Samia highlights economic progress, reaffirms commitment to new constitution
Dar es Salaam. President Samia Suluhu Hassan has outlined Tanzania’s steady economic recovery, growth in exports, and renewed momentum for political reforms—chief among them being the long-anticipated new constitution.
Delivering the Parliament dissolution speech on Friday, June 27, 2025, the President detailed the country's economic trajectory, monetary stability achievements, and strides in restoring political freedoms.
“Driving economic growth under such volatile conditions has not been easy,” she told lawmakers, citing a combination of global and domestic challenges, including the aftermath of the Covid-19 pandemic, ongoing geopolitical tensions, and persistent supply chain disruptions.
Despite these hurdles, Tanzania’s real Gross Domestic Product (GDP) growth rebounded from 3.9 percent in 2021 to 5.5 percent in 2024, surpassing the African average of four percent.
According to President Hassan, the International Monetary Fund (IMF) projects Tanzania’s economy to expand by six percent in 2025—an indication of rising investor confidence and strengthening economic fundamentals.
Strong external trade, rising exports
The President reported that Tanzania’s export earnings rose from $6.39 billion in 2021 to $8.7 billion in 2024, boosting foreign exchange reserves to $5.6 billion as of April 2025—enough to cover 4.5 months of imports in line with East African Community (EAC) benchmarks.
“Following the amendment of the Mining Act, the Bank of Tanzania has purchased and stored 3,424 kilogrammes of gold worth Sh702.3 billion to strengthen our reserves,” she revealed.
She added that nominal GDP had risen from Sh156.4 trillion in 2021 to Sh205.84 trillion in 2024, while average per capita income increased from Sh2.36 million in 2020 to Sh2.94 million in 2024, indicating improved household welfare.
President Hassan further noted that inflation had remained below five percent over the past four years, crediting “sound fiscal and monetary policies and adequate food supply” for the stability.
Constitution to be drafted from 2025 to 2030
In one of the most anticipated moments of her address, the President announced that the process of drafting a new constitution would officially take place during the next administration, between 2025 and 2030.
This announcement is in line with the ruling Chama Cha Mapinduzi (CCM) party’s 2025–2030 election manifesto.
“The foundation for this process has already been laid through political and legislative reforms under the 4Rs philosophy—Reconciliation, Resilience, Reforms and Rebuilding,” she said.
She cited the lifting of the ban on political rallies, implementation of recommendations from the political reconciliation task force, and the enactment of key electoral reforms as signs of genuine democratic progress.
“We all witnessed how political parties resumed their activities freely, without interference. This marks a new chapter of tolerance and political maturity,” she added.
New laws passed include the Political Parties Act, the Election Expenses Act, the Presidential, Parliamentary, and Councillors Elections Act, and the Independent National Electoral Commission Act No. 1 of 2024.
These reforms, the President noted, are aimed at ensuring fairer and more transparent elections.
Financial support for political parties
President Hassan also emphasised efforts to strengthen political parties through financial support, revealing that a total of Sh87.87 billion have been disbursed to registered political parties in subsidies by the end of June 2025.
“This is part of our commitment to building a robust multi-party democracy,” she told Parliament.
In her concluding remarks, President Hassan reaffirmed that the responsibility of leading the constitutional review process would lie with the next five-year government.
“This is a historic responsibility—one that our next leadership must carry forward with transparency and national consensus,” she said.
Her speech was met with applause from across the political spectrum, marking a significant milestone in Tanzania’s path toward economic resilience and a more inclusive democratic future.
