Housing Finance in Tanzania
Overview
This profile is also available in French here.
To download a pdf version of the full 2021 Tanzania country profile, click here. 
Situated in the Eastern region of Africa, Tanzania is a union of Tanganyika (Mainland) and Zanzibar (Island). Along with six other African countries, Tanzania is among the 10 fastest growing economies, globally. An increase in gross national income per capita, from TSh2.3 million (US$1 020) in 2018 to TSh2.5 million (US$1 080) in 2019, earned the country the status of a lower-middle-income country (LMIC). Tanzania’s 12.3 million households are largely distributed in the urban centers of Dar es Salaam, Mwanza, Arusha, and Dodoma. The housing backlog is over three million, with an annual production requirement of 200 000 units. Forty percent of this deficit is estimated to be in urban Tanzania. The urban population makes up 35% of the total population, is expected to grow by a further 15% by 2030.
Key challenges for the housing sector include high costs of formal finance, as well as a limited supply of affordable housing. A substantial number of Tanzania’s houses are built by informal developers, in unplanned settlements, ―50% of the urban population live in densely populated informal settlements. Only 30% of the population has access to basic sanitation, while 36% have access to electricity and 57% basic water provision. Tanzania maintained growth (2.1%) during the pandemic, largely driven by a booming construction sector. The economy is expected to grow by 4.1% in 2021 and by 5.8% in 2022. Despite the growth, poverty rates remain high, especially for those in the bottom 40% of the income pyramid. The income gap between households is widening fast in urban areas.
Although there was no large-scale economic response at the onset of the pandemic, the Bank of Tanzania lowered the policy rate from 7% to 5%, to support credit and bolster economic growth. The government allocated TSh74.4billion (US$32.1million) in social protection to vulnerable households. Fiscal stimulus packages, following the pandemic, were less than one percent, and fiscal debt remains below the country’s target of below gross domestic product (GDP).
Given the relocation of the government’s administrative functions, housing projects are increasingly being concentrated in the city of Dodoma. Overall, housing delivery declined in the last year due to the impacts of the pandemic. The National Housing Corporation (NHC)recently secured funding to continue with its stalled housing projects in Dar es Salaam and is actively trying to expand its delivery of low-cost housing, through cross subsidisation and localisation of manufacturing capacity for building materials―which area major construction cost driver.
“Find out more information on the housing finance sector of Tanzania, including key stakeholders, important policies and housing affordability:”
- Overview
- Access to finance
- Affordability
- Housing supply
- Property markets
- Policy and regulation
- Opportunities
- Availability of data on housing finance
- Urban Informality
- Websites
Each year, CAHF publishes its Housing Finance in Africa Yearbook. The profile above is from the 2021 edition, which has up-to-date profiles for 55 African countries.
Download yearbookTanzania
Overview
Situated in the Eastern region of Africa, Tanzania is a union of Tanganyika (Mainland) and Zanzibar (Island). Along with six other African countries, Tanzania is among the 10 fastest growing economies, globally. An increase in gross national income per capita, from TSh2.3 million (US$1 020) in 2018 to TSh2.5 million (US$1 080) in 2019, earned the country the status of a lower-middle-income country (LMIC). Tanzania’s 12.3 million households are largely distributed in the urban centers of Dar es Salaam, Mwanza, Arusha, and Dodoma. The housing backlog is over three million, with an annual production requirement of 200 000 units. Forty percent of this deficit is estimated to be in urban Tanzania. The urban population makes up 35% of the total population, is expected to grow by a further 15% by 2030.
Key challenges for the housing sector include high costs of formal finance, as well as a limited supply of affordable housing. A substantial number of Tanzania’s houses are built by informal developers, in unplanned settlements, ―50% of the urban population live in densely populated informal settlements. Only 30% of the population has access to basic sanitation, while 36% have access to electricity and 57% basic water provision. Tanzania maintained growth (2.1%) during the pandemic, largely driven by a booming construction sector. The economy is expected to grow by 4.1% in 2021 and by 5.8% in 2022. Despite the growth, poverty rates remain high, especially for those in the bottom 40% of the income pyramid. The income gap between households is widening fast in urban areas.
