The current account balance narrowed by 16.2 per cent to a deficit of 4,440.4 million US dollars in the year ended July this year compared with the corresponding period in 2014.
According to the Bank of Tanzania (BoT) monthly economic review for August, the improvement came from both increase in export of goods and services, and decrease in goods import.
During the period, export of goods and services maintained upward trend, increasing by 9.6 per cent to 9,340.5 million US dollars in the year to July 2015 compared to the corresponding period in 2014.
Traditional exports amounted to 899.6 million US dollars compared with 841.0 million US dollars in the year ending July 2014. Export of coffee and cashew nuts increased while other traditional exports declined.
The improvement was due to increase in travel receipts by 13.4 per cent to 2,214.9 million US dollars following an increase in the number of tourists. Transportation receipt also increased by 12.1 per cent to 972.8 million US dollars owing to increased transit goods to and from neighbouring countries.
During the period under review, imports of goods and services declined by 2.6 per cent to 13,564.7 million US dollars compared to the year ending July 2014. The decline in goods import was on account of oil imports, which decreased by around 25 per cent following the fall in oil prices in the world market and import volume.