Author: Padili Mikomangwa

• Energy multinationals Shell, Equinor, and ExxonMobil have finalised vital talks on Tanzania’s $40 billion Liquified Natural Gas investment.

• The move paves the way for final agreement on how to execute the long-delayed energy project that will significantly boost Tanzania’s revenues and create jobs.

• President Samia Suluhu Hassan’s government expects the construction of the project to start in June 2025.

Tanzania is preparing the final deal to guide harnessing her $40 billion offshore gas reserves following the conclusion of talks with energy giants Shell, Equinor, and ExxonMobil. A final agreement on the $40 billion gas investment is in the works with signing expected in the coming weeks.

“The work is done… companies (IOCs) have gone to sit with their boards, and we are now awaiting the next steps. The government expects construction to start in June 2025” Managing Director of the Petroleum Upstream Regulatory Authority (PURA), Charles Sangweni, said the project’s …

• Tanzania is planning to attract over 2000 local and international investors to explore the vast opportunities in her mining industry.
• The October 25 to 26th forum will help unleash strategies to execute better projects, finances, and investments.
• By 2025, the government of Tanzania projects that the mining sector will account for 10 percent of her GDP. 

Over 2000 local and international investors are set to meet in an international conference in Dar es Salaam to explore innovative ways to unlock the full potential of Tanzania’s mining industry. The international conference, which will be held on October 25 and 26, will be hosted by the government in Dar Es Salaam in collaboration with the private sector via DMG Events

“Tanzania miners can’t work in isolation. We need to work with the world; hence you are welcome,” Dr Doto Mashaka Biteko, Minister for Minerals said at the Tanzania Mining and Investment Forum …

• Zanzibar has been grappling with extremely high energy costs, oftentimes costing 50 percent higher than mainland Tanzania.
• Zanzibar relies on a 125MW submarine grid line from mainland Tanzania for its growing electricity needs.
• Rostam Aziz solar investment in Zanzibar is part of his wide focus on big energy investment projects around East Africa. In February, Rostam launched a $130 million cooking gas project in Dongo Kundu, Mombasa, Kenya.

With a planned $140 million investment in a solar power project that could see Zanzibar Island achieve electricity independence, Tanzania tycoon Rostam Aziz is coming out as a man with an eye for energy deals. Rostam’s Taifa Energy is liaising with Mauritius-based Generation Capital Ltd and state-owned Zanzibar Electricity Corporation (ZECO), to set up the 180MW green energy field in Zanzibar.

Over the years, the island of Zanzibar has been grappling with extremely high energy costs, oftentimes costing 50 percent higher than …

• Tanzania-based CRDB bank has recognized the potential for growth opportunities in regional economies.
• CRDB Bank has established a presence in Burundi, Rwanda, Uganda, and DRC, following in the footsteps of Kenya’s Equity and KCB.
• CRDB Bank’s regional expansion aims to facilitate cross-border trade and enhance financial inclusion.

CRDB Bank is evolving into a partner for growth for East Africa’s entrepreneurs by seeking to replicate its success story in Tanzania across the regional markets. The bank has recognized the potential for growth and opportunities in neighboring countries and is strategically expanding its operations in East Africa.

In Tanzania, entrepreneurs are tapping into the lender’s range of products to scale into new growth horizons. Take Diana Tarimo for instance. When Diana received about $21,000 in business loans from CRDB, this became the catalyst she needed to expand her water distribution investments in suburban Dar es Salaam.

Diana is one of over 10,000 …

• Hard work pays – at least for strategic tourism markets such as Tanzania, which stands to become one of the world’s top destinations. Tanzania’s tourism industry emerged strong from a slump triggered by the Covid-19 pandemic.
• Over the past years, a number of top-rated tour firms and sites such as Trip Advisor, Safari Bookings, Visa First, and Craft Travel – have painted Tanzania as one of the most favorable tourist destinations in Africa.