Although there was no large-scale economic response at the onset of the pandemic, the Bank of Tanzania lowered the policy rate from 7% to 5%, to support credit and bolster economic growth. The government allocated TSh74.4billion (US$32.1million) in social protection to vulnerable households. Fiscal stimulus packages, following the pandemic, were less than one percent, and fiscal debt remains below the country’s target of below gross domestic product (GDP).
Given the relocation of the government’s administrative functions, housing projects are increasingly being concentrated in the city of Dodoma. Overall, housing delivery declined in the last year due to the impacts of the pandemic. The National Housing Corporation (NHC)recently secured funding to continue with its stalled housing projects in Dar es Salaam and is actively trying to expand its delivery of low-cost housing, through cross-subsidisation and localisation of manufacturing capacity for building materials―which area major construction cost driver.
[1] World Bank (2019). Data. Population, total – Tanzania. https://data.worldbank.org/indicator/%20SP.POP.TOTL%20?locations=TZ (Accessed 10 August 2020).
[2] World Bank (2019). Data. Unemployment, total (% of total labour force) (modelled ILO estimate) – Tanzania. https://data.worldbank.org/indicator/SL.UEM.TOTL.ZS?locations=TZ (Accessed 17 September 2020).
[3] World Bank (2019). Data. GDP (current US$) – Tanzania. https://data.worldbank.org/indicator/NY.GDP.MKTP.CD?locations=TZ (Accessed 10 August 2020).
[4] United Nations Development Programme (2019). Human Development Report 2019. http://hdr.undp.org/sites/default/files/hdr2019.pdf (Accessed 20 August 2020). Pg. 302.
[5] Trading Economics. Tanzania – Gini Index. https://tradingeconomics.com/tanzania/gini-index-wb-data.html (Accessed 7 October 2020).
[6] World Bank (2020). Doing Business 2020. https://openknowledge.worldbank.org/bitstream/handle/10986/32436/9781464814402.pdf (Accessed 19 August 2020) Pg. 4
[7] African Development Bank (2020). African Economic Outlook 2020: Supplement amid COVID-19. July 2020, https://www.afdb.org/en/documents/african-economic-outlook-2020-supplement (Accessed 9 September 2020). Pg. 103.
[8] Bank of Tanzania (July 2020). Monetary Policy Committee Statement. https://www.bot.go.tz/Adverts/PressRelease/en/2020072815244301.pdf (Accessed 20 August 2020). Pg. 1
Access to finance
Over 400 financial institutions operate in the country and are regulated by the Bank of Tanzania. Following COVID-19, the Bank of Tanzania created accommodative monetary and fiscal policy measures to cushion the financial sector and economy, with the aim of expanding private sector credit by 11%. Approximately half of the credit growth is allocated to the built environment, followed by agriculture, transport, and communications, personal loans, and trade. Tanzania’s non-performing loans (NPLs) account for approximately 11% of total bank loans and have increased, in part, because of the pandemic-induced slowdown and impact on private sector activity.
As of 2021, there are 34 licensed mortgage providers, two more than there were in 2019. Five lenders―Centenary Rural Development Bank(CRDB), Stanbic Bank, Azania Bank, National Microfinance Bank(NMB) Bank, and Commercial bank of Africa (CBA), account for approximately 70% of outstanding mortgage debt. The entry of new lenders is increasing competition, which could enhance mortgage market growth. The total value of outstanding mortgages increased by 5% to TSh436 billion (US$188 million) in 2020, accounting for 0.4% of GDP. A total of 5 501 loans were disbursed, with an average mortgage loan size of TSh79.2 million (US$34 157).
Through the Tanzania Mortgage Refinance Company (TMRC), the country has made notable progress in expanding access to more affordable mortgage loans, which grew from a loan portfolio of 600 to over 5 000 between 2010 and 2019. During this period, 2 000 housing microfinance products were made available to low-income households.
