The Makazi 2050 Forum in Dar es Salaam highlighted Tanzania’s estimated housing shortage of 3.8 million units and opportunities for investment in housing and locally manufactured building materials.
Innovation for Development (I4D) hosted the forum on 27 October 2026, bringing together government officials, development agencies and private sector representatives to discuss housing needs and urban development through 2050.
Discussions covered affordable housing, infrastructure, construction materials, investment conditions and the use of digital technology in future settlements.
Participants called for roads, electricity, water networks and transport corridors to be planned and developed before residential settlement, alongside changes to municipal zoning rules to accommodate higher-density development.
They also discussed secure land tenure and predictable taxation and administration as requirements for attracting long-term real estate investment.
On manufacturing, speakers identified opportunities to replace imported furniture, doors and windows with locally produced goods, while drawing on domestic supplies of cement, steel, roofing sheets and glass.
Participants also discussed a shift towards high-rise housing as urban land becomes scarcer.
On construction standards, participants called for stricter municipal enforcement of building codes, the use of tools such as the Building Resilience Index and closer collaboration with academic institutions to address risks associated with uncertified labour and inadequate inspections.
Proposals included reserving at least 20% of developed land for open green spaces and parks.
Digital discussions covered skills, cybersecurity, personal data protection, regulatory compliance, and reliable connectivity.
Participants also proposed digital identity verification and integrated property management systems for online leasing, utility payments and tenant administration.
Dr. Grace Lubaale, head of the United Nations Human Settlements Programme (UN-Habitat) in Tanzania, cited TZS 466 billion for the national housing scheme and a further TZS 607 billion in pipeline joint-venture commercial and residential housing projects.
“Housing cannot be seen merely as a social welfare issue; it is a productive economic asset. Strategic public investment must unlock private capital,” Lubaale said.
Lulu Mkude, Director of Business Management at the Tanzania Trade Development Authority (TanTrade), linked housing demand to domestic industrial production, trade and employment.
“Despite this domestic capacity, Tanzania imported USD 34.5 million worth of furniture and USD 7.1 million worth of doors and windows, highlighting opportunities for local manufacturers to expand production and supply the housing market,” Mkude said.
She cited annual cement production of 7.7 million tonnes and cement export revenue of USD 31.7 million.
Local steel manufacturers had annual production capacity of 1.2 million tonnes against domestic demand of 600,000 tonnes, while roofing sheet capacity was twice domestic consumption, she said.
Mkude also said the Sapphire Float Glass plant in Lindi produced more than 700 tonnes of flat glass daily and exported 60% of its output to regional markets.
“By 2050, a Tanzanian home must be built, finished, and furnished using raw materials processed right here in Tanzania,” she said.
Murtaza Brazille, Managing Partner at Grant Thornton Tanzania, addressed the conditions needed to attract capital into housing and real estate.
“Investors do not just seek subsidies; they require a predictable tax environment and administrative stability to earn a fair return on long-term capital,” he said.
Dr. Nkundwe Mwasaga, Director General of the Information and Communication Technologies (ICT) Commission, called for research and innovation to develop affordable accommodation and business opportunities in housing technology.
“There has to be constant research done so that we can find new knowledge to find affordable accommodation. Once we innovate, then there will be room for entrepreneurship. Some people can specialize in providing solutions that are useful to our people,” Mwasaga said.
He also described housing as a platform for Internet of Things (IoT) applications, remote working, and participation in the digital economy.
Tanzania Housing Demand
Tanzania faces a current housing deficit of 3,000,000 units, with annual demand rising by 200,000 units and an annual shortfall of 390,981 houses.
The population reached 62.7 million at the 2022 Population and Housing Census and is currently estimated at around 70 million, growing at 3.2% per year and projected to double to approximately 123.4 million by 2044.
By 2050, Tanzania will require 26,840,909 housing units to meet the needs of its projected population.
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