Government targets major expansion of telecom facilities in new budget

Business Reporter

Mwananchi Communications Ltd

Dar es Salaam. Tanzania is targeting a major expansion of its telecommunications infrastructure, particularly in rural and commercially less attractive areas, to improve access to mobile and radio communication services.

The initiative is among key priorities in the government’s Sh222.6 billion budget for the Ministry of Communication and Information Technology for the 2026/27 financial year.

Presenting the budget in Parliament yesterday, the minister for Communication and Information Technology, Angellah Kairuki, said 94.1 percent of the allocation will be directed towards development expenditure.

“The government is prioritising strategic investments in ICT infrastructure to ensure inclusive connectivity and strengthen the digital economy,” she told lawmakers.

Tanzania Communications Regulatory Authority (TCRA) data up to December 2025 shows continued expansion of communication networks.

Population coverage stands at 98.6 percent for 2G, 93.9 percent for 3G, 94.2 percent for 4G, and 30.1 percent for 5G services.

In terms of geographical coverage, 2G services cover 79.5 percent of the country’s land area, 3G covers 76.2 percent, 4G covers 77.3 percent, while 5G stands at 10.5 percent.

Ms Kairuki said the budget will also support the development of a national digital addressing system to improve service delivery and urban planning.

It will further continue coordination of the cubesat educational satellite project and broader space technology programmes aimed at building local expertise.

Other planned interventions include expansion of e-commerce systems, strengthening cybersecurity frameworks, and supporting ICT start-ups and innovation ecosystems.

She also said it will strengthen oversight of regulatory bodies and service providers, while investing in skills development for emerging technologies.

Of the total budget, Sh209.4 billion is allocated for development expenditure, while Sh13.1 billion will cater for recurrent costs, including salaries and operations.

Parliamentary committee on Infrastructure has urged the government to strengthen oversight of institutions under the ministry to improve efficiency and reduce reliance on central government funding.

Committee chairperson, Moshi Kakoso, said ICT institutions should strengthen revenue collection and ensure value for money in project implementation.

“The government should ensure timely disbursement of development funds and closely monitor strategic projects to guarantee completion,” he said.

The committee also called for finalisation of the ICT Bill, 2026, saying it would enhance innovation, job creation and cybersecurity governance.

On digital security, lawmakers recommended recognising TCRA as a strategic national institution and strengthening efforts to combat cybercrime in areas including Dar es Salaam, Morogoro, Mbeya and Rukwa.

They also urged faster expansion of the National ICT Backbone, including cross-border connectivity with the Democratic Republic of Congo, and recommended linking all districts to improve service delivery.

Additionally, the committee proposed a Sh100 billion investment to upgrade the National Data Centre and establish new facilities in Dodoma and Zanzibar to strengthen digital resilience and efficiency.