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Local firms win majority of public tenders, PPRA says

Tanzania Monitor Reporter by Tanzania Monitor Reporter
March 31, 2026
in Economy
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Local firms win majority of public tenders, PPRA says
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DAR ES SALAAM: Tanzanian companies secured nearly two-thirds of public procurement contracts in the 2024/2025 financial year, reflecting efforts to boost local participation and improve transparency in the sector, the government’s procurement regulator said.

The Public Procurement Regulatory Authority (PPRA) said contracts worth 9.1 trillion Tanzanian shillings, or 62% of the total 14.5 trillion shillings awarded, went to local bidders.

Director General Denis Simba said the figures highlight progress in implementing reforms aimed at strengthening domestic firms and widening access to public tenders.

The report was presented to President Samia Suluhu Hassan at State House in Dar es Salaam.

The government has also expanded opportunities for designated groups, including women, youth, the elderly and people with disabilities. During the period, 403 tenders worth 11.3 billion shillings were awarded to such groups, up from 173 tenders valued at 6.1 billion shillings a year earlier.

“The increase reflects deliberate policy measures to strengthen the economic participation of special groups,” Simba said.

Oversight of procurement processes has also been stepped up. PPRA conducted value-for-money audits in 152 procuring entities, compared with 106 in the previous financial year, an increase of 44%.

PPP dialogue seeks bigger role for domestic firms

Compliance with procurement laws improved to 79% from 76% in 2023/2024, supported by reforms including the implementation of the Public Procurement Act of 2023 and expanded use of the National Electronic Public Procurement System (NeST).

The regulator said upgrades to the NeST platform — including modules for contract management, complaints handling and mobile access at local government level — have improved efficiency and transparency.

As a result, the number of tenders advertised rose by 82% to 96,823, while awarded tenders increased by 69% to 74,303. The number of registered bidders also grew to 12,913 from 11,564.

Integration of the system with 21 government platforms has helped streamline procurement processes by improving access to information, reducing paperwork and limiting opportunities for document forgery, the report said.

Looking ahead, PPRA plans further studies in the 2025/2026 financial year to assess cost savings linked to the digital system and to expand participation in public procurement.

Tags: Denis Simbaeconomic policylocal companiesPPRApublic contractsTanzania procurement

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