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AICC to launch new drive to improve its business fortunes

What you need to know:

  • The drive aims to make the state-owned facility operate as a business entity to generate enough revenues that will make it profitable.

Arusha. Finally, the Arusha International Conference Centre (AICC) is gearing up for projects expected to turn around its fortunes in convention tourism.

The drive aims to make the state-owned facility operate as a business entity to generate enough revenues that will make it profitable.

Already, new public address systems have been installed at some of its conference halls as renovations are planned at its landmark office block.

This was announced here on Saturday by the recently appointed managing director Ephraim Mafuru when speaking to a battery of journalists.

He said the 45-year-old facility was in dire need of major renovations to match with the changing technologies and business environment.

He cited the elevators currently in use at its three winged block which he said have been outdated by the technologies and have to be replaced.

"You can't find these elevators anywhere in the world! They are outdated because the technology used in those days is obsolete,” he said.

Mr Mafuru was responding to questions from the reporters when asked how the convention centre would meet its business goals with some dilapidated structures.

He acknowledged the challenges facing the centre which was constructed in the 1970s as the headquarters of the former East African Community (EAC).

It was later taken over by the government of Tanzania and converted into a convention centre as well as an office block for different public institutions.

Mr Mafuru said the reforms he is initiating aim to make AICC run as a business entity to solidify its financial performance and profitability.

However, he said major investment projects mulled years ago could have been put on hold due to limited financial resources from the organisation's kitty.

Others like the proposed construction of the Mt. Kilimanjaro International Convention Centre (MK-ICC) has to await a nod from the higher authorities.

The massive multi-million dollar project, mulled way back in 2008, has stalled despite a 23 acre plot secured for the purpose at Themi area.

MK-ICC, designed at the height of tourism business in the country, was estimated to cost a whopping $ 206 million and was to have shopping malls, a hotel and eating joints.

Mr Mafuru, however, insisted that major investment projects have to be implemented in collaboration with the private sector within the public private partnership (PPP).

Another stalled project is construction of a shopping mall in the Soweto area which AICC planned to undertake with the disbanded Local Authorities Pension Fund (LAPF).

"Since the pension fund we were to partner with is no longer there, we are looking at it afresh,” he said, noting that he was still optimistic on it.

The stalled project at Soweto has been criticised because it was preceded by demolition of rented residential houses owned by the centre, hence loss of some revenues.

AICC, which operates as a parastatal under the Foreign Affairs and East African Cooperation ministry, also manages the Julius Nyerere International Convention Centre (JNICC) in Dar es Salaam.