Dar es Salaam, June 2025 – Sound structural and operational reforms across Tanzania’s state-owned enterprises (SoEs) are paying off handsomely. This fiscal year, the government has seen a sharp rise in both dividends and statutory contributions, with the Tanzania Ports Authority (TPA) emerging as the top contributor among public entities required to remit 15% of their gross income.
TPA's Turnaround: A Benchmark in Efficiency
TPA's contribution climbed by nearly 19%, reaching TSh 181.5 billion, up from TSh 153 billion in the previous year. According to Treasury Registrar Nehemia Mchechu, this increase is the result of major infrastructure upgrades and a strategic reduction in operational costs — savings of over half a trillion shillings.
This transformation has been driven by President Samia Suluhu Hassan’s 4Rs philosophy (Reconciliation, Resilience, Reforms, Rebuilding), and further amplified through successful public-private partnerships (PPP) — notably at the Port of Dar es Salaam.
In just one year, ship turnaround time has been slashed from 30 days to just 6, thanks to investments by DP World and Tanzania East Africa Gateway Terminal Limited (TEAGTL). Container throughput has surged 28% to over 1.15 million TEUs, and general cargo volumes have grown from 13.75 million to 15.29 million tonnes.
New Entrants and Strong Growth Across SoEs
The list of entities in the 15% gross income category grew from five to seven, with total contributions increasing to TSh 305 billion, up from TSh 247 billion last year.
Notable contributors include:
- National Identification Authority (NIDA) – TSh 38.8 billion (up from zero last year)
- Tanzania Forest Services (TFS) – TSh 29.8 billion
- BRELA – TSh 20.4 billion
- TCRA – TSh 19.2 billion (down from TSh 34.7 billion)
- TASAC – TSh 16.3 billion
- OSHA – TSh 10.4 billion (a return after missing last year’s threshold)
These figures reflect growing operational discipline and a renewed commitment to financial performance across public institutions.
Twiga Minerals & Airtel Dominate Dividend Payouts
Among dividend-paying entities, Twiga Minerals Corporation leads the way with a 16% increase in dividends, remitting TSh 93.6 billion, up from TSh 53.4 billion. Airtel Tanzania followed closely, nearly doubling its payout to TSh 73.9 billion.
Other major contributors include:
- NMB Bank – TSh 68.1 billion
- Puma Energy Tanzania – TSh 13.5 billion
- TPDC – TSh 11.7 billion (new entrant)
- NBC – TSh 10.5 billion (new entrant)
In total, this category’s contributions surged to TSh 267 billion, a notable leap from TSh 171 billion the previous year.
Public-Private Synergy: A Model for Sustainable Growth
Airtel Tanzania’s Managing Director, Charles Kamoto, underscored the strategic importance of public-private synergy:
“Our dividend contribution is a clear statement of our commitment to Tanzania’s sustainable growth. It showcases how synergy between government policy and private-sector innovation can accelerate inclusive progress and build a digital economy.”
Stay Informed with Insightful Business Coverage
At a time when economic reform is reshaping Tanzania’s financial landscape, staying updated matters more than ever. This blog is your trusted source for clear, in-depth coverage of public finance, corporate trends, and strategic investment shifts.
🔍 Enjoyed this article?
Make sure to bookmark this blog and subscribe for more analysis, updates, and behind-the-scenes insights from Tanzania’s evolving business and finance sectors.
No comments:
Post a Comment