NSSF advances Sh4bn for expansion of biotech firm

Dar es Salaam. The National Social Security Fund (NSSF) has advanced the National Development Corporation (NDC) $2.1 million (about Sh4 billion) for expanding production at the Tanzania Biotech Product Limited in Kibaha, Coast Region.
The loan issuance follows President John Magufuli’s directive to pension funds to lend funds for industrial projects.
NSSF is also in the process of investing in the construction of textiles, tyres and sugar companies.
NSSF director general Godius Kahyarara said during a ceremony to hand over the loan to NDC in Kibaha that the pensions funds would continue investing in factories to increase economic opportunities and create employment.
 “Apart from supporting President John Pombe Magufuli’s ambition to transform Tanzania’s economy through the manufacturing sector, we also expect to generate profits for NSSF through these kinds of investments,” said Prof Kahyarara.
He said it was not the first time for NSSF to invest members’ funds in the construction of factories.
He explained that the fund had previously invested in factories in Mbeya (for cement), Kagera (sugar) and Morogoro (textiles).
“The investments showed a huge success as they created employment for thousands of our people while NSSF generated profits and its members also benefited. We are very keen on the kinds of investments we undertake. We normally consider a number of criteria, including profitability of the projects, their necessity, security and the goals of the projects in improving the country’s economy,” said Prof Kahyarara.
The minister of State in the Prime Minister’s Office (Policy, Parliamentary Affairs, Youth, Employment and People with Disabilities) Ms Jenista Mhagama said: “This company is one of its kind in Africa and its efficiency will not only benefit Tanzanians, but also the whole of Africa. It will also bring in foreign currency when the products are exported.” She called on other pension funds to invest in the industrial sector.