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Tanzania’s pledge to diplomats on stability, investment reforms

Kombo pic

Foreign Affairs and East African Cooperation minister Mahmoud Thabit Kombo addresses foreign diplomats at the Julius Nyerere International Convention Centre in Dar es Salaam on November 13, 2024. PHOTO | COURTESY

What you need to know:

  • Foreign Affairs minister Mahmoud Thabit Kombo said during his meeting with diplomats in Dar es Salaam on Wednesday that the Presidential Commission on Tax Reforms has taken note of complaints related to taxation

Dar es Salaam. Tanzania on Wednesday sought to reassure foreign diplomats of political stability, a just taxation system and conducive investment environment, saying President Samia Suluhu Hassan’s government is working to further improve the situation.

The assurance by Foreign Affairs and East African Cooperation minister Mahmoud Thabit Kombo, comes as the country is preparing for local government elections, whose run-up has been marred by complaints about mass disqualification of opposition candidates.

Opposition parties, particularly Chadema and ACT-Wazalendo, have charged that the disqualifications are in flagrant violation of the relevant electoral rules, with the former saying the elections scheduled for November 27 have already been compromised.

The ruling CCM on Tuesday responded by urging the government to ignore “minor” errors in candidates’ nomination forms for the sake of inclusivity and fairness.

The controversy comes hot on the heels of concerns among some diplomats about the way Tanzania handles tax matters.

The ambassadors of the UK, the US, Netherlands, Ireland, France, Belgium, Canada, South Korea, Sweden and Germany said in a letter to the Foreign Affairs and East African Cooperation ministry earlier in the year that investors from those countries were being subjected to multiple audits by the Tanzania Revenue Authority (TRA).

Mr Kombo said during his meeting with diplomats in Dar es Salaam on Wednesday that the Presidential Commission on Tax Reforms has taken note of complaints related to taxation.

“As you may be aware, the commission has been tasked with thoroughly reviewing tax policies and administrative procedures and is working closely with stakeholders to propose key reforms in the tax system,” he said.

Mr Kombo asked diplomats to be patient and emphasised the need for collaboration with the relevant authorities.

“I’m asking you to be patient and work closely with the authorities who have received your submissions and are ready to receive any future submissions. We have invited these authorities to join us today," he added.

Mr Kombo said the Tanzania Investment Centre and TRA recently organised a successful meeting with foreign investors.

“I believe that the meeting held in October in Dar es Salaam was a valuable opportunity for meaningful dialogue. It provided a platform for addressing your concerns and working towards collective solutions. This is a clear testament to our government’s concerted efforts to resolve challenges faced by both domestic and foreign investors.”

Mr Kombo asked diplomats to engage the authorities directly instead of airing their complaints on social media.

“I’m asking you to closely work with us on these matters instead of rushing to social media and other public forums,” he said.

The minister also assured diplomats that the outcome of last month’s meeting would contribute significantly to the work of the Presidential Commission on Tax Reforms.

“Let me take this opportunity assure you that the report from the conference will comprise important input for the commission. The President is fully committed to these reforms and has on numerous occasions reiterated her support for the private sector and businesses in general,” Mr Kombo said.

On the political situation in the country, he said Tanzania has consistently been a stable nation and will continue to prioritise stability in the run-up to, during and after the forthcoming  electoral processes.

“Tanzania has been and will continue to remain a stable nation focused on upholding governance principles, civil rights and democratic processes.”

Mr Kombo also pointed to President Samia Suluhu Hassan’s 4Rs philosophy—Reconciliation, Resilience, Reforms and Rebuilding—as central to the nation’s democratic and governance agenda.

“This philosophy is central to our approach towards democracy and good governance.”

As Tanzanians prepare to vote in the November 27 local government elections and 2025 General Election, Mr Kombo reassured the diplomatic community that the electoral processes will be “free, fair, open, inclusive, transparent and credible”.

“I can assure you that the elections will not disrupt the existing peace and stability and the economic, social and political climate,” he said.