Government dividends and other contributions received from public institutions and companies in which the government holds minority shareholding increased by 30 percent in the 2025/26 financial year compared to the previous year, reflecting improved management of public investments and enhanced institutional performance.
During the financial year, the Office of the Treasury Registrar (OTR) collected Sh1.327 trillion, which was presented to President Dr. Samia Suluhu Hassan on Tuesday, June 30, 2026, at the State House in Dar es Salaam.
Receiving the dividend, President Samia expressed satisfaction with the 30 percent increase in dividends and other contributions to the government, saying it demonstrates that ongoing efforts to strengthen accountability, efficiency and discipline across public institutions and state-owned enterprises are yielding tangible results.
She commended board chairpersons, chief executive officers of public institutions, and companies in which the government holds minority shareholding for improving operational efficiency, strengthening revenue collection and increasing the value of public investments.
However, the President cautioned public institution leaders against becoming complacent, stressing that every institution should be assessed based on measurable results, including the value it creates, the revenue it contributes to the government, the quality of services it delivers and its ability to reduce dependence on government support.
“We must not become complacent. Instead, these achievements should inspire us to perform even better,” President Samia said, adding that she expects dividend and other contributions to increase further in the next financial year.
She said that to achieve this goal, the OTR, which oversees 308 public institutions and companies in which the government holds minority shareholding with a combined investment portfolio worth Sh92.3 trillion, should continue strengthening oversight to increase the number of institutions contributing dividends and other payments to the Government.
“The more our public institutions improve their performance and increase their contributions to the Government Consolidated Fund, the greater our capacity to finance development projects and improve the delivery of essential public services, including healthcare,” she said.
The President further noted that as Tanzania embarks on the implementation of the Dira 2050 on July 1 this year, public entities will serve as key pillars in building a larger, more competitive, inclusive and sustainable economy.
"The implementation of Dira 2050 requires institutions that are capable of competing. Institutions that continue to underperform must be fixed so that we move forward together," she emphasized.
She said the government will continue evaluating its institutions based on their contribution to the national economy, revenue generation, quality of services, financial sustainability and the value they create for Tanzanians.
Speaking at the event, the Minister of State in the President's Office – Planning and Investment, Prof Kitila Mkumbo, said the increase in dividends and other contributions reflects the success of the government's economic reform agenda under President Samia's leadership.
"We are witnessing the positive impact of her reform agenda through the 4Rs philosophy, not only in public institutions but also in the private sector," Prof Mkumbo underscored.
Earlier, Treasury Registrar Nehemiah Mchechu said the Sh1.327 trillion presented as dividends and other contributions represents an increase of approximately Sh300 billion compared to the Sh1.028 trillion presented to the President in the 2024/25 financial year.
He said the increase demonstrates that government investments are delivering measurable returns by making a greater contribution to the Government Consolidated Fund, thereby strengthening the Government's ability to finance national development priorities and improve service delivery.
The Sh1.327 trillion collected as of June 29, 2026, was generated from various revenue streams arising from government investments in public institutions and companies in which the government holds minority shareholding.
Of the total amount, Sh800.5 billion (60 percent) came from dividends paid by commercial public corporations and companies; Sh406 billion (30 percent) comprised the statutory 15 percent contribution from the gross revenue of non-commercial public institutions; while Sh121.5 billion (10 percent) came from other investment-related income, including investment returns and other contributions.
Mr Mchechu attributed the achievement to ongoing operational, managerial and administrative reforms aimed at enhancing productivity, accountability and efficiency across public institutions.
"These results demonstrate that efforts to strengthen the management of public assets and ensure that government investments generate greater value for the nation are continuing to produce positive outcomes," Mr Mchechu said.
Speaking on the ongoing reforms in public institutions, Mr Mchechu said the institutions continue to implement the government's 4Rs philosophy, with particular emphasis on Reforms and Rebuilding, enabling them to strengthen governance and business systems, enhance accountability, improve efficiency and build stronger, results-oriented institutions.
He said the increase in dividends and other government contributions, improved institutional performance, growth in the value of public investments, strengthened corporate governance and reduced dependence on government subsidies among some public institutions are clear evidence of the successful implementation of the 4Rs philosophy.
