Government expands PPP drive to accelerate strategic investments

By The Respondents Reporter

The government has intensified the use of Public-Private Partnerships (PPPs) to fast-track the implementation of major strategic projects aimed at boosting economic growth, improving public services and attracting private investment.

Speaking at the Ministry of Finance pavilion during the ongoing 2026 Public Service Week celebrations at Chinangali Park in Dodoma, Senior Economist at the ministry’s Public-Private Partnership Unit, Ms Josephina Melkiol, said reforms in the PPP framework have strengthened Tanzania’s investment environment and increased private sector participation in development projects.

She said the government has reviewed and improved PPP policies, laws and regulations to enhance efficiency in project implementation and create more opportunities for private investors to contribute to national development.

According to Ms Melkiol, a total of nine PPP agreements had been signed by June 2026 across key sectors of the economy.

The projects include four contracts under Phase One and Phase Two of the Dar es Salaam Bus Rapid Transit (DART) system, the Mandatory Motor Vehicle Inspection Project, the construction and operation of the Kariakoo Commercial Complex, the rehabilitation and operation of the Tanzania-Zambia Railway Authority (TAZARA) line, as well as the modernisation and operation of the Dar es Salaam Port through partnerships with DP World and ADAN.

She noted that the PPP programme was formally introduced through the National PPP Policy of 2009, which sought to increase private sector involvement in public service delivery and infrastructure development.

The enactment of the PPP Act in 2010 and its regulations in 2011 established the legal and institutional framework for managing such projects. 

Amendments made in 2014, 2018 and 2023 were intended to improve project preparation, streamline procurement processes and strengthen the selection of private partners.

Ms Melkiol said the government will continue promoting PPPs as a strategic financing model to mobilise private capital, technology and expertise needed to support large-scale infrastructure and development projects.

She added that collaboration between the public and private sectors remains essential in addressing financing gaps, accelerating project delivery and enhancing the quality of services available to citizens.

As Tanzania pursues ambitious development goals, PPPs are increasingly emerging as a key instrument for leveraging private sector resources to complement public investment and drive sustainable economic transformation.

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