Tanzania is now placed in the same league as South Africa, Africa’s most desired destination by tourists belonging to the Luxe Traveller Club. With iconic Mount Kilimanjaro, the Serengeti National Park and Ngorongoro Crater are some of the leading tourist attractions across the world among its offerings, you don’t have to look far to understand why.

“I was fortunate to stay at the Ngorongoro crater lodge, a stunning five-star hotel, probably one of the best in Tanzania …

• Tanzania’s economic reform program is progressing well in a challenging global economic environment and the authorities remain committed to IMF’s loan plan.
• Ongoing reforms in the country touch on strengthening the economic recovery, preserving macroeconomic stability, and supporting structural reforms toward sustainable and inclusive growth.
• Tanzania’s three-year Extended Credit Facility Arrangement for total access of about $1,046.4 million at the time of program approval received the greenlight on July 18, 2022

The International Monetary Fund (IMF) has given Tanzania’s economy a shot in the arm by furnishing the country with $153 million loan, bringing to around $304.7 million, the amount received so far under the lender’s extended credit arrangement struck in July last year.

The loan will be channeled towards economic recovery, preserving macro-financial stability, and promoting sustainable and inclusive growth.

IMF argued that reforms centre on strengthening fiscal space to allow for much-needed social spending and high-yield public investment, …

• More than $33 million was poorly spent by various Tanzania government institutions including through inappropriate allowances to staff, audit shows.
• Lugalo Hospital, an institution belonging to Tanzania’s military, paid over $14,000 to a supplier for consultation and design without charging withholding tax.
• Corrupt officials in Tanzania’s Ministry of Health paid over $8 million to Toyota Tanzania and UNICEF for the purchase of motor vehicles that were never delivered.

Tanzania could be hurtling towards a fiscal risk as an increasing number of loss-making state-owned enterprises turn into avenues for plunder and embezzlement of public funds by corrupt public servants.

The latest audit report by the Controller and Auditor General (CAG) and Prevention and Combating of Corruption Bureau (PCCB) shows hundreds of state-owned enterprises in Tanzania are in the soup for sanctioning graft-ridden transactions leading to the loss of millions of public money.

The rot starts from the top. Take for instance, …

• Five markets account for 56 percent of the continent’s high-net-worth individuals (HNWIs) and 90 percent of its billionaires.
• Mauritius is expected to experience the highest wealth growth rate at 75 percent over the next decade.
• South Africa ranks as one of the 20 largest prime residential markets in the world, well ahead of the other countries in Africa

When it comes to Africa wealth, only five countries hold more than half of Africa’s wealthiest persons. Despite all the signs pointing to Africa ascending towards the wealth ranks of the world, the scales are uneven.The recent Africa Wealth report by Henley and Partners in partnership with New World Wealth depicted interesting regional wealth records.

Africa holds an investable wealth worth around $2.4 trillion, an additional $3 billion from $2.1 trillion in 2022, where the region had 21 billionaires compared to 46 in 2023.

On the other hand, the millionaire population stand …

• The project, launched in 2022, cuts across multiple services offering farmers a cushion to be stable and profitable.
• The project aims to support over 300,000 farmers in 2023 with the partnership.
• At least $140 million of loss is faced by Tanzania due to drought annually.

Ground-breaking crop insurance has been introduced in Tanzania to cover crop loss and safeguard farmer earnings. The crop insurance was introduced by a fertilizer manufacturing company, Yara Tanzania, in collaboration with Jubilee Insurance.

The transformative solution dubbed ‘AfricaConnect’, leverages technology to offer farming solutions as farmers in Africa grapple with the challenges of climate change.

The project, launched in 2022, cuts across multiple services offering farmers a cushion to be stable and profitable.

According to Yara Tanzania, Managing Director, Winstone Odhiambo, AfricaConnect has enrolled at least 83,000 so far, accessing crucial funding solutions, high-quality and dependable fertilizer, extension services, and a ready market for their …