TANZANIA has joined the ranks of Middle Income Countries (MIC) eight years ahead of schedule, after strong growing economy lifted the average income of the people to the levels of the group. Tanzania had planned to gain the middle income status in 2025. What It Takes to Become A Middle-Class Country. Lower-middle income countries have their GNI per capita ranging between $1,036 and $4,045. The NDC chief said such developments, “are the right buttons to press at the moment and I am very sure that the country will definitely achieve a middle income economy.” Tanzania is currently undergoing a number of infrastructure development projects, the most outstanding of which is construction of Standard Gauge Railway (SGR). Tanzania is the second largest economy in East Africa and becomes the second East African Community member state to achieve the middle-income … These characteristics pose new challenges which demand the adoption of new driving forces capable to graduate Tanzania from a least developed country to a middle income country with a high level of human development characterized in improvements in the quality of livelihood of the people. MICs are one of the income categories that the World Bank uses to classify economies for operational and analytical purposes. Tanzania qualified for the status of lower middle-income after its GNI per capita increased to $1,080 in 2019 up from $1,020 in 2018, according to the list updated on Wednesday. Although total GDP has increased since these reforms began, GDP per capita dropped sharply at first, and only exceeded the pre-transition figure in around 2007. Tanzania aimed at attaining middle income status by the year 2025. According to stats, Tanzania has a total population of 56.23 Million with 1,050.68 GDP per capital US$. In his tweet, President John Magufuli said all Tanzanians “envisaged to achieve the status by 2025 but,with strong determination, this has been possible in 2020.” “Discipline in financial expenditure and the prevailing peace and tranquility also helped the country to earn the middle-income status from the World Bank,” Hassan Abbasi, the chief government spokesperson told a news conference in the capital Dodoma. Thus Tanzania is currently classified as a lower-middle income country. MICs also represent about one-third of global GDP and are major engines of global growth. Abbasi spoke after the World Bank on Wednesday declared Tanzania a middle income country, a goal that has been achieved five years ahead of the country’s schedule. Low income is defined as less than USD 1,036 in 2020 (USD 1,026 in 2019); … What It Takes to Become A Middle-Class Country. |. Other countries on the African continent that have seen a shift in income status include Benin (lower-Middle Income), Mauritius has moved to High-income status. Tanzania’s GNI per capita increased from $1,020 in 2018 to $1,080 in 2019, which exceeds the 2019 threshold of $1,036 for lower-middle income status. Tanzania last year recorded economic growth of seven percent, making the country one of the fastest-growing economies in Africa. The World Bank (WB) upgraded Tanzania’s country classification by income level from low income to lower-middle income in 2020-21. According to the  World Bank, Lower-middle-income economies have per capita GNIs between $1,026 and $3,955, while upper-middle economies have per capita GNIs between $3,956 and $12,475. Tanzania is the first East African country to ascend to the middle income status –the World Bank announced on Wednesday sending Tanzanians into jubilation. The response to the Covid-19 pandemic in most countries in Africa has been spectacular.... NYONG'O: Let us find a way to rise from this human tragedy. According to the World Bank, middle-income countries (MICs) are defined as economies with a Gross National Income (GNI) per capita between $1,026 and $12,475. PesaCheck has looked into the authenticity of a post claiming that Tanzania is now a middle economy country and finds it to be TRUE. The World Bank on Wednesday classified Mauritius as a High Income country while Tanzania and Benin are now considered Lower-middle income countries, classifications that are … However, this … Tanzania is the second member of the East African Community to achieve lower middle-income status after Kenya, which was elevated to a lower-middle-income country in 2014. Tanzania last year recorded economic growth of 7 per cent making it one of the fastest growing economies in Africa. While the poverty rate in the country has declined, the absolute number of poor citizens has not because of the high population growth rate. The WB assigns the world’s economies to four income groups—low, lower-middle, upper-middle, and high-income countries, based on their GNI per capita in current USD. Tanzania Global Economic Prospects examines trends for the world economy and how they affect developing countries. … Tanzania was categorised a lower middle-income country by the World Bank effective July 1, a development which was notably celebrated by authorities and a cross-section of Tanzanians. The country's overall population is about 55 million (2016). Tanzania is the second-largest economy in East Africa and becomes the second East African Community member state to achieve the middle-income status after Kenya. Tanzania Becomes Middle Income Country When John Magufuli took the reigns of Tanzania no one could have imagined that in such a short space of time he would have turned the east African country into a middle income country. Shop now. Soko Directory is a Financial and Markets digital portal that tracks brands, listed firms on the NSE, SMEs and trend setters in the markets eco-system.Find us on Facebook: facebook.com/SokoDirectory The East African nation enters into that bracket of middle-income countries with a GNI per capita of between $1,006 (£806) and $3,955 – a rough measure of each person’s annual national income. In other words, Tanzania just entered the bracket of middle-income countries with a GNI per capita between US$1,006 and US$3,955 per World Bank 2018 classification. Full income tax and VAT payment rates will be reintroduced as from January 1, 2021. Tanzania has sustained relatively high economic growth over the last decade, averaging 6–7% a year. 