Tanzania's economy grows 7.1 pct in first half of 2014: minister

 

Tanzanian government says its economy grew 7.1 percent in the first half of 2014 from a year earlier, slightly slower than its expansion in the same period of 2013.

Africa's fourth-biggest gold producer, and a major tourist destination, forecasts economic growth of 7.2 percent this year and maintained its forecasts for the next two years on Thursday.

The government also plans to spend 5.777 trillion Tanzanian shillings ($3.39 billion) on development projects in fiscal 2015/16, the minister said in a separate report he submitted to parliament on Thursday.

Tanzania, a nation of 45 million people, is aiming to become a middle-income economy and Wasira said per capita income had risen to $706 last year, from $600 in 2012.

Tanzania's current account deficit, however, widened to 7.6 percent of gross domestic product in the year to August, according to latest data, because the country received less aid and fewer loans this year and due to rising imports.