With the support of the International Finance Corporation (IFC), the TMRC managed to extend mortgage terms in Tanzania from five to a maximum of 25 years, while market rates declined from 21% to around 15%. In 2021, however, the minimum mortgage rate was 4%, while the maximum was 17%. The maximum mortgage term was 20 years with the required mortgage installment to household income ratio below 50%. The maximum loan-to-value ratio on the residential mortgage was 90%. In 2021, the IFC invested in a corporate bond to boost access to long-term mortgage loans, with the aim of expanding access to home purchases. Similarly, the NHC is mobilising 19 commercial banks to be part of a scheme that has so far disbursed TSh20 billion (US$8.6 million) in mortgage loans.
Only a few commercial banks offer loans for self-construction, and for low-income households who cannot access construction or home improvement loans, microfinance institutions (MFIs) have filled this gap. There are now four microfinance banks in Tanzania following the formation of Mwanga Hakika Microfinance Bank in 2020.
Formal financial inclusion has improved from 58% in 2013 to 65% in 2017, but limited access to financial services persists. Demand-side constraints include a poor savings culture, lack of asset ownership, and high levels of informality. On the supply side, insufficient capacity of MFIs, high cost of borrowing, collateral requirements, high NPL’s and the absence of diverse financial products are some of the barriers to expanding financial inclusion. These challenges are acute for women, youth, and rural households.
[1] Bank of Tanzania. List of Licensed Institutions. https://www.bot.go.tz/BankSupervision/Institutions (Accessed 10 August 2020).
[2] The East Africa. COVID-19 shock dims earnings prospects for EA banks for 2020. 7 June 2020. https://www.theeastafrican.co.ke/tea/business/covid-19-shock-dims-earnings-prospects-for-ea-banks-for-2020-1442854 (Accessed 15 August 2020).
[3] Bank of Tanzania and Tanzania Mortgage Refinancing Company (2019). Tanzania Mortgage Market Update – 31st December 2019. https://www.bot.go.tz/Adverts/PressRelease/en/20200610213039157.pdf (Accessed 2 August 2020). Pg. 1.
[4] Tanzania Cooperative Development Commission (2018). Statistics by Region and Cooperative Type as of December 31, 2018. https://www.ushirika.go.tz/statistics/category/registered-saccos (Accessed 1 September 2020).
[5] Bank of Tanzania (2019). Financial Sector Stability Report. https://www.bot.go.tz/Publications/Regular/Financial%20Stability/en/202006092200589821.pdf (Accessed 10 August 2020). Pg. 17.
[6] Bank of Tanzania (2019). Financial Sector Supervision Annual Report 2019. https://www.bot.go.tz/Publications/Other/Banking%20Supervision%20Annual%20Reports/en/2020082419582493.pdf (Accessed 2 August 2020). Pgs. 11-12.
[7] Bank of Tanzania (2019). Financial Sector Stability Report. https://www.bot.go.tz/Publications/Regular/Financial%20Stability/en/202006092200589821.pdf (Accessed 2 August 2020). Pg. 18.
[8] National Bureau of Statistics (2019). Household Budget Survey 2017/2018. https://www.nbs.go.tz/nbs/takwimu/hbs/2017_18_HBS_Key_Indicators_Report_Engl.pdf (Accessed 11 July 2020). Pgs. 25-26.
[9] Tanzania Mortgage Refinancing Company. Funding and Pricing. https://www.tmrc.co.tz/services/category/funding-and-pricing (Accessed 18 August 2020).
[10] CRDB Bank. Jijenge Loan. https://crdbbank.co.tz/jijenge-loan/ (Accessed 18 August 2020).
[11] Equity Bank Diaspora Mortgage/Construction Loan. https://tz.equitybankgroup.com/diaspora/diaspora-loans/ (Accessed 18 August 2020),
[12] Azania Bank. Azania Wakala. https://azaniabank.co.tz/index.php# (Accessed 22 August 2020).
[13] Bank of Tanzania and Tanzania Mortgage Refinancing Company (2019). Tanzania Mortgage Market Update – 31st December 2019. https://www.bot.go.tz/Adverts/PressRelease/en/20200610213039157.pdf (Accessed 2 August 2020). Pg. 1.
