Business climate sees Zanzibar's economy boom
What you need to know:
- Celebrating 60 years of the Revolution and three years under the eighth-phase government, Zanzibar presents a compelling story of economic growth and progress
Dar es Salaam. The government of Zanzibar has implemented various measures to strengthen the business environment, leading to growth in most sectors, including transport and trade.
In 2022, the business worth in Zanzibar was Sh1.4 trillion, compared to Sh913.1 billion in 2020, which is a 57.6 percent increase.
President Hussein Mwinyi said that Zanzibar has exported products worth Sh180.4 billion in 2022, compared to Sh65.7 billion in 2020, an increase of 174.7 percent.
In 2022, Zanzibar exported 6,452.8 tonnes of cloves worth Sh118.3 billion, compared to 3,506.8 tonnes exported in 2020, valued at Sh38.37 billion, an increase of 208.1 percent. The export of seaweed was 13,972.5 tonnes worth Sh16.0 billion in 2022, compared to 11,382.6 tonnes worth Sh11.7 billion in 2020, an increase of 36.8 percent.
Regarding trade between Zanzibar and mainland Tanzania, in 2022, Zanzibar exported goods worth Sh37.64 billion, compared to Sh15.03 billion in 2020. In terms of imports in 2022, Zanzibar imported products worth Sh375.80 billion from mainland Tanzania, compared to products worth Sh243.81 billion in 2020.
The government has achieved success in strengthening cooperative groups, with a total of 1,546 cooperative groups registered. The government has provided a total of Sh60 billion, including Sh29 billion for blue economy sectors, Sh16 billion for the construction of markets, and Sh15 billion for the Inuka Programme aimed at providing loans to entrepreneurs and businesspeople.
The Inuka programme started with a capital of Sh15.0 billion, but so far loans worth Sh22.4 billion have been released through the programme.
The increase in the value of the loans has come from the repayment of the loans, and this has generated direct employment for 43,360 citizens. In addition, the Khalifa Fund programme has provided loans worth Sh2.10 billion for 18 public projects. Through The Citizens' Economic Empowerment Fund, a total of Sh852.17 million has been given to citizens.
Through the Loan Programme for Special Groups, the government has managed to collect a total of Sh1.9 billion from district councils. These funds are intended to be used for providing loans to women, youth, and people with disabilities.
To ensure the successful economic empowerment of the people, the government has built two honey extraction centres worth Sh529.29 million in Unguja and Pemba. Additionally, the construction of a crop management training centre has started with preliminary preparations, which will cost $1.29 million.
