Dar es Salaam. Tanzania and Japan, on Tuesday, January 14, signed two crucial soft loan agreements in Dar es Salaam, with the latter providing 22.742 billion Japanese yen (Sh354.45 billion), for the Agricultural and Rural Development Two Steps Loan Project.
This project aims to enhance rural agriculture by offering affordable financing to farmers, producer groups, and agricultural institutions, enabling investments in modern farming techniques, quality inputs, and advanced technology.
The agreements for the projects were formalized by Tanzania’s Finance Minister, Dr Mwigulu Nchemba, alongside Japan’s Ambassador Yasushi Misawa and JICA Vice President Miyazaki Katsura, with this funding being essential for the initiative.
The pacts were also witnessed by key officials, including Tanzania’s Deputy Minister for Foreign Affairs and East African Cooperation, Mr Cosato Chumi, and Japan’s State Minister for Foreign Affairs, Mr Fujii Hisayuki.
Speaking at the signing ceremony, Dr Nchemba emphasized that the project will boost agricultural production, improve food security, and foster rural development, thereby strengthening the economy as a whole.
The availability of funds will also allow farmers to diversify their crops, which is crucial for adapting to climate change impacts.
Dr Nchemba expressed confidence that the partnership will significantly transform Tanzania’s agricultural sector.
For his part, Mr Hisayuki stated, “We are committed to contributing to improving the lives of each and every citizen.”
Japan and Tanzania have enjoyed friendly diplomatic relations since the East African country’s independence.
Over the years, Japan has provided cooperation across a wide range of fields, including human resource development—the foundation of the nation’s growth—as well as infrastructure development, healthcare, agriculture, and fisheries.
