Washington. The World Bank has approved $550 million (about Sh1.4 trillion) in financing for Tanzania to implement two strategic projects in the education sector and support vulnerable households.
The decision was announced by the World Bank Vice President for Eastern and Southern Africa, Ndiame Diop, during a meeting with a Tanzanian delegation led by the Minister for Finance, Khamis Mussa Omar.
The discussions took place on the sidelines of the Spring Meetings of the World Bank Group and the International Monetary Fund at their headquarters in Washington, US.
Of the approved funds, $300 million will be directed towards an education programme aimed at enhancing skills development, particularly among young people.
A further $250 million will support poor households through the Tanzania Social Action Fund.
Dr Diop said the approval reflects the strong partnership between Tanzania and the World Bank, as well as the country’s effective implementation of Bank-funded projects and prudent management of economic and fiscal policies.
He added that the Bank is continuing to process additional strategic projects submitted by Tanzania for financing.
These include initiatives in the energy sector, commercial agriculture and health projects in Zanzibar, among others, aimed at helping the country achieve its economic growth and social development targets.
Speaking after the meeting, Mr Omar expressed gratitude to the World Bank for approving the two projects, describing them as vital to the country’s development priorities.
He noted that discussions also covered progress in the development of transport corridors, highlighting the importance of infrastructure investments in promoting inclusive and sustainable economic growth.
Particular attention was given to the role of the Standard Gauge Railway in stimulating economic activity.
Meanwhile, the outgoing World Bank Country Director for Tanzania, Nathan Belete, described the meeting between the Finance Minister and Dr Diop as productive and indicative of the Bank’s continued recognition of Tanzania’s ongoing economic and social reforms.
Mr Belete said he was leaving Tanzania with confidence that relations between the World Bank and the country would remain strong, adding that Tanzania holds significant potential to emerge as one of Africa’s leading economies due to its abundant natural resources.
World Bank investment in Tanzania through the International Development Association window has reached $8.96 billion, covering 35 projects.
Of these, 32 national projects account for the bulk of the portfolio, while three regional projects are valued at approximately $0.18 billion.
The meeting was also attended by senior government officials, including the Minister for Finance and Planning from the President’s Office in Zanzibar, Juma Malik Akil, Permanent Secretary and Paymaster General, Natu El-maamry Mwamba, Planning Commission Executive Secretary, Tausi Kida, and Zanzibar Permanent Secretary for Finance and Planning, Aboud Hassan Mwinyi, among other senior government leaders.