[14] Bank of Tanzania and Tanzania Mortgage Refinancing Company (2019). Tanzania Mortgage Market Update – 31st December 2019. https://www.bot.go.tz/Adverts/PressRelease/en/20200610213039157.pdf (Accessed 2 August 2020). Pg. 13,
[15] Bank of Tanzania (2020). Public Notice: In Respect of Mwanga Community Bank Limited, EFC Microfinance Bank (Tanzania) Limited and Hakika Microfinance Bank Limited. https://www.bot.go.tz/Adverts/PressRelease/en/2020082512424398.pdf
[16] WAT-Human Settlements Trust. What we do. http://www.wat.or.tz/ (Accessed 10 August 2020).
Affordability
Income levels of most households are low―85% of the population live under TSh7425 (US$3.20) a day. Most adults (41%) meet their household expenses through farming activities and low-income households spend a third of their income on food. Furthermore, in June 2020, most non-farm, informal workers (2.2 million) were reported to have lost income as a result of the pandemic, while 140 000 formal jobs were lost. Most of the population, therefore, depends on informal sector activities and informal incomes.
The minimum wage ranges between TSh500000 (US$216) and TSh520000 (US$224) a month. The price of the cheapest newly built house by a formal developer is TSh115.4million (US$49791) and is 284 m2. The typical monthly rental for the cheapest newly built house was approximately TSh1.3 million (US$560), which exceeds the ceiling of the minimum wage. With existing levels of household income, only a handful of employees would be able to afford a formal house.
According to the NHC, houses targeted at low-income earners should ideally be priced between TSh10 million (US$4313) and TSh20 million (US$8 626).39However, the cost of building materials, combined with value-added tax (VAT), doubles the cost of the NHC’s lowcost housing to at least TSh40million (US$17250) and up to TSh55million (US$23720), making it far less affordable. Construction labour costs TSh40000/m2(US$17/m2), while total construction cost is estimated at TSh486 000/m2(US$210/m2). The cost of a standard 50kg bag of cement was on average TSh14500 (US$6.3), varying between TSh13 000 and TSh16 000 (US$5.6 -US$6.9) depending on the brand and location in the country. Land and infrastructure-related costs hike housing prices even further.
Although the scope of financing is continuously increasing, it is still unaffordable for most households. In 2019, it was estimated that only 3% of the population could afford a mortgage, and this creates tremendous demand for housing microfinance products. Availability of affordable housing finance through existing housing MFI’shas made it possible for many low earning employees to own houses in urban centers.
[1] Zoom Tanzania. Houses for sale in Tanzania. https://www.zoomtanzania.com/houses-for-sale/house-for-sale-at-mikocheni-1702634 (Accessed 5 August 2020).
[2] World Bank. Data. Inflation, consumer prices (annual %) – Tanzania. https://data.worldbank.org/indicator/FP.CPI.TOTL.ZG?locations=TZ Accessed 10 August 2020).
Housing supply
The government, through the NHC, plays an important role in the country’s housing supply. The NHC constructed 1 164 commercial and residential properties in 2020, 84% less than in 2019. Only 468 were affordable houses. With an investment of TSh70billion (US$30million), 1 000 additional homes are being constructed in the new capital, Dodoma. State entity Watumishi Housing Company(WHC)delivered 70 residential units in Dodoma, ranging from TSh45.7 million (US$19 709) for a studio apartment to TSh91 million (US$39 246) for a three-bedroom apartment. Another 500 more units are expected to be completed in 2021.
The state-led delivery approach for affordable housing is increasingly being overtaken by private housing market participants. Pension funds, such as the National Social Security Fund, and co-operatives continuously invest in housing and each completes an average of 1 000 housing units a year.
Still, 70% of housing in Tanzania is self-built, and many dwellings are built incrementally using self-help savings. This has led to a proliferation of substandard structures. Due to the low purchasing power of the public, the NHC has said it will increase its ratio of rental properties to residences for sale from 30:70 to 80:20. The NHC has plans to increase building material manufacturing capacity to enable quality construction in the self-build sector and brings the cost of key materials down for its own construction of low-cost housing.
[1] National Bureau of Statistics (2019). Household budget survey 2017/2018. https://www.nbs.go.tz/nbs/takwimu/hbs/2017_18_HBS_Key_Indicators_Report_Engl.pdf (Accessed 4 August 2020), Pg. 16.
