERNMENT SECONDARY SCHOOLS: NUMBER OF STUDENTS BY FORM

215

Table 80A

Type of Institution Govt. Private Total Govt. Private Total Govt. Private Total Govt. Private Total Govt. Private TotalPrimary Schools 14053 204 14257 14440 260 14700 15300 324 15624 15257 416 15673 426 15301 15727

Secondary Schools 1202 543 1745 1690 599 2289 2806 679 3485 3039 759 3798 3283 819 4102

Teacher Training Colleges 34 18 52 53 22 75 32 23 55 33 34 67 34 43 77(Primary and Secondary) Total 15289 765 16054 16183 881 17064 18138 1026 19164 18329 1209 19538 3743 16163 19906

Source: Ministry of Education and Vocational Training

NUMBER OF EDUCATION INSTITUTIONS

20082006 20072005 2009

216

Table 80B

Male Female Total Male Female Total Male Female Total Male Female TotalI. Primary School Education:Total students registeredin classes I-VII 4051676 3908208 7959884 4215171 4101754 8316925 4261831 4148263 8410094 4248764 4192789 8441553Total students in governmentschools in classes I-VII 4010486 3869202 7879688 4173825 4061607 8235432 4203180 4093428 8296608 4182915 4130165 8313080Total students in privateschools in classes I-VII 64558 41190 105748 41346 40147 81493 58651 54835 113486 65849 62624 128473

Total number of teaccher in primary schools 78547 73335 151882 79881 76783 156664 76638 78257 154895 80066 77119 157185Number of Teachers in Govt. schools 76745 71862 148607 77730 75297 153027 74479 74954 149433 76765 74711 151476Number of Teachers in Non-Govt. schools 1802 1474 3276 2151 1486 3637 2159 3303 5462 3301 2408 5709

II. Secondary School Education:Total number of studentsin forms I-VI 358128 317544 675672 543196 477314 1020510 679124 543279 1222403 812945 653457 1466402Total students in governmentschools in forms I-VI 265804 224688 490492 446716 382378 829094 58118 451755 509873 728322 565369 1293691Total students in privateschools in forms I-VI 92324 92856 185180 96480 94936 191416 95006 91524 186530 84623 88088 172711Total number of teachers ingovernment schools 10534 5377 15911 14587 7489 22076 23122 9713 32835 17240 9192 26432Total number of teachers inprivate schools 5782 1559 7341 6376 1406 7782 16790 8181 24971 5732 1790 7522Total number of teachers 16316 6936 23252 20963 8895 29858 39912 17894 57806 22972 10982 33954

Source: Ministry of Education and Vocational Training - Not available

NUMBER OF STUDENTS AND TEACHERS IN PRIMARY AND SECONDARY SCHOOLS BY GENDER

20082006 2007 2009

217

Table 80C

Level Male Female Total Male Female Total Male Female Total Male Female Total

Degree - - - - - - 4209 1749 5958 5352 2636 7988

Diploma 4794 2617 7411 4215 1744 5959 16154 8411 24565 17593 10909 28502

Grade A 5357 6252 11609 4074 5483 9557 66214 69665 135879 70567 72357 142924

Grade B - - - - - - 22223 16762 38985 17678 13388 31066

In-service Training 3922 3739 7661 1747 1491 3238 108800 96587 205387 - - -

Total 14073 12608 26681 10036 8718 18754 217600 193174 410774 111190 99290 210480

Source: Ministry of Education and Vocational Trainings - Not available

2008/09

TEACHERS EDUCATION IN TRAINING INSTITUTIONS

20082006 2007

218

Table 80D

Institution Male Female Total Male Female Total Male Female Total1. University of Dar es Salaam (UDSM)B.A General 0 0 0 0 0 0 0 0 0B.A. (Ed.) 894 711 1605 892 837 1729B.A. (COM) General 0 0 0 0 0 0B. Education (PESC) 113 70 183 58 22 80B.A with Education 0 0 0 0 0 0B.A (Archaelogy) 39 21 60 7 9 16 30 27 57B.A (Archaelogy & Geography) 0 0 0 5 4 9 4 3 7B.A (culture & Heritage) 28 25 53 17 38 55 21 59 80B.A (Language studies) 45 36 81 56 48 104 147 50 197B.A (Economics) 119 54 173 116 64 180 5 3 8B.A (Economics & Commerce) 0 0 0 0 0 0 10 7 17B.A (Economics & Statistics) 0 0 0 30 8 38 43 17 60B.A (Economics & Geography) 0 0 0 9 6 15B.A (Economics & Sociology) 0 0 0 10 3 13 0 0 0B.A (Fine & Performing arts) 21 21 42 28 56 84 41 47 88B.A (Geography & Env. Studies) 183 111 294 158 125 283 153 98 251B.A (Geography & Statistic) 0 0 0 0 0 0 0 0 0B.A (History & Archeology) 22 21 43 32 26 58 5 3 8B.A (History & Polit. Science) 7 6 13 21 18 39 44 24 68B.A (Polit. Science &Publ. Admin.) 326 342 668 262 234 496 64 25 89B.A (Polit. Science & Economics) 3 0 3 8 4 12 37 32 69B.A (Polit. Science & French) 14 28 42 8 20 28 17 23 40B.A (Polit. Science &Sociology) 37 55 92 37 94 131 16 25 41B.A (Sociology) 174 374 548 200 386 586 233 115 348B.A (Statistics) 67 33 100 79 51 130 38 82 120B.A (History) 123 13 136 19 6 25B.A. Journalism 27 26 53 36 48 84 36 45 81B.A. Mass Communication 29 36 65 32 62 94 21 55 76B.A. Public Relations 28 40 68 47 62 109 23 38 61B. Commerce 405 176 581 1055 532 1587 1141 347 1488B.Sc. In Computer. 162 9 171 221 41 262 200 37 237B.Sc. with Computer. 100 37 137 117 31 148 81 18 99B.Sc. (Education.) 214 95 309 0 0 0 133 163 296….this table continues on the next page

