Government moves to strengthen PPP project implementation

DAR ES SALAAM: THE government has announced plans to bar procurement officers from using standard procurement procedures for projects suitable for Public-Private Partnership (PPP) arrangements.

Speaking yesterday, Minister of State in the President’s Office for Planning and Investment, Professor Kitila Mkumbo, said the move aims to accelerate the implementation of PPP projects.

“We intend to stop procurement officers from using normal procurement arrangements where projects can be implemented under PPP. If the private sector can deliver, the government should not implement it,” Prof Mkumbo stated.

The minister noted that Finance Minister will soon issue a statement for that purpose.

He stated that the uptake of PPP projects in Tanzania remains low. Over the past five years, 101 PPP projects were identified, yet only eight are under implementation, with the remaining in feasibility studies or design phases.

Prof Mkumbo made the remarks while officiating the launch of a new national platform, PPPC CentreStage, initiated by the Public–Private Partnership Centre (PPPC) under the Ministry of Finance.

The platform is designed to bring together policymakers, investors, academics and development partners to discuss how PPPs can support the country’s ambitious development agenda.

“The dialogue series aims to build consensus and shared understanding among stakeholders on the scale of investment and coordination required to deliver the new development plan,” he said, adding that under the National Development Vision 2050, the private sector must play a central role in driving development.

The platform will support the Fourth FiveYear Development Plan (FYDP IV), which will guide Tanzania’s economic transformation from 2026/27 to 2030/31.

PPPC Executive Director David Kafulila emphasised the importance of continuous dialogue for aligning strategies and implementation mechanisms.

“A modern economy cannot rely only on assessments after projects are completed.

Continuous evaluation ensures that implementation remains aligned with national development objectives,” he said. Kafulila described PPPs as an ecosystem uniting government institution, private investors, businesses, development partners and the public.

Veteran PPP negotiator Colonel (rtd) Joseph Simbakalia highlighted the need for procurement reforms and strengthened government negotiation capacity to ensure PPP agreements deliver fair value.

“Economic nationalism and patriotism must guide how we structure PPP agreements,” he said. Former Controller and Auditor General, Ludovic Utouh stressed the importance of legal, regulatory and financial frameworks that are responsive to modern economic realities.

“Proper reporting and auditing systems are essential for transparency and accountability in PPP investments,” he noted, suggesting closer collaboration between the PPP Centre and the National Board of Accountants and Auditors.

ALSO READ: How PPP dialogue series will mobilise trillions for development plan

Since its establishment two years ago, the PPP Centre has mobilised investments worth about 8.5tri/-. The Centre has also increased the number of internationally certified PPP professionals in Tanzania from fewer than two to more than 40, conducted training programmes across local governments, and identified over 400 potential PPP projects nationwide.

With FYDP IV requiring an estimated 477tri/- in financing, of which around 70 per cent is expected from private capital, PPPs alone could contribute approximately 170tri/- over five years, underscoring the need for coordinated stakeholder engagement.