BoT: Zanzibar records 33.4 pct foreign funding in 2014

Bank of Tanzania (BoT)

The government of Zanzibar has recorded a 33.4 percent as foreign funding during the year ending December 2014, the Bank of Tanzania (BoT) has said in its January monthly economic review.

 

According to the review, the balance which is 66.6 percent was from government revenue.

 

The review showed that Zanzibar’s current account recorded a deficit of USD72.8m during the year ending December 2014 compared with a deficit of USD82.0m, in the corresponding period in 2013.

 

Government expenditure was 29.3bn/-, out of which 27.3bn/- or 93.3 percent of the total expenditure was recurrent expenditure and the balance was for development projects.

 

It said the recurrent expenditure was 6.8 percent below the estimates for the month while development expenditure was 56.8 percent below the estimates, due to lower than projected inflows from development partners.The review also said value of exports of goods and services was USD297.2m in the year ending December 2014, compared with USD179.5m recorded in the corresponding period in 2013.

 

Goods exports increased to USD95.5m from USD60.2m, on account of increase in both cloves exports volume and the corresponding export prices.

 

Specifically, cloves exports increased to USD53m in the year ending December 2014 from USD43m in the corresponding period in 2013.

In terms of share of goods exports, cloves continued to dominate, accounting for 55.5 percent.

 

During the year ending December 2014, the value of imports of goods and services increased to USD380m from USD300.2m recorded in the year ending December 2013.

 

Goods imports was USD233m compared with USD211.1m recorded in the year ending December 2013,mainly driven by an increase in the value of capital and consumer goods.

 

Services account registered a surplus of USD54.7m compared with a surplus of USD30.2m in year ending December 2013, largely on account of increased earnings from tourism related activities.

 

Current transfers recorded a surplus of USD12.2m compared with USD44.2m, mainly driven by decline in grants. During December 2014, Zanzibar government budgetary operations recorded an overall deficit of 0.02bn/-, which was financed through external sources

Total resource envelope amounted to 32.8bn/-, out of which 98.1 percent was domestic revenue and the balance was grants.

 

Revenue collections during December 2014, amounted to 32.2bn/- or 14.5 percent below the target while tax revenue recorded 26.8bn/- , and was below the target by 24.3 percent.

SOURCE: THE GUARDIAN