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Showing posts with label Tanzania Today. Show all posts
Showing posts with label Tanzania Today. Show all posts

Thursday, November 17, 2016

The Government OofTanzania and China to Develop USD281m Water Project in Mtwara


The Government of Tanzania recently announced that it will implement a USD281m water project in Mtwara, Southeastern Tanzania in collaboration with the Chinese Government.

The project, which will be financed through a soft loan from China, is set to start in the 2016–2017 fiscal year. Upon completion, the project will supply Mtwara with 120m liters of water per day from the Ruvuma river. Currently (2016), the region receives 60m liters per day.

 Mbogo Mfutakamba, Permanent Secretary at Tanzania’s Ministry of Water and Irrigation, said that the expected water supply from the project will be enough to cover Mtwara’s industrial and domestic needs.

 Mfutakamba also explained that the technical part of the project, including the feasibility study, is completed and that the construction will start as soon as the financial agreements with China are signed.

Tanzania Water Supply More than half the population of Tanzania is estimated to have access to an improved water source, with about 79% in urban areas and 60% in rural areas.


In July 2016, India signed a line of credit of USD92m for further improvement of water supply in Zanzibar. Indian Prime Minister Narendra Modi announced that India will consider additional financing of USD500m for other water projects across Tanzania.

Wednesday, November 16, 2016

USD80m Gas Drilling Commence in Mafia Basin in Tanzania


Oil and gas company Shell, together with its joint venture partners Ophir Energy and Pavilion Energy, recently started a USD80m drilling program in the Mafia deep offshore basin in Tanzania.

 The drilling program, covering two wells in Block 1 and 4 in the Mafia basin, will be executed in waters up to 2,300 meters deep. Blocks 1 and 4 have 17 trillion cubic feet (tcf) gross contingent resource.

 Shell is the operator of these two blocks with 60% interest, while the remaining 40% are held by its partners, Ophir Energy (20%) and Pavilion Energy (20%).

The development of Blocks 1 and 4 is part of the Tanzania Liquefied Natural Gas (LNG) project. The LNG plant will be located in the southern town of Lindi close to the deep-sea offshore blocks.

 For this, the Government will have to build gas pipes from the sea to the plant with length of 100–200km. The construction of the plant is expected to take up to 40 months at the cost of USD30b with production expected to commence in 2021 or 2022.


 Tanzania Natural Gas Tanzania has the second largest natural gas reserves in East Africa with more than 57 trillion cubic feet (tcf) so far discovered, behind Mozambique with 100 tcf according to the Energy Information Administration (EIA).

The Tanzania Petroleum Development Corporation (TPDC) estimates that the country’s gas fields are large enough to make Tanzania the next natural gas hub in Africa.

Monday, November 14, 2016

Israel Opened A Visa Handling Center In Tanzania



The Embassy of Israel in Nairobi opened a visa handling center in Dar es Salaam to strengthen bilateral relations with Tanzania.

 The official inauguration ceremony was held at the Hyatt Regency Hotel in Dar es Salaam on November 4th, 2016.

 The purpose of opening the visa office is also to simplify the process for Tanzanians who wish to visit Israel.

All of the visa applications and documents of Tanzanians will be handled at the visa center by the Rickshaw Travel Group, a travel agency, whose head office is in Dar es Salaam. The Rickshaw Travel Group is a partner of the Embassy of Israel in Nairobi for managing the administrative and non-judgmental tasks of processing visa applications for the citizens of Tanzania.

Israel Tanzania Relations Formal diplomatic relations between Tanzania and Israel were first established in 1963, then suspended in 1973 due to the Arab-Israeli war, and reestablished in 1995. However, Israel still conducts its relations with Tanzania via its Embassy in Kenya and until now Tanzanians wishing to travel to Israel had to process their documents through Nairobi.

The two countries are now looking to further strengthen their relations for which Israel has opened a visa center in Tanzania.

Tanzania Secure USD160m for Water and Energy Development



Tanzania recently secured USD160m in concessional loans from the Government of South Korea for water and energy development. 

Out of the USD160m, USD110m will be directed to the construction of a new sewerage system network, a modern wastewater treatment plant and pumping station in Dar es Salaam. 

This will contribute to preventing environmental pollution created from rapid urbanization in Dar es Salaam, thereby improving public health and sanitation, Korea Exim Bank indicates. 

