Tanzania is entering a new phase of economic transformation in 2025, fueled by strategic reforms, infrastructure investments, and rapid technological adoption. With GDP growth projected at 6.1%, the country is strengthening its position as a leading economy in East Africa. Below are five major sectors powering Tanzania’s growth:
1. Manufacturing and Industrialization
The government’s Industrialization Agenda 2025 is attracting both local and foreign investors into the manufacturing sector. From textiles and cement production to food processing, industrial growth is boosting job creation and increasing export capacity.
2. Mining and Natural Resources
Tanzania remains one of Africa’s richest nations in minerals, including gold, graphite, lithium, and tanzanite. In 2024, mining contributed over 7.2% to the GDP, with government partnerships and international investments fueling rapid sector expansion.
3. Transport and Logistics Development
Projects like the Standard Gauge Railway (SGR) and major road upgrades are improving connectivity across East Africa. These investments reduce transport costs, support trade efficiency, and strengthen Tanzania’s role as a regional business hub.
4. Financial Services and Digital Payments
The rise of mobile money platforms like M-Pesa, Tigo Pesa, and Airtel Money has boosted financial inclusion to over 70% of the population. Digital banking innovations are enabling easier cross-border trade and supporting small and medium-sized enterprises (SMEs).
5. Tourism and Hospitality Growth
Tanzania welcomed 1.8 million visitors in 2024, generating billions in revenue. Efforts to diversify offerings—such as cultural tourism, eco-tourism, and conference tourism—are expected to push tourism earnings to record highs in 2025.