The Director of the Public-Private Partnership Center (PPPC), David Kafulila, has stated that one of the key considerations for entering into PPPs is attracting private sector capital to implement projects that were originally the government’s responsibility. Speaking during the Public-Private Partnership Symposium organized by the PPPC in collaboration with the research institute REDET, held at the University of Dar es Salaam(UDSM) on May 27, 2025, Kafulila said that through PPPs, development projects can be implemented outside the government budget, either fully or partially without relying solely on public funds.

“In engaging in PPPs, we ease the burden on the government’s balance sheet. Instead of funding every project through taxes and loans, PPPs allow us to implement such projects outside the government budget,” said Kafulila. In addition to easing the fiscal burden, Kafulila emphasized that PPPs can be a channel for attracting new technology and improving efficiency, particularly in public sector management.

“Research shows that the private sector tends to have more efficient management compared to the public sector, perhaps due to its very nature,” Kafulila noted, highlighting the fact that some public institutions are currently operating at significant losses.

The PPP Center began operations in January 2024, although Tanzania’s Public-Private Partnership Act (Cap. 103) was enacted back in 2010. The center’s main goal is to promote and coordinate PPP projects for the delivery of public infrastructure and related services. Currently, major projects expected to be financed through this model include those related to renewable energy, the construction of the Dar es Salaam–Morogoro highway, as well as initiatives in high education, water utilities, and other sectors.

During the discussion, various scholars pointed out that for Tanzania to benefit from the PPP model, there must be transparency and a willingness to learn from developed countries through partnership. Professor Anna Tibaijuka, an economist and former Member of Parliament, as well as a member of the UDSM academic staff, stated that while attracting investment through PPPs is beneficial, it requires proper planning, especially regarding transparency and accountability.