The remaining USD50m will assist Tanzania in the construction of power transmissions grids, which will be jointly developed with the African Development Bank (AfDB). 

The funds will be provided through the Korea Exim Bank’s Economic Cooperation Development Fund (EDCF), established by the Korean Government in 1987 to assist developing countries through the provision of long-term, low-interest credit. 

Korea Exim Bank has supported 11 development projects in Tanzania in agriculture, road, electricity, education, and health sectors, totaling USD445m in EDCF loans. “More recently, there is an increasing demand for infrastructure development in sub-Saharan African countries thanks to the end of civil wars and stable governance.

 It is also expected that the middle-income bracket will gradually grow larger. 
These factors combined are giving reason for Korean companies to look to Africa as a new land of opportunities,” Korea Exim Bank notes. 

Moreover, the South Korean Embassy in Tanzania indicates that Tanzania has been selected as one of Korea’s priority partner countries for Official Development Assistance (ODA) starting 2016 “and as a result, the Embassy looks forward to enhanced mutual cooperation with Tanzania through tailored assistance.”

Tanzania Purchase USD170m Worth of Vehicles from India



The Government of Tanzania recently made a USD170m purchase of vehicles, gensets, spares and equipment for ambulances, from Indian automobile manufacturing company Ashok Leyland. The purchased goods will be used for the development of workshops and training modules, while the equipment will be fitted on ambulances.

“Export to key international markets is an essential part of Ashok Leyland’s strategic intent to globalize its product portfolio and derisk itself from supplying only into India.

 The new order from Tanzania, valued at USD170m […] reiterates market acceptance of Ashok Leyland’s products in the African region,” Vinod Dasari, Managing Director at Ashok Leyland, said while announcing the deal at the Bombay Stock Exchange (BSE).

 Tanzania’s purchase will be fully financed by EXIM Bank of India under the National Export Insurance Account (NEIA) scheme.

Under the NEIA scheme, Exim Bank facilitates project exports from India by way of extending credit to overseas sovereign governments and government-owned entities for import of Indian goods and services.


Ashok Leyland notes that the Government of Tanzania recently received 773 Leyland vehicles under a line of credit from the Indian Government. Furthermore, the company is now executing another order for supply of 777 vehicles to the Tanzanian Ministry of Home Affairs.

Saturday, November 5, 2016

Australia and China to Develop 270MW Ngaka Coal Power Station




Australian mining company Intra Energy Corporation (ASX:IEC) and Chinese hydropower company Sinohydro Corporation will jointly develop the 270MW Ngaka coal power station in south-western Tanzania.



 This was indicated in a recently signed Memorandum of Understanding (MoU) between the two companies.

According to the MoU, Sinohydro will be the majority shareholder and will be responsible for the engineering, construction, operations, and financing.

 Tancoal Energy, a subsidiary of IEC, will be responsible for the development, mining and supply of coal to the 270MW Ngaka coal-fired power station.

 IEC Chairman Graeme Robertson said: “The MOU represents the next stage in entering into a formal relationship to bring the project to fruition.

” The Ngaka power station is expected to consume up to 1.2m t of coal per year from Tancoal, which has a coal resource of 423m t. Upon completion, the power station will provide more than 15% of Tanzania’s current electricity generation needs through a 220kV transmission system. Tanzania currently generates less than 1% of its total installed capacity of 1,358MW from coal-fired power plants that are fully supplied by imported coal according to the African Development Bank (AfDB). The Ngaka power station is part of the Ngaka Coal Project, which is operated by Tancoal since 2011.

 The Ngaka basin comprises the Mbalawala sub-basin in the south and the Mbuyura-Mkapa sub-basin to the north. Tancoal indicates that the Ngaka basin has the potential to host up to 1b t of high quality thermal coal.

UAE to Strengthen Bilateral Relations with Tanzania




The United Arab Emirates (UAE) will strengthen its relations with Tanzania through the implementation of development projects in the country.

The announcement was made by Mohammed Al Suwaidi, Director General at the Abu Dhabi Fund for Development (ADFD), during a meeting with Tanzania’s President Magufuli in Dar es Salaam on October 27th, 2016.

In particular, the ADFD is interested in Tanzania’s mining and infrastructure development, including railways, roads, and aviation.

