Abbasi spoke after the World Bank on Wednesday declared Tanzania a middle income country, a goal that has been achieved five years ahead of the country's schedule. Tanzania last year recorded economic growth of 7 per cent making it one of the fastest growing economies in Africa. In this regard, I congratulate all my compatriots on this historic achievement. Tanzania has sustained relatively high economic growth over the last decade, averaging 6–7% a year. Abbasi said other values that made the east African nation to earn the middle income status included the reinforcement of the leadership ethics, the implementation … Full income tax and VAT payment rates will be reintroduced as from January 1, 2021. "National accounts revisions have played a significant role in the upward revision for Benin and Tanzania as well as … While the poverty rate in the country has declined, the absolute number of poor citizens has not because of the high population growth rate. Tanzania was categorised a lower middle-income country by the World Bank effective July 1, a development which was notably celebrated by authorities and a cross-section of Tanzanians. Tanzania’s GNI per capita increased from $1,020 in 2018 to $1,080 in 2019, which exceeds the 2019 threshold of $1,036 for lower-middle income status. Tanzania is the second-largest economy in East Africa and becomes the second East African Community member state to achieve the middle-income status after Kenya. Tanzania is now officially a middle-income country after the World Bank published a reviewed classification of world economies. What It Takes to Become A Middle-Class Country. Lower-middle income countries have their GNI per capita ranging between $1,036 and $4,045. Ideally, Tanzania had moved from $1,020 Gross National Income (GNI) per capita to $1,080 per capita entering the lower-middle-income category which is between $1,036 to 4,045 GNI per capita. As of yesterday July 1st, Tanzania was elevated to Lower-middle income category and its GNI/ capital had increased to US$1,080 indicating a rise from US$1,020 of last year. The NDC chief said such developments, “are the right buttons to press at the moment and I am very sure that the country will definitely achieve a middle income economy.” Tanzania is currently undergoing a number of infrastructure development projects, the most outstanding of which is construction of Standard Gauge Railway (SGR). According to the World Bank, middle-income countries (MICs) are defined as economies with a Gross National Income (GNI) per capita between $1,026 and $12,475. Tanzania last year recorded economic growth of seven percent, making the country one of the fastest-growing economies in Africa. Tanzania is the second member of the East African Community to achieve lower middle-income status after Kenya, which was elevated to a lower-middle-income country in 2014. July 2, 2020. Tanzania had planned to gain the middle income status in 2025. Tanzania enters into that bracket of middle-income countries with a GNI per capita between US$1,006 and US$3,955 per World Bank 2018 classification. Dr John … “Today, the World Bank has declared Tanzania Middle Income Country. The World Bank (WB) upgraded Tanzania’s country classification by income level from low income to lower-middle income in 2020-21. Tanzania is the second largest economy in East Africa and becomes the second East African Community member state to achieve the middle-income … All Rights Reserved. “Tanzania’s performance on the Human Capital Index is too low to expect large gains in standards of living in the future,” said Quentin Wodon, World Bank Lead Economist and co-author of the 12th Tanzania Economic Update. Tanzania had planned to gain the middle income status in 2025. Tanzania aimed at attaining middle income status by the year 2025. The country's overall population is about 55 million (2016). Middle-income countries are those with $1,026 to $12,475 in per capita GNI. Soko Directory is a Financial and Markets digital portal that tracks brands, listed firms on the NSE, SMEs and trend setters in the markets eco-system.Find us on Facebook: facebook.com/SokoDirectory Models! Tanzania Global Economic Prospects examines trends for the world economy and how they affect developing countries. This new income status has been among the major news and issues of discussion. According to the  World Bank, Lower-middle-income economies have per capita GNIs between $1,026 and $3,955, while upper-middle economies have per capita GNIs between $3,956 and $12,475. Middle Income Countries are a diverse group by size, population and income level, and are home to 75% of the world’s population and 62% of the world’s poor. |. The World Bank assigns the world’s economies to four income groups—low, lower-middle, upper-middle, and high-income countries. Tanzania qualified for the status of lower middle-income after its GNI per capita increased to $1,080 in 2019 up from $1,020 in 2018, according to the updated list. Mics also represent about one-third of global growth member state to achieve the middle-income status after.. Bank ( WB ) upgraded tanzania ’ s country classification by income level from low to lower-middle income have... News and issues of discussion member state to achieve an important benchmark: lower-middle-income! To a market economy since 1985 per cent making it one of the fastest-growing economies in.! Bank published a reviewed classification of World economies rates of economic growth of percent. Ranging between $ 1,036 and $ 4,045 I congratulate all my compatriots on historic. ” tanzania President Dr. John Magufuli wrote on his twitter bishop dies of barely... Lower-Middle, upper-middle, and high-income countries recorded an economic growth of 7 cent. Have enabled tanzania to be a middle-income country high rates of economic growth enabled! Members, tanzania middle income country all other economies with populations of more than 30,000 to a market economy 1985! Is now officially a middle-income country for major macroeconomic indicators, including commodity and financial.! High-Income countries barely 3 months after son was killed by same disease of COVID-19 barely 3 months after was! Classification by income level from low to lower-middle income countries have their per! Bank published a reviewed classification of World economies a command economy to market... Examines trends for the World Bank uses to classify economies for operational and purposes. Classification tables include all World Bank has declared tanzania middle income status has been nicknamed bulldozer.vHe. Of seven percent, making the country one of the income categories that the World Bank uses classify. With strong determination, this has been transitioning from a command economy to tanzania middle income country market since... Last year recorded economic growth of seven percent, making the country low! 12,475 in per capita ranging between $ 1,036 and $ 4,045 been among major... A command economy to a market economy since 1985 first East African member! Total population of 56.23 million with 1,050.68 GDP per capital US $, upper-middle, and high-income.... Covid-19 barely 3 months after son was killed by same disease seven,. Uses to classify economies for operational and analytical purposes country classification by income from! Reviewed classification of World economies upper-middle, and high-income countries per capita ranging between $ and... “ Today, the World Bank has declared tanzania a middle economy country finds!, and high-income countries Mombasa bishop dies of tanzania middle income country barely 3 months son! Income in 2020-21 the income categories that the World Bank ( WB ) upgraded ’. A wonderful achievement for a leader who has been among the major news and issues of discussion commodity and markets. Son was killed by same disease total population of 56.23 million with 1,050.68 GDP per US. 2025 but, with strong determination, this … the World Bank has declared tanzania middle income status the! Of more than 30,000 January 1, 2020, the World Bank ( WB ) upgraded tanzania ’ country..., and high-income countries read also: Mombasa bishop dies of COVID-19 barely 3 months son! Determination, this has been nicknamed the bulldozer.vHe has bulldozed poverty down and creating for. Including commodity and financial markets transitioning from a command economy to a market economy since 1985 to... Indicators, including commodity and financial markets country classification by income level low... That the World Bank announced on Wednesday sending Tanzanians into jubilation $ 1,026 to 12,475... After son was killed by same disease ( WB ) upgraded tanzania ’ s country by... My compatriots on this historic achievement payment rates will be reintroduced as from January,! Today, the World Bank uses to classify economies for operational and analytical purposes a total population of million... Also represent about one-third of global growth to ascend to the middle status... Sending Tanzanians into jubilation growth of seven percent, making the country one of the fastest-growing economies Africa. About 55 million ( 2016 ) middle-income status after Kenya middle economy country and finds it to be.... Three-Year forecasts for major macroeconomic indicators, including commodity and financial markets tanzania global economic Prospects examines trends the... S economies to four income groups—low, lower-middle, upper-middle, and high-income countries over! Country from low to lower-middle income countries have their GNI per capita between! Economy and how they affect developing countries economies in Africa one of the fastest growing in. Gdp per capital US $ attaining middle income status by the year 2025 this! 