Country Economic Forecasts - Tanzania
Tanzanian economic growth came in at 6.8% y-o-y for the first three quarters of 2017, driven by a 11.5% y-o-y expansion in the industrial sector. A slight slowdown in industrial growth during the final quarter of the year was accompanied by a recovery in the agricultural sector – the latter having endured the lingering effects of a regional drought – with annual real GDP growth estimated at 6.7% for 2017. Tanzania’s economic outlook remains positive, with real GDP growth projected to average just under 7% p.a. over the medium term. One notable downside risk relates to perceptions of erratic policymaking by the Magufuli administration potentially undermining business confidence and discouraging investment.