Africa-Press – Tanzania. PRESIDENT Samia Suluhu Hassan first 100 days in office have improved business and investment environment in the country.
The days have been described to usher in a new area in business and investment with analysts saying they should praise her for the record.
The fear to invest in Tanzania is almost gone and various investors, who visited her at State House to hold discussions, a good sign that she is leading the country to Promised Land.
An economist-cum-investment banker, Dr Hildebrand Shayo, said the president in the first 100 days, openly stated the importance of having increased special zones for business, and asked financial institutions to work close with promoters to execute some of the projects.
“The fear to invest in the country is almost gone and we have seen various investors visiting her at the State House for guidance and way forward.
“This shows the president continues to build investor confidence, who to date have shown high spirit on what has been done so far,” Dr Shayo said.
Fortnight ago the President Samia held a consultative meeting with leaders of the Tanzania Private Sector Foundation (TPSF), in her continued efforts to strengthen the sector and foster economic development.
The meeting, held at the State House in Dar es Salaam, demonstrated President Samia’s determination to support the private sector’s growth, attracts more investments and expand the tax base. “The government is working on all setbacks facing investment.
Furthermore, we shall work on the suggestion to be issued during the Tanzania National Business Council (TNBC),” President Samia said.
Equally, she assured the sector of the government’s commitment to address challenges in the investment and business sector for the sake of building a stable and sustainable economy.
During her recent visit to Kenya, President Samia invited Kenyan investors to Tanzania, saying her meeting with President Uhuru Kenyatta had resolved to get rid of all barriers to bilateral trade.
“The One Stop Centre would remove all kinds of bureaucracy and corrupt practices… We have to clear the perception among foreign investors that our country is unpredictable,” the president said.
On connectivity and shared infrastructure, President Suluhu listed several cross-border projects that Kenya and Tanzania have lined up among them One Stop Border Posts (OSBP), roads, electricity transmission lines and a natural gas pipeline.
In April, President Samia ordered sweeping reforms in the investment sector, as part of the government’s grand plan to restore investors’ trust in the country.
She said it was crucial for the country through the Investment Ministry to ensure the country regains the investors’ trust by improving the climate that forces some of them to shift their business to other countries.
In her recently tour in Mwanza to spur investment, President Samia directed the Bank of Tanzania (BoT) to take appropriate measures to lower high loan interest rates to single digit.
“Banks loan interest rates are between 12 and19 per cent, these rates are very high for the average person,” President Samia said.
This means, the president was irked by high rates despite having a Credit Reference Bureau.
Thus, she asked BoT to work on the matter and plug holes if there are problems in the reference bureau and come out with appropriate solutions.
In recently years, the Central Bank came up with a number of policy measures to lower loan rates but failed to reverse the market trend.
The measures to ease the lending rates, included lowering the statutory minimum reserves requirement, lowering the discount rates as well as providing regulatory flexibility on restructuring of loans.
Also, the President Samia called on the Tanzania Investment Centre (TIC) to come up with One Stop Centre, to coordinate investors’ needs under one roof.
The government saw no need for investors to hustle around various institutions to secure business certificates and permits.
At the same time, she expressed her concerns over the issuance of work permits, saying there was a bureaucracy that was discouraging and chasing investors away.
A number of businesses and companies had been closed due to an unfavorable investment environment caused by uncertainties in taxes and work permits.
President Samia, an economist, showed her commitment to facilitate trade, business and investment to excel in the day one after being sworn-in.
To drive home her commitment, she first appointed a World Bank Economist, Dr Philip Mpango, as a Vice- President and a Bank of Tanzania Economist, Dr Mwigulu Nchemba as Minister for Finance and Planning.