NUMBER OF STUDENTS IN HIGHER LEARNING INSTITUTIONS BY GENDER

2007/082005/06 2006/07

219

Table D continues

Institution Male Female Total Male Female Total Male Female TotalB.Sc. With Education 74 36 110 345 106 451 351 100 451B.Sc. General 35 17 52 50 29 79 21 10 31BSc. With Geology 28 16 44 76 18 94 32 11 43B.Sc. Geology 79 8 87 76 10 86B.Sc. (Engineering Geology 20 0 20 28 1 29 23 2 25B.Sc. Engineering 0 0 0 0 0 0B.B .A 86 56 142 144 73 217 - - -B.Ed. Commerce 658 262 920 66 21 87 81 78 159B.Education Psychology 92 71 163 63 87 150 74 28 102B.Education Science 147 39 186 98 32 130 86 98 184B.Education Adult 144 94 238 57 59 116 57 21 78B.Ed. Arts 415 360 775 189 183 372LLB 591 470 1061 514 429 943 1141 347 1488BSc. Comp. Eng. & Info. Tech. 107 29 136 124 44 168BSc. Electr. Eng. 75 11 86 81 14 95 77 44 121BSc. Electro Power Engineering 62 13 75 61 11 72 35 15 50BSc. Chem. & Process Eng. 93 50 143 94 64 158 17 16 33BSc. Electro. Mech. Eng. 67 16 83 51 18 69 50 29 79BSc. Food and Biochemical 12 18 30 23 36 59 68 16 84BSc. Mech. Eng. 85 4 89 63 5 68 53 10 63BSc. Mining Eng. 76 12 88 89 15 104 82 13 95BSc. Mineral Proc. Eng. 66 16 82 78 20 98BSc. Civil & Struct. Eng.. 93 11 104 159 18 177BSc. Telecom. Eng. 117 27 144 122 41 163 131 39 170BSc. Transportation Eng. 0 0 0 0 0 0 0 0 0BSc. Civil & Transport Engineering 130 27 157 140 26 166 111 28 139BSc. Production Eng. 25 4 29 36 6 42 25 15 40BSc. Civil & Water Res. Eng. 105 37 142 123 42 165 105 34 139BSc. Eng. Civil. 0 0 0 0 0 0 0 0 0BSc.Electronics 0 0 0 94 9 103BSc. Electronics Sc. & Comm. 94 7 101 0 0 0 71 10 81B.Sc. Mol.Bio & Biotech. 51 20 71 50 20 70 45 32 77B.Sc. Wildlife 77 48 125 94 38 132 85 26 111B.Sc. Aquatic sc. And Env. Sc & Con 0 0 0 46 22 68B.Sc. Fish & Aqua Sc & Con 38 16 54 29 17 46B.Sc. IEM 0 0 0 42 28 70B.Sc. ICS 0 0 0 0 0 0 0 0 0Adv. Diploma in Journalism 17 21 38 0 0 0 0 0 0Ip in culture mngt. & Tour 0 0 0 15 8 23Diploma in Computer Sciences 94 18 112 66 13 79 16 4 20Diploma in Fisheries 10 3 13 21 6 27 46 11 57Certificate in law 121 25 146 505 167 672 507 200 707Certificate in Journalism 713 214 927 11 3 14 4 8 12Certificate in computer science 0 0 0 10 1 11 16 4 20Occasion/Short Courses Term 0 0 0 0 0 0 0 0 0TOTAL: UNIVERSITY OF DSM 7,877 4,416 12,293 7,493 4,575 12,068 5,953 2,592 8,545Number of lecturers 119 566 685 602 104 706….this table continues on the next page

