Tanzania Gets FDI Right

According to latest data released by the Tanzania Investment Centre, the country registered 41 investment projects for the month of February 2023 compared to 18 in February 2022.

This is more than double of project for the corresponding month last year and the total value of the projects is estimated at USD 340 million. For comparison, projects registered in February 2022 only amounted to USD 76 million. At the same time, these investments are expected to create some 7,370 jobs.

The Tanzania government under the leadership of President Samia Hassan believes that the implementation of the Buleprint for Regulatory Reforms has started to bear fruits. Thanks to reforms, procedures for licences and permits have been streamlined with the application of automation and digitization for greater efficiency.

In addition, the government has put into effect a New Investment Act in 2022 to replace the outdated one dating back to 1997. To further boost confidence of investors, all investment projects are dealt directly by the President’s office, rather than by the Ministry of Industry and Trade as was done previously. The Tanzanian government will leave no stone unturned to create a conducive climate for business.

The key sectors benefitting from investment are ranked as follows:

  • Transport
  • Agriculture
  • Manufacturing
  • Commercial Construction

For #FDI, the top source countries are:

  • China
  • DR Congo
  • UK
  • Malawi
  • Kenya

It is also worth noting that the Export Processing Zone Authority (EPZA), which oversees Export Processing Zones (EPZ) and Special Economic Zones (#SEZ), has seen six new projects during February 2023.

Furthermore, Tanzania is evolving towards one-stop shop and online application as far as possible. Applications for work permits and business licences can be performed online. President Hassan reiterated her government’s commitment to improve the ease of doing business in Tanzania.

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