Tanzania is wooing investors from China’s Shandong Province to consider the country as preferred destination.
In 2017, China – the world’s second largest economy – ranked as the largest foreign investor in Tanzania, jumping from sixth position in 2012, Tanzania Investment Centre (TIC) figures show.
Cumulative figures for the period between 1990 and 2017 show that China is leading with investments worth $5.963 billion.
The UK came second with investments valued at $5.54 billion, while the US, Mauritius and India completed the top five list with investments worth $4.7 billion, $4.308 billion and $2.2 billion, respectively.
The presentation was made during a road show and business matchmaking seminar that brought together representatives from businesses from China’s Shandong Province and their Tanzanian counterparts in Dar es Salaam.
The director of investment promotion at the Export Processing Zones Authority (EPZA), Mr James Maziku, said China had every reason to choose Tanzania as a preferred investment destination.
“Firstly, the cost of doing business in Tanzania is going down as the government has embarked on reviewing the legal and regulatory framework that impede businesses,” he said.
This was in apparent reference to the government’s decision to scrap a total of 54 fees and charges from the list of what businesses pay to public institutions and regulatory agencies in the endeavour to facilitate businesses and build an industrial base.
He said President John Magufuli’s government was also building physical infrastructure (including the standard gauge railway, ports, airports and roads) to make it easy for businesses to operate.