Executive director of the Public Private Partnership Centre (PPPC) David Kafulila speaks during a recent press conference. PHOTO | COURTESY
Dar es Salaam. Tanzania must focus on four strategic pillars to build a resilient and competitive economy, according to Mr David Kafulila, executive director of the Public Private Partnership Centre (PPPC).
Speaking in a recent interview, Mr Kafulila said the country’s path to economic transformation lies in investing in human capital, harnessing natural resources sustainably, leveraging its geographical position, and strengthening foreign economic diplomacy.
He underscored the importance of prioritising human resources, arguing that global competitiveness today hinges more on a skilled and healthy population than on the abundance of natural resources.
“Technology now outweighs minerals in value, and it is human capital that drives innovation. Education and health are not just social services—they are investments in people, who in turn power national development,” he said.
Mr Kafulila noted that while much emphasis has been placed on improving health and education, these efforts must align with the broader goal of nurturing productive and innovative citizens.
“All interventions must aim to equip the country with the best talent for both economic and social advancement,” he said.
He identified the second strategic pillar as the protection and efficient use of the country’s vast natural resources—including minerals, land, rivers, and lakes—ensuring that Tanzanians benefit meaningfully from them.
“It’s not just about extraction; we need to attract capital, technology, and management expertise to add value and maximise benefits. Rather than exporting raw materials, we must build local processing capacity,” he said.
Mr Kafulila warned that water, like minerals and gas, must be safeguarded, citing scientists’ projections that future conflicts may stem from competition over access to fresh water.
He said Tanzania must convert its natural endowments into long-term national wealth through smart and efficient utilisation strategies.
The third focus area is Tanzania’s strategic geography, noting that as the African country bordering the highest number of landlocked neighbours, Tanzania holds a unique position that must be turned into an economic advantage.
“This country makes up more than half of East Africa and has a coastline with ports that serve many inland countries. Therefore, our infrastructure—ports, roads, railways, airports, and aviation—must be robust and reliable,” he said.
He cited studies showing that Africa’s infrastructure gap limits trade and development, emphasising that without urgent action, Tanzania’s current infrastructure would meet only 30 percent of projected demand by 2050.
“To support future prosperity, we need significant investment in infrastructure that will facilitate both domestic growth and regional integration,” he said, citing diplomacy as the fourth pillar.
According to him, Tanzania has a long tradition of diplomatic engagement, and the sixth-phase government has reinforced this by launching a new foreign policy geared towards economic interests.
“As we strengthen our domestic foundations, we must stay globally connected. Our economy must open up and become more competitive,” he said. He noted that more than 80 percent of global trade is conducted via oceans, making Tanzania’s ports a crucial regional and international gateway. Mr Kafulila said investments over the past three decades in transport infrastructure have enhanced Tanzania’s regional position, benefiting neighbouring landlocked countries reliant on its ports.
In a related development, Mr Kafulila sounded a warning over the country’s rapid population growth, which he said is putting pressure on public services and the economy.
While some argue that a larger population can stimulate economic growth, Mr Kafulila stressed that this only holds if the population is healthy, educated, and productive.
“Without adequate health and education, people cannot effectively participate in wealth creation. Instead, they risk becoming a burden on the economy,” he said.
He noted that Tanzania’s population is growing at nearly three percent annually—well above the African average of 2.5 percent and global average of one percent.
“With limited capacity to provide quality services, this rapid growth threatens to outpace our development efforts. If left unaddressed, it will undermine efforts to build a skilled and competitive workforce,” he insisted.
Mr Kafulila called for urgent attention to population management as a core element of economic planning.
“To build a resilient and vibrant economy, managing population growth must be a national priority. Failure to do so will deepen existing social and economic challenges,” he said.
