A PPP contract worth USD 116 million has been signed between the Police Force Corporation Sole and a private company for the construction and operation of mandatory motor vehicle inspection centers across 26 regions in Mainland Tanzania.

Speaking about the project, the Executive Director of the Public–Private Partnership Centre (PPPC), David Kafulila, said the contract will be implemented over a period of 20 years under a Public–Private Partnership (PPP) arrangement.

He stated that the agreement has been reached between the Police Force Corporation Sole under the Ministry of Home Affairs and a Special Purpose Vehicle (SPV) known as MVI–TANZANIA. The company is formed by a private sector consortium comprising SAMA Exim DMCC and VIGOR.

According to Kafulila, the project will involve the use of modern inspection technologies and equipment from DKT and MAHA of Germany, while operations will be managed by an international company, APPLUS Automotive+ from Spain.

Furthermore, the Government, through the Police Force Corporation Sole, will hold a 20 percent share in the Special Purpose Vehicle (MVI–TANZANIA).

He noted that this is the first project of its kind for the Police Force Corporation Sole to enter into a partnership with the private sector, marking a shift in how public institutions implement development projects.

“Although the security sector could have implemented this project using government funds, the decision to enter into a partnership demonstrates a new direction in attracting private sector investment,” said Kafulila.

He added that the move is part of the implementation of the National Development Vision 2050, which emphasizes the use of alternative sources of financing for large-scale projects.

Kafulila emphasized that the partnership is not privatization, but rather a collaboration between two parties aimed at improving service delivery, with the PPP Centre continuing to oversee its implementation in accordance with the law throughout the contract period