foreign service officer interview questions with answers Economic Diplomacy

Section 5: Economic Diplomacy (40 MCQs)

1. Tanzania's Investment Act prioritizes:
A) Local joint ventures
B) 100% foreign ownership
C) State monopolies
D) Tax havens
✅ A

2. The Tanzania Trade Development Authority (TanTrade) focuses on:
A) Export promotion
B) Import restrictions
C) Currency manipulation
D) Sanctions enforcement
✅ A

3. Blue Economy diplomacy involves:
A) Lake and marine resources
B) Space mining
C) Desertification
D) Airspace control
✅ A

4. Economic diplomacy promotes:
A) Political appointments abroad
B) Trade, investment, and tourism
C) Border disputes
D) Military bases
✅ B

5. Tanzania Investment Centre (TIC) is mandated to:
A) Monitor police training
B) Approve and facilitate investments
C) Recruit diplomats
D) Regulate media
✅ B

6. Bilateral investment treaties protect:
A) Tourists
B) Foreign investors in host countries
C) Only government entities
D) Local activists
✅ B

7. Economic attachés are posted abroad to:
A) Manage embassies
B) Promote Tanzania’s commercial interests
C) Oversee consular services
D) Act as immigration officers
✅ B

8. The “One Stop Facilitation Centre” under TIC offers:
A) Free loans
B) Centralized services for investors
C) Free education
D) Hotel discounts
✅ B

9. Special Economic Zones (SEZs) are established to:
A) Increase taxation
B) Boost exports and attract investments
C) Restrict foreign access
D) Promote public service hiring
✅ B

10. PPPs stand for:
A) Public Participation Policies
B) Public-Private Partnerships
C) Primary Pricing Programs
D) Public Procurement Plans
✅ B

11. The Ministry of Foreign Affairs supports economic diplomacy by:
A) Collecting customs revenue
B) Facilitating international trade and cooperation
C) Setting national exams
D) Registering NGOs
✅ B

12. Which ministry coordinates trade negotiations?
A) Ministry of Interior
B) Ministry of Foreign Affairs and EAC
C) Ministry of Defense
D) Ministry of Lands
✅ B

13. Export Processing Zones (EPZs) aim to:
A) Limit foreign investment
B) Promote value-added exports
C) Ban imported goods
D) Close small businesses
✅ B

14. Economic diplomacy aligns with which vision?
A) Vision 2025
B) Vision 2050
C) Vision 2030
D) Agenda 2020
✅ A

15. The role of TIC in foreign missions includes:
A) Managing press releases
B) Promoting Tanzania as an investment destination
C) Issuing diplomatic passports
D) Collecting remittances
✅ B

16. The East African Business Council (EABC) works to:
A) Eliminate business in EAC
B) Facilitate regional trade and investment
C) Tax exporters
D) Regulate insurance
✅ B

17. A key element of investment promotion abroad is:
A) Trade barriers
B) Showcasing Tanzania’s potential sectors
C) Visa restrictions
D) Disinformation campaigns
✅ B

18. Tanzania’s economic diplomacy strategy is coordinated by:
A) Foreign missions only
B) Ministry headquarters and missions abroad
C) The police force
D) Local municipalities
✅ B

19. Double taxation agreements help:
A) Impose more taxes
B) Avoid taxing the same income in two countries
C) Charge dual citizens more
D) Cancel treaties
✅ B

20. Tourism promotion under economic diplomacy includes:
A) Security operations
B) Investment in hotels and hospitality marketing abroad
C) Agriculture subsidies
D) Judicial reform
✅ B

21. The “Made in Tanzania” initiative is aimed at:
A) Reducing exports
B) Promoting Tanzanian products in global markets
C) Stopping industrial growth
D) Importing foreign brands
✅ B

22. Diaspora investments are encouraged because they:
A) Threaten local markets
B) Bring remittances, skills, and business ideas
C) Create political instability
D) Weaken cultural identity
✅ B

23. Sovereign Wealth Funds (SWFs) are:
A) Private savings
B) Government-owned investment vehicles
C) Religious donations
D) NGO assets
✅ B

24. A trade fair organized abroad by a Tanzanian mission is a form of:
A) Cultural diplomacy
B) Economic diplomacy
C) Religious diplomacy
D) Academic cooperation
✅ B

25. The main benefit of foreign direct investment (FDI) is:
A) Increasing local debt
B) Creating jobs and boosting economic growth
C) Raising taxes only
D) Reducing exports
✅ B

26. Tanzania’s focus sectors for economic diplomacy include:
A) IT and fast food
B) Energy, agriculture, tourism, and mining
C) Fashion and cosmetics
D) Defense and intelligence
✅ B

27. International exhibitions and forums help to:
A) Discourage investment
B) Promote visibility of Tanzanian products and services
C) Avoid networking
D) Reduce diplomatic presence
✅ B

28. Economic diplomacy is a tool for:
A) Managing passports
B) Enhancing global competitiveness
C) Reducing communication
D) Limiting foreign presence
✅ B

29. An investment climate assessment focuses on:
A) Soil erosion
B) Business regulations, taxation, infrastructure
C) Rainfall data
D) Wildlife movement
✅ B

30. Branding Tanzania internationally is crucial for:
A) Geopolitical neutrality
B) Attracting tourism and foreign investment
C) Hosting sports tournaments
D) Internet governance
✅ B

31. Tanzania’s mission in Geneva would likely handle:
A) Nuclear weapons
B) Trade and labor issues through WTO and ILO
C) Military recruitment
D) Immigration visas only
✅ B

32. Which of the following best describes economic diplomacy?
A) Using economic tools to advance national interests
B) Monitoring weather
C) Managing religious services
D) Policing diasporas
✅ A

33. Value addition in agriculture under economic diplomacy focuses on:
A) Exporting raw products
B) Processing products before export
C) Importing fertilizers only
D) Growing only cereals
✅ B

34. Tanzania signs trade agreements to:
A) Isolate regional markets
B) Enhance access to new markets
C) Ban regional investment
D) Stop economic growth
✅ B

35. The African Continental Free Trade Area (AfCFTA) supports:
A) High tariffs
B) Continental integration and trade expansion
C) Military alignment
D) Isolated economic blocs
✅ B

36. Investment summits hosted abroad aim to:
A) Raise visa fees
B) Attract international investors
C) Ban Tanzanian companies
D) Promote host governments
✅ B

37. Investment Promotion Centers (IPCs) in missions serve to:
A) Distribute salaries
B) Act as business gateways
C) Replace embassies
D) File tax returns
✅ B

38. Economic diplomacy contributes to national development by:
A) Ignoring private sector
B) Creating strategic partnerships and economic ties
C) Undermining government plans
D) Reducing trade flows
✅ B

39. Preferential Trade Agreements (PTAs) are signed to:
A) Increase tariffs
B) Facilitate trade between selected partners
C) Close small markets
D) Limit industrialization
✅ B

40. A key challenge in economic diplomacy is:
A) Technological advancement
B) Global competition and market access barriers
C) Having too many investors
D) Fast-growing domestic trade
✅ B