 During the meeting, Magufuli invited the Fund’s Director to invest in the construction of Tanzania’s standard gauge railway (SGR) along the central corridor, which is set to start in December 2016.

The 2,190km railway involves the construction of a SGR from Dar es Salaam-Tabora-Isaac-Mwanza, Tabora-Mpanda-Kalemela, Tabora-Kigoma, and Uvinza-Isaac-Keza-Msongati.

UAE Tanzania Relations UAE is among Tanzania’s top five import partners headed by China representing 12% of total imports, followed by Switzerland (8.8%), South Africa (8.5%), UAE (8.4%), and India (7.6%). The trade balance between UAE and Tanzania stands at around USD2b annually.


Tanzania imports mainly refined petroleum products from the UAE, while the UAE is the largest buyer of cloves from Tanzania

Morocco and Tanzania Sign MoUs for Economic Development



 Magufuli noted that the direct flights are expected to boost the exchange of tourists between the two countries.

Morocco is Africa’s top destination by international arrivals with 10m tourists in 2014.

 The signed MoUs are part of Morocco’s aim to establish relations of mutual benefit with African countries.
Morocco and Tanzania signed 21 Memorandums of Understanding (MoUs) for economic development in key sectors such as energy, mining, gas, aviation, agriculture, and tourism.

 The MoUs were signed in Dar es Salaam on October 24th, 2016 during the 3-day visit of King Mohammed VI of Morocco to Tanzania.

 Tanzania’s President Magufuli said that the bilateral agreements will contribute significantly to Tanzania’s industrialization. According to various media sources, the countries’ agreements include:

The launch of direct flights between Dar es Salaam and Rabat, Morocco’s capital. Development of logistical and railway corridors between Tanzania’s ports and industrial clusters.

 Strengthening the security cooperation between the countries, for which Tanzania will deploy about 150 uniform personnel to Morocco for an exchange program in 2017.

The establishment of mechanisms for political consultations between the countries’ ministries of foreign affairs.


 The construction of a large football ground in Dodoma. The construction of a state of the art mosque in Dar es Salaam.

Thursday, October 27, 2016

Egyptian company Eying Tanzania Energy Sector



Egypt’s Ambassador to Tanzania Yasser el Shawaf noted that his country would like to invest in Tanzania’s energy sector, particularly in electricity generation, to support the country’s industrialization.

The comments were made during a bilateral meeting with the Tanzanian Minister of Energy, Sospeter Muhongo, recently held in Dar es Salaam. During the meeting, Muhongo presented Tanzania’s investment opportunities in power generation using coal, wind, solar and natural gas.

He also explained that the Tanzanian Government will evaluate prospective investors on the basis of their capital capacity, expertise, and experience. The average electricity consumption per capita in Tanzania is 108kWh per year, compared to Sub-Saharan Africa’s average consumption of 550kWh per year.

 However, the demand for electricity in Tanzania is estimated to be growing at 10–15% per year, with currently only 24% of the total population having access to electricity.

For this, the Government of Tanzania plans to increase the country’s total installed capacity from the current 1,357.69MW to 4,436MW by 2020 with natural gas accounting for 40% of the generation mix (1,774MW).

The increase in the natural gas power plants installed capacity alone will require an investment of USD1.063b.


 Egypt’s Ambassador to Tanzania Yasser el Shawaf noted that his country would like to invest in Tanzania’s energy sector, particularly in electricity generation, to support the country’s industrialization. The comments were made during a bilateral meeting with the Tanzanian Minister of Energy, Sospeter Muhongo, recently held in Dar es Salaam. During the meeting, Muhongo presented Tanzania’s investment opportunities in power generation using coal, wind, solar and natural gas. He also explained that the Tanzanian Government will evaluate prospective investors on the basis of their capital capacity, expertise, and experience. The average electricity consumption per capita in Tanzania is 108kWh per year, compared to Sub-Saharan Africa’s average consumption of 550kWh per year. However, the demand for electricity in Tanzania is estimated to be growing at 10–15% per year, with currently only 24% of the total population having access to electricity. For this, the Government of Tanzania plans to increase the country’s total installed capacity from the current 1,357.69MW to 4,436MW by 2020 with natural gas accounting for 40% of the generation mix (1,774MW). The increase in the natural gas power plants installed capacity alone will require an investment of USD1.063b.

