Tanzania Launches Investment Facilitation Platform in Hunan, China to Secure US$ 3 Billion in Investments

Tanzania has launched a dedicated investment facilitation platform in Hunan Province, China, to attract at least US$ 3 billion in Chinese investments.

This initiative is a result of President Samia Suluhu Hassan’s participation in the Forum on China-Africa Cooperation (FOCAC) in China, where Chinese President Xi Jinping pledged US$ 10 billion in investments across Africa through a dedicated program.

In response, Tanzania’s Minister of Planning and Investment, Prof. Kitila Mkumbo, directed TIC to secure at least one-third of these funds, equivalent to US$ 3 billion, for investments in Tanzania.

As part of this strategy, TIC has established an investment facilitation center in Hunan Province, China, designated as a gateway for promoting Tanzanian investment opportunities to Chinese businesses.

Tanzania’s new platform aims to promote the country’s investment opportunities in key sectors, including manufacturing, mining, and infrastructure, by directly engaging with Chinese businesses and investors.

The launch of this platform was officiated by Acting Consul General Ali Mohamed Mwinyi at the Tanzanian Consulate in Hunan, a region with a focus on Africa-related investments.

Speaking at the launch, which brought together over 150 companies from various sectors in China, TIC Executive Director Gilead Teri emphasized the program’s significance: “This platform marks the beginning of our efforts to attract Chinese investments, and we anticipate a significant increase in Chinese investors coming to Tanzania.”

Following the launch, Tanzanian officials toured major industrial facilities in China to encourage manufacturers to establish production operations in Tanzania.

China’s FDI in Tanzania

China plays a significant role in foreign direct investment (FDI) in Tanzania, ranking among the top sources of investment for the country.

In 2023, Chinese FDI outflows to Tanzania amounted to around US$ 60.15 million, up from nearly US$ 52 million in 2022.

As of February 2024, there were 1,274 registered Chinese projects in Tanzania, valued at approximately US$ 11.4 billion, creating an estimated 149,759 jobs across sectors such as manufacturing, agriculture, and services.

Tanzania is also a key strategic partner in China’s Belt and Road Initiative (BRI), a global infrastructure and economic development strategy launched by China to enhance connectivity and trade across Asia, Africa, and Europe.

Tanzania’s geostrategic location along the Indian Ocean positions it as a crucial node in the BRI, facilitating trade and investment flows between China and Africa.investment-facilitation-platform-hunan-china