At a glance, see the major macroeconomic aggregates essential to understanding the economic environment in a country as well as forecasted changes. The economic outlook highlights the opportunities and risks ahead, helping to anticipate major changes.
This analysis is essential for any company seeking to adapt to changes in the business environment. Growth accelerated in , underpinned by rising exports and private investment on back of an improved business climate. Growth is set to continue in , driven mainly by public and private investment in numerous infrastructure projects, one of the most important of which is the construction of the 1, km East African Oil Pipeline EACOP between Uganda and Tanzania.
Other projects in the pipeline include energy projects, namely the construction of a hydroelectric power station, and rail projects with the development of cross-border railroads, notably the km Tanzania-Burundi corridor for which financing for Phase II was approved by the African Development Bank in December Robust growth will also come from increased gold production and exports, supported by an expected rise in world prices and improved productivity in the mines technological advances such as machine automation.
The tourism sector will also drive economic activity. However, budget spending will remain high, while state-financed infrastructure projects, with or without private participation, are multiplying, notably EACOP, roads, railroads, ports and energy infrastructures. In addition, local elections in and the Presidential election in should keep social spending levels up this year.
Furthermore, the domestic portion is held mainly by commercial banks and pension funds. The current account deficit will continue to shrink in thanks to rising gold exports and a rebound in the tourism sector.