[2] National Bureau of Statistics (2019). Household budget survey 2017/2018. https://www.nbs.go.tz/nbs/takwimu/hbs/2017_18_HBS_Key_Indicators_Report_Engl.pdf (Accessed 4 August 2020), Pgs. 17-19.
[3] National Bureau of Statistics (2019). Household budget survey 2017/2018. https://www.nbs.go.tz/nbs/takwimu/hbs/2017_18_HBS_Key_Indicators_Report_Engl.pdf (Accessed 4 August 2020), Pgs. 19-25,
[4] National Bureau of Statistics (2019). Tanzania in Figures 2019. https://www.nbs.go.tz/nbs/takwimu/references/Tanzania_in_Figures_2019.pdf (Accessed 1 August 2020). Pg. 76.
[5] Ministry of Lands, Housing and Human Settlement. Departments. https://www.lands.go.tz/pages/departments (Accessed 18 August 2020).
[6] National Housing Corporation (1990). The National Housing Corporation Act. https://www.lands.go.tz/uploads/documents/en/1456465292-The%20National%20Housing%20Corporation%20Act.%20Cap%20295.pdf (Accessed 8 August 2020). Pgs. 4-5.
[7] National Housing Corporation. Payment Options. https://www.nhc.co.tz/# (Accessed 9 September 2020).
[8] Ministry of Finance and Planning (2016). National Five Year Development Plan 2016/17-2020/21. https://mof.go.tz/mofdocs/msemaji/Five%202016_17_2020_21.pdf (Accessed 31 August 2020). Pgs. 188-191.
[9] Ministry of Lands, Housing and Human Settlement. About Us – Functions. https://www.lands.go.tz/ (Accessed 8 August 2020),
[10] National Housing Corporation. Projects. http://www.nhc.co.tz/en/nhcprojects (Accessed 10 August 2020).
[11] Wizara ya Fedha na Mipango (2020). Hali ya Uchumi wa Taifa Katika Mwaka wa 2019. https://www.mof.go.tz/docs/KITABU%20CHA%20HALI%20YA%20UCHUMI%20WA%20TAIFA%20MWAKA%202019.pdf (Accessed 2 August 2020). Pg. 207.
Property markets
In urban areas, half of the households own their properties. Most houses have no registered title deeds, and the absence of title makes it difficult for households to access collateralised mortgages and may also lead to increasing demand for rental housing. Both formal and informal real estate agents (Dalali in Swahili)operate in Tanzania. Informal real estate agents perform similar duties to formal real estate agents including facilitating buying and selling property and land. However, informal real estate agents are not registered with the country’s authorities and thus do not pay relevant government taxes, duties, and levies.
The relocation of administrative functions to Dodoma has meant that the property sector has had to re-establish itself in the new capital and like many sectors, globally, the property market in Tanzania was affected by COVID-19. The pandemic sent prices of residential properties in the country plummeting in the last six to 12 months. An excess of supply has also meant rentals for prime residential properties have declined.
In Tanzania, house prices are closely linked to location. In Dar es Salaam, three-bedroom home is sold between Tsh696million (US$300000) and Tsh1.16billion (US$500000) in a prime location, while housing in other areas can be priced as low as Tsh116million (US$50000). The NHC delivered 50 three-bedroom homes in Musoma, that are rented out for Tsh132000 (US$57) a month, all connected to bulk infrastructure services. In comparison, rents for a three-bedroom home in Dodoma, range between TSh5.7million and TSh6.9 million (US$2 500 and US$3 000).
The Ministry of Lands, Housing, and Human Settlements Development plans to digitise the sector. The ministry has already started issuing digital title deeds for plots and properties in cities such as Dar es Salaam.
[1] Bank of Tanzania (2020). Monetary Policy Statement. 15 June 2020. https://www.bot.go.tz/Publications/Regular/Monetary%20Policy%20Statement/en/2020061515311396.pdf (Accessed 15 August 2020). Pg. 11.
