Tanzania's economy grew 6.2 percent in the third quarter of 2010 from 5.7 percent in the same period a year ago due to an improvement in construction, transport and communication sectors, data showed on Monday.

The National Bureau of Statistics said in a report that construction rose by 11.2 percent from -5.4 percent, while transport and communication sectors recorded a growth rate of 10.7 percent compared with 5.7 percent previously.

Transport and communication...performance was attributed to the increase in the volume of goods handled and passengers carried during the quarter under review, NBS said.

Africa's fourth biggest gold producer, Tanzania mainly depends on tourism, mining and agriculture and is increasingly attracting higher investor interest in telecommunications, energy, manufacturing, financial services and transport.

Mining and quarrying recorded a negative growth rate of 18.6 percent in the third quarter of 2010 compared to a growth rate of 29.7 percent in the third quarter of 2009, NBS said.

It attributed the slide to a decline in gold production from 11.978 tonnes in the third quarter of 2009 to 9.23 tonnes in the same quarter last year.

The government expects Tanzania's economy to grow by 7.2 percent this year from an estimated 7.0 percent in 2010 due to a strong recovery after the global financial crisis.

The International Monetary Fund's outlook for economic growth in the east African nation puts it at 6.7 percent this year.

President Jakaya Kikwete warned in December Tanzania could face food shortages in 2011 because many parts of the country experienced lower-than-expected rainfall.

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