Tanzania and AfDB Push to Speed Up $3.85 Billion Development Project Delivery

The discussions focused on turning financing commitments into completed investments that improve people’s access to transport, water, sanitation and energy.

Tanzania and the African Development Bank Group have agreed on a new plan to accelerate the delivery of development projects, following a review of a $3.85 billion portfolio supporting infrastructure and services across the country. Senior government officials, Bank staff and development partners met in Dar es Salaam on 16–17 September 2026 for the Country Portfolio Performance Review Workshop, examining progress and the problems holding projects back. The discussions focused on turning financing commitments into completed investments that improve people's access to transport, water, sanitation and energy.

A Stronger Partnership Behind Tanzania's Development Plans

The workshop followed an August meeting between Bank President Dr Sidi Ould Tah and Tanzanian President Samia Suluhu Hassan, who called for deeper cooperation to mobilise financing for Tanzania's Vision 2050 priorities. Mary Monyau, the Bank Group's Country Manager for Tanzania, commended the government's leadership and highlighted the country's progression from relying solely on the African Development Fund, the Group's concessional financing window, to accessing non-concessional resources. She described this broader access to financing as evidence of improved creditworthiness and Tanzania's growing importance as an economic driver within the East African Community.

Robert Mtengule, Assistant Commissioner for External Finance, delivered the government's opening remarks on behalf of the Ministry of Finance's Permanent Secretary, describing the Bank as a key development partner. His message placed the emphasis on reviewing what is working, addressing weaknesses and maintaining a shared commitment to quality infrastructure and services. That discussion took place against a backdrop of economic growth, with Tanzania's GDP expanding by 6.0% in 2025, compared with 5.5% in 2024, and averaging 5.2% over the past five years. Agriculture, mining and construction supported growth on the production side, with investment and consumption driving demand.

Fewer Troubled Projects, Persistent Delivery Obstacles

The share of operations carrying red flags fell from more than 40% in March 2026 to 26% in September, marking progress since the Country Portfolio Improvement Plan stock-taking exercise held in April. Persistent procurement bottlenecks affecting the Kakono Hydropower and Msalato International Airport projects were resolved, providing examples of movement on investments that had faced recurring difficulties. Participants reviewed these achievements alongside the challenges that continue to affect the portfolio, keeping attention on the practical steps needed to move projects through implementation.

Delays in counterpart funding, limited government oversight, lengthy procurement and disbursement processes, and the Bank's turnaround time on "no objection" requests remained among the constraints discussed. The review covered project implementation and management, procurement, disbursement, financial management, monitoring and safeguards, with gender and climate change included as issues that cut across the portfolio. These discussions connected administrative performance with project quality, recognising that faster delivery depends on coordinated decisions, timely funding and effective supervision from both government institutions and the Bank.

A New Plan for Turning Commitments Into Results

The two-day workshop concluded with a portfolio improvement plan for 2026/27, establishing the next phase of work to address delivery problems. Yussuf Ibrahim, Commissioner for External Finance at the Ministry of Finance and Planning in the Revolutionary Government of Zanzibar, thanked the Bank for its support through successive stages of development in Tanzania and Zanzibar. He stressed that portfolio performance is a shared responsibility and called for closer collaboration and joint oversight to translate the workshop's commitments into faster, more effective delivery for citizens.

As of September 2026, the Bank Group's active portfolio comprised 29 operations worth $3.85 billion, with approximately 84% concentrated in transport, water and sanitation, and energy. Overall disbursement stood at 39%, and the portfolio had an average age of 3.7 years, giving the improvement plan a substantial pipeline of ongoing work to support. The concentration in infrastructure underscores the Bank's role in Tanzania's development agenda and the importance of resolving delays so that investments can deliver the services communities need.