Kea, Arrip Mathew2023-11-132023-11-132021-10Kea, A. M (2021)Assessingthe influence of manufacturing sector performance on economic performance in Tanzania, master dissertation,University of Dar es salaam.https://libraryrepository.udsm.ac.tz/handle/123456789/16701available in print form, East Africana Collection, Dr. Wilbert Chagula Library,(THS EAF HD 9738.T34K43)This study assessed the influence of manufacturing sector performance on economic performance in Tanzania. The research used annual data from 2000-2019. Both descriptive and vector autoregressive approaches were used to evaluate the secondary data obtained. Frequency tables were used in the descriptive techniques and the regression techniques included the stationary Augmented Dickey Fuller (ADF) evaluation, the Johansen Co-integration Test and the Error Correction Model (ECM). In addition, the study also used the Granger causality test to determine the direction of causality among the model variables. The results of ADF show that the variables are not stationary at their individual levels, but are stationary at their first difference. The findings of the Johansen co-integration show that there is a long-term relationship between the manufacturing productivity indicators (manufacturing exports, manufacturing value added and production volume) and the economic performance indicators (gross domestic product and employment). On the other hand, the results of the VECM show that the manufacturing productivity indicators (manufacturing value added, manufacturing exports and production volume) have a long-term but insignificant impact on Tanzania’s gross domestic product. More so, the findings show that manufacturing value added has a long-term negative and statistically significant impact on employment (Economic Performance Proxy) while manufacturing exports and production volume have long-term statistically insignificant efficiencies. In conclusion, Tanzania has made considerable progress in the reconstruction of infrastructure and the implementation of supporting policies to stimulate the manufacturing sector, provided that the competitiveness of the manufacturing sector is seen as a critical necessity for economic growth as it generates productive economic growth. However, in order to achieve a sustainable economic growth, the study recommends the need to strengthen the institutional, legal and fiscal climate of the manufacturing sector in order to improve the competitiveness of the sector.en-USThesis