TDB, Tanzania deepen partnership on investment

DAR ES SALAAM: THE government is seeking deeper cooperation with the Trade and Development Bank (TDB) to expand investment financing, trade and access to capital as the government moves to unlock greater value from its 92.3tri/- public investment portfolio.

Treasury Registrar Mr Nehemiah Mchechu said stronger engagement with TDB could help finance projects with significant economic potential while enhancing returns from public investments under the Office of the Treasury Registrar (OTR).

Mr Mchechu made the remarks during talks with TDB President and Managing Director Mr Admassu Tadesse over the weekend at the OTR offices in Dar es Salaam.

The discussions focused on opportunities to deepen cooperation in investment financing, trade and development, with Tanzania holding an 8.3 per cent stake in TDB through the government.

Mr Mchechu said TDB, as a regional development finance institution, was well positioned to help Tanzania tap opportunities across key sectors and expand access to capital for projects capable of generating broad economic benefits.

He said the government was also pursuing reforms to improve the performance of public institutions, focusing on accountability, efficiency, capable leadership and responsible management of public resources.

The reforms, he said, were aimed at ensuring Government-owned institutions and companies operate more effectively, fulfil their mandates and make stronger contributions to the economy.

Mr Tadesse said TDB was ready to deepen its engagement with Tanzania and support projects capable of advancing economic growth and investment.

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He said the bank was expanding its financing solutions to include commercial lending, concessional finance and blended financing, allowing it to mobilise capital for projects with significant development impact.

“Tanzania has significant investment potential and is taking important steps to strengthen its economy,” Mr Tadesse said.

He said TDB sought to channel capital towards countries and projects capable of generating economic, social and financial returns while supporting production, trade and investment.

TDB Adviser Mr Anthony Mwithiga said the bank had developed financing structures to bridge capital gaps and support projects with significant economic and social value.

He said TDB could combine commercial capital, concessional funding and resources from development partners to develop financing packages tailored to individual projects.

The engagement comes as Tanzania seeks to strengthen the performance of public assets and attract more financing for projects that can support economic growth, trade and investment.

The government’s 8.3 per cent holding in TDB also gives Tanzania a direct interest in the bank’s capacity to mobilise development finance across the region.