The Tanzanian Parliament has unanimously approved a massive budget of TZS 2.746 trillion (approximately USD 1.05 billion) for the Ministry of Transport for the 2025/2026 fiscal year. This funding aims to boost the development of the transport sector, which is essential for the country’s economic growth.
Strategic Allocation of Funds
Out of this impressive budget, the lion’s share—TZS 2.621 trillion (about USD 1 billion)—will be dedicated to development projects. Regular operational expenditures, including staff salaries, amount to TZS 125.4 billion (around USD 48.2 million). Development project financing will mainly come from domestic resources (TZS 2.45 trillion), complemented by substantial foreign funding (TZS 168.5 billion).
Flagship Projects to Enhance Connectivity
The allocated funds will be used to implement major initiatives, including:
- Continued construction of the Standard Gauge Railway (SGR).
- Ongoing enhancement of Air Tanzania Company Limited (ATCL).
- Modernization of the Port of Dar es Salaam, a vital trade hub.
- Construction of various airports across the country.
- Strengthening of safety in maritime and air transport.
The government also plans to collaborate with the private sector to build four cargo ships, aimed at boosting trade with the Democratic Republic of Congo (DRC) via the ports of Kigoma and Dar es Salaam. These vessels are expected to be completed within the next two years.
An Ambitious Vision for the Future
To further improve air, land, and maritime transport infrastructure, the Tanzanian government is undertaking the creation of an Aviation Academy, reinforcing the MGR and TAZARA railway systems, and establishing a new NIT campus in Lindi. This campus will offer specialized training in maritime, oil, and gas transport sectors.
This major investment by Tanzania’s Sixth Phase Government highlights its strong commitment to driving economic growth, creating jobs, and boosting both domestic and international trade by strengthening its transport sector.