2007/082005/06 2006/07

220

Table D continues

Institution Male Female Total Male Female Total Male Female Total

2. Muhimbili University College of Health SciencesM.D. (Doctor of Medicine) 712 224 936 745 243 988 735 232 967B.Sc. Pharmacy 129 63 192 122 64 186 110 52 162B.Sc. Nursing 31 38 69 31 38 69 27 23 50D.D.S (Doctor of Dental Surgery) 115 37 152 114 38 152 101 39 140BSc. Env. Health 38 34 72 31 29 60 41 20 61B.Sc. Nursing Mg - - - 2 6 8 7 17 24IPH - - - - - - 7 17 24ITM - - - - - - 41 33 74Adv.Dip Dermatove Neurology 14 14 28 2 17 19 41 33 74Adv. Dip Nursing 13 27 40 1 10 11 31 35 66Adv. Dip. Medical Laboratory Techn - - - 27 11 38 30 17 47Dip. Diaghostic Radiography 29 18 47 29 18 47 32 29 61Dip Envioronmental Health Science 107 71 178 95 90 185 82 41 123Dip.Medical Laboratory Techn 70 39 109 40 85 125 22 6 28Dip Orthopaedic Techn 32 2 34 30 5 35 39 26 65Dip Pharmaceutical Sciences 42 15 57 48 19 67 9 62 71TOTAL: MUHIMBILI 1,332 582 1,914 1,317 673 1,990 1,355 682 2037Number of lecturers 158 56 214 158 56 214 178 68 246

3. Sokoine University of Agriculture (SUA)B.Sc(Agric. General) 143 28 171 28 10 38 102 23 125B.Sc(Biotechn. & Lab) 48 14 62 0 0 0 - - -B.Sc. (Agric.) 0 0 0 0 0 0 - - -B.Sc. Forestry 136 32 168 41 5 46 128 26 154B.Sc. (Home Econ&Home Nutri.) 19 53 72 13 50 63 32 159 191B.V.M. (Vet. Medicine) 92 13 105 12 1 13 81 10 91B.Sc. (Food Sc. & Tech.) 121 68 189 24 33 57 67 73 140B.Sc. (Agric. Eng.) 118 11 129 24 3 27 101 8 109B.Sc. (Hortculture.) 50 28 78 9 6 15 31 14 45B.Sc. (Animal Science) 96 20 116 29 7 36 84 16 100B.Sc. (Agronomy) 85 10 95 24 6 30 60 10 70B.Sc. (Wildlife) 76 18 94 47 16 63 163 54 217B.Sc. (Agric. Ed. & Ext.) 129 34 163 50 17 67 172 63 235B.Sc. (Agric. Econ. & Agric. Bus.) 145 51 196 61 19 80 123 36 159B.Sc.(Environ.Sc&Mgt) 127 61 188 30 18 48 104 57 161B.Sc. (Rural Development) 34 18 52 57 19 76 61 22 83B.Sc. (Aquaculture) 36 14 50 19 3 22 215 87 302B. Sc. Biotechnology and Lab 0 0 0 21 6 27 48 13 61TOTAL: SUA 1,455 473 1,928 489 219 708 1572 671 2,243Number of lecturers 232 33 265 310 40 350 374 82 456….this table continues on the next page

2007/082005/06 2006/07

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Table D continues

Institution Male Female Total Male Female Total Male Female Total Male Female Total

4. Open University of Tanzania (OUT)B.A (General) 346 190 536 260 86 346B.A. (Education) 781 336 1117 1204 495 1699B.ED(Special Education) 26 14 40 - - -B.A (Tourism) 27 27 54 38 13 51B.Education 1053 522 1575 841 364 1205B.Sc.(General) 271 140 411 183 54 237B.Sc. (Education) 230 51 281 537 122 659B. Comm.(General) 31 91 122 147 32 179 40 8 48B. Comm. (Education) 3 6 9 98 21 119 53 12 65BBA (General) 673 156 829 299 65 364 59 14 73BBA (Educationl) 75 32 107 83 23 106 23 6 29BA Social work 0 0 0 27 32 59 377 198 575BA Sociology 0 0 0 83 52 135 119 32 151LLB 690 173 863 401 79 480 214 45 259Foundation Course 1342 849 2191 0 0 0 463 287 750CYP Diploma 112 35 147 22 7 29 25 3 28CCDE - - - - - - - - -Bsc. ICT 16 1 17 25 4 29 25 3 28ODDEOL 19 3 22 5 5 10 8 4 12CPPH 0 0 0 1 0 1 0 0 0OFC 0 0 0 833 537 1370 - - -CCDE 3 3 6 0 0 0 1 2 3TOTAL: OUT 5,698 2,629 8,327 5,087 1,991 7,078 1,407 614 2,021Number of lecturers 28 93 121 130 42 172 148 59 207

5. University College of Lands and Architectural Studies (UCLAS)Adv. Dip.(Arch.) 0 0 0 0 0 0 0 0 0 0 0 0Adv. Dip.(Bldg. Econ.) 0 0 0 0 0 0 0 0 0 0 0 0Adv. Dip.(Env.Eng.) 0 0 0 0 0 0 0 0 0 0 0 0Adv. Dip.(Land Val.) 0 0 0 0 0 0 0 0 0 0 0 0Adv. Dip.(Land Surv.) 0 0 0 0 0 0 0 0 0 0 0 0Adv. Dip.(Urb. & Rural Plan.) 0 0 0 0 0 0 0 0 0 0 0 0TOTAL: UCLAS 0 0 0 0 0 0 0 0 0 0 0 0