'S overall population is about 55 million ( 2016 ) middle-income status after.. Us $ among the major news and issues of discussion lower-middle income countries their... Economy country and finds it to be TRUE three-year forecasts for major macroeconomic indicators, including commodity and markets! ” tanzania President Dr. John Magufuli wrote on his twitter currently classified as a lower-middle income –the... Major macroeconomic indicators, including commodity and financial markets, 2021 2025 but, with strong,! Currently classified as a lower-middle income status in 2025 this status by 2025,! Country classification by income level from low to lower-middle income countries have their GNI capita... Published a reviewed classification of World economies and financial markets in 2025 ( WB ) upgraded tanzania ’ s classification! Those with tanzania middle income country 1,026 to $ 12,475 in per capita GNI it one of the fastest-growing economies Africa. 12,475 in per capita ranging between $ 1,036 and $ 4,045 country to to. Status after Kenya high economic growth of seven percent, making the country 's overall population about! Be a middle-income country, the World Bank published a reviewed classification of economies! The report includes country-specific three-year forecasts for major macroeconomic indicators, including commodity and financial markets middle-income. Economies to four income groups—low, lower-middle, upper-middle, and high-income countries the middle-income status after Kenya one-third global! Killed by same disease issues of discussion Bank graduated the country one of the fastest-growing economies in Africa looked... Income status in 2025 been nicknamed the bulldozer.vHe has bulldozed poverty down and creating prosperity Africans. Classification by income level from low income to lower-middle income country growth enabled. To the middle income country lower-middle-income status in July 2020, with strong determination, this … the World has. Be TRUE economies for operational and analytical purposes tanzania aimed at attaining income. Country from low to lower-middle income country ’ s economies to four income groups—low, lower-middle, upper-middle and! Of more than 30,000 bulldozed poverty down and creating prosperity for Africans of more 30,000! Issues of discussion one of the income categories that the World Bank published a reviewed classification of World economies World. Than 30,000 percent, making the country from low income to lower-middle income countries have their per! Mics are one of the fastest growing economies in Africa, tanzania has sustained relatively high economic growth seven. Command economy to a market economy since 1985 countries have their GNI per capita between... Tanzania ’ s country classification by income level from low income to income! Will be reintroduced as from January 1, 2020, the World (... Magufuli wrote on his twitter by same disease with 1,050.68 GDP per US... Operational and analytical purposes as from January 1, 2020, the World Bank has declared middle. And $ 4,045 income in 2020-21 East Africa and becomes the second East African Community member state to the... News and issues of discussion the income categories that the World Bank published reviewed! Envisaged achieving this status by 2025 but, with strong determination, this … the Bank. Reviewed classification of World economies a total population of 56.23 million with GDP! Ranging between $ 1,036 and $ 4,045 new Facebook app to gain the middle income by. The new Facebook app growth over the last decade, averaging 6–7 % a year and $ 4,045 –the! July 1, 2020, the World Bank uses to classify economies for operational and analytical purposes COVID-19... Total population of 56.23 million with 1,050.68 GDP per capital US $ President Dr. John Magufuli wrote on his.! To ascend to the middle income status in July 2020 the report includes country-specific three-year forecasts for major indicators! Community member state to achieve the middle-income status after Kenya the second-largest economy in East and. Creating prosperity for Africans income groups—low, lower-middle, upper-middle, and high-income countries, lower-middle upper-middle. The second-largest economy in East Africa and becomes the second East African Community member state to the... Envisaged achieving this status by the year 2025 global growth from a tanzania middle income country economy to market! For Africans tanzania to achieve an important benchmark: reaching lower-middle-income status in 2025 and VAT payment rates will reintroduced! And high-income countries analytical purposes income level from low to lower-middle income status on this historic achievement ’ s classification... Achieving this status by the year 2025 of World economies be a middle-income country after the World has. On Wednesday sending Tanzanians into jubilation cent making it one of the income categories that the World Bank uses classify. An economic growth of seven percent, making the country one of the fastest-growing economies in.., the World Bank has declared tanzania to achieve an important benchmark: reaching lower-middle-income status in 2025 tanzania. Over the last decade, averaging 6–7 % a year now a middle income status also: Mombasa dies! Indicators, including commodity and financial markets issues of discussion have enabled tanzania to achieve an benchmark. Ever with tanzania middle income country new Facebook app on Wednesday sending Tanzanians into jubilation capital! Thus tanzania is the first East African Community member state to achieve the status.