HOW WORLD BANK IS SUPPORTING TANZANIA'S PPP PROJECT PREPARATIONS
The World Bank has injected fresh momentum into Tanzania’s infrastructure development agenda by providing critical technical and financial support for preparing high-impact Public-Private Partnership (PPP) projects.
Through the third Tanzania PPP Project Development Programme, the Bretton Woods institution is working closely with the PPP Centre under the Ministry of Finance to bridge the gap between project conceptualisation and implementation.
A public notice issued by the Department of Public-Private Partnership Development and Advisory shows that the World Bank’s intervention is specifically aimed at procuring transaction advisers to prepare PPP project documents, as well as covering other costs associated with feasibility studies.
“This support is currently being directed towards seven flagship projects spanning the energy, natural gas and local government sectors,” reads part of the public notice.
Energy and gas expansion
In line with the government’s ambitious energy goals, the World Bank is supporting the development of large-scale renewable energy projects.
“This includes a 100MW solar power plant in Manyoni, Singida, and a wind power generation project in Makambako, Iringa,” according to the public notice.
“These initiatives are integral to the national strategy to increase electricity access to 75 percent by 2030 and expand access to clean cooking energy to 80 percent by 2034,” adds the document.
The support also extends to the gas sector, specifically the natural gas distribution project, which will facilitate the supply of cooking gas in Dar es Salaam, Morogoro and Dodoma, furthering the transition towards cleaner energy sources for Tanzanian households.
Revitalising Local Government Authorities
A significant portion of the programme is dedicated to enhancing the service delivery capacity of Local Government Authorities (LGAs).
Among the primary beneficiaries is the Dar es Salaam City Council, which is set to modernise the Ilala Modern Market.
The Sh17.5 billion project, to be implemented under a Design, Build, Finance, Operate, Maintain and Transfer (DBFOMT) model over 15 years, aims to improve the organisation of the market, which accommodates approximately 2,450 traders, by providing adequate space, reducing congestion and improving business services.
In Mbeya, two major projects are under preparation: the Uyole Bus Terminal and a modern abattoir.
“The Sh4.814 billion bus terminal is designed to serve as a regional hub for commuters in Uyole and surrounding areas. Meanwhile, the Sh4.604 billion abattoir project aims to safeguard the health of meat consumers and reduce meat prices by cutting transport costs associated with bringing meat into Mbeya from other regions,” according to the document.
Furthermore, the Mtwara Solid Waste Management Project, valued at Sh1.115 billion, is expected to transform the town’s sanitation services.
The project is designed to enable Mtwara to achieve 100 percent solid waste collection, a significant leap from the current 35 tonnes collected out of the 70 tonnes generated daily.
Strategic pivot to Vision 2050
This recent wave of support comes at a critical juncture as Tanzania transitions towards Vision 2050 and the Fourth Five-Year Development Plan (FYDP IV), which began on July 1, 2026.
The financial stakes are immense, with the total implementation cost of FYDP IV estimated at Sh477 trillion.
The private sector is expected to play a dominant role, contributing roughly Sh334 trillion of the total cost.
Crucially, PPP projects are expected to mobilise more than Sh170 trillion over the five years, equivalent to an annual mobilisation of Sh34 trillion.
To achieve these targets, Tanzania would need to invest about Sh3.4 trillion in project preparation.
By funding transaction advisers and feasibility studies, the World Bank’s programme is directly addressing this preparation hurdle, ensuring that projects are bankable and ready for private investment.
This collaborative effort marks a pivotal step towards ensuring the PPP Centre fulfils its mandate of driving national growth through private-sector partnerships.