Dar Es Salaam - Economy and Infrastructure

Economy and Infrastructure

Dar es Salaam is Tanzania's most important city for both business and government. The city contains unusually high concentrations of trade and other services and manufacturing compared to other parts of Tanzania, which has about 80 percent of its population in rural areas. For example, about one half of Tanzania's manufacturing employment is located in the city despite the fact that Dar holds only ten percent of Tanzania's population.

Located on a natural harbour on the Indian Ocean, it is the hub of the Tanzanian transportation system as all of the country's main railways and several highways originate in or near the city. Its status as an administrative and trade centre has put Dar es Salaam in position to benefit disproportionately from Tanzania's high growth rate since the year 2000 so that by now its poverty rates are much lower than the rest of the country. The Benjamin William Mkapa Pension Tower with more than 21 stories is the tallest building in the city and the country. Dar es Salaam and other Tanzanian cities have had, in the past few years, a major construction boom, despite a much higher demand for electricity, which is rationed around the country. In the past 10 years, Dar es Salaam has had a face-lift, but the major infrastructural problems remain. Among those problems are an outdated transport infrastructure and power rationing, which continues to badly affect the Tanzanian economy.

Air Tanzania, the national airline, has its head office in Dar es Salaam.