DAR ES SALAAM, Tanzania: Tanzania plans to prioritise Public–Private Partnership (PPP) arrangements in implementing development projects, as part of efforts to mobilise private capital and accelerate infrastructure delivery.
Minister of State in the President’s Office for Planning and Investment, Prof Kitila Mkumbo, said the government intends to stop procurement officers from using conventional procurement procedures for projects that can be implemented through PPP frameworks.
“We intend to stop procurement officers from using normal procurement arrangements where projects can be implemented under PPP. If the private sector can deliver, the government should not implement it,” Prof Mkumbo said.
He added that the Minister for Finance will soon issue a formal statement outlining the new directive.
The move comes as Tanzania seeks to expand private sector participation in development projects to support its long-term economic transformation agenda.
According to the government, uptake of PPP projects in the country remains limited despite growing demand for infrastructure investment. Over the past five years, authorities identified 101 potential PPP projects, but only eight are currently under implementation, while the rest remain at feasibility study or design stages.
Prof Mkumbo made the remarks during the launch of PPPC CentreStage, a national dialogue platform established by the Public–Private Partnership Centre (PPPC) under the Ministry of Finance.
The platform aims to bring together policymakers, investors, academics and development partners to explore ways PPP arrangements can support Tanzania’s development priorities.
“The dialogue series aims to build consensus and shared understanding among stakeholders on the scale of investment and coordination required to deliver the country’s new development plan,” Prof Mkumbo said.
The initiative will support implementation of the Fourth Five-Year Development Plan (FYDP IV), which will guide Tanzania’s economic transformation from 2026/27 to 2030/31.
PPPC Executive Director David Kafulila said sustained dialogue and continuous evaluation are critical to ensuring PPP initiatives remain aligned with national development objectives.
“A modern economy cannot rely only on assessments after projects are completed. Continuous evaluation helps ensure implementation remains aligned with national development priorities,” he said.
Mr Kafulila described PPPs as an ecosystem bringing together government institutions, private investors, businesses, development partners and the public.
Infrastructure experts say stronger procurement frameworks and negotiation capacity are essential for ensuring PPP agreements deliver value while protecting national interests.
Veteran PPP negotiator Colonel (rtd) Joseph Simbakalia called for procurement reforms and enhanced government capacity in negotiating PPP agreements.
“Economic nationalism and patriotism must guide how we structure PPP agreements,” he said.
Former Controller and Auditor General Ludovic Utouh emphasised the need for strong legal, regulatory and financial frameworks to support complex PPP investments.
“Proper reporting and auditing systems are essential for transparency and accountability in PPP projects,” he said, suggesting closer collaboration between the PPP Centre and the National Board of Accountants and Auditors.
Since its establishment two years ago, the PPP Centre has mobilised investments worth about 8.5 trillion Tanzanian shillings and increased the number of internationally certified PPP professionals in the country from fewer than two to more than 40 specialists.
The centre has also conducted training programmes for local government authorities and identified more than 400 potential PPP projects nationwide.
Tanzania’s FYDP IV is expected to require about 477 trillion shillings in financing, with around 70 per cent projected to come from private capital. Officials estimate PPP arrangements alone could contribute roughly 170 trillion shillings over the next five years.
