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Arusha tipped to rival Kigali in conference tourism
A bird’s-eye view of the Arusha International Conference Centre. PHOTO | FILE
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The city has been challenged to leverage its geographical advantages and untapped potential
Dar es Salaam. Arusha has been challenged to leverage its geographical advantages and untapped potential to position itself as a serious competitor to Rwanda in the lucrative conference tourism sector.
The call was made by the executive director of the Public-Private Partnership Centre (PPPC), Mr David Kafulila, who noted that Arusha’s larger geographical area—37,000 square kilometres compared to Rwanda’s 27,000—offered a competitive edge.
Speaking during a high-level investment forum, Mr Kafulila urged strategic investment in infrastructure to support the growing meetings, incentives, conferences, and exhibitions (MICE) industry.
“Rwanda earned over $88 million from conference tourism last year. Arusha has the potential to match or even surpass that figure, thanks to its natural assets and the political commitment of President Samia Suluhu Hassan,” he said.
Mr Kafulila pointed to the current limited capacity of the Arusha International Conference Centre (AICC), which can host a maximum of 1,300 delegates. In contrast, many international events attract upwards of 4,000 to 5,000 participants.
To address this, he proposed mobilising private sector investment to expand MICE infrastructure and incorporate complementary “artificial tourism” amenities such as medical, educational, and sporting facilities to boost global appeal.
Key government figures present at the forum included Industry and Trade Minister Dr Selemani Jafo, Minister of State in the President’s Office (Planning and Investment) Prof Kitila Mkumbo and Local Government Minister Mohamed Mchengerwa.
Mr Kafulila further advocated for the development of hotels near airports, improved road access to tourist sites, and upgraded facilities such as parking lots and marketplaces.
“These initiatives could be delivered through public-private partnerships (PPPs) at a cost of under $20 million each. They fall under the simplified PPP approval framework and only require facilitation by the centre,” he explained.
He also highlighted investment opportunities in student accommodation and avocado farming and processing, noting Arusha’s growing education and agriculture sectors.
Mr Kafulila emphasised that PPPs can provide not just capital, but also modern technology and management efficiency.
Quoting a 2014 Oxford University study, he observed that in the world’s 13 leading economies, 62 percent of wealth stems from human capital, 25 percent from institutional efficiency, and only five percent from natural resources.
He outlined four PPP models: solicited projects initiated by the government, unsolicited proposals from private investors, direct negotiations for urgent needs, and land-use partnerships with local authorities.
“Waiting on Treasury funds leads to delays. The time for action is now. Investors are ready to partner with the government to deliver transformative infrastructure,” he said.
Dr Jafo referenced the Engaruka soda ash project, highlighting its employment potential and urging youth to seize emerging economic opportunities.
“Anyone interested in poultry, vegetable farming or horticulture should act now. Let us capitalise on prospects linked to Engaruka and Afcon. There’s no reason to import what we can produce locally,” he stressed.
Prof Mkumbo underscored the importance of robust citizen involvement and infrastructure development to ensure the successful hosting of the Africa Cup of Nations (Afcon).
“We must rethink our business models and invest in affordable accommodation and catering services. Dar es Salaam should not be the sole focus,” he said.
Meanwhile, renowned Kenyan academic Prof Patrick Lumumba emphasised Arusha’s strategic importance as the headquarters of the East African Community (EAC).
He called for greater regional integration and the removal of trade barriers.
“Afcon will bring Kenyans seeking employment. What are we doing to ease access to work permits?” he asked, urging bold action to unlock regional economic growth.
