Natalie Cowling
Research Expert South Africa
Key economic indicators of Zanzibar - statistics & facts
Located on the Eastern coast of Africa, in the Indian Ocean, Zanzibar is a semi-autonomous region of the United Republic of Tanzania. The archipelago is formed by the two main isles Unguja and Pemba, and some other small neighboring islands. Around 40 kilometers separate Zanzibar from Tanzania’s mainland. According to projections, 1.7 million people live in the archipelago, famous for its idyllic beaches as well as for the production of spices. Both are crucial for Zanzibar’s economy.
Agricultural sector
Traditionally, agricultural activities have a major influence in Zanzibar's economy. The contribution from agriculture, forestry, and fishing to the archipelago's GDP was 23 percent in 2020. Moreover, the region exported cloves valued at roughly 16 million U.S. dollars as of 2020, around 40 percent of all goods exported. In fact, Zanzibar has a historical connection with spice plantations, dating back to the colonial era. However, the production volume of cloves has strongly fluctuated in recent years. Likewise, the prevalence of agriculture as a major economic activity has oscillated, while other sectors register progressive growth.Services sector driven by tourism
Warm temperatures and white-sand beaches usually attract thousands of tourists to Zanzibar. In 2021, the archipelago received nearly 394,200 international visitors, mostly from European countries. Still recovering from the impacts of the coronavirus (COVID-19) pandemic, hotels and restaurants added about 212 million U.S. dollars to Zanzibar’s economy in 2020. Overall, accommodation and food services accounted for some 15 percent of the archipelago’s GDP that same year. Additionally, the tourism industry was the second main leading source of employment in the region.
