IMF Staff Country Reports

Tanzania has weathered the adverse shocks of recent years relatively well. Revenue collection for 2010–11 has fallen short of targets, constraining public spending and contributing to the emergence of arrears. Monetary policy has become less accommodative. The near-term economic outlook is subject to a higher-than-average degree of uncertainty with a rising risk of donor aid shortfalls and higher international fuel prices. Over the medium term, growth could gradually rise to 7½ percent––thanks to large investments in mining and continued growth in the non-mining economy.