Transport Ministry’s budget to upgrade Tanzanian ports, SGR extension

DODOMA: THE Ministry of Transport has outlined its key priorities for the 2025/26 financial year, placing focus on the ongoing construction of new ships and the rehabilitation of existing passenger and cargo vessels in the Great Lakes, as well as strengthening marine transport services across the country.
Tabling the ministry’s budget estimates in Parliament on May 15, 2025, the Minister for Transport, Prof Makame Mbarawa, said the outlined priorities aim to boost transport efficiency and improve service delivery in the sector.
“In the 2025/26 financial year, the Ministry will continue implementing its responsibilities by focusing on key priority areas that are geared towards enhancing transport services nationwide,” Prof Mbarawa told the National Assembly.
Among the top priorities is the continued implementation of the Standard Gauge Railway (SGR) along the Central Corridor, upgrading of the Metre Gauge Railway (MGR) under TRC, and improvements on the TAZARA line, including the Kilosa–Kidatu stretch (108km) to link it with TAZARA’s network.
Other priorities include strengthening the national carrier, Air Tanzania Company Limited (ATCL), by enhancing its operational capacity, and the ongoing procurement and rehabilitation of key railway assets such as locomotives, wagons, and track inspection equipment.
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The government also plans to enhance infrastructure and service delivery at sea and lake ports, while continuing with the construction of dry ports across the country. Among them is the Kwala Dry Port in the Coast Region, which the government seeks to position as a strategic inland port.
Prof Mbarawa also mentioned measures to improve safety and communication in water transport services across the Great Lakes, development and management of airports, and strengthened environmental controls in air, land, and marine transportation.
He emphasized that the ministry will continue with the construction of new ships and overhauling of existing ones in Lake Victoria, Lake Tanganyika, and Lake Nyasa, with the ultimate goal of modernizing marine transport and promoting economic activities in the Lake Zone.
The minister said that out of the total proposed budget of 2.75 tri/-, some 125.4 bn/- will go towards recurrent expenditure, while the remaining 2.62 tri/- will be directed to development projects.
The amount marks a 0.6 per cent increase from the 2024/25 ministry budget of 2.72 tri/-, reflecting the government’s renewed commitment to positioning Tanzania as a regional logistics and transport hub.