Development Projects Cost up 0.65% to $6.1 Billion in 2024 in Tanzania

Eastern African countries have increased investment in infrastructure projects in the past five years with Tanzania leading in terms of the value and number of projects that broke ground by June last year.

And now the Tanzanian government plans to spend Tsh.15.3 trillion ($6.1 billion) in the coming 2024/25 fiscal year on development projects and programmes.

The rate is higher than the Tsh.15.2 trillion ($6 billion) budgeted for 2023/24.

Total recurrent expenditure will rise to Tsh.32.1 trillion in 2024/25, up from Tsh. 29.23 trillion in 2023/24.

This is partly due to preparations for 2024 local government polls and the 2025 general election.

Debt repayment has been set at Tsh.12.1 trillion, and salaries for civil servants will cost taxpayers Tsh.11.7 trillion.

Some of the ongoing mega projects in Tanzania are;

Bagamoyo Port ($11bn)

Through a collaboration between Tanzania, China and Oman, the ambitious Bagamoyo port is now being developed in Tanzania, along with 190 industries built throughout a 1,700-hectare special economic zone adjacent to the port.

At a cost of US $11bn, this mega infrastructure project is designed to become Africa’s largest port.The port should be able to handle 20 million containers annually once it’s fully completed by 2045. The project will position Tanzania into a regional economic powerhouse.

East African Crude Oil Pipeline (EACOP)

The East African Crude Oil Pipeline (EACOP), also known as the Uganda–Tanzania Crude Oil Pipeline (UTCOP), is a 24-diameter pipeline under construction between Uganda and Tanzania.

The pipeline, with a planned capacity of 216,000 barrels of crude oil per day, starts in Buseruka sub-county, Hoima District, in Uganda’s Western Region and in a general south-easterly direction to pass through Rakai District in Uganda, Bukoba in Tanzania, loop around the southern shores of Lake Victoria, continue through Shinyanga and Singida, to end in Tanga, a distance of approximately 1,410 kilometers.

Tanzanian SGR

Tanzania will become the third country in East Africa to enjoy modern railway services after Kenya and Ethiopia. Kenya was the first country in the region to start the construction of an SGR line, completing over 500km between Mombasa and Nairobi, and also inaugurating its passenger services in June 2017.

The Government is constructing a new electric railway line using domestic resources from Dar es Salaam – Morogoro – Dodoma about 700 Km. The whole project covers a distance of about 2,707 Km, with three branches from Dar es Salaam – Tabora-Kigoma (1,251 kms); Tabora – Mwanza (379 kms) and Kaliua – Mpanda (210 kms).

November 7, 2023

532 2 minutes read

Lawrence Baraza

Lawrence Baraza is a dynamic journalist currently overseeing content at Metropol TV Digital. With a keen focus on business news and analytics, Lawrence guides the platform in delivering insightful, data-driven content that empowers its audience to make informed decisions. Lawrence’s commitment to quality and his ability to anticipate market trends make him a key figure in the digital media landscape. His work continues to shape the way business news is consumed, making a significant impact in the field.