Tanzania’s Treasury Registrar unveils targets to transform public entities by 2030

According to Treasury Registrar, Mr Nehemiah Mchechu, the plan represents a decisive shift from viewing public enterprises merely as service providers to recognising them as active drivers of industrialisation, job creation, and fiscal sustainability.

The OTR aims to double the contribution of Public and Statutory Corporations (PSCs) to the national GDP, from the current five percent to ten percent, by 2030.

“These targets reflect our unwavering resolve to unlock the full potential of PSCs as engines of growth, fiscal resilience and national competitiveness,” Mr Mchechu said in a statement shared with The Citizen.

He added that the OTR’s vision is to transform public investment ownership into productive and high-performing assets that deliver tangible returns to Tanzanians.

To achieve this, the plan seeks to increase the share of non-tax revenue generated by PSCs in total domestic revenue from 3.6 to five percent, thereby reducing fiscal pressure on the government and promoting greater financial independence among public corporations.

A major component of this transformation is the establishment and operationalisation of a Public Investment Fund whose portfolio value is projected to reach $10 billion within five years.

The fund will finance coordinated, high-impact investments across strategic sectors, stimulating innovation and industrial diversification.

The OTR further aims to enhance profitability and returns on equity from five to ten percent, while ensuring that all PSCs record consistent annual revenue growth, up from the current 50 percent.

It also seeks to reduce the reliance of public enterprises on government subsidies from 49 to 30 percent and ensure that at least 30 percent of them operate profitably by 2030.

“These financial ambitions are complemented by a broader strategy to make public enterprises self-sustaining, efficient and results-oriented,” Mr Mchechu said, adding that realising the targets will depend on robust governance reforms and market-driven management systems.

Another strategic target focuses on expanding Tanzania’s global footprint by enabling public enterprises to earn at least $500 million in foreign exchange through exports by the end of the decade.

The five-year plan also identifies five strategic focus areas: strengthening corporate governance, improving leadership and human capital development, enhancing operational efficiency, promoting resource mobilisation and management, and optimising public investment to boost competitiveness.

Each area, the OTR noted, was formulated through extensive consultations, sectoral reviews and benchmarking against international best practices. The plan acknowledges that many public enterprises have historically faced persistent challenges such as weak governance structures, limited access to capital and heavy dependence on state subsidies.

Mr Mchechu emphasised that the OTR’s broader vision goes beyond financial metrics, aiming to build resilient and sustainable public institutions.

“We want to ensure every public asset creates value for the people,” he said.

“Our ultimate goal is to convert state ownership into shared national prosperity.”

He called for joint commitment from policymakers, public enterprise executives, the private sector and citizens to drive successful implementation.

“This is a collective journey towards transforming public wealth into enduring national prosperity,” he said. “We must foster efficiency, transparency and accountability at every stage.”