Agricultural bank a game changer, says TCCIA boss

Dar es Salaam. The Tanzania Chamber of Commerce, Industry and Agriculture (TCCIA) has commended President Samia Suluhu Hassan’s administration for its decision to establish an agricultural development bank, saying it will play a key role in modernising critical sectors such as agriculture and clean energy.

TCCIA executive director Oscar Kissanga said the bank’s creation would not only ease the financing burden on the agriculture sector but also drive its transformation.

“As we all know, our agriculture sector remains underdeveloped because it is dominated by subsistence smallholder farmers, who often struggle to access loans from commercial banks,” he said.

Mr Kissanga praised President Hassan for her decision, saying it would also accelerate the commercialisation of agriculture, which remains a cornerstone of Tanzania’s economy—employing a large segment of the population, ensuring national food security, and earning foreign exchange through exports.

He made the remarks while referring to the Africa Energy Summit 2025, held recently in Dar es Salaam, which he described as a milestone for the continent’s energy agenda, drawing international interest.

“In alignment with global sustainability goals, the Mission 300 initiative prioritises clean and renewable energy solutions such as solar, wind, and geothermal power. These projects are vital to meeting Africa’s climate targets and advancing the UN Sustainable Development Goals,” he said.

He added that under President Hassan’s clean energy agenda, the private sector has a crucial role to play in delivering affordable, renewable energy solutions that support environmental sustainability while meeting the continent’s growing power needs.

“We are aware that climate change is negatively impacting Africa’s agriculture sector. Therefore, we must modernise the sector with the support of reliable and affordable financing mechanisms,” he emphasised.

During the summit, President Hassan reaffirmed her commitment to scaling up investment in clean energy, as part of efforts to reduce dependence on fossil fuels—identified as a key contributor to climate change and a threat to agricultural productivity.

Delivering her keynote address, she stressed her government’s determination to foster an investment-friendly climate for energy projects. She highlighted progress in expanding the country’s energy infrastructure, enhancing grid reliability, and promoting renewable solutions.

“Tanzania is committed to fostering an enabling environment for private sector investment in clean and reliable energy,” the President said. “We recognise that sustainable energy is the backbone of economic growth, and we welcome partnerships that promote innovation and broaden access to electricity across the country and continent.”

She also underscored Tanzania’s role as a regional leader in energy, citing ongoing efforts to expand power generation capacity and integrate renewable sources into the national grid.

“Tanzania is dedicated to reducing its reliance on fossil fuels by promoting hydro, solar, and wind energy projects—aligning with global sustainability commitments,” said President Hassan, while assuring the private sector that long-standing financing challenges would be addressed.

According to her, a partnership framework between governments, businesses, and development institutions is being developed to unlock private investment. The Rockefeller Foundation, the African Development Bank, and other partners are working with African governments to eliminate regulatory and policy barriers that impede private sector participation.

As part of Tanzania’s broader energy strategy, the Mission 300 initiative represents an ambitious push to reshape Africa’s energy future. The goal is to bring electricity to 300 million people by 2030, addressing the chronic lack of access that affects over 600 million people across the continent—of whom 571 million live in sub-Saharan Africa.

The TCCIA, which has been championing President Hassan’s economic diplomacy agenda, recently organised a high-level business roundtable between government officials, the private sector, and a delegation from the Federation of Saudi Chambers. The meeting, held in Dar es Salaam in February, was convened under the auspices of the President’s Office for Planning and Investment.

“The engagement aimed not only at strengthening business ties between Tanzania and Saudi Arabia, but also at fostering public-private partnerships,” said Mr Kissanga.

He added that a landmark cooperation agreement was signed during the event between the TCCIA and the Federation of Saudi Chambers in the presence of the Minister of State in the President’s Office for Planning and Investment, Prof Kitila Mkumbo.