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Dr John … Following the rebasing of … Middle-income countries are those with $1,026 to $12,475 in per capita GNI. Tanzania is the second-largest economy in East Africa and becomes the second East African Community member state to achieve the middle-income status after Kenya. The classification tables include all World Bank members, plus all other economies with populations of more than 30,000. 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On  July 1, 2020, the World Bank graduated the country from low to lower-middle income status. We had envisaged achieving this status by 2025 but, with strong determination, this has been possible in 2020. “Today, the World Bank has declared Tanzania Middle Income Country. What a wonderful achievement for a leader who has been nicknamed the bulldozer.vHe has bulldozed poverty down and creating prosperity for Africans. and on Twitter: twitter.com/SokoDirectory, By Soko Directory Team / July 3, 2020 | 9:54 am, © Copyright 2008 - 2020. As of yesterday July 1st, Tanzania was elevated to Lower-middle income category and its GNI/ capital had increased to US$1,080 indicating a rise from US$1,020 of last year. Tanzania had planned to gain the middle income status in 2025. The World Bank has declared Tanzania to be a middle-income country. Tanzania is now officially a middle-income country after the World Bank published a reviewed classification of world economies. According to the World Bank, Tanzania has made economic reforms, including making consistent plans and taking hard decisions aimed at improving its economic development therefore it has been recognized as a lower-middle-income country. High rates of economic growth have enabled Tanzania to achieve an important benchmark: reaching lower-middle-income status in July 2020. Tanzania qualified for the status of lower middle-income after its GNI per capita increased to $1,080 in 2019 up from $1,020 in 2018, according to the updated list. On Wednesday 1st July 2020, the World Bank Declared Tanzania a middle-income country, this was quite an achievement that called for a celebration in Tanzania. “Tanzania’s performance on the Human Capital Index is too low to expect large gains in standards of living in the future,” said Quentin Wodon, World Bank Lead Economist and co-author of the 12th Tanzania Economic Update. It says that the average income per person rose to about R18 500 (US$1080) per … A country moves above lower middle income when it exceeds GNI of $4,045, at which point it is classified as upper-middle income. Abbasi spoke after the World Bank on Wednesday declared Tanzania a middle income country, a goal that has been achieved five years ahead of the country's schedule. "National accounts revisions have played a significant role in the upward revision for Benin and Tanzania as well as … July 2, 2020. What has caused the change in classification for Tanzania? Reflecting strong income growth over the past decade, on July 1, 2020 the World Bank announced that Tanzania’s gross national income (GNI) per capita increased from $1,020 in 2018 to $1,080 in 2019, exceeding the threshold for lower-middle income status. 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The country and lending groups page provides a complete list of economies classified by income, region, and lending status and links to previous years’ classifications. This new income status has been among the major news and issues of discussion. According to sources, Tanzania had planned to gain the middle-income status in 2025, but World Bank on 1ST July declared Tanzania a middle-income country. The World Bank has declared Tanzania a Middle Income Country. The World Bank assigns the world’s economies to four income groups—low, lower-middle, upper-middle, and high-income countries. In this regard, I congratulate all my compatriots on this historic achievement. The economy of Tanzania is a lower-middle income economy that is overwhelmingly dependent on agriculture. All Rights Reserved. Garbage! Tanzania's economy has been transitioning from a command economy to a market economy since 1985. Lower-middle income countries have their GNI per capita ranging between $1,036 and $4,045. Tanzania will now have access to international credit markets after the World Bank declared it a lower middle income country. GOD BLESS TANZANIA.” Tanzania President Dr. John Magufuli wrote on his twitter. Abbasi said other values that made the east African nation to earn the middle income status included the reinforcement of the leadership ethics, the implementation … Abbasi spoke after the World Bank on Wednesday declared Tanzania a middle income country, a goal that has been achieved five years ahead of the country's schedule. The country’s broad vision of its development goals as a middle-income country in 2025 are set out in the Tanzania Development Vision 2025, … Tanzania last year recorded an economic growth of seven percent, making the country one of the fastest growing economies in Africa. The classifications are updated each year on July 1 and are based on GNI per capita in current USD (using the Atlas method exchange … According to the World Bank, middle-income countries (MICs) are defined as economies with a Gross National Income (GNI) per capita between $1,026 and $12,475. Tanzania aimed at attaining middle income status by the year 2025. Middle Income Countries are a diverse group by size, population and income level, and are home to 75% of the world’s population and 62% of the world’s poor. The report includes country-specific three-year forecasts for major macroeconomic indicators, including commodity and financial markets. Models! “Today, the World Bank has declared Tanzania Middle Income Country. Tanzania enters into that bracket of middle-income countries with a GNI per capita between US$1,006 and US$3,955 per World Bank 2018 classification. 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