Tanzania Investment and Consultant Group Ltd

| Economic Research Centre

The Chama Cha Mapinduzi (CCM) Manifesto for the 2025 General Election, launched on May 30, 2025, aims to transform Tanzania’s economy by 2030 through ambitious targets like creating 350,000 jobs in Zanzibar, constructing a 1,108-km Tanga–Arusha–Musoma railway, and boosting per capita income. Building on past successes, such as a 44% increase in irrigated farmland (681,383 to 983,466 hectares) from 2020–2024 and 304 investment projects worth USD 3.74 billion in Zanzibar from 2015–2020, the manifesto leverages Tanzania’s 5.3% GDP growth in 2023 and projected 6% in 2025. However, with public debt at 41.1% of GDP in 2024 and ambiguous targets like 300,000 units for the blue economy, its realism hinges on addressing funding gaps and structural challenges to achieve inclusive growth.

1. Overview of the CCM Manifesto 2025–2030

The CCM Manifesto, launched on May 30, 2025, outlines nine strategic priorities, including economic transformation, job creation, infrastructure development, and inclusive growth. Key economic targets include:

These targets build on the 2020–2025 manifesto’s achievements, such as increasing irrigated farmland from 681,383 to 983,466 hectares (+44%) and food security from 114% to 128%. The manifesto aligns with NDV 2050’s goal of achieving a USD 1 trillion GDP and USD 12,000 per capita GDP by 2050, requiring over 8% annual growth.

2. Current Economic Situation (as of May 31, 2025)

Tanzania’s economy is a lower-middle-income economy with a GDP per capita of USD 1,149 in 2024. Key economic indicators include:

The economy benefits from stable macroeconomic conditions and a reputation for peace, attracting FDI in mining, energy, and tourism. However, challenges include a narrow tax base, foreign exchange shortages, and slow structural transformation, with reliance on low-productivity sectors like subsistence agriculture.

3. Historical Economic Performance

Historical data provides context for assessing the manifesto’s realism:

These achievements suggest CCM’s capacity to deliver on economic promises, but slow poverty reduction (26.4% in 2018) and reliance on public investment indicate challenges in achieving inclusive growth.

4. Realism of the Manifesto’s Economic Proposals

To evaluate the manifesto’s realism, we assess its key proposals against current conditions, historical trends, and feasibility:

a. Job Creation (350,000 Jobs in Zanzibar, Potential 8.5 Million Nationally)

b. Investment Projects

c. Per Capita Income

d. GDP Growth

5. Critical Evaluation of Realism

The manifesto’s economic proposals are realistic in several respects:

However, challenges threaten realism:

6. Conclusion

The CCM Manifesto for 2025 has the potential to drive economic transformation by 2030, but its success will depend on effective implementation and addressing challenges. The manifesto’s targets, such as creating 350,000 jobs in Zanzibar and infrastructure projects like the 1,108-km Tanga–Arusha–Musoma railway, are supported by historical achievements (e.g., 16,866 jobs from USD 3.74 billion in Zanzibar investments) and current growth projections (6% for Tanzania, 6.8% for Zanzibar in 2025). Initiatives like training 2,500 cooperatives and boosting agricultural investment (TZS 954 billion in 2022/23) promote inclusive growth. However, vague targets, funding uncertainties, and structural issues, such as slow economic transformation and a public debt of 41.1% of GDP, demand careful management. With Tanzania’s stable growth (5.5% average) and strategic reforms, the manifesto holds realistic potential to achieve economic change by 2030, provided implementation is strong and external risks are mitigated.

Key figures related to the economic proposals in the Chama Cha Mapinduzi (CCM) Manifesto for the 2025 General Election, launched on May 30, 2025, as requested in the question about its realism in bringing economic change to Tanzania by 2030. The table focuses on job creation, investment, per capita income, GDP growth, and related metrics, incorporating figures from the manifesto and relevant external sources to reflect the current economic situation (as of May 31, 2025, 11:05 AM EAT) and historical data. The figures are selected to assess the manifesto’s potential to drive economic transformation.

