Kafulila: Mindset shift crucial to achieving US$1 trillion economy
DODOMA: A shift in mindset is among the key changes needed for Tanzania to achieve its ambitious goal of becoming a US$1 trillion economy by 2050, which would subsequently raise average annual per capita income to about US$7,000.
The Executive Director of the Public-Private Partnership Centre (PPP Centre), David Kafulila, said this in Dodoma on Wednesday (June 3, 2026) during a public lecture organised by the University of Dodoma (UDOM) through its College of Business and Economics (COBE).
At the well-attended event, which drew academics, students and media representatives, the PPP Centre chief argued that effective utilisation of Public-Private Partnerships (PPPs) could help the government reduce its dependence on taxes and borrowing for financing long-term development projects, thereby accelerating the attainment of the country’s aspirations under Development Vision 2050.
The lecture was held under the theme: “Transforming Tanzania’s Infrastructure and Public Services: The Strategic Role of PPPs in Plan IV Towards Vision 2050.” Participants explored challenges and proposed solutions to obstacles that could hinder the country from achieving its development targets.
Mr Kafulila said attaining the US$1 trillion economy target would require substantial effort, innovation and strategic thinking.
He noted that Tanzania aims to build a US$1 trillion economy within the next 25 years, a goal that will require close collaboration between the government and the private sector in implementing development projects.
“There is a huge task ahead of us. We must think beyond conventional approaches if we are to achieve the US$1 trillion economy we envision within the next 25 years,” he said.
Mr Kafulila further said one of the main reasons many countries around the world are increasingly embracing Public-Private Partnerships is to improve the efficiency of public institutions, which in turn accelerates economic growth.
According to him, three key factors drive the adoption of PPPs globally: attracting private-sector capital for public projects, improving institutional efficiency and fostering innovation.
He cited studies showing that in some developed countries, about 25 per cent of national wealth is attributed to the efficiency of institutions, while natural resources contribute only around five per cent.
Mr Kafulila explained that this does not mean such countries lack natural resources; rather, they have established strong systems that enable them to utilise those resources more productively.
“China produces more gold than any country in Africa, the United States has more oil than many countries around the world, and Russia possesses more natural gas than any country in Africa. It is not that they lack resources, but they do not regard them as the primary basis of their development achievements,” he said.
He added that the real strength of those nations lies in their human capital, innovation and highly efficient institutions that drive economic development.
According to Mr Kafulila, the PPP model not only helps mobilise financing for development projects but also strengthens institutional efficiency and promotes innovation, both of which are essential for achieving the country’s long-term development goals.
Meanwhile, Anastazia Njiku from UDOM’s College of Business and Economics said the university has embraced PPP-related projects as it seeks to reduce reliance on government funding.
The PPP specialist said the university has identified 11 strategic projects spanning business, tourism, energy, technology, creative arts and sports.
Dr Njiku added that under a PPP arrangement, the university plans to generate 100 megawatts of electricity through a solar power project to be developed on 400 hectares of land.
