Tanzania’s transport expansion boosts economic growth and regional connectivity

Gerson Msigwa

DAR ES SALAAM: Major investments in transport infrastructure are transforming Tanzania into a regional logistics and connectivity hub, as the country expands railways, ports, airports and aviation services to support trade, tourism and economic growth.

Government officials say the sector’s contribution to the economy has been steadily rising, reflecting the impact of large-scale projects aimed at improving mobility and strengthening regional integration.

According to government spokesperson Gerson Msigwa, the transport sector’s share of Tanzania’s gross domestic product increased from 7.1 percent in 2021 to 7.5 percent in 2024.

Speaking to journalists at Julius Nyerere International Airport in Dar es Salaam recently, Msigwa said the sector had become a key driver of economic activity as new infrastructure shortens travel times and improves connections between regions.

Aviation expansion and airport upgrades

In the aviation sector, the government has invested heavily in upgrading airports and improving aviation safety and service capacity.

Thirteen modern passenger and cargo screening machines have been installed at several airports, including Kigoma Airport, Shinyanga Airport, Tanga Airport, Lake Manyara Airport and Iringa Airport, allowing faster processing and supporting 24-hour operations.

Between the 2022/23 and 2024/25 financial years, the government spent more than 1.154 trillion Tanzanian shillings on airport infrastructure projects.

Upgrades at Arusha Airport include a new passenger terminal, improved lighting systems and an electricity substation. Rehabilitation of Moshi Airport, valued at about 14.14 billion shillings, is about 69 percent complete.

At Mwanza Airport, designs for a new passenger terminal have been completed and preparations for construction are underway.

Construction is also progressing at Msalato International Airport in Dodoma. The first phase, which includes the runway, aircraft parking areas, access roads, lighting systems and perimeter security, is more than 90 percent complete. The second phase, covering the passenger terminal and parking facilities, is about 68 percent complete.

Other airports undergoing upgrades include Serengeti Airport, Kyabajwa Airport in Kagera, Kigoma Airport and Sumbawanga Airport.

Officials say these improvements have helped attract seven new international airlines, strengthening Tanzania’s global connectivity.

Scheduled flights increased from 148,897 in the 2023/24 period to 149,835 in 2024/25. Passenger numbers rose from 5.15 million to 5.25 million, while air cargo grew by about 8 percent from 34,620 tonnes to 37,683 tonnes.

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Air Tanzania expands fleet and routes

National carrier Air Tanzania Company Limited is implementing its five-year development plan for 2021/22–2025/26 to revive the aviation sector and expand international connectivity.

In 2024/25, the airline added a Boeing 787-8 Dreamliner to its fleet, bringing the total number of aircraft to 16.

The expanded fleet is expected to serve 33 destinations by the 2025/26 financial year, restoring previous routes and opening new ones.

Passenger traffic on Air Tanzania increased from 822,232 in 2021/22 to 1,178,025 in 2024/25. Between July and December 2025 alone, the airline carried 709,432 passengers.

Cargo volumes transported by the airline also rose significantly, increasing from 2,567 tonnes to 6,919 tonnes over the same period.

According to government data, the airline contributed about 157.69 million U.S. dollars to the economy in 2024/25 and paid about 52.35 billion shillings in taxes while employing more than 1,000 workers.

Railway and maritime investments

On land, the government is constructing the Standard Gauge Railway linking Dar es Salaam to Mwanza, covering about 1,219 kilometres.

By December 2025, about 747 kilometres of the railway—roughly 61 percent—had been completed.

Travel time between Dar es Salaam and Dodoma has been reduced from around 10–12 hours by road to about 3–4 hours by train.

Since operations began, the railway has transported about 4.6 million passengers and more than 52,000 tonnes of cargo, creating more than 207,000 jobs.

In maritime transport, the expansion of Port of Dar es Salaam has increased its annual handling capacity from about 32 million tonnes to 50 million tonnes through the addition of new berths and fuel storage facilities.

The government is also developing the Port of Bagamoyo, including a 1.32-kilometre berth designed to accommodate large modern vessels.

Other projects include the Kurasini Logistics Terminal for perishable cargo, modernization of Kemondo Port and Bukoba Port on Lake Victoria, and new cargo vessels operating on Lake Tanganyika to strengthen trade with the Democratic Republic of the Congo.

A new ferry, MV New Mwanza, launched in January 2026, carries up to 1,200 passengers and 400 tonnes of cargo, improving transport across Lake Victoria.

Officials say the investments have also boosted customs revenue, which reached about 8.256 trillion shillings between July 2024 and February 2025.

Analysts say the combination of railway expansion, upgraded ports, modern airports and a growing aviation network is positioning Tanzania as a major transport and logistics hub in East Africa, supporting trade flows, job creation and regional integration.

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