CategoryIndicatorFigure/ValueTimeframe
Job Creation (Zanzibar)New jobs in formal and informal sectors350,000By 2030
Cooperative Training (Zanzibar)Number of cooperative societies to receive training2,5002025–2030
Livestock Loans (Zanzibar)Number of cows provided per youth per region annually22025–2030
Blue Economy (Zanzibar)Contribution to economy (jobs or output, units unclear)300,000By 2030
Infrastructure InvestmentTanga–Arusha–Musoma Railway length1,108 km2025–2030
Infrastructure InvestmentNew port construction at Bagamoyo1 port2025–2030
Infrastructure Investment (Zanzibar)Integrated port construction at Mangapwani1 port2025–2030
Per Capita Income (Zanzibar)Increase in per capita income (USD)Not quantified (targeted increase)By 2030
GDP Growth (Tanzania)Projected GDP growth rate6%2025
GDP Growth (Zanzibar)Projected GDP growth rate6.8%2025
Historical GDP GrowthReal GDP growth rate5.3%2023
Historical Per Capita IncomeNational GDP per capitaUSD 1,1492024
Historical Investment (Zanzibar)Investment projects (2015–2020)304 projects worth USD 3.74 billion2015–2020
Historical Jobs (Zanzibar)Jobs created from investments (2015–2020)16,8662015–2020
Agricultural GrowthIncrease in irrigated farmland681,383 to 983,466 hectares (+44%)2020–2024
Food SecurityFood sufficiency level114% to 128%2020–2024
Inflation RateNational inflation rate3.3%March 2025
Public DebtPublic debt as a percentage of GDP41.1%2024

Notes:

  1. Scope: The table includes key figures from the manifesto (e.g., 350,000 jobs in Zanzibar, 1,108-km railway) and external sources (e.g., 6% GDP growth for Tanzania in 2025, 3.3% inflation in March 2025) to evaluate the manifesto’s realism in driving economic change by 2030. Historical data (e.g., 304 investment projects worth USD 3.74 billion, 44% irrigation growth) provides context for feasibility.
  2. Zanzibar Focus: The manifesto provides specific targets for Zanzibar, such as 350,000 jobs and 2,500 cooperatives, but lacks quantified national targets for per capita income and GDP growth, supplemented by external projections.
  3. Ambiguity: The “300,000” figure for the blue economy lacks clear units (jobs or output), and per capita income targets are qualitative. National job creation targets (e.g., 8.5 million) are mentioned in external sources but not confirmed in the manifesto.
  4. Current Context: As of May 31, 2025, 11:05 AM EAT, Tanzania’s stable growth (5.3% in 2023, 6% projected for 2025) and low inflation (3.3%) support the manifesto’s feasibility, though challenges like public debt (41.1% of GDP) and foreign exchange shortages persist.
  5. Alignment with NDV 2050: The figures align with NDV 2050’s goals of achieving over 8% annual GDP growth, with manifesto initiatives like infrastructure and job creation supporting prosperity and inclusivity.

Tanzania Vision 2050 aims to transform the nation into a middle-income, semi-industrialized economy by 2050, targeting 8-10% annual GDP growth to support a projected population of over 114 million. The Tanzania Investment Centre (TIC), Local Government Authorities (LGAs), Tanzania Revenue Authority (TRA), and Public-Private Partnership Centre (PPPC) play pivotal roles in achieving this ambition. This analysis evaluates how effectively these institutions align their efforts with the GDP growth target and explores inter-institutional collaborations to drive industrialization and poverty reduction, using key figures to highlight their contributions and challenges.

Tanzania’s GDP growth averaged 6.5% annually (2015-2024, World Bank), below the 8-10% target needed to triple economic output by 2050 to sustain per capita income for 114 million people. Each institution’s alignment is assessed based on current performance and scalability.

Tanzania Investment Centre (TIC)

Local Government Authorities (LGAs)

Tanzania Revenue Authority (TRA)

Public-Private Partnership Centre (PPPC)

Collective Alignment

Table 1: Alignment with 8-10% GDP Growth Target

InstitutionCurrent Contribution (2024)2050 TargetGDP Growth Impact (2050)
TIC$6.2B FDI, 150,000 jobs$50B FDI~3-4%
LGAs$0.46B revenue, 5% share$2.6B, 10% share~1-1.5%
TRA$9.26B, 12.5% tax-to-GDP$37B, 20% tax-to-GDP~3-4%
PPPC$3B PPPs, 10 projects$20B PPPs, 50 projects/year~2-3%

2. Inter-Institutional Collaborations for Industrialization and Poverty Reduction

Industrialization and poverty reduction are core to Vision 2050, requiring job creation, infrastructure, and inclusive growth. Inter-institutional collaborations can bridge gaps and amplify impact. Below are key collaborations with figures.

