State reaffirms commitment to enhance business environment

DODOMA: PRIME Minister Kassim Majaliwa has reaffirmed the government’s commitment to improving business environment that attract local investors in various sectors.

The Premier’s commitment was issued in the National Assembly on Thursday after a question posed by Special Seats Legislator, Mwanaisha Ulenge (CCM), who inquired about the government’s plans to create a conducive business environment for local investors.

Although the MP commended the government for the establishment of the East African Logistics Centre, she equally asked for plans to facilitate business for Tanzanians who were initially being forced to travel to China.

“What are the government’s strategies to boost capital for local businesspeople, their business environment as well as plans to ensure that the products they want are available locally?” she queried.

Ms Ulenge further wanted to know what the government was doing to protect local investors.

In his statement, the PM outlined several initiatives the government is taking to support local investors, including implementing policies to reduce bureaucracy and streamline the process of starting and running a business.

Mr Majaliwa said among the initiatives includes the decision by the government to lower the investment capital requirement for local investors from 100,000 to 50, 000 US dollars.

He also mentioned the government’s efforts to improve infrastructure, provide access to financing, and enhance market access for local entrepreneurs.

“We recognise the important role that local investors play in driving economic growth and creating jobs in our country. That is why the government is committed to creating a supportive environment that enables them to thrive and contribute to our national development,” said the Prime Minister.

Going by the recent National Investment Report that was launched towards the end of last year, a number of projects registered last year valued at 8,658 million US dollars (about 23.6tri/-) compared to 5,658.47 million US dollars (about 15.2tri/-) invested in 2022.

The number of projects registered from various sectors during the period under review, flew by 15.2 per cent to 9,678. According to the report, the tremendous increase was attributed to the new Tanzania Investment Act, 2022 that has set a stage for a friendly business and investment environment.

In the National Assembly on Thursday, Mr Majaliwa emphasised the government’s focus on promoting entrepreneurship and innovation among local investors, as well as encouraging collaboration and partnerships with international investors to boost competitiveness and expand opportunities for local businesses.

According to him, other measures to attract local investment include simplifying procedures for acquiring land as well as waving nuisance taxes for locals.

Mr Majaliwa’s statement was well-received by members of Parliament, with many commending the government’s efforts to prioritise the needs of local investors and stimulate economic growth in the country.

Overall, the reaffirmation of the government’s commitment to attracting local investors in various sectors signals a positive outlook for the future of the business landscape in Tanzania.

“We want to see every Tanzanian investor putting up business without any stumbling blocks, also we’ve already directed foreign investors to engage locals in their projects,” noted Mr Majaliwa