DAR ES SALAAM, Jan. 8 (Xinhua) -- Tanzania's economic growth is expected to remain strong in the first quarter of 2026, supported by low inflation, the country's central bank said Thursday.
Economic growth in mainland Tanzania is projected at 6 percent in the first quarter of 2026, while Zanzibar's economy is expected to expand by 7.2 percent, Bank of Tanzania (BoT) Governor Emmanuel Tutuba said after a meeting of the Monetary Policy Committee (MPC) held Wednesday in Dar es Salaam.
Tutuba said growth continues to be driven mainly by agriculture, mining and construction, while inflation has remained low and stable. Inflation averaged 3.5 percent in mainland Tanzania and 3.4 percent in Zanzibar in the fourth quarter of 2025 and is expected to stay within the target range throughout 2026.
He added that lower crude oil prices are expected to ease pressure on domestic inflation and foreign exchange demand, while record-high gold prices will continue to support foreign exchange earnings and exchange rate stability. ■