Arusha. Tanzania Investment Centre (TIC) will launch a one-stop investment centre here in July as part of efforts to eliminate bureaucracy in facilitating investments in the country.
The Minister of State in the President’s Office (Planning and Investment), Prof Kitila Mkumbo, said during an investment conference in the tourism sector here yesterday that the move would also boost Tanzania’s economy.
The investment conference went under the theme “Exploiting Investment Opportunities After Tanzania: The Royal Tour Programme.”
Prof Mkumbo was responding to the Arusha Regional Commissioner, Mr Paul Makonda’s, request for the possibility of setting up a one-stop center for investment in Arusha to facilitate service provision to investors.
Responding to the request, Prof Mkumbo said that the matter was within his capacity and directed the Permanent Secretary in the Ministry to follow through on the matter.
“This matter regarding TIC is within my capacity. As such, as soon as we complete the ongoing parliamentary budget session, we will come to Arusha to set up the centre,” he said.
He said the tourism sector is a cross-cutting one and has significant contributions to the national economy.
He said tourists and investors consider several factors, including peace, stability, and security, infrastructure, effective strategies for promoting tourist attractions, the presence of accommodation facilities, attractive investment policies and regulations, as well as good international relations, before coming to a country.
In his remarks at the conference, Mr Makonda also said they have put in place strategies to ensure that Arusha city is well-lit and has cameras installed everywhere. The installation of more than 200 street lights is underway. He requested improvements in infrastructure, especially roads, to attract more tourists.
According to the Minister for Natural Resources and Tourism, Ms Angela Kairuki, there were many investment opportunities in Arusha, especially in the tourism value chain.
She said the government will continue to create a conducive environment to increase the number of domestic and international tourists, surpassing the target of five million tourists by next year.
“We need to improve services in the tourism value chain,” she said.
Speaking about opportunities for investment, the Treasury Registrar, Nehemiah Mchechu, said it was important for members of the public and private sectors to join forces and invest in the tourism sector.
He said that though Tanzania’s tourism sector has great potential and is performing well, it has not yet been fully utilised.
The TIC Executive Director, Mr Gilead Teri, said the aim of the meeting was to discuss with stakeholders in the sector the challenges and opportunities, including educating tourism stakeholders about the benefits available in tourist attractions through TIC and helping Tanzanians to invest.
He mentioned that Tanzanians now have the opportunity to invest, as many taxes have been exempted or reduced, making it feasible for Tanzanians to engage and invest in this crucial sector.
He stated that the government has halved the investment threshold required for Tanzanians to be recognized by TIC, thus facilitating broader participation and ownership in the sector.
Share this news
This Year's Most Read News Stories
Britam half-year net profit hits Sh2bn on higher investment income
Insurer and financial services provider Britam posted a 22.5 percent jump in net earnings for the half-year ended June 2024, to Sh2 billion, buoyed by increased investment income.
The rise in half-year net profit from Sh1.64 billion posted in a similar period last year came on the back of net investment income rising 2.5 times to Sh13.27 billion from Sh5.3 billion.
“We are confident in the growth and performance trend that Britam has achieved, supported by its subsidiaries in Kenya and the region. Our business is expanding its revenue base while effectively managing costs,” Britam Chief Executive Officer Tom Gitogo said.
“Our customer-centric approach is fueling growth in our customer base and product uptake, particularly through micro-insurance, partnerships, and digital channels.”
The investment income growth was fueled by interest and dividend income rising 34 percent to Sh9.1 billion, which the insurer attributed to growth in revenue and the gains from the realignment of the group’s investment portfolio.
Britam also booked a Sh3.79 billion gain on financial assets at a fair value, compared with a Sh1.8 billion loss posted in a similar period last year.
The increased investment income helped offset the 12.7 percent decline in net insurance service result to Sh2.13 billion in the wake of claims paid out rising at a faster pace than that of premiums received.
Britam said insurance revenue, which is money from written premiums, increased to Sh17.8 billion from Sh16.6 billion, primarily driven by growth in the Kenya insurance business and regional general insurance businesses, which contributed 30 percent of the revenue.
The group has a presence in seven countries in Africa namely Kenya, Uganda, Tanzania, Rwanda, South Sudan, Mozambique, and Malawi.
Britam’s insurance service expense hit Sh13.6 billion from Sh11.3 billion, while net insurance finance expenses rose 2.6 times to Sh12.3 billion during the same period.
“Net insurance finance expenses increased mainly due to growth in interest cost for the deposit administration business driven by better investment performance. This has also been impacted by a decline in the yield curve, which has led to an increase in the insurance contract liabilities. The increase has been offset by a matching increase in fair value gain on assets,” said Britam.
Britam’s growth in profit is in line with that of other Nairobi Securities Exchange-listed insurers, which have seen a rise in profits.
Jubilee Holdings net profit in the six months increased by 22.7 percent to Sh2.5 billion on increased income from insurance, helping the insurer maintain Sh2 per share interim dividend.
CIC Insurance Group posted a 0.64 percent rise in net profit to Sh709.99 million in the same period as net earnings of Liberty Kenya nearly tripled to Sh632 million from Sh213 million, while Sanlam Kenya emerged from a loss to post a Sh282.2 million net profit.
Ali Hassan Mwinyi, Former President of Tanzania, Dies at 98
Ali Hassan Mwinyi, a schoolteacher turned politician who led Tanzania as its second post-independence president and helped dismantle the doctrinaire socialism of his predecessor, Julius K. Nyerere, died on Thursday in Dar es Salaam, the country’s former capital. He was 98.Continue Reading
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).
Sign up for free AllAfrica Newsletters
Get the latest in African news delivered straight to your inbox
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