[2] Ministry of Finance and Planning (2016). National Five-Year Development Plan 2016/17-2020/21. https://www.tralac.org/images/docs/9910/tanzania-national-five-year-development-plan-2016-2021.pdf (Accessed 3 August 2020). Pgs. 188-195
[3] World Bank (2020). Doing Business 2020. Economy Profile Tanzania. https://www.doingbusiness.org/content/dam/doingBusiness/country/t/tanzania/TZA.pdf (Accessed 10 august 2020). Pgs. 4 and 28.
Policy and regulation
The government has adopted the Human Settlement Development Policy to facilitate access to adequate shelter for all Tanzanians. The policy governs land use, tenure, and land management. However, there are increasing calls for Tanzania to introduce a National Housing Policy that integrates housing into a broader economic agenda.
A National Land Policy was developed to promote a secure land tenure system to encourage the optimal use of land resources and to ensure land access for all citizens.
The informal development of residential houses in unplanned rural and urban settlements often leads to land-related conflicts. Accordingly, the Ministry of Land enforces laws to manage land resources. The Unit Titles Act No. 16 of 2008 sets out the rules and procedures for managing and regulating divisions of buildings into units, clusters, blocks, and sections.
The Financial Inclusion Framework (2018-2022), which builds on an initial 2014-2016 framework, has been key for advancing the availability of financial products and services in a way that ensures the resilience of low-income households.
Tanzania introduced an Implementation Strategy for its National Microfinance Policy (2017/18-2027/28) to build housing microfinance capacity and expand the proportion of low-income earners who have access to products.
[1] United Republic of Tanzania (1997). National Land Policy Second Edition 1997. https://www.tanzania.go.tz/egov_uploads/documents/nationallandpolicy_sw.pdf (Accessed 17 August 2020). Pgs. 9-34.
[2] United Republic of Tanzania (2000). National Human Settlements Development Policy. January 2000. http://www.tzonline.org/pdf/nationalhumansettlements.pdf (Accessed 17 August 2020). Pgs. 21-22
[3] Citizen Magazine (2017). Two draft bills for debate to regulate real estate industry. 2 February 2017. https://www.thecitizen.co.tz/magazine/Two-draft-bills-for-debate-to-regulate-real-estate-industry/1840564-3806326-w459pu/index.html . (Accessed 10 August 2020).
[4] Nyaruhuma, A. (2016). Draft National Land Policy, 2016. Ministry of Lands Housing and Human Settlements Development. http://www.tfcg.org/wp-content/uploads/2018/06/TTCS-2016-Presentation-4-Policy-Development-in-the-Land-Sector-by-Dr-Nyaruhuma-MLHSD.pdf (Accessed 20 August 2020). Pg. 3
[5] Ministry of Finance and Planning (2018). Implementation Strategy for the National Five-Year Development Plan 2016/17 – 2020/21. http://extwprlegs1.fao.org/docs/pdf/tan166449.pdf (Accessed 11 August 2020). Pg. 223.
Opportunities
Despite Tanzania’s construction-led growth, housing demand still far outstrips supply. To keep pace with rapid urbanisation, the gap between informal and formal housing and housing finance needs to be bridged. The growing shortage of adequate housing paves the way to supporting informal and traditional responses to the lack of affordable housing.
The TMRC continues to be pivotal for expanding access to long-term mortgage funding, but the country’s demand for housing loans remains high and constrained by the limited availability of accessible finance. More affordable and effective housing microfinance products are needed. This is already supported by an enabling framework.
While the Tanzanian government provides some public rental or social housing, greater private sector participation could scale delivery of social housing in informal settlements, as well as create rental models that make adequate housing more accessible. The government’s efforts to invest in manufacturing capacity to bring down construction material costs in Dodoma, in 2021/22, is an opportunity for investors to view Dodoma as an emerging market for residential real estate developments. The NHC’s targeted investments in Arusha, Mbeya, and Dar es Salaam also broaden the scope of housing opportunities in Tanzania’s growing urban centers. Calls to waive VAT on building materials, as well as to establish a fund to subsidise the construction of affordable housing, are all positive developments that will streamline housing value-chain activities.
The increasing role of the private sector leads to growth in the number of housing units and the sophistication of housing, which creates opportunities through technological developments, including in the construction of cost-effective and more environmentally friendly 3D-printed houses, and the use of innovative construction inputs and materials.
