DAR ES SALAAM: TANZANIA must look beyond what it owns and focus on what its public assets deliver to the economy and society, former African Development Bank Group president Akinwumi Adesina has said.
Dr Adesina called for a broader way of measuring the performance of State-Owned Enterprises (SOEs), arguing that public ownership should be judged by the value it creates not simply the assets and investments held by the government.
He said SOEs should be assessed on their contribution to job creation, investment, exports, government revenue, quality of services and innovation.
“Ownership is not the destination. Value creation is the destination,” he said.
Dr Adesina made the remarks on Tuesday while delivering a keynote address at the C-CEOs Forum 2026 in Arusha, where public- sector leaders are discussing the contribution of SOEs to Tanzania’s development agenda and implementation of Dira 2050.
He said achieving the country’s ambition of building a one-trillion dollar economy by 2050 will require public enterprises to become more productive, better governed and increasingly capable of mobilising private capital.
Dr Adesina said effective governance should begin with clearly defined responsibilities among shareholders, boards and management.
“The shareholder sets expectations. The board governs. The CEO leads. Management executes. And the board holds the CEO accountable for results,” he said.
He urged boards to provide strategic direction, oversee risks and constructively challenge management while giving executives sufficient authority to implement approved strategies.
Dr Adesina also called for stronger leadership pipelines, succession planning and institutional systems, warning against excessive dependence on individual leaders. “Institutions must outlive individuals,” he said.
He said every shilling invested by the State should be assessed against the economic opportunities it creates, including productivity, jobs, exports, revenue and private investment.
Dr Adesina identified the Public Investment Fund as an important instrument for transforming SOEs, saying it should channel capital to enterprises with credible growth potential, supported by clear reform plans and measurable targets.
“Capital should come with reform. Investment should come with accountability,” he said.
He also encouraged Tanzania to broaden participation in strong public enterprises through strategic investors, partnerships and, where appropriate, public listing.
However, he cautioned that listing should follow professional governance, capable management, credible financial reporting, strong internal controls and competitive business models. “A strong company should come before a public listing,” he said.
Dr Adesina further proposed a Public Service Delivery Index to measure the performance of public service institutions using indicators such as reliability, accessibility, affordability, responsiveness, waiting times, customer satisfaction, complaint resolution and digital access.
“The ultimate shareholders of our public institutions are the people of Tanzania,” he said.
Treasury Registrar Nehemiah Mchechu supported the broader approach, saying profits and dividends alone could not adequately measure the performance of all public entities.
He said commercial institutions should be assessed through productivity, financial sustainability, profitability and government contribution, while public service institutions should also be assessed through citizens reached, service quality, efficiency, costs reduced and national capacity built.
The C-CEOs Forum 2026, coordinated by the Office of the Treasury Registrar, was held in Arusha from September 28 to 30 under the theme, “High-Performing SOEs for a Competitive, Inclusive and Resilient Economy: Advancing Dira 2050.”