Read more at: http://tanzaniainvest.com/energy/egypt-energy-investment and follow us on www.twitter.com/tanzaniainvest 

China Company to Construct 96km Power Line from Kenya to Tanzania



Kenya recently signed a contract with the North China Power Engineering (NCPE) company for the construction of a 96km power line from Isinya in Kenya to the Namanga border with Tanzania.

This is part of the Kenya-Tanzania interconnector project, which involves the construction of about 510km transmission line from Kenya to Tanzania.

 “With a capacity to transfer 2,000MW in either direction, the interconnector will have positive impacts on the development of renewable sources of energy in Kenya and Tanzania because the interconnected system of both countries will result in a larger, more stable system,” the Kenya Electricity Transmission Company (KETRACO) indicates. On Kenya’s side, the project involves the construction of 96km of 400kV transmission line from Isinya to the Namanga border and an extension of the 400/220kV Isinya substation.

The Tanzanian part will involve the construction of a 414km 400kV transmission line from Namanga to Singida, construction of a 400kV Arusha substation, as well as an extension of the 220/33kV Singida substation. The construction is estimated to take 22 months at the total cost of approximately USD309m.

 The project is expected to result in a reduction of energy production costs of USD109.64m in both Tanzania and Kenya and improve power supply and trade in East Africa to 5,885.80GW-h by 2022, according to the project’s assessment from the African Development Bank (AfDB). As a result, a decrease in Tanzania’s average electricity tariff will be achieved in the same period, from USD0.14 per kW-h to USD0.09 per kW-h.

It will also support an increase in Tanzania’s GDP growth from the current 6.8% per annum to 10% per annum in 2022, the AfDB estimates.

Tuesday, October 25, 2016

Tanzania Save USD7.4b Thanks to Natural Gas Power Production




Since 2004, the Government of Tanzania saved USD7.4b from petroleum products importation used for electricity generation thanks to power production from recent natural gas discoveries. 

The announcement was made by Aristides Katto , Senior Research Officer at the Tanzania Petroleum Development Corporation (TPDC) during a recent news symposium on oil and gas in Bagamoyo.
Katto told local media that Tanzania’s vast natural gas discoveries also promote the development of its industrial sector.

A recent report by the Tanzanian Ministry of Energy and Minerals shows that the country’s installed capacity of gas fired power plants stood at 711MW in 2015, accounting for about half of the 1,516MW total installed capacity connected to the national grid.

 Furthermore, Tanzania’s installed capacity of gas fired power plants is projected to increase by 150%, from 711MW in 2015 to 1,774MW by 2020, which requires an investment of about USD1.063b.

Tanzania Natural Gas Tanzania has the second largest natural gas reserves in East Africa with 57 trillion cubic feet (tcf) so far discovered, behind Mozambique with 100 tcf according to the Energy Information Administration (EIA). According to the latest data, power generated from gas rose by 67%, from 566m kWh in Q2 2015 to 943m kWh in Q2 2016.

The Tanzania Petroleum Development Corporation (TPDC) estimates that the country’s gas fields are large enough to cover the domestic power requirements and make Tanzania the next natural gas hub in Africa.

Monday, October 24, 2016

China To Build Tanzania High Speed Railway By 2018




The Chinese Government has manifested its intention to start with the construction of a high speed railway in Tanzania by the year 2018, when it is expecting to finish the second one of its kind in Africa which is currently being developed in Kenya by China Communications Construction Company Limited (CCCC).

 As explained in a press conference in Beijing by Li Tie, Director General of the China Center for Urban Development (CCUD), a Chinese Governmental institution which carry out foreign aid projects, the new high speed railway in Tanzania would be part of the China’s One Belt One Road initiative (OBOR) launched in 2013.

The initiative which started last year with the construction of the second high speed railway in Kenya connecting coastal city Mombasa with its capital Nairobi, joins the list of high speed railways in Africa that started with the currently operating in Angola inaugurated early this year.

 Tanzania would therefore be the third country developing high speed railways in Africa as part of the OBOR to promote trade between the Sub-Saharan Region, Europe and Asia to strengthen partnerships among the countries along the Belt and Road. OBOR consists of two main components, the land-based “Silk Road Economic Belt” (SREB) and oceangoing “Maritime Silk Road” (MSR). SREB is expected to boost trade between China, Europe and Africa to over USD 2.5 trillion a year in a decade from now.