University College of Lands and Architectural Studies (UCLAS)B.Architecture 174 8 182 178 20 198 157 21 178 -115 -251 -366B.Sc. (Build. Economics) 179 23 202 185 35 220 168 32 200 -104 -240 -344B.Sc. (Urb. Planning) 146 37 183 172 43 215 166 42 208 -82 -206 -288B.Sc. (Land Surveying) 137 8 145 0 0 0 - - - - -B.Sc. (Land Mgt. & Validation) 166 53 219 199 62 261 158 55 213 -48 -151 -199B.Sc. (Env. Engineering) 144 28 172 159 40 199 134 24 158 -86 -196 -282BSc. GM 946 157 1103 145 4 149 - - - - - -Diploma in (GFM4) 9 6 15 13 9 22 - - - - - -Graduate Diploma 0 0 0 0 0 0 - - - - - -TOTAL: (UCLAS) 1,901 320 2,221 1,051 213 1,264 1106 216 1322 -674 -1564 -2238Number of lecturers 100 21 121 117 31 148 131 37 168 -57 -151 -208….this table continues on the next page

2007/082006/07 2008/092005/06

222

Table D continues

Institution Male Female Total Male Female Total Male Female Total Male Female Total

6. Dar es Salaam Institute of Technology (DIT)B. Civil Engineering 97 0 97 203 11 214 162 22 184 -118 -258 -376B. Electrical Engineering 45 9 54 111 21 132 63 15 78 -33 -81 -114B. Mechanical Engineering 36 0 36 97 6 103 69 11 80 -47 -105 -152B. Telecommunication 52 17 69 118 28 146 84 25 109 -34 -93 -127FTC. Computer Eng. 40 12 52 63 12 75 78 26 104 -26 -78 -104FTC - Mech. Eng. 106 2 108 30 0 30 141 20 161 -101 -222 -323FTC - Civ. Eng. 189 6 195 54 2 56 249 34 283 -181 -396 -577FTC - Elect. Eng. 108 15 123 38 4 42 162 30 192 -102 -234 -336FTC - Electronic & Telecom. Eng. 68 31 99 22 7 29 114 34 148 -46 -126 -172FTC - Lab. Techn. 44 15 59 14 3 17 77 27 104 -23 -73 -96FTC - Highway Eng. 0 0 0 0 0 0 93 32 125 -29 -90 -119FTC - Computer 0 0 0 23 3 26 1292 276 1568 -740 -1756 -2496Adv. Dipl Mech Eng. 44 2 46 0 0 0 0 0 0 0 0 0Adv.Dipl Civil Eng. 55 12 67 0 0 0 0 0 0 0 0 0Adv.Dipl Elect. Eng. 47 14 61 0 0 0 0 0 0 0 0 0Adv.Dipl- Electronic & Telecom. Eng. 55 20 75 0 0 0 0 0 0 0 0 0Adv.Dipl Tech. Ed. 0 0 0 0 0 0 0 0 0 0 0 0TOTAL: DIT 986 155 1,141 773 97 870 2,584 552 3,136 -1480 -3512 -4992Number of lecturers 74 11 85 133 19 152 0

7. Technical College of Arusha (TCA)FTC - Mech. Eng. 0 0 0 0 0 0 0 0 0 -74 -151 -225FTC - Elect. Eng. 0 0 0 0 0 0 0 0 0 -52 -114 -166FTC - Civil. Eng. 0 0 0 0 0 0 0 0 0 -42 -99 -141FTC .Auto. Eng. 0 0 0 0 0 0 0 0 0 -67 -135 -202FTC. Highway Eng 0 0 0 0 0 0 0 0 0 0 0 0TOTAL: TCA 0 0 0 0 0 0 0 0 0 -266 -585 -851Number of lecturers 0 0 0 0 0 0 0 0 0 -46 -96 -142

