TPSF: Why Tanzania should attract more investments

DAR ES SALAAM: The Chief Executive Officer of the Tanzania Private Sector Foundation (TPSF), Raphael Maganga, has advised the government to attract new investments to boost the country’s revenues.

Speaking at the 2024 Tax and Investment Forum held in Dar es Salaam on Tuesday, Mr. Maganga pointed out that the tendency to concentrate on the same areas of investment and introduce many taxes leads to complaints and hinders business growth.

“One tax philosophy suggests that you cannot tax poverty. No matter how motivated people are, if they have no income, they cannot pay taxes. It is crucial to attract new investments to the country as a sustainable way to increase tax revenues,” Mr. Maganga emphasized.

He added, “These investments will not only increase employment and contribute to various taxes but also open up economic areas that we have not yet explored, such as the gas project in Mtwara, and establish technology parks for youth and industrial parks for businessmen and companies.”

Moreover, the TPSF boss recommended that the government should review the tax administration system to reduce various obstacles faced by taxpayers.

The 2024 Tax and Investment Forum brought together both public and private sectors and government officials with the aim of expanding stakeholders’ opinions to improve tax policies for the preparation of the government’s main budget for the 2024/25 financial year.

It is expected to strengthen cooperation between the government and stakeholders to enhance tax policy and bolster the business environment in the country.