Currently the total trade between China and Africa is at USD 160.0 billion according to The Economist, with Tanzania representing about 1.0%, while with Europe it is at USD 466.1 billion according to Reuters.

Tanzania 10th FDI Destination in Africa by Project Numbers




In 2015, Tanzania increased its FDI project numbers by 25% to 20, ranking 10th place in Africa. The findings are included in the latest Africa Investment Report 2016 of the Financial Times (FT).

 The report examines Africa’s macroeconomic trends, top investing companies in Africa by capital and sector breakdown of FDI into Africa by project number. According to the report, the top 10 Africa Foreign Direct Investment (FDI) destinations by project numbers in 2015 were: South Africa with 118 projects, Kenya (85), Morocco (71), Egypt (59), Nigeria (51), Ghana (40), Mozambique (29), Ethiopia (27), Côte d’Ivoire (26), and Tanzania and Uganda with 20 projects each.
 Adrienne Klasa, Editor of This is Africa, comments: “While some larger economies are struggling – disproportionately dragging down regional averages – smaller players such as Côte d’Ivoire, Tanzania and Senegal are stable and growing at a steady clip.” The top 10 Africa FDI destinations by capital investment in 2015 were: Egypt with USD14.5b, Nigeria (USD8.6b), Mozambique (USD5.1b), South Africa (USD4.7b), Morocco (USD4.5b), Côte d’Ivoire (USD3.5b), Angola (USD2.7b), Kenya (USD2.4b), Senegal (USD1.9b), and Cameroon (USD1.8b).


The report notes that Western Europe was by far the top source region for capital investment in Africa with USD30.1b invested in 2015.

 Italy was the top investor by capital investment in Africa in 2015, with projects valued at USD7.4b. Despite China ranking 9th by capital investment and 7th by project numbers, it created 14,127 jobs across Africa in 2015.

In total, 495 companies invested in Africa in 2015, compared to 469 in 2014.

Africa Business Activity “Business services, sales, marketing and support, and manufacturing were the top three business activities for FDI projects into Africa in 2015,
” the report indicates. Financial services was the top sector by project numbers in Africa for 2015 with 118 projects. Coal, oil and natural gas ranked top for capital investment in 2015 with USD15.7b invested. Manufacturing has increased across the region at an average of 5% per year between 2011 and 2015, in line with the region’s drive to industrialize.

 Africa Investment Report 2016 is based on databases from Analyse Africa and fDi Intelligence, divisions of the Financial Times.


To download a digital copy of the report visit: www.thisisafricaonline.com For further information contact: AfricaInvestmentReport@ft.com

Tanzania Receive TZS97b Grant from China




The Government of Tanzania has received a TZS97b grant from China for further development of the country’s education, seaports, health and airline security.

The grant agreement was recently signed by Charles Mwijage, Tanzania’s Minister of Industry, Trade and Investment, Dorothy Mwanyika, Permanent Secretary at Tanzania’s Ministry of Finance, and Qian Keming, China’s Vice Minister for Commerce.

 Mwijage explained that the grant will help Tanzania to address its medical drugs shortage.
He added that China is also considering investing in the Tanzania Zambia Railway Authority (TAZARA) to support the country’s industrialization. He also said that Tanzania will facilitate the construction of 3 processing factories in the country’s coast region.

 One of the factories will be a tile plant where China is planning to invest USD100m. The tile factory is expected to produce 800,000 roofing tiles per day. It will also employ 1,500 Tanzanians directly and more than 3,000 indirectly.

 Keming said that China will continue to support Tanzania’s industrialization drive. China FDI to Tanzania Tanzania is China’s largest aid recipient country in Africa.

Tanzania accounted for 16.3% of China’s total FDI in Africa with USD4b in 2014, an increase of 100% from the total Chinese FDI recorded in the country at the end of 2013, according to the Chinese Embassy to Tanzania.

The largest Chinese-supported projects In Tanzania include: TAZARA, Friendship Textile Mill, Mubarali Rice Farm, Kiwira Coal Mine and Mahonda Sugar Cane Factory.