2007/08 2008/092005/06 2006/07

223

Table D continues

Institution Male Female Total Male Female Total Male Female Total

6. Dar es Salaam Institute of Technology (DIT)B. Civil Engineering 97 0 97 203 11 214 162 22 184B. Electrical Engineering 45 9 54 111 21 132 63 15 78B. Mechanical Engineering 36 0 36 97 6 103 69 11 80B. Telecommunication 52 17 69 118 28 146 84 25 109FTC. Computer Eng. 40 12 52 63 12 75 78 26 104FTC - Mech. Eng. 106 2 108 30 0 30 141 20 161FTC - Civ. Eng. 189 6 195 54 2 56 249 34 283FTC - Elect. Eng. 108 15 123 38 4 42 162 30 192FTC - Electronic & Telecom. Eng. 68 31 99 22 7 29 114 34 148FTC - Lab. Techn. 44 15 59 14 3 17 77 27 104FTC - Highway Eng. 0 0 0 0 0 0 93 32 125FTC - Computer 0 0 0 23 3 26 1292 276 1568Adv. Dipl Mech Eng. 44 2 46 0 0 0 0 0 0Adv.Dipl Civil Eng. 55 12 67 0 0 0 0 0 0Adv.Dipl Elect. Eng. 47 14 61 0 0 0 0 0 0Adv.Dipl- Electronic & Telecom. Eng. 55 20 75 0 0 0 0 0 0Adv.Dipl Tech. Ed. 0 0 0 0 0 0 0 0 0TOTAL: DIT 986 155 1,141 773 97 870 2,584 552 3,136Number of lecturers 74 11 85 133 19 152 0

7. Technical College of Arusha (TCA)FTC - Mech. Eng. 0 0 0 0 0 0 0 0 0FTC - Elect. Eng. 0 0 0 0 0 0 0 0 0FTC - Civil. Eng. 0 0 0 0 0 0 0 0 0FTC .Auto. Eng. 0 0 0 0 0 0 0 0 0FTC. Highway Eng 0 0 0 0 0 0 0 0 0TOTAL: TCA 0 0 0 0 0 0 0 0 0Number of lecturers 0 0 0 0 0 0 0 0 0

2007/082005/06 2006/07

224

Table D continues8. Mbeya Technical College (MTC)FTC - Mech. Eng. 79 0 79 42 1 43 -40 -81 -121FTC - Elect. Eng. 92 2 94 37 5 42 -27 -59 -86FTC - Elec. Civil. Eng. 97 7 104 46 5 51 -36 -77 -113FTC - Arch. 35 6 41 18 2 20 -14 -30 -44Ordinary Dip. Architecture Engineering 20 0 20 34 3 37 -28 -59 -87Ordinary Dip. Civil Engineering 49 2 51 88 11 99 -66 -143 -209Ordinary Dip. Electrical Engineering 51 0 51 76 8 84 -60 -128 -188Ordinary Dip. Mechanical Engineering 42 0 42 79 2 81 -75 -152 -227Adv.Dipl Civil Eng 53 6 59 52 3 55 -46 -95 -141Adv.Dipl Mech Eng 51 1 52 32 1 33 -30 -61 -91TOTAL: MTC 569 24 593 504 41 545 -422 -885 -1,307Number of lecturers 2 29 31 101 8 109 -85 -178 -263

ADE Electrical Engineering 13 13ADE Civil Engineering 14 14ADE Mechanical Engineering 6 6Ordinary dip. Architecture Engineering 85 6 91Ordinary dip. Electrical Eng. 180 19 199Ordinary dip. Civil Engineering 188 21 209Ordinary Diploma: Computer Engineering 55 4 59Ordinary dip. Mechanical Eng. 149 9 158Bachelor in Mechanical Engineering 17 2 19Bachelor in Electrical Engineering 12 1 13Bachelor in Civil Engineering 60 6 66Bachelor in Business Administration 24 6 30Bachelor in Architecture 9 9TOTAL (MIST) 812 74 886Number of lecturers 109 10 119

Source: Ministry Education and - Not available

Mbeya Institute of Science and Technology

225

Table No. 81 (Number)Year I II III IV V VI Total1986 12625 12389 11895 10073 730 567 482791987 15709 15526 13188 12245 801 756 582251988 18007 18897 15326 14358 966 702 682561989 20789 19279 18415 14759 1045 716 750051990 23585 21870 17599 17685 1481 1094 833141991 27554 25143 19237 17371 1922 1639 928661992 29027 27044 19378 17891 2018 1758 971161993 25703 27651 21894 18367 2223 2097 979351994 28657 26971 22784 19809 2573 2011 1028051995 28498 26242 24098 21199 2334 1938 1043091996 28002 25807 22494 20318 3168 2243 1020321997 29768 27461 22406 20627 3408 3381 1070511998 27125 24756 22029 20409 4826 3428 1025731999 28333 25747 23120 20255 5667 4493 1076152000 30789 26601 23469 20430 5894 5011 1121942001 36305 30820 25004 20762 5892 5116 1238992002 41593 34209 27540 20681 6418 5534 1359752003 46891 38506 26385 21650 6430 4859 1447212004 48752 46167 33240 24476 8847 6229 1677112005 45276 46321 32063 29248 9183 7046 1691372006 46968 48013 42878 29796 9569 7956 1851802007 47437 46927 41340 35746 11299 8667 1914162008 42971 43232 43177 35980 12576 8594 1865302009 44255 36384 37064 34061 11851 9096 172711

Change (%)2008-2009 3.0% -15.8% -14.2% -5.3% -5.8% 5.8% -7.4%

Source: Ministry of Education and Vocational Trainings

PRIVATE SECONDARY SCHOOLS: NUMBER OF STUDENTS BY FORM

226

CHAPTER 19

HEALTH Introduction

334. In 2009, the Government in collaboration with various stakeholders

continued to implement Primary Health Care Service Development

Programme (PHCSDP). Efforts were directed towards improving maternal and

child health in order to reduce maternal and child mortality. In addition, the

system of collecting and analyzing health statistics was improved to facilitate

accessibility and dissemination of reliable health sector statistics.

