The Zanzibar current account balance surged by 46.6 percent to a surplus of $523.8 million in the year ending January 2025 compared to the corresponding period in 2024.

This development was largely associated with an increase in the export of services, coupled with a decrease in imports of goods and services.

The Bank of Tanzania (BoT) latest data show the isles exports of goods and services increased to $1,095.3 million in the year ending January 2025 from $967.5 million recorded in the similar period in 2024, owing to an increase in service exports. 

Services receipts from tourism, rose by 14.8 percent to $1,048.2 million, following an increase in tourist arrivals. 

Zanzibar's tourism sector is experiencing strong growth, with projections for continued increases in visitor numbers.

There are goals in place to significantly increase tourist numbers and tourism revenue by attracting 5 million tourists and revenue amounting to $6 billion.

European tourists have played a significant role in this growth. In January 2025, Zanzibar recorded a 73.9 percent rise in visitors from Europe, with 62,125 European tourists arriving during that month. Additionally, in December 2024, the island welcomed 91,611 international visitors, marking a 30.5 percent increase from the same month in 2023.

The government has been proactive in enhancing infrastructure to support this growth, as outlined in the comprehensive development plan for 2021-2026. This plan aims to bolster Zanzibar's infrastructure and economy, further strengthening the tourism sector.

According to BoT report, cloves export in value terms decreased by 74.0 percent to $6.9 million from the corresponding period in 2024 due to the cyclical nature of the crop.

The report shows the crop’s unit price also experienced the decreasing trend, after dropping by 26.4 percent to $4,714 per tonne in 2025 compared to $6,708 per tonne in 2024. However, in January, the unit price recovered to $8,188 per tonne.

The value of exported manufactured goods nearly doubled to $22.8 million during the year ending January this year from $10.2 million recorded during the year ended in January 2024 while exports of fish and fish products rose by 16.8 percent to $2 million from $1.7 million respectively.

The report shows, the value of other exports mainly include souvenir and spices expanded by 30 percent to $10.7 million from $8.2 million.

On a month-to-month basis, exports of goods and services declined to $107.9 million in January 2025 compared to $112.5 million in January 2024 due to a decrease in goods exports.

Imports of goods and services declined by 4.8 percent to $592.9 million compared to the year ending January 2024. 

The decrease in goods imports was observed in capital and intermediate goods category. 

Capital goods decreased by 21.2 percent to $61.4 million, largely explained by the phasing out of implementation of most infrastructural projects, including hospitals, schools and roads. 

Intermediate goods import declined to $367.8 million, largely due to a decrease in imports of fuel and lubricants, and food and beverages for industrial uses. 

Consumer goods imports increased by 19.7 percent to $67.3 million, mostly driven by food and beverages and other consumer goods categories. 

On a month-to-month basis, goods imports (f.o.b) and services amounted to $52.7 million in January 2025 compared to $50.8 million in January 2024.