TEDGlobal 2017 to be Held in Arusha, Tanzania




The 2017 TEDGlobal Conference on exploring ideas, innovation and creativity, will take place in Arusha, Tanzania on August 27th–30th 2017.

The conference will gather technologists and entrepreneurs, business leaders and creatives to discuss the future of Africa and the world. TEDGlobal2017: Agenda

TEDGlobal2017: Agenda August 27th 2017: TEDGlobal 2017 kicks off with a cocktail reception, followed by an opening session of TED Talks. August 28th 2017:

A day of main stage TED Talks, as well as talks from TED Fellows, young game-changers from across Africa and the globe. August 29th 2017: Main stage TED Talks sessions and community workshops focused on ideas that matter plus outdoor activities in Arusha. August 30th 2016:

 Main stage TED Talks and community workshops will tackle the ideas of the week, while outdoor activities will connect attendees with Tanzania’s ecosystem.

TED TED (Technology, Entertainment, Design) is a global set of conferences run by the private nonprofit organization Sapling Foundation, under the slogan “Ideas Worth Spreading”.

 TED was founded in February 1984 as a one-off event and the annual conference series began in 1990.

TED’s early emphasis was technology and design but it has since broadened its focus to include talks on many scientific, cultural, and academic topics.

TEDGlobal The TEDGlobal Conference was held for the first time in Oxford, UK in 2005, then in Arusha, Tanzania in 2007, Oxford again in 2009 and 2010, Edinburgh, Scotland in 2011, 2012 and 2013, and Rio de Janeiro, Brazil in 2014. TED indicates:

“Ten years on, TEDGlobal returns to Africa. Since our 2007 conference in Arusha, Tanzania, the continent has experienced spectacular economic, demographic and creative growth, and has made exciting progress toward its rightful place in the world. Yet many African nations are beset by challenges. And the stakes have never been higher.


 As populations continue to surge, both opportunity and danger are rising. At TEDGlobal 2017, we’ll bring together an incredible group of speakers who can collectively help shape how this plays out.”

Tanzania to Export 100,000t of Maize to Zimbabwe




Tanzania recently signed a Memorandum of Understanding (MoU) with Zimbabwe for the export of 100,000t of maize in 2016–2017 at USD345 per ton.

Zimbabwe used to import maize from Zambia; however, the Government of Zambia banned maize exports earlier in 2016 due to low supplies of the crop.

According to Tanzania’s Ministry of Agriculture, the country’s production in 2016–2017 is expected to reach 6.3m t against a demand of 5.2m t.

Accordingly, Tanzania consumes 90% of its maize production and exports the rest mainly to Kenya (80%), as well as Somalia, Burundi, South Sudan, Rwanda and Uganda.

Tanzania’s maize production amounted to 6m t in 2015, compared to 4.7m t in 2010, representing an increase of 28%.


 To further increase maize productivity, Tanzania started its first trial for Genetically Modified Organism (GMO) maize, aimed at demonstrating whether the GMO crop can be effectively grown in the country.

Wednesday, October 5, 2016

CHINESE AVIATION COMPANY LAUNCHES AFRICAN AIRCRAFT TECHNICAL SUPPORT CENTER IN TANZANIA



Aviation Industry Corporation of China (AVIC) has launched a technical field aircraft support center that will provide services to Chinese civil aircraft operators in Africa from its base in Dar es Salaam.
The Chinese aviation company is also in discussions with the Air Tanzania Company Limited (ATCL) to establish a joint venture, provide its technical services and supply spare parts to them and to other local Tanzanian firms. 


According to Milton Lazaro, acting CEO of ATCL, the partnership between the ATCL and AVIC will result in expanded services.

“The alliance between ATCL and AVIC is aimed at enhancing domestic and regional air network within Tanzania and Africa as well as the whole world,” he said, “Through such cooperation, we are very sure that even the number of our aircraft is going to increase and we can expand services.


” The decision to establish an aviation center was reached in October 2014 when the two countries signed a Memorandum of Understanding (MoU) to strengthen cooperation and bilateral relations between the countries during a visit by Tanzanian President Jakaya Kikwete to China.

MICROFINANCE SECTOR TO DRIVE HOUSING GROWTH IN TANZANIA




There is an enormous potential for housing microfinance in Tanzania, the Centre for Affordable Housing Finance (CAHF) in Africa indicates in its latest report on Africa’s housing finance markets.
 CAHF attributes the potential to the fact that 41% of Tanzanians who borrow microloans plan to use them for housing construction or improvements.

