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Tanzania’s peace ranking and investor confidence at risk as President Hassan is sworn in amid unrest

Simon Osuji by Simon Osuji
November 4, 2025
in Business
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Tanzania’s peace ranking and investor confidence at risk as president Hassan sworn In amid unrest
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President Samia Suluhu Hassan has been sworn in for another term following a disputed election overshadowed by an internet blackout, curfews, and reports of violence the latest in a growing pattern of contested polls across Africa where incumbents retain power amid allegations of electoral manipulation.

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A Closed-Door Inauguration

The inauguration, held at the Tanzania People’s Defence Force parade grounds in Dar es Salaam, was closed to the public and attended only by senior government and security officials. Independent journalists and foreign dignitaries were barred, although the state-run Tanzania Broadcasting Corporation (TBC) aired the event live.

President Samia Suluhu Hassan, 64, who officially won 98% of the vote, becomes Tanzania’s first female president to take the oath of office. She initially rose to power in 2021 after the death of former president John Magufuli, completing his term before seeking re-election.

Her victory, however, has been marred by reports of human rights abuses and unrest in several cities.

The announcement of her win coincided with a nationwide internet shutdown, widespread curfews, and reports of fatal clashes between protesters and security forces.

Activists in neighbouring Kenya have since criticised the East African Community (EAC) for remaining silent over the alleged killings of demonstrators in Tanzania.

Political unrest and allegations of rights abuses during the election have drawn critique from activists both domestically and internationally.

Tanzania’s Reputation for Stability Faces New Tests

Tanzania has long been regarded as one of the region’s most stable nations, often credited with peaceful power transitions and steady economic management.

In the Global Peace Index 2025, Tanzania ranks as the most peaceful country in East Africa, placing 73rd globally out of 163 countries. Yet observers say this long-standing reputation could come under strain if political divisions deepen.

Economically, Tanzania’s GDP is projected to grow by about 6.4% in 2026, supported by an 11.6% increase in the national budget to approximately $21.6 billion.

The country’s nominal output is estimated at $87.44 billion, while its Purchasing Power Parity (PPP) GDP exceeds $445 billion.

Similarly, the Economic Freedom Index, widely used by governments, investors, and development partners to assess openness, competitiveness, and policy effectiveness, positions Tanzania as a moderately free economy.

By aligning its reforms with international benchmarks, the government hopes to boost investor confidence and expand opportunities in regional and global markets.

A Balancing Act for the New Term

As President Hassan begins her new mandate, she faces the dual challenge of restoring public trust while safeguarding Tanzania’s appeal as a preferred investment destination in East Africa.

With a projected growth path and strong peace credentials, the country’s future depends on how well its leadership can navigate the delicate balance between political stability, institutional reform, and economic inclusiveness.

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