Tanzania, United Republic of

Doing Business In Tanzania, United Republic of

  1. Doing Business 2012 ranked Tanzania 134th out of 185 economies. Its overall score has declined by 1 point this year, reflecting lower scores for 8 out of 10 indicators.
  2. According to the latest Enterprise Surveys (2006), the top obstacles to running a business include Electricity and Access to Finance.
  3. Of the 33 sectors covered by the Investing Across Sectors indicators, 26 are fully open to foreign equity ownership in Tanzania, including manufacturing and primary industries. The country imposes foreign equity ownership restrictions on a number of service sectors. For example, foreign capital participation in the telecommunications sector is limited to a maximum of 65%. Furthermore, Tanzanian laws specify that at least one-third of the share capital of insurance companies must be owned by Tanzanian citizens. The media industry is subject to limits on foreign ownership as well. While the Broadcasting Services Act allows a maximum of 49% foreign ownership of Tanzanian TV stations, foreign capital participation in local nationwide newspapers is prohibited. It takes 14 procedures and 38 days to establish a foreign-owned limited liability company (LLC) in Dar es Salaam, Tanzania. This is slower than both the IAB regional average for Sub-Saharan Africa and the IAB global average.
  4. Tanzania’s economic freedom score is 57.9, making its economy the 98th freest in the 2013 Index. Its score is 0.9 point higher than last year, with improvements in half of the 10 economic freedoms, including business freedom and freedom from corruption, outweighing a decline in the control of government spending. Tanzania is ranked 13th out of 46 countries in the Sub-Saharan Africa region, and its overall score is slightly lower than the world average.

Source: World Bank


Visa Information

Almost everyone needs a visa, which costs between US$20 and US$50, depending on nationality, for a single-entry visa valid for up to three months. Its best to get the visa in advance (and necessary if you want multiple entry), though visas are currently readily issued at Dar es Salaam and Kilimanjaro airports and at most border crossings (all nationalities US$50, US dollars cash only, single-entry only). Some embassies require you to show proof of an onward ticket before they will issue a visa, though a flight itinerary will usually suffice. Visa extensions One month is the normal visa validity and three months the maximum. For extensions within the three-month limit, there are immigration offices in all major towns; the process is free and straightforward. Extensions after three months are difficult – you’ll usually need to leave the country and apply for a new visa.

Business Etiquette

General Business Hours

Business hours are listed inside the front cover, with exceptions noted in the individual listings. In addition to regular banking hours, most forex bureaus remain open until 5pm Monday to Friday, and until noon on Saturday. Many shops and offices c