On 22nd May 2021, Tanzania’s Minister of Industry and Trade Hon. Prof. Kitila Mkumbo presented to parliament the ministerial budget for the financial year 2021/22, which is aimed at developing, protecting processing industries and adding value to the various resources available in the country.
The budget, which amounts to TZS 105.6 billion, will focus on developing and protecting processing industries and adding value to agricultural products, livestock, fisheries, forestry and minerals, developing and encouraging the construction of leather, textile and clothing industries, Mkumbo explained.
Other priorities are to promote, develop and protect the steel and steel products industries, to develop and encourage building materials industries.
He also noted that the Government is committed to promoting the construction of batteries and automotive industries using the country’s natural resources such as lithium, vanadium, and titanium, which are available in the country.
The Ministry will also focus on creating a policy and legal enabling environment for doing business, strengthening Tanzania’s participation in regional economic and commercial communities to expand commercial opportunities for Tanzanian products that will be produced locally.
Mkumbo added that “We will also focus on enhancing access to capital for entrepreneurs and small businesses to expand their capital to run their businesses, we will create a better policy, legal and operational environment to stimulate and protect private sector growth as engine and foundation.
In March 2021, Tanzania unveiled the budget proposal for the fiscal year 2021/22.
According to the document, the Government plans to spend a total of TZS 36.26 trillion in the financial year 2021/22, an increase of 4% from TZS 34.88 trillion allocated in the 2020/21 budget.
Of that money, 37% or TZS 13.3 trillion will be used for development projects.