Health Facilities

335. In 2009, health facility centres increased to 6,385 compared to 5,901

facility centres in 2008, equivalent to an increase of 7.6 percent. Out of these,

Government owned 292 hospitals, 431 health centres and 3,526 dispensaries

while parastatals owned 15 hospitals, 41 health centres and 189 dispensaries.

Private and charity organizations owned 163 hospitals, 265 health facilities

and 1,477 dispensaries.

Community Health Education

336. In 2009, environmental health services continued to be undertaken by

educating the public on how to improve their health through 52 radio

programmes, distribution of 190,000 leaflets and 120,000 billboards that

educate people on how to prevent them from HIV infections, tuberculosis,

malaria, epidemic outbreaks and non-communicable diseases. In addition,

training on new system of collecting and disseminating information on HIV

home-based care services was conducted to medical officers and HIV

coordinators in Arusha, Dar es Salaam, Coast, Lindi, Manyara, and Iringa

regions.

Maternal and Child Health

337. In 2009, vaccination against tetanus was given to 957,983 women in

Bariadi, Bunda, Bukombe, Hanang, Kahama, Kibondo, Kiteto, Meatu,

227

Mpanda Urban, Mpanda Rural, Ngara, Rorya, Simanjiro, and Tarime under

the second phase of tetanus vaccination campaign. A total of 146 health

service providers were trained on prevention of sexually transmitted diseases,

reproductive health, and youth peer education. Furthermore, 126 AIDS

coordinators were trained on exchanging information on sexually transmitted

infections. In addition, a total of 15,000 guidelines for treating sexually

transmitted diseases and reproductive organ diseases and 10,000 guidelines for

the provision of education on reproductive health and youth friendly service

were distributed.

Food and Nutrition

338. In 2009, training on improving production of iodinated salt to 136

trainers and 1,567 small scale producers was conducted in the following

districts: Kigoma, Iramba, Singida, Manyoni, Bahi, Chamwino, Meatu,

Hanang, Babati, Korogwe, Muheza, Pangani, Bagamoyo, Mkuranga, Mtwara,

Lindi, Rufiji, and Kilwa. In addition, in dealing with Vitamin A deficiency,

children aged between six months and five years in Tanzania Mainland were

provided with Vitamin A supplements and intestinal worm tablets. By the end

of June 2010, about 94 percent of targeted children were provided with

Vitamin A supplements and 93 percent were provided with intestinal worm

tablets.

339. In 2009, food research to improve health and nutrition for PLWHA

was conducted. The research revealed that, the health of people living with

HIV/AIDS who used nutritional food improved by gaining weight from an

average of 58.7 kilograms to 61.0 kilograms. Further, when those people were

tested for CD 4, their body immunity levels increased from an average of 314

to 365. In addition, opportunistic diseases decreased from 71.5 percent to 32.3

percent.

340. In 2009, malnutrition treatment guideline for children under-five years

was prepared. The guideline will be used by health service providers in 17

municipalities in Dar es Salaam, Lindi, Mtwara, Morogoro, Kagera, Pwani,

and Kigoma regions. In addition, sensitization on cassava usage and value

addition of that crop was conducted in 18 villages in Mtwara region.

228

341. In 2009, feeding practices training on infants with HIV/AIDS

infections was conducted to 26 trainers in 11 districts. Those districts are:

Magu, Ngara, Kasulu, Kibondo, Kigoma, Hai, Siha, Makete, Bagamoyo,

Temeke, and Mtwara. In addition, training on sale and distribution of infants’

food was provided to 20 health officers and 22 journalists from the entry

points of ports, airports and boarders.

Social Welfare Services

342. In 2009, implementation of the National Action Plan on Care Services,

Training and Protection for Vulnerable Children continued, whereby

vulnerable children were identified in 85 councils compared to 81 councils in

2008. A total of 746,183 children were identified up to 2009, of which

388,015 or 51.9 percent were boys and 358,168 were girls. A total of 390

people with disabilities completed vocational and entrepreneurship training

program in government colleges in 2009 compared to 305 people in 2008.

