Death of JPM, Isles VP, drought
Yesterday, in her New Year’s greeting, President Samia said 2121 was not easy for Tanzania as it was full of ups and downs, happiness and sorrow as well as growth and slowdown. .
âIn 2021, our nation went through difficult times after the death of our Head of State, Dr John Magufuli, while in office, and then of Zanzibar’s First Vice President, Seif Sharif Hamadâ, a- she declared.
“It was a moment of mourning not only for our nation, but for the entire African continent.”
The president said the disruption caused by the Covid-19 pandemic caused growth to decline from 7.0% in fiscal year 2019/2020 to 4.8% in fiscal year 2020/2021.
The economic downturn was caused primarily by border closures and the resulting international travel restrictions, leading to a decline in tourism and other economic activities, with measures taken to close borders and related restrictions. by many countries, including those with intense trade relations with Tanzania.
âSecond, our country experienced above-normal rains which significantly damaged infrastructure and delayed the implementation of some key development projects,â she said.
In addition, towards the end of 2021, Tanzania experienced inflation reaching 4.1%, caused mainly by the rise in oil prices and the impacts of the pandemic, as factories closed, causing chain problems. supply in the global economy, she said.
Despite the grueling challenges, Tanzania has remained a peaceful country and united with solidarity among citizens, she said, further noting that despite the disruptions from Covid-19, âwe have shown positive economic growth, making part of the 11 African countries which have done so out of 54 â.
“This was possible because we allowed our people to continue their economic activities instead of putting in place blockages like other countries,” she said.
To avoid a negative economic impact, the government has ensured that inflation is controlled between three and five percent as well as ensuring the availability of foreign exchange reserves, she said, noting that yesterday the Tanzania had about $ 6.253 billion, which is enough to import basic necessities for up to seven months.
âTo attract investors and inject money into circulation, we carried out reforms in policies and legal, regulatory and administrative aspects and, as a result, recorded 237 investments worth $ 4.144 billion in 2021, up from 186 projects worth $ 1.013 billion the previous year. stressed the president.
In the agricultural sector, the government has authorized the Tanzania Agricultural Development Bank (TADB) to inject $ 208 billion in additional capital to enable the lender to reach more farmers with loans, she said.
Tanzania has removed trade barriers and opened product sales centers in Kenya, South Sudan, China, India, Ukraine, European Union, SADC zone as well as Saudi Arabia, she said, praising tourism which was hit the hardest in the world in 2020 but has quickly shown signs of recovery in the last few months of last year.
“In December 2021, the tourism sector had managed to register 1.4 million visitors against 620,867 during the whole of 2020,” she added.