Dar es Salaam. Tanzania Investment Centre (TIC) has registered 409 investment projects between January and June 2024 worth $3.09 billion, including 385 new ventures and 24 others flagged for expansion.
Registered projects are part of 1,000 investment projects targeted for 2024 worth $5 billion in foreign investment and $3.5 billion in domestic investment.
The TIC target is 293 more compared to projects achieved in the 2023/24 financial year ending in June 30th, 2024.
Data from TIC shows that the leading sector in attracting capital through investment projects between January and June 2024 was manufacturing, which registered 196 projects worth $1.42 billion.
The number of projects and their respective capital in brackets are transportation, with 68 projects ($570.55 million), 45 commercial building projects ($501.9 million), 40 tourism projects ($225.44 million), five human resource, health, and education projects valued at $123.8 million, and seven energy investment projects ($80 million).
Of the total registered investment projects, 165 belong to Tanzanians, 185 to foreigners, and 59 are joint venture projects between local investors and foreigners.
TIC executive director, Mr Gilead Teri, exclusively told The Citizen that apart from targeting to increase registration of domestic investment projects, the centre has invested to transform Tanzanians mindsets about investment.
“Through the ongoing National Investment Promotion Campaign, TIC is educating Tanzanians on the need to change their perceptions and attitudes about investment and equally start grabbing investment opportunities like foreign investors,” he said.
He said the campaign aims at stimulating and growing citizens’ enthusiasm and starting to collaborate with key investment stakeholders in achieving their investment goals. In conducting the two-phase campaign, TIC is in collaboration with the CRDB Bank, the Tanzania Chamber of Commerce Industry and Agriculture (TCCIA), and the Tanzania Women Chamber of Commerce (TWCC).
The first phase targeted 17 regions, including Mwanza, Geita, Shinyanga, Tabora, Singida, Manyara, Arusha, Kilimanjaro, Tanga, Pwani, Morogoro, Dodoma, Iringa, Njombe, Mbeya, Songwe, and Mtwara.
The Kagera, Mara, Simiyu, Lindi, Ruvuma, Rukwa, Katavi, and Kigoma regions will be reached in its second phase.
It will be extended to the Unguja and Pemba islands in collaboration with the Zanzibar Investment Promotion Authority (Zipa).
During the first phase, interests have been drawn in agriculture, fishing, livestock farming, mining, mineral processing, pharmaceuticals and medical equipment manufacturing, fish, and agro-processing.
“Tanzanians have been attracted to benefit from tax and non-tax incentives provided by the government through TIC to reduce investment capital for their projects,” said Mr Teri.
Furthermore, Mr Teri said the government has reduced the minimum investment capital from $100,000 to $50,000 under the Investment Act 2022.
Speaking on the TIC support, Jitegemee Holding’s mining manager, Mr Bosco Mabena, said the coal mine located in Mbinga District, Ruvuma Region, got fiscal incentives to facilitate effective implementation of the project, particularly import duty relief at a tune of 75 percent and the Value Added Tax (VAT) deferment.
This has enabled the mine to import machinery and trucks as the company strives to meet domestic and regional demands, especially among East African countries, including Kenya, Uganda, Rwanda, Burundi, and the Democratic Republic of the Congo (DRC), according to him.
Mr Omary Msigwa, alias Super Feo, has partnered with a Chinese investor in mobilising $2 million (about Sh5 billion) in capital for the establishment of a milling factory with 100 tonnes per day capacity.
The factory targets both the domestic market and East African countries, including Rwanda, Burundi, and the Democratic Republic of the Congo (DRC).
“The project was registered with TIC in 2020 and significantly benefited from tax exemption for imports of milling equipment, therefore increasing the company’s capital,” he said.
Lindi District Commissioner Shaibu Ndemanga urged Tanzanians to actively take advantage of an improved investment environment, highlighting the importance of domestic investment for the country’s economic liberation and attracting foreign investment.
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Tanzania: Exim to Raise Fund for Mental Health Facilities Upgrades
EXIM Bank to raise 300m/- over the next three years for financing essential services and infrastructure upgrades in mental health facilities.
The bank’s Head of Marketing and Communications Stanley Kafu unveiled this when introducing Exim Bima Festival 2024 as a platform for bringing together individuals, organisations and various sectors for raising the funds.
“Exim’s initiative aligns with the government’s broader goals to ensure that every citizen has access to quality healthcare, including mental health services,” he said.
The initiative, which is one of the events for celebrating the bank’s 27th anniversary is scheduled for Wednesday this week in Dar es Salaam.
Mr Kafu highlights that this year’s festival is not only about raising awareness of the importance of insurance in the society but also focuses on enhancing access to mental health services and improving the overall well-being of the nation.
Statistics from the Ministry of Health shows a staggering 82 per cent increase in mental health cases over the past decade.
Mental cases have risen from 386,358 in 2012 to 2,102,726 in 2021, making the need for mental health services more urgent than ever.