229

Table No. 84

Type of facility

2007 2008 2009 2007 2008 2009 2007 2008 2009 2007 2008 2009 2007 2008 2009

Special/Referral hosp. 6 6 6 0 0 0 2 0 0 0 0 0 8 6 6

Regional hospitals 18 18 18 0 0 0 1 0 0 0 0 0 19 18 18

District hospitals 63 90 90 1 0 0 24 0 0 0 0 0 88 90 90

Other hospitals 3 3 0 7 6 15 65 96 116 40 24 47 115 129 178

Health Centres 379 395 431 12 4 151 125 124 41 49 72 114 565 595 737

Dispensaries 3348 3649 3526 123 112 189 658 689 635 801 613 842 4930 5063 5192

Others* 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0

TOTAL 3817 4161 4071 143 122 355 875 909 792 890 709 1003 5725 5901 6221

Source: Ministry of Health and Social Welfare

* Includes special clinics, nursing homes, medical laboratories and private X-ray services

HEALTH FACILITIES IN THE COUNTRY

PrivateGovernment Parastatal Religious institutions and NGOs Total

230

Table No. 85Type of Training 1999/2000 2000/01 2001/02 2002/03 2003/04 2004/05 2005/06

Tanzanian Doctors (MO)* 50 45 56 61 118 124 134Assistant Medical Officers (AMO) 130 103 165 130 129 - -Pharmacists (PH) 17 19 14 21 20 49 49Medical Assistants (MA) 536 616 608 639 - - -Rural Medical Aids (RMA) - - - - - - -Nurses Grade "A" 319 367 402 260 - - -Nurses Grade "B" 842 902 930 980 - - -Nurses - Midwives(MCHA) - - - - - - -Health Officers (HO) 56 78 81 85 - - -Assistant Health Officers (AHO) 13 - 15 42 - - -

Source: Ministry of Health and Social Welfare * Including Dentists - Not Available

TRAINING OUTPUT OF HEALTH PERSONNEL

231

Table No. 85 AType of Training 2000/01 2001/02 2002/03 2003/04 2004/05 2005/06 2006/07Tanzanian Doctors (MO)* 45 67 69 118 124 134 -Pharmacists (PH) 19 14 21 20 49 45 -Nurses (Graduates) 4 2 7 6 25 25 -Nursing and MidwiferyAdv.Diploma in Midwifery - - 40 - 38 39 38Adv.Diploma in Public Health 20 5 21 - 17 - 28Advanced Mental Health - - 4 - 14 13Advanced Opthalmic Nursing - 9 5 14 - 15 15Adv. Theatre Management - 9 - 12 - 15 15Advanced Paedatric Nursing - 8 3 15 - 16 15Advanced Nurse Tutor - 25 - 25 - 25 24Nursing Diploma 403 360 454 391 536 513 603Certificate Midwives 408 515 429 498 506 452 496Certificate for Trained Nurses 522 469 560 508 557 473 571Certificate in Public Health 197 222 184 156 219 460 158Allied HealthAssistant Medical Officer 165 248 152 129 111 - 218Assistant Dental Officer 8 9 11 12 7 - 12AMO Opthalamology - - - - - - -AMO Radiology - - - - - - -AMO Anaethesiology 2 - 4 - 5 1 -Health Officers 78 81 85 - 55 73 39Assistant Health Officers 15 42 - 60 60 28Health Records Technicians 15 13 18 16 15 15 13Clinical officers (Medical Assist.) 528 640 643 635 453 1264 502Assist. Clinical Officers - - - - - - -Dental Therapists (Dental Assist) 16 19 21 26 22 27 14Certif. Laboratory Technicians 108 115 110 66 87 78 28Health Officers - Vector Control - 10 - 10 6 12 10Phsiotherapists 9 13 12 12 12 20 13Diploma in Radiology 9 - - - 18 16 13Certificate in Radiology 18 16 20 18 18 18 18Orthopaedic Technicians 11 - - - 8 11 18Phamaceutical Assistants 18 16 20 18 21 33 18Optometry Technicians 10 12 10 12 9 11 11Laboratory assistant - - - - 87 108 32Dental laboratory Technology - - - - 4 4 11Dematovenereology - - - - 14 13 12Pharmacetical Technology - - - - 18 12 47Advanced Diploma Medical Laborato - - - - 20 14 102

Source: Ministry of Health and Social Welfare * Including Dentists - Not Available

TRAINING OUTPUT OF HEALTH AND ALLIED HEALTH PERSONNEL

232

Table No. 86

Rural HealthYear Hospitals Dispensaries Centres

1995 355483 6785925 545921 2407071996 604023 9530361 927606 5417811997 711222 10003245 1052326 5599491998 750465 10112305 1134242 -1999 812891 10321654 1242354 6267002000 989101 13697988 1874346 6267002001 1167139 17218371 2511624 6802632002 1328395 19695356 3258520 7015682003 1491909 22935688 3659615 13902732004 1532028 23552460 3758027 21253882005 1619700 24900276 3973085 22371462006 1754925 26979136 4304787 28372522007 1842671 28328093 4520026 29791152008 1934805 29744498 4746027 31280712009 2128286 32718948 5220630 3440870

Source: Ministry of Health and Social Welfare* Includes patients admitted in hospitals, dispensaries and rural health centres - Not available

