Tanzania and global financial institution Citibank are set to deepen strategic cooperation in capital markets, infrastructure financing and private sector investment mobilisation as the country seeks to accelerate its development ambitions under Tanzania Development Vision 2050.
The commitment emerged during a strategic meeting held in London between Finance Minister Ambassador Khamis Mussa Omar and Citibank executives led by Akin Dawodu, Chief Executive Officer for Sub-Saharan Africa.
The discussions focused on strengthening the long-standing relationship between Tanzania and Citibank, which dates back to the bank’s entry into the Tanzanian market in 1995.
Key areas discussed included Tanzania’s sovereign credit rating, preparations for the country’s inaugural Eurobond, export credit agency (ECA) financing, infrastructure development, capital market reforms and strategies to attract private sector investment.
Ambassador Omar briefed Citibank on Tanzania’s recent economic progress, highlighting major investments in energy, transport and other strategic infrastructure projects.
He pointed to increased electricity generation capacity, modernisation of Dar es Salaam, Tanga and Mtwara ports, as well as expansion of aviation infrastructure as key developments strengthening the country’s investment potential.
The minister also outlined Tanzania Development Vision 2050, which targets transforming the economy into a US$1 trillion economy within the next 25 years.
He said achieving the ambitious target would require significant private sector participation, with about 70 percent of the investment expected to come from private investors.
The government also updated Citibank on progress in negotiations for the proposed liquefied natural gas (LNG) project, valued at approximately $42bn.
Ambassador Omar said discussions with investors had substantially concluded, with agreements reached on the main framework of the project.
He said the LNG development is expected to advance once remaining internal matters among project partners are resolved.
The minister also highlighted ongoing reforms aimed at improving Tanzania’s business environment and strengthening the tax system.
He said President Samia Suluhu Hassan established two presidential commissions — one focused on improving the business environment and another reviewing the tax system.
The tax reform commission has submitted 284 recommendations, which are currently under government review.
Ambassador Omar said future reforms would focus on widening the tax base, improving tax administration and strengthening domestic revenue mobilisation rather than increasing the tax burden on existing taxpayers.
Recognising the expanding scope of cooperation, the minister proposed establishing a structured strategic partnership framework with Citibank.
The framework would cover sovereign capital markets, infrastructure financing, ECA-backed financing, investor relations, domestic capital market development, private sector investment mobilisation and tax administration reforms.
Citibank welcomed the proposal and reaffirmed its commitment to remain a long-term strategic partner in supporting Tanzania’s access to international capital markets and attracting global investors.
The meeting was also attended by Tanzania’s High Commissioner to the United Kingdom, Ambassador Mbelwa Kairuki, and Commissioner responsible for Government Debt Management at the Ministry of Finance, Japhet Justine.
The engagement comes as Tanzania seeks to expand access to global financing sources, strengthen investor confidence and mobilise capital required to support major infrastructure and industrial development projects.