Tanzania: Govt says drafting unified Local Content Policy to boost citizens’ participation in economy

Dar es Salaam. The government has announced that it is in the process of developing a unified Local Content Policy aimed at increasing Tanzanian participation across multiple economic sectors to strengthen the national economy.

Once finalised, the policy will provide a framework to enable Tanzanians to play a larger role in both public and private sector activities.

Currently, Tanzania does not have a unified Local Content Policy but rather sector-wise local content regulations.

Examples include the Petroleum (Local Content) Regulations of 2017. Speaking at the National Business Council (TNBC) Business Environment Committee meeting in Dar es Salaam, Permanent Secretary in the Prime Minister's Office [Policy, Parliament, and Coordination], Dr Jim Yonazi, highlighted the need for a national policy to broaden opportunities for Tanzanians in economic development.

“The goals of this policy include enhancing the participation of Tanzanians and Tanzanian institutions in various economic activities, as recommended by stakeholders,” said Dr Yonazi, who also serves as the Chairman of the TNBC’s task force.

He noted that the policy would help create a competitive business environment for Tanzanians and enable government operations to be digitalised through the Government Online Authority (e-GA), improving efficiency and accessibility.

“The introduction of this national policy will contribute towards a better business environment in Tanzania,” Dr Yonazi added.

The committee's recommendations align with directives from TNBC Chairperson, President Samia Suluhu Hassan, following a meeting at State House earlier this year.

TNBC Executive Secretary, Mr Godwill Wanga, emphasised that the policy aims to create a business-friendly environment to give local businesses a competitive edge in both domestic and international markets.

“This is a major step towards bringing together economic stakeholders to participate in building the national economy,” Mr Wanga said.

Meeting participants noted that the policy would support Tanzanians’ involvement in economic activities, formalise the informal sector, and reduce operational conflicts and multiple fees imposed by various government agencies, which have previously discouraged business growth.

A participant from the tourism sector, Henry Kimambo, expressed optimism that the policy would address such challenges.

Women Entrepreneurs Chamber Chairperson, Ms Mercy Sila, commended TNBC for fostering collaboration between the private and public sectors in draughting the policy, which she believes will create an enabling environment for Tanzanians, especially women and people with disabilities, to conduct business.

“This will provide special groups with better opportunities to engage in economic activities,” Mrs Sila said.

Private sector co-chair Vicent Minja praised the inclusive approach taken in developing the policy, underscoring its responsiveness to stakeholders' needs.