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The Infrastructure Industry in Tanzania 2015

  • May 2015
  • -
  • Who Owns Whom
  • -
  • 114 pages

Summary

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Contribution of the Sector: This report focuses on the Tanzanian construction industry, which has been bolstered by continuing growth in the communications, transport and infrastructure development sectors. The construction sector is one of the forces driving national GDP growth and the Tanzanian National Bureau of Statistics predicts that economic growth will increase to 7.4% in 2015 from 7.2% in 2014. The construction industry is expected to contribute 7.3%, which is equivalent to US$2.77bn.


Influencing Factors: The sector has seen a period of sustained growth since 2002 as a result of government support, increased infrastructure development, and significant diplomatic and commercial partnerships with the Chinese government and Chinese companies. A significant factor going forward is the large natural gas reserves that were recently discovered and the growth in the country’s urban population. However, problems do exist within the construction industry, caused mainly by corruption and a lack of quality from local contractors. There are also concerns regarding the unrest in Burundi and other neighbouring countries and although expected to be violence-free, national elections are to be held in October 2015.



Report Coverage:

The report on the Tanzanian Construction Sector identifies and discusses the opportunities and challenges in the local economy for the construction industry, as well as factors influencing the success of the industry. The report also profiles 26 companies active in the sector, including mega-Chinese construction firms the China Civil Engineering Construction Corporation (CCECC) and the China Communications Construction Company Ltd (CCCC), Advent Construction, one of Tanzania’s major local construction companies, and Wapo Scaffolding, a small local company trying to establish itself in the market.

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