This event took place Oct 24th and was the second such Policy Dialogue organized Tanzania Private Sector Foundation (TPSF) with Ministry of industries trade & Investment and Ministry of Finance & Planning (MoFP) following the success of the first Ministerial PPD on April 11th on parliament grounds in Dodoma. The second Dialogue was unprecedented with six Ministers in attendance, Ministerial Development Agencies (MDAs), Development Partners (DPs), Chambers of Commerce from both local and abroad, collaborative Private Sector Organizations (PSOs) TPSF members, secretariat and invited guests.
The Ministerial PPD sought to (i) receive updates post first Ministerial PPD (ii) strengthen dialogue and ties between Private & Public sector, (iii) raise issues from the private Sector to government officials necessitating intervention (iv) common understanding of the business environment, charter work plan and timelines for future Ministerial PPDs.
The Forum was opened by Minister Mwijage (MITI) & Minister Mpango (MoFP) the two ministers with the most and immediate oversight over the business community. Other ministers in attendance were Hon. Medard Kalemani (Minister of Energy), Hon. Mwigulu Nchemba (Minister of Home Affairs), Hon. Anthony Mavunde (Deputy Minister Ministry of Labor & Work), Hon. Dr. Ashatu Kijaji (Deputy Minister – Ministry of Finance and Planning), Hon. Joseph Kandege (Deputy Minister – Regional Administration & Local Government)
Speaking on behalf of the Private Sector TPSF Vice-chairman Mr.Salum Shamte gave a quick but thorough synopsis of the State of Private Sector and Business Environment;
- Recognizing the efforts being done by the 5th Government to transform the economy and the private sector in working to adapt to new realities and enhanced compliance levels.
- The private sector are the large section of tax payers and more than willing to pay however the collection of taxes should be conducted in a proper way without causing harassment to the businesses.
- Revitalization of sectors which have been performing well i.e. Tourism, Transportation, Banking and Finance, Construction, needs to done sooner to salvage the downward turn in some of the trends.
- The perception of the investment climate in Tanzania has been nurtured for a longer time and its prudent for government to improve its communications so as to retain the positive investment outlook for the economy.
- Other areas which could be improved with the Finance Act 2018 and enhance domestic private sector participation include margin of preference and mandatory joint ventures in the construction sector; ease of access to land for Investment in regions and districts; restoring of fiscal and non fiscal incentives for investment and leaders in the public sector should not get tired to give directives and proper guidance for those who are working under them.
Both Ministers for MITI & MoFP stressed the interdependence and importance of strengthening the private sector for growth of the economy and if Tanzania was to realize it’s industrial aspirations.