Government expanding its focus,says Samia

President Samia Suluhu Hassan speaks at a past event.

PHOTO | STATE HOUSE

What you need to know:

  • The Head of State said in the past the government’s top priority was execution of strategic projects that would stimulate economic development

Dar es Salaam. President Samia Suluhu Hassan yesterday said the government is expanding its focus to projects executed by domestic contractors in order to build a people-centred economy.

The Head of State said in the past the government’s priority was execution of strategic projects that would stimulate economic development, noting on the contrary the priority has been shifted to projects that will benefit the majority.

President Hassan was speaking after witnessing the signing of 10 contracts that are part of 969 that would be inked between the Tanzania Rural and Urban Roads Agency (Tarura) and domestic contractors.

They are part of 1,085 kilometres with Sh378.56 billion that would be maintained and rehabilitated following the first phase of tender equals to 60 percent of tenders that will be floated in the 2022/23 Fiscal Year.

A total of 1,706 tenders worth Sh621 billion will be floated this financial year with the second phase slated to be announced later.

The signed 10 contracts involve projects that will be executed in Dar es Salaam, Arusha, Kilimanjaro; Kigoma; Dodoma; Kagera; Mtwara; Njombe regions through domestic contractors.

Strategic projects implemented by the government are Julius Nyerere Hydropower Project (JNHPP), the Standard Gauge Railway (SGR) project and aircraft procurement leased by the Tanzania Government Flight Agency (TGFA) for Air Tanzania Company Limited (ATCL) operations.

But yesterday, President Hassan said projects executed through the Covid-19 relief funds from the International Monetary Fund (IMF), Tarura and other sectors of production are contracted to local firms.

“We have increased funds for the production sector. For instance, in the agriculture sector where we will see different projects of irrigation; seeds multiplication; research, subsidised fertiliser in order to touch ordinary citizens at the grassroots,” she said.

“This is my emphasis because road construction will bring transport and transportation relief. Citizens will easily access better markets for their produce, get better prices and strengthen their economy,” she added.

However, she observed that the shift in priorities doesn’t mean the government was neglecting strategic projects, rather it aimed at building a conducive environment for citizens and strengthening urban and rural transport and transportation.

“This will enable citizens to do better and improve income generation. At this moment, we will be able to build an economy that grows upwards from the grassroots,” she said.

She said in the past, local contractors were denied the opportunity to implement government’s funded projects, noting that her administration has reversed the situation starting with the Covid-19 relief funds.

“During this period you (contractors) have benefited with implementation of classrooms and healthcare centres construction projects. After an increase in the budget of Tarura, I have instructed the projects to be executed by domestic contractors,” she said.

“I understand that after you have got the opportunity, money will increase in circulation and the country’s economy in general. The move will end an outcry of absence of money in circulation,” she added.

She said after the government has fulfilled its responsibilities, contractors are challenged to execute the project diligently adhering to the time frame, value for money and quality as stipulated in the contract.

The Head of State directed that slander contractors shouldn’t be contracted and that the public procurement regulations and allocating 30 percent of the projects to capable women should be observed.

“The minister responsible for Regional Administration and Local Government, (Mr Innocent Bashungwa) should ensure the remaining 959 projects are advertised including beneficiary regions once they are inked,” she instructed.

“Implementation of these directives will determine whether the budget should be increased for the agent or not,” she added.

Tarura’s chief executive officer Victor Seff said Sh838.16 billion has been allocated for 2022/23 Fiscal Year; Sh776 billion from domestic and Sh61 billion from external sources.

“The fund will maintain 21,595 kilometres of road. The 422 kilometres at the tarmac level, 11,000 at gravel level and 269 bridges will be maintained and rehabilitated,” he said.

He said expiry of the first Five Year Strategic Plans (2017-2021) that spent Sh1.3 trillion provides an opportunity for commencing execution of the second Five Year Strategic Plan 2021/22-2026/27.