Tanzania urges US investment through PPP
USA: VICE-PRESIDENT Dr Philip Mpango has urged American businesses to scale up investment in Tanzania through Public–Private Partnerships (PPPs), describing them as central to the country’s economic transformation agenda.
Speaking at the Tanzania–US Business and Investment Forum on Monday, Dr Mpango highlighted that PPPs are crucial for mobilising the 185 billion US dollars needed over the next five years to foster shared prosperity.
“The private sector is a critical partner in our development journey. We have significantly reformed our investment landscape to create an enabling environment for PPPs across sectors ranging from energy and transport to healthcare and digital innovation,” said Dr Mpango.
Dr Mpango outlined several high-impact sectors where PPPs offer significant value for both Tanzania and US investors.
“A factory in Tanzania can easily serve the entire region and the Special Economic Zones linked to modern ports and powered by renewable energy are primed for joint ventures,” he said.
Furthermore, Dr Mpango said in the area of natural resources, Tanzania is positioning itself as a strategic partner in the global green energy transition.
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With rich reserves of graphite, nickel and lithium, the country is seeking partnerships that go beyond extraction, aiming for value addition through local battery manufacturing, clean energy industrial parks and processing plants under PPP models.
Highlighting the digital economy, Dr Mpango noted that Tanzania’s rapid internet penetration and widespread adoption of mobile money have positioned the country as an emerging hub for fintech innovation.
He pointed to US companies such as Visa, which has established an innovation studio in Dar es Salaam, as active contributors to the development of a vibrant and expanding digital ecosystem.
The Vice-President also noted the potential for transformation in the agriculture sector. With only 24 per cent of Tanzania’s arable land under cultivation, the country offers immense opportunities for PPPs in precision farming, AI-driven agriculture, drone technology and agro-processing to help meet food demands across the continent and globally.
Dr Mpango encouraged American pharmaceutical and medical equipment companies to establish local manufacturing operations through PPPs, a strategic move aimed at reducing the continent’s dependence on imported medicines and enhancing regional health security and resilience.
To reinforce these efforts, Dr Mpango highlighted a series of ongoing reforms aimed at positioning Tanzania as a premier destination for investment and public–private collaboration.
Business registration timelines have been streamlined from 14 days to just 24 hours, while investment permits are now issued within hours through a centralised one-stop facilitation centre.
In parallel, the government is making substantial investments in education and workforce development to ensure a steady supply of skilled talent to support PPP initiatives across key sectors.
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“Tanzania has enjoyed over 60 years of political stability. Our infrastructure is evolving rapidly and companies already operating in Tanzania are seeing returns of 20 to 30 per cent,” said Dr Mpango, adding this is the right time for US businesses to enter through well-structured partnerships.
Meanwhile, Dr Mpango called for the renewal of the African Growth and Opportunity Act (AGOA), which is set to expire within days, describing it as a strategic imperative for both the United States and Africa.
He urged American investors to act decisively, warning that while some are still evaluating opportunities, competitors from other regions are already moving ahead.
