Tanzania offers attractive opportunities for foreign investors across sectors like infrastructure, energy, mining and manufacturing.
Tanzania has undertaken massive infrastructure projects in recent years which are including— ports, roads, railways and power plants. The government aims to spend $57 billion on infrastructure development under its 2025 Development Vision. This presents opportunities in construction, engineering services, equipment supply etc.
Only 40% of Tanzania’s population has access to electricity. The government plans to increase electricity access to 75% by 2035. Around $6.6 billion investment is needed to meet this target. This indicates potential for investments in power generation, transmission and distribution projects.
Mining is another sector with high growth potential, given Tanzania’s reserves of gold, nickel, cobalt, diamond and other minerals. FDI inflows into mining have doubled over the past decade to around $900 million annually. Further policy reforms can unlock greater investments.
Tanzania offers a large domestic consumer market with a population of 60 million, as well as access to the East African Community (EAC) and SADC markets. This enables opportunities for consumer goods and manufacturing companies.
Tanzania’s rapidly growing population and rising consumer class offers a sizable domestic market for fast moving consumer goods (FMCG), especially processed/packaged foods, personal care etc.
International FMCG brands can make use of the many locally avaialable manufacturing and distribution partners to serve this demand. Pharmaceuticals and healthcare also present an attractive opportunity given low per capita spending and high disease burden currently.