Trend and challenges of FDI across sectors in Tanzania

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University of Dar es Salaam
The general objective of the study was to examine the trend and challenges facing foreign direct investiment across sector in Tanzania. The specific objectives were : to determine the trend of FDI inflow in Tanzania, to identify challenges facing FDI inflow in Tanzania and to identify the factors determining the sectorial distribution of FDI. The location for the study was Dar es Salaam. In this study the sample frame included different people who are informed about FDI either facilitating it or being involved in FDI’s themselves. Purposive sampling was used to select the respondents. The sample size for the study was 30 respondents. The study applied primary data and secondary data. Data collection tools were documentary review, interviews and questionnaires. Data collected from the field were analyzed using the triangulation technique. The finding show the following; As the days go by the amount of FDI flowing into Tanzania is increasing probably because of the good environment and the promotional efforts made by the government. However, apart from the positive flow of investments to Tanzania, there are several challenges regarding FDI inflow. These challenges cause different difficulties in the implementation of FDI inflow. These challenges cause different difficulties in the implementation of FDI activities. Further, there are also factors which have a significant impact on the sectoral distribution of FDIs, causing the concentration of investments in a few sectors. The following are recommended. The promotion of investment opportunities for FDIs should go hand-in hand with the priorities establish by the government. The administrative system should be improved, especially in regard to regard to legal and regulatory issues. Other issues that need further focus for FDI encouragement in Tanzania include land law reforms, intellectual property rights, improving spending on critical infrastructure, devising appropriate policies and strategies for building the capacity of local firms and combating corruption.
Available in print form, East Africana Collection, Dr.Wilbert Chagula Library, class mark (THS EAF HG5847.T34M83)
Foreign Direct Investment, Investments, Foreign, Tanzania
Mugeta, V. R (2010) Trend and challenges of FDI across sectors in Tanzania, Masters dissertation, University of Dar es Salaam, Dar es Salaam.