Tanzania attracts 6tri/-in new investments in first quarter

DAR ES SALAAM: TANZANIA has recorded remarkable progress in attracting investment during the first quarter of the current financial year (July to September), with 201 projects valued at 2.5 billion US dollars (about 6tri/-) expected to create more than 20,800 new jobs.

Speaking to reporters yesterday in Dar es Salaam, Director General of the Tanzania Investment and Special Economic Zones Authority (TISEZA) Mr Gilead Teri credited this achievement to improvements in the business environment made by the government under President Samia Suluhu Hassan.

“The government has continued to create an easy and investor-friendly environment. As a result, investment has not slowed down despite the country being in an election period,” Mr Teri said.

He added, “Economically, this reflects the trust investors worldwide have in the President and her government. Tanzania remains a safe investment destination during elections.”

Tanzanians are scheduled to vote on October 29th this year. Mr Teri noted that the current figures reflect positive trends in the investment sector over the past four years, recalling that Tanzania registered 256 projects in the entire year of 2021.

He also highlighted the increased efficiency of investment facilitation following the merger of the Tanzania Investment Centre (TIC) and the Export Processing Zones Authority (EPZA) to form TISEZA, which became operational on July 1st this year.

Detailing ownership trends, Mr Teri said domestic investors contributed 74 projects in first quarter, up 5.7 per cent from 70 projects last financial year.

He added that TISEZA’s One Stop Facilitation Centre (OSFC) has strengthened partnerships between domestic and foreign investors, with joint ventures accounting for 48 per cent of projects in first quarter, a significant increase compared to previous years when domestic ownership was below 10 per cent.

Regarding Export Processing Zones (EPZs) Mr Teri said eight projects targeting international markets were registered in first quarter, valued at 97.83 million US dollars (about 249bn/-) and expected to generate 2,607 jobs and bring in 127 million US dollars (about 311bn/-) in foreign currency annually.

ALSO READ: At 150pc, Tanzania records sky-high leap in investments

Last financial year, only three EPZ projects were registered. By sector, manufacturing led with 85 projects (42.29 per cent), followed by commercial buildings with 30 projects (14.93 per cent) and transport with 29 projects (14.43 per cent).

Regionally, Dar es Salaam led with 79 projects, followed by the Coast Region with 29 and Arusha with 16 projects.

On Foreign Direct Investment (FDI) by country, the United Arab Emirates topped the list with 502 million US dollars (about 1.2tri/-), followed by China with 401.55 million US dollars (about 986bn/-) and India with 176.18 million US dollars (about 433bn/-).

Mr Teri praised both domestic and foreign investors for tapping into Tanzania’s economic opportunities, saying these statistics inspire TISEZA to continue promoting and facilitating investment.

In a related development, TISEZA has launched a special campaign to attract investments into five Special Economic Zones (SEZs): Buzwagi SEZ in Shinyanga (1,333 hectares), Bagamoyo Eco Maritime City SEZ (151 hectares), Kwala SEZ in the Coast Region (40.5 hectares), Nala SEZ in Dodoma (607 hectares) and the expansion of the Benjamin William Mkapa SEZ in Dar es Salaam (over 13,000 square metres).

Interested Tanzanians investing in these SEZs will be granted free project land within 12 months to establish industries focusing on priority sectors such as fast-moving consumer goods, textiles, pharmaceuticals, furniture and car assembly.

Mr Teri said TISEZA aims to register 1,500 projects worth 15 billion US dollars (about 37tri/-) during the 2025/2026 financial year.