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Unfortunately, the country’s ability to address this growing challenge is hindered by a shortage of mental health professionals, infrastructure, medical equipment and essential medication.
For example, out of the 28 regions in the country, only five have facilities that provide adequate mental health services.
The most affected group is the youth aged 15 to 39, who represent the nation’s workforce, underscoring the need for intensified efforts to safeguard this generation for Tanzania’s future well-being and development.
Mr Kafu said by improving mental health services, Exim aims to contribute to the creation of a network of communities that can access care quickly and affordably.
Exim Insurance Department Manager Tike Mwakyoma said they are appreciating the support from partners in the insurance industry, who have stood by them since the last festival.
“Let’s continue this unity for the development of all Tanzanians and our nation as a whole,” the manager said.
Source: allafrica.com
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Air Tanzania Banned From EU Airspace Due to Safety Concerns
Several airports have since locked Air Tanzania, dealing a severe blow to the Tanzanian national carrier that must now work overtime to regain its certification or go the wet lease way
The European Commission has announced the inclusion of Air Tanzania on the EU Air Safety List, effectively banning the airline from operating in European airspace.
The decision, made public on December 16, 2024, is based on safety concerns identified by the European Union Aviation Safety Agency (EASA), which also led to the denial of Air Tanzania’s application for a Third Country Operator (TCO) authorisation.
The Commission did not go into the specifics of the safety infringement but industry experts suggest it is possible that the airline could have flown its Airbus A220 well past its scheduled major checks, thus violating the airworthiness directives.
“The decision to include Air Tanzania in the EU Air Safety List underscores our unwavering commitment to ensuring the highest safety standards for passengers in Europe and worldwide,” said Apostolos Tzitzikostas, EU Commissioner for Sustainable Transport and Tourism.
“We strongly urge Air Tanzania to take swift and decisive action to address these safety issues. I have offered the Commission’s assistance to the Tanzanian authorities in enhancing Air Tanzania’s safety performance and achieving full compliance with international aviation standards.”
Air Tanzania has a mixed fleet of modern aircraft types including Boeing 787s, 737 Max jets, and Airbus A220s.
It has been flying the B787 Dreamliner to European destinations like Frankfurt in Germany and Athens in Greece and was looking to add London to its growing list with the A220.
But the ban not only scuppers the London dream but also has seen immediate ripple effect, with several airports – including regional like Kigali and continental – locking out Air Tanzania.
Tanzania operates KLM alongside the national carrier.
The European Commission said Air Tanzania may be permitted to exercise traffic rights by using wet-leased aircraft of an air carrier which is not subject to an operating ban, provided that the relevant safety standards are complied with.
A wet lease is where an airline pays to use an aircraft with a crew, fuel, and insurance all provided by the leasing company at a fee.
Two more to the list
The EU Air Safety List, maintained to ensure passenger safety, is updated periodically based on recommendations from the EU Air Safety Committee.
The latest revision, which followed a meeting of aviation safety experts in Brussels from November 19 to 21, 2024, now includes 129 airlines.
Of these, 100 are certified in 15 states where aviation oversight is deemed insufficient, and 29 are individual airlines with significant safety deficiencies.
Alongside Air Tanzania, other banned carriers include Air Zimbabwe (Zimbabwe), Avior Airlines (Venezuela), and Iran Aseman Airlines (Iran).
Commenting on the broader implications of the list, Tzitzikostas stated, “Our priority remains the safety of every traveler who relies on air transport. We urge all affected airlines to take these bans seriously and work collaboratively with international bodies to resolve the identified issues.”
In a positive development, Pakistan International Airlines (PIA) has been cleared to resume operations in the EU following a four-year suspension. The ban, which began in 2020, was lifted after substantial improvements in safety performance and oversight by PIA and the Pakistan Civil Aviation Authority (PCAA).
“Since the TCO Authorisation was suspended, PIA and PCAA have made remarkable progress in enhancing safety standards,” noted Tzitzikostas. “This demonstrates that safety issues can be resolved through determination and cooperation.”
Another Pakistani airline, Airblue Limited, has also received EASA’s TCO authorisation.
Decisions to include or exclude airlines from the EU Air Safety List are based on rigorous evaluations of international safety standards, particularly those established by the International Civil Aviation Organization (ICAO).
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The process involves thorough review and consultation among EU Member State aviation safety experts, with oversight from the European Commission and support from EASA.
“Where an airline currently on the list believes it complies with the required safety standards, it can request a reassessment,” explained Tzitzikostas. “Our goal is not to penalize but to ensure safety compliance globally.”
Airlines listed on the EU Air Safety List face significant challenges to their international operations, as the bans highlight shortcomings in safety oversight by their home regulatory authorities.
For Air Tanzania, this inclusion signals an urgent need for reform within Tanzania’s aviation sector to address these deficiencies and align with global standards.
The path forward will require immediate and sustained efforts to rectify safety concerns and regain access to one of the world’s most critical aviation markets.
Source: allafrica.com