Collaboration 1: TIC-TRA for Industrial Investment and Revenue

Collaboration 2: PPPC-LGAs for Industrial Infrastructure

Collaboration 3: TRA-LGAs for SME Support

Collaboration 4: TIC-PPPC for Private Sector Innovation

Table 2: Inter-Institutional Collaborations

CollaborationInstitutionsKey MetricCurrent (2024)2050 TargetImpact (Industrialization/Poverty)
TIC-TRATIC, TRAFDI/Revenue$6.2B/$9.26B$50B/$37B5M jobs, 15% poverty reduction
PPPC-LGAsPPPC, LGAsPPPs/LGA Revenue$3B/$0.46B$20B/$2.6B100 parks, 10M rural poor lifted
TRA-LGAsTRA, LGAsFormal SMEs50,0001M5M SME jobs, 50% urban poverty cut
TIC-PPPCTIC, PPPCTech FDI/PPPs$0.5B/$0.3B$5B/$2B500,000 tech jobs, 20M youth empowered

Conclusion

TIC and TRA are highly effective, contributing 3% and 2% to GDP growth, but need to scale FDI and revenue to meet the 8-10% target. PPPC (score 6) and LGAs (score 4) lag due to execution and resource constraints but have potential with reforms. Inter-institutional collaborations—linking TIC-TRA for investment, PPPC-LGAs for infrastructure, TRA-LGAs for SMEs, and TIC-PPPC for innovation—can drive industrialization (40% GDP share) and reduce poverty to 10%.

Employment Trends in Tanzania (2025-2030), Bridging the Formal and Informal Gap

Tanzania’s workforce is 71.8% informal (25.95 million workers) and 28.2% formal (10.17 million workers), highlighting a major divide in job security, wages, and social protection. While formal employment is projected to rise to 38% by 2030, barriers such as limited job availability (42%), skills mismatches (26%), and bureaucratic challenges (21%) slow the transition. This report explores the key trends, challenges, and opportunities in Tanzania’s employment landscape, emphasizing the role of industrialization, digital transformation, and policy reforms in shaping the future workforce.

Key Figures

Main Issues Breakdown

1. The Divide Between Formal and Informal Employment

2. Education and Employment Trends

3. Work Experience and Job Stability

4. Challenges in Informal Employment

5. Factors Encouraging Formalization

6. Digital Technology and Employment Growth

7. Job Creation by Sector

Policy Recommendations

To address these employment challenges, the report suggests:

  1. Expand Industrialization and Special Economic Zones (SEZs) to increase formal jobs.
  2. Improve Vocational Training to align skills with industry needs.
  3. Simplify Business Registration and Taxation to encourage formalization.
  4. Enhance Digital and Remote Work Opportunities through ICT training.
  5. Introduce Affordable Social Protection Schemes for informal workers.

Conclusion

The Tanzanian labor market is shifting towards more formalization, but challenges like bureaucracy, low education levels, and financial constraints remain. The digital economy and government policy reforms present new opportunities to increase formal employment and improve workforce stability.

Employment Trends by Sector in Tanzania (2025-2030)

SectorEmployment ShareKey Trends & Insights
Agriculture28%Largest employer but mostly informal; faces challenges like low wages, seasonal instability, and outdated methods. Modernization efforts could increase formalization and productivity.
Manufacturing18%Growing due to industrialization and special economic zones (SEZs); projected to create more formal jobs in food processing, textiles, and construction materials.
Construction14%Driven by infrastructure projects; employs both formal and informal workers, but many lack social protection and job stability.
Small Business17%44% of informal jobs come from micro-enterprises, retail, and street vending; registration barriers slow formalization.
Services14%Includes tourism, finance, and logistics; a growing source of formal jobs, but requires skilled workforce.
Technology/ICT9%Fast-growing sector, creating new jobs in fintech, e-commerce, and software development; digital skills gap remains a challenge.

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