Nonetheless, Tanzania’s mortgage market is among the smallest in the East African region. According to 2014 Findex, only 4.5% of the adults aged 15 years and above report having an outstanding loan to purchase a home. According to Bank of Tanzania (BOT), the mortgage market recorded an annual growth rate in mortgage loan balances of 45% in 2015.

As at June 30th 2016, total mortgage debt stood at USD219.75m and 3,627 mortgages, compared to December 31st 2015 where the mortgage debt stood at USD164m with 3,390 mortgages. The average loan size as at June 30th 2016 was USD60,586.93, an increase from December 31st 2015 when the average loan size was USD48 364.06.

Typical rates offered by lenders for mortgage products currently vary between 16% and 19%. Given affordability levels, the microfinance sector is especially important in addressing housing supply in Tanzania and is growing steadily.

 Tanzania Housing The demand for housing in Tanzania is estimated at 200,000 houses annually, which results in a current housing shortage of 3m houses. Alternative building materials are being explored as a way to deliver these houses on a rapid scale, according to CAHF.

 The Tanzanian housing demand has been boosted by easier access to mortgages, with the number of mortgage lenders in the market increasing from 3 in 2009 to 21 in 2015.

The average mortgage interest rate in Tanzania fell from 22% to 16% during the same period.

TELECOMS SECTOR REPORT TELECOMMUNICATIONS IN TANZANIA 2016-2017


Tanzania telecoms sector report telecommunications in tanzania include fixed and mobile voice services, Internet, television, and radio.

Executive Summary The telecom sector in Tanzania contributed 2.1% to the country’s GDP in 2014, with USD1b, compared to USD513m in 2009 (+100%).

 Tanzania’s National Bureau of Statistics (NBS) attributes the growth rate to an increase in airtime used by mobile phone customers and the expansion of broadcasting and internet services.

 In the past 5 years, mobile subscriptions rose by 89%, from 21m in 2010 to almost 40m in 2015 while landline subscriptions decreased by 22%, from 174,511 in 2010 to 142,819, with a teledensity of 79%.
 Internet services’ users in Tanzania reached 17.3m in 2015, compared to only 5.3m in 2011. Table of Contents Tanzania Telecoms History Tanzania Converged Licensing Framework (CLF) Tanzania Telecoms Performances Tanzania Voice Subscriptions Tanzania Mobile Voice Subscriptions Tanzania Landline Voice Subscriptions Tanzania Internet Services Tanzania Fibre Optic Cable Network Tanzania Mobile Internet Network: 4G/3G/2G Services Tanzania Telecom Inclusion Tanzania Mobile Sector Taxation TV Broadcasting Services in Tanzania Radio Broadcasting Services in Tanzania Tanzania Telecoms Outlook Tanzania Telecoms History Before 1993, the Tanzania Posts and Telecommunications Corporation (TPTC) held a monopoly in the provision of communications and was responsible for the regulation of this sector.

 In 1993, the Communications Act was enacted as part of the government’s move to liberalize the communications sector in the country. Since then, the TPTC was split into 3 different entities: the Tanzania Posts Corporation (TPC), the Tanzania Telecommunications Company Limited (TTCL) and the Tanzania Communication Commission (TCC).

 Additionally, the Tanzania Broadcasting Commission (TBC) was established with Tanzania’s Broadcasting Act of 1993.

The main functions of TBC were: issuing broadcasting licenses, regulating and supervising broadcasting activities and maintaining a register of all broadcasters.

To foster convergence of technology and services, TCC and TBC were merged in 2003, to form the Tanzania Communications Regulatory Authority (TCRA).


TCRA regulates telecommunications, broadcasting and postal matters in Tanzania, promotes effective competition and economic efficiency, protects the interests of consumers, regulates rates and tariffs, and monitors the performance of the sector. 

TCRA approved in 2005 a new Converged Licensing Framework (CLF), a pioneering move in the African continent, which allows operators to offer any type of services with the technology of their choice with one single license.
 Today, the Information and Communication Technologies (ICTs) sector in Tanzania is completely liberalized and competition has grown in mobile cellular services, internet and data communications services.
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