The U.S. Government’s Millennium Challenge Corporation (MCC), the Department of Commerce and 10 American companies were recently in Dar Es Salaam to conclude the first half of a trade and investment mission to explore business opportunities in Tanzania’s energy sector.
This mission contributes to the goals of Power Africa and the U.S government’s efforts to double access to electricity in all of sub-Saharan Africa by introducing American firms to opportunities in the energy sector.
Currently, more than two-thirds of the population of sub-Saharan Africa is living without electricity, including more than 85 % of those living in rural areas.
The companies met with key officials from the Government of Tanzania as well as members from the Tanzanian private sector and civil society.
MCC’s Department of Compact Operations Vice President Mr. Kamran Khan who led the group said during the event that “the Tanzanian energy sector is ready for outside investment, and we wanted American firms to see firsthand and hear from top officials about the opportunities in this country”.
The United States Government, through the Millennium Challenge Corporation (MCC), agreed to provide up to USD 9.78 million for the development of high-impact investment projects in Tanzania’s energy sector during the first compact.
The Minister for Finance of Tanzania Ms. Saada Mkuya said that “working together has helped Tanzania to continue to flourish ranging from development cooperation through aid to trade and investments”.
MCC’s first compact with Tanzania was an investment of USD 698 million from 2008 to 2013, rehabilitated distribution infrastructure and funded a new submarine cable to connect Zanzibar with the mainland.
A potential new compact with Tanzania that would focus on reforms to the country’s energy sector remains under development.
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