Zanzibar Reports Strong Economic Growth and Development Gains
Unguja. Zanzibar President Dr Hussein Ali Mwinyi has highlighted wide-ranging achievements across the islands’ economic, social and governance sectors, pledging to sustain development under his eighth-phase administration.
Dr Mwinyi outlined the gains in a national address broadcast by the Zanzibar Broadcasting Corporation (ZBC) to mark the climax of the 62nd anniversary of the Zanzibar Revolution, saying the islands had recorded steady growth, rising investment and expanding public services.
Economy Shows Strong Performance
Zanzibar’s economy has strengthened significantly, growing by 7.1 percent in 2024 compared with 1.3 percent in 2020, while market turnover rose to Sh6.5 trillion in 2024 from Sh4.78 trillion in 2021.
Revenue collection has increased from Sh856 billion to Sh2.1 trillion, while inflation has remained in single digits at approximately five percent.
Investment and Job Creation Surge
Investment momentum remained strong, with 1,657 projects worth $20.2 billion registered with the Zanzibar Investment Promotion Authority (Zipa) by December 2025. The projects span tourism, manufacturing and commercial real estate and are expected to create 87,696 jobs.
The government has strengthened the Micheweni and Fumba strategic investment zones and will continue offering targeted incentives to attract investors in the blue economy, manufacturing, renewable energy, ICT, aviation, maritime services and agriculture.
Public-private partnership (PPP) projects will also be expanded from the current 21, reflecting their growing importance in driving economic growth and service delivery.
Tourism Sector Reaches New Heights
Tourism remains a priority due to its economic contribution, with tourist arrivals reaching 816,438 in 2025, a 27 percent increase from 2024.
To further boost tourist arrivals, the government plans to expand festivals, preserve historic sites, promote sports and culture, host national conferences and develop natural and heritage attractions.
Fisheries Production Doubles
In fisheries, production rose by 110 percent from 38,107 tonnes in 2020 to 78,943 tonnes in 2024, while revenue increased from Sh203 billion to Sh608 billion.
Seaweed production grew from 8,785 tonnes valued at Sh5.3 billion to 19,716 tonnes worth Sh16.4 billion, generating approximately 100,000 jobs.
Zanzibar will move beyond the current block allocation stage and market 10 oil and gas exploration blocks internationally.
Infrastructure Development Accelerates
Major port improvements are underway, including the construction of Mangapwani Port, which will handle 200,000 containers and one million tonnes of cargo annually when completed in 2028.
In transport, domestic flights rose from 5,696 in 2024 to 8,192 in 2025, while international flights increased from 98 to 205.
Vessel registrations reached 700, with revenue rising to Sh8.2 billion from Sh6.4 billion in 2024.
Significant progress has been made in road construction, with 82.8 kilometres of urban roads and 247 kilometres of rural roads completed. The Mwankwerekwe flyover is finished, while the Amani Bridge, Uzi-Ng’ambwa and Pangatupu projects are nearing completion.
Passenger numbers rose to 2,578,250 in 2024/25 from 2,133,166 in 2023/24, while cargo handled increased to 4,603 tonnes, making the aviation sector one of the best-performing in recent years.
Construction of a new passenger terminal is underway and work on Pemba Airport has begun.
Land and Agriculture Improvements
In land and housing, 1,577 land use certificates have been issued and 399 land leases processed to support investment. A total of 961 plots have been surveyed for residential, institutional, agricultural and commercial purposes.
Agriculture, which employs 35 percent of the population, has been strengthened through irrigation schemes covering 1,325 hectares.
The government aims to raise rice yields to 15 tonnes per acre per year, while improving extension services, mechanisation and storage facilities. Horticulture, livestock production and veterinary services are being expanded, alongside training for farmers in modern practices and conservation of indigenous trees.
Support for Entrepreneurs and Youth
To support entrepreneurs, 6,238 loans worth Sh50.7 billion have been issued to 27,563 citizens and 15 new markets have been built across the islands.
To tackle youth unemployment, 1,263 youth groups and 3,796 clubs have been supported, with 37 youth projects worth Sh28 billion implemented with development partners.
Education and Health Investments
Major investments have been made in education, health and water supply. Thirty-five modern multi-storey schools have been built, with 70 schools set to connect to the fibre-optic network and be equipped with computers, laptops and smart classrooms.
Plans include recruiting 500 teachers, expanding hostels, improving staff welfare and increasing access to higher education loans.
In health, the referral system has been strengthened, district hospitals completed and more health workers recruited.
Water supply projects include 455 boreholes, 87 storage tanks and 2,080 kilometres of pipelines, connecting over 31,000 new customers. Major projects are planned in North and South Unguja this year.
Governance and Anti-Corruption Efforts
Accountability remains a priority, with the Zanzibar Anti-Corruption and Economic Crimes Authority recovering Sh6.6 billion and $94,370 in 2025, while clean audit reports continue to rise.
Public servants are being paid on time, trained and strengthened, with 742 new staff recruited in critical areas. Through the Sema na Rais system, 87.5 percent of 21,725 complaints have been resolved, while Union matters are addressed through joint development projects.
President Samia Suluhu Hassan congratulated Tanzanians on the milestone, saying all Tanzanians should honor the Revolution not only by working hard but also by upholding humanity and human dignity to move forward together in building a better nation.
