Diplomatist Special Report - Tanzania Tanzania 2018 | Page 23

the country, and cross-border exports of services and goods to
neighbouring countries that depend on Tanzania for regional
connectivity.
The recent discovery of massive natural gas reserves
in the country, and increasing investments in tourism,
manufacturing, and agriculture are positive sign of rapid
advancement and diversifi cation of the economy through
industrialisation and services. Tanzania plans to develop
its fi rst Liquefi ed Natural Gas plant in the southern part of
the country for both the domestic and export markets. The
completion of the LNG project will transition the country
into middle-income status with the aggregate rise in energy
exports.
Establishment of the PPP framework in the country
ensures private sector participation in the provision of public
goods and services and, in particular, public infrastructure.
Growing infrastructure investment needs and a rising
population provides new opportunities for PPP growth in
the country as well as attract new foreign direct investments.
A sound PPP regulatory framework has been put in place to
ensure clear standard operating procedures for the private
sector in providing public services.
Tanzania has adopted a second fi ve-year development plan
2016/17- 2020/21 under the leadership of His Excellency
President John Magufuli that is targeting to nurture
industrialisation for economic transformation and human
development, with special emphasis on the role of the private
sector in building Tanzania’s industrial capabilities through
the development of local value chains that integrate with
global markets to increase the country’s exports capacity.
Tanzania is accelerating its industrialisation drive through
engagement with the private sector, with special emphasis on
attracting local and foreign direct investments fl ows in the
country to boost manufacturing output. To date, more than
3500 new industries have been established since the 5th phase
government took power, creating new job opportunities and
boosting exports.
The Tanzanian government under President John Magufuli
has initiated various business environment regulatory reforms
initiatives that aim to improve the business environment
and spur industrialisation. These include the Government
Blueprint for regulatory reforms to improve the business
environment under the Ministry of Trade, Industry and
Investment; and the Comprehensive Action Plan (CAP)
of the National Roadmap for Improvement of Investment
Climate under the Prime Minister’s Office which aims
to provide an integrated overview of implementation of
business environment reforms in the country as well as the
monitoring framework for the same. These major policy
reform initiatives are designed to cut red tape and remove
unnecessary bureaucratic hurdles that prevent the private
sector from investing in the economy. These regulatory
policy reforms will lower the cost of doing business in the
country and improve Tanzania’s global competitiveness in
the short run.
As the member of both the East African Community
(EAC) and the Southern Africa Development Community
(SADC), Tanzania enjoys a geo-strategic economic potential
and advantage for increasing intra-African trade and
investments through cross-border trade and investment with
neighboring countries such as Zambia, Democratic Republic
of Congo and Rwanda, Uganda, and Burundi.
The geo-strategic advantage offered by the country’s
geographic location, and it track record of peace stability
made Uganda select Tanzania as a participating member
of its crude oil transportation network, namely the East
African Crude Oil Pipeline (EACOP) development project.
The project involves the development of a crude oil export
pipeline that covers a distance of 1445 km, with 80 percent of
the entire length of the pipeline passing through the Tanzanian
Mainland. The development of this strategic energy export
infrastructure offers tremendous new opportunities for local
and international fi rms to participate in its development.
The Tanzanian government is investing in a fi rst standard
gauge railway, a 1,219 kilometers railway infrastructure
project that connects Dar Es Salaam to Mwanza, a city on the
shores of Lake Victoria. The railway will also provide a vital
link to landlocked countries such as Rwanda and Burundi.
The potential for this railway to boost intra-African trade and
investment is immense and, hence, positions Tanzania at a hub
for logistical assistance to landlocked countries. The commit-
ment by the fi fth government to develop world-class transport
infrastructure is underpinned by the strategic commitment and
visionary leadership of President John Magufuli.
Tanzania National Business Council (TNBC) is a high-
level forum chaired by President John Magufuli that provides
provides opportunities for domestic private sector entities to
engage the government on issues of strategic priority, and
recommend policy options for transforming the Tanzanian
economy. TNBC also provides forums for the private sector
to engage with the government at regional and district levels
through Regional and District Business Councils, under
the leadership of Regional and District Commissioners,
respectively. These forums provide unique opportunities for
the privat