Out-patientsIn-patients*

UTILIZATION OF HEALTH FACILITIES: NUMBER OF PATIENTS

233

Table No. 87Cadre 2001 2002 2003 2004 2005 2006 2007 2008 2009

All Medical Doctors (including foreigners) - - - - - - 1338 - -Tanzanian Medical Doctors+ 1358 1419 - - - - - 4143 -Assistant Medical Officers 3758 3888 - - - - 1434 1633 -Pharmacists - - - - - - 192 700 -Assistant Pharmaceutical Officers - - - - - - 201 349 -Medical Assistants 8319 8958 - - - - 22024 - -Clinical Officers - - - - - - 6908 3596 -Rural Medical Aids - - - - - - - - -Health Officers - - - - - - 995 1146 -Assistant Health Officers 2493 2535 - - - - - - -Nurse/Midwives Grade "A" 7419 7679 - - - - 6460 3280 -Nurse Midwives Grade "B" 13393 14373 - - - - 10588 7389 -Village Midwives (MCHA) - - - - - - - - -

Source: Ministry of Health and Social Welfare + Including Dentists - Not available

NUMBER OF MEDICAL PERSONNEL

234

Table No. 87A

Government ParastatalReligious

institutions and NGOs

Private

Special/Referral hospitals - - - - -Regional hospitals - - - - -District hospitals - - - - -Other hospitals 14,288 789 11,358 1,175 27,610Health Centres 7,425 370 3,709 1,004 12,508Dispensaries 553 3 736 188 1,480Total 22,266 1,162 15,803 2,367 41,598

Source: Ministry of Health and Social Welfare

NUMBER OF HOSPITAL BEDS IN THE COUNTRY

Type of facility

Owner

Total

235

CHAPTER 20

COMMUNITY DEVELOPMENT

Folk Development Colleges

343. In 2009, folk development colleges offered training to 29,557 people,

compared to 31,493 people in 2008, equivalent to 6.5 percent decline. The

decline was due to upgrading of five folk development colleges into

community development colleges. The community members were trained in

masonry, carpentry, needlework, cookery, mechanics, vegetable farming and

animal husbandry. Similarly, training was offered to community members on

HIV/AIDS prevention. Long term training was offered to 4,708 community

members, while short courses were offered to 6,411 members, out-station

training to 4,443 members and 13,995 members were offered training in and

outside college in collaboration with other institutions.

Community Development Colleges

344. In 2009, a total of 514 students graduated from the community

development colleges. Those graduates acquired certificates, advanced

diplomas and bachelor degrees. Graduates were from the following colleges:

Tengeru, Rungemba, Monduli, Buhare, Misungwi, Mlale, Mabughai, Ruaha

and Uyole. Out of those graduates, 204 were from Tengeru, while the rest

were from the other 8 colleges. In addition, during 2009/10, a total of 2,553

students continued with their studies in all nine colleges in the following

composition: 538 students pursuing bachelor degrees, 847 students – diploma

level and 1,168 students - certificate level. Tengeru College offers advanced

diploma and bachelor degree. Buhare, Misungwi, Monduli and Rungemba

offer diploma, while Mlale, Ruaha, Uyole and Mabughai offer certificate

course.

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Gender and Women Development

345. In 2009, Women Development Fund (WDF) disbursed shs. 124 million

to 18 councils which fully repaid the credits extended to them for lending to

women entrepreneurs. In addition, Women Development Bank was

established to provide opportunity for lending to women. As of December

2009, a total of 4,220 bank accounts were opened. Out of these accounts,

women owned 71.3 percent while men owned 28.7 percent. A total of 450

women entrepreneurs were facilitated to participate in Dar es Salaam

international trade fair in 2009.

Child Development

346. The Child Protection Act 2009 was approved by the Parliament in

November 2009. The objective of this Act is to develop, improve, protect and

ensure child security, in line with international and regional convention on

child right and welfare. Further, in 2009, the Government coordinated the

general meeting on child council of the United Republic of Tanzania held in

December 2009 in Dodoma. The focus of this meeting was to receive reports

related to implementation of child affairs related activities.

Coordination of Non-Governmental Organisations (NGOs)

347. In 2009, a total of 3,755 NGOs were registered compared to 2,893

NGOs in 2008. Similarly, during the period under review, 816 NGOs were

registered and received certificates of approval, equivalent to an increase of 22

percent. The increase was attributed to improvement in registration procedures

under the NGOs Act, No. 24 of 2002. In addition, a total of 8,900 copies of

regulations in English and Swahili versions were distributed with the aim of

improving transparency and accountability of the NGOs.

348. In 2009, centre for NGOs databank was established. In addition, the

website for coordinating NGOs known as www.tnnc.go.tz was launched. The

objective of the website and the databank is to improve registration services

and coordination of NGOs in order to ease exchange of information. A total of

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2,500 stakeholders accessed the databank. In 2009, the National Board of

NGOs coordination provided consultancy services to 46 NGOs visited in the

following regions: Tanga, Manyara, Singida, Shinyanga and Arusha.

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Documents

The Economic Survey 2009