[1] UN-Habitat, Dar es Salaam Local Authorities and Cities alliance (2010). Citywide Action Plan for Upgrading Unplanned and Unserviced Settlements in Dar es Salaam. https://unhabitat.org/sites/default/files/download-manager-files/Citywide%20Action%20Plan%20for%20Upgrading%20Unplanned%20and%20Unserviced%20Settlements%20in%20Dar%20es%20Salaam.pdf (Accessed 19 August 2020). Pgs. 55-68.
Availability of data on housing finance
The Bank of Tanzania and the National Bureau of Statistics are key producers of housing and housing finance-related data. The Bank of Tanzania is a key custodian of data relating to Tanzania’s macroeconomic environment, including interest rates, financial stability of the banking system, foreign investment trends, and general economic performance. The National Bureau of Statistics disseminates census data, household budget surveys, financial inclusion statistics, surveys on land rights and tenure security, as well as various sectoral reports. Other data hosts in the public sector include the Ministry of Lands for administrative data, the Tanzania Builders Agency, and the Tanzania Investment Centre.
In the private sector, the Tanzania Mortgage Refinance Company, commercial banks, and Tanzania Invest are key sources for the regularly updated mortgage market and residential real estate information. Housing developers such as the NHC and WHC are also fundamental for project-level housing data.
A major difficulty in Tanzania’sdataecosystemis limited access to timely and publicly accessible datasets that cater to the residential property market, as well as capturing informality. A first step for enhancing the range of data and closing key data gaps in the housing value chain includes disseminating data that is already legislated to be collected by key data hosts. There is also scope for housing investment data to pay specific attention to Tanzania’s affordable housing market. The forth coming 2022 Census is an opportunity to collect valuable housing-specific data.
Urban Informality
As of 1 July 2021, the country’s population was approximately 61.4 million, growing at an annual rate of 3%. Tanzania is rapidly urbanising at an annual rate of 5%. Over 21 million people were reported to be living in urban areas, making up approximately 35% of the entire population. This percentage is expected to grow to 50% by 2030.
More than half of the urban population lives in unplanned and informal settlements. This is the highest in Dar es Salaam where 70% of residents live in informal dwellings. Although basic service delivery has largely improved in urban areas, only 30% of the population have access to sanitation facilities, while 36% have access to electricity and 57% to basic water provision.
Urban master plans aimed at developing more sustainable cities have largely not been guided by effective implementation strategies. This has been affected by a myriad of stakeholder involvements, and changes in leadership and preferred approaches. To improve access to safe drinking water, sanitation, and hygiene facilities, and manage urban growth more broadly, a number of programs have been introduced in municipalities by government and development partners, with a focus on rural and peri-urban areas.
Websites
National Microfinance Bank:www.nmbbank.co.tz
Association of Real Estate Professionalsof Tanzania:www.arepta.or.tz
Association of Citizen Contractors Tanzania:www.acct.co.tz
B.R Real Estate Developers: www.brrealestate.co.tzBank of Tanzania:www.bot.go.tz
Comfort Zone Real Estate:www.comfortzonerealestate.co.tz
Fumba Town: www.fumba.town
JR Real Estate Dealers:www.jrrealestatedealers.co.tz
Knight Frank Tanzania:www.knightfrank.co.tz
Kupatana:www.kupatana.com
Ministry of Finance and Planning:www.mof.go.tz
Ministry of Lands, Housing and Human Settlements Development: www.lands.go.tz
Mwanga Hakika Microfinance Bank:www.mhbbank.co.tz
My Dalali Real Estate:www.mydalali.co.tz
National Construction Council:www.ncc.go.tz
National Housing Corporation:www.nhc.co.tz
Property International: www.pil.co.tz
Remax Tanzania:www.remax.co.tz
Seven Estate Agent:www.sevenestate.co.tz
Tanganyika Estate Agents:www.tz
agents.com
Tanzania Association of Microfinance Institutions: www.tamfi.com
Tanzania Bankers Association:www.tanzaniabankers.org
Tanzania Mortgage Refinance Company:www.tmrc.co.tz
Tanzania National Bureau of Statistics:www.nbs.go.tz
Zoom Tanzania:www.zoomtanzania.com
