Tanzania
Mainland : FDI Stocks and Flows
( US $ millions and % of GDP) |
| Items | 2001
| 2002 | 2003 | 2004 |
| Nominal
GDP | 8711 | 8927 | 9447 | NA |
| FDI
Inflows | 467.2 | 429.8 | 526.8 | 469.9
|
| FDI Inflows
( % of GDP) | 5.3 | 4.8 | 5.5 | NA |
| FDI
Stocks | 3777 | 4206 | 4733 | 5203 |
| FDI
Stocks ( % of GDP) | 43.2 | 47.1 | 50.1 | NA |
2005 INVESTMENT CLIMATE
STATEMENT
The Government of Tanzania
has taken significant steps to encourage foreign investment
by creating an attractive package of incentives for
investors and easing bureaucratic requirements. As
a result, FDI in Tanzania has increased
steadily in the last five years. Tanzania is formally
open to foreign investment in all sectors, although
a successful
investor must overcome many procedural barriers. The
Tanzania Investment Center (TIC), established by the
Tanzania Investment Act of 1997, is a focal point
for all investors and performs all liaison work such
as answering
inquiries and facilitating project start-up. Tanzania
was named Africa's best investment promoter at the
Africa
Investment Promotion Agencies 2004 competition, where
the TIC received the first prize among 48 African
countries that took part. The TIC provides certificates
of incentives on approved projects that have a minimum
investment of US $300,000 if foreign owned and US
$100,000 if locally owned.
The priority sectors for
investment, as identified by TIC, are: mining, petroleum
and gas, tourism, infrastructure development, aviation,
agriculture, construction, financial services, and
manufacturing. Investment in other sectors is not
restricted. Foreign firms can participate in privatization
programs without restriction. There is no limit on
foreign ownership or control, though land ownership
remains restricted. TIC services are provided to local
and foreign investors without discrimination, though
a variety of regulatory fees are higher for foreign
firms than for local firms. Remaining obstacles to
foreign investment include bureaucratic intransigence,
corruption and poor infrastructure.
Source
: U.S Dept of State, Investment climate Statement
, Tanzania
