The World Bank Group’s Board of Executive Directors has endorsed a new Country Partnership Framework (CPF) for Tanzania. This initiative aims to support the nation in consolidating its middle-income status, achieving high levels of human development, and contributing to the World Bank Group’s mission to end extreme poverty and boost prosperity on a livable planet.
The strategy maximizes the impact of the One-WBG approach by coordinating and leveraging the strengths of the International Development Association (IDA), the International Finance Corporation (IFC), and the Multilateral Investment Guarantee Agency (MIGA) from FY2025 to FY2029.
The CPF prioritizes several key areas. It aims to support Tanzania's human development agenda by providing transformative support in education, healthcare, water, sanitation, hygiene services, and shock-responsive social protection programs. Additionally, it seeks to bolster private sector-led growth by supporting reforms that strengthen the business climate, investing in infrastructure and connectivity, and modernizing productive sectors. The CPF also focuses on leveraging Tanzania's strategic geographic location for inclusive growth both domestically and regionally.
Furthermore, the CPF addresses Tanzania’s resilience agenda with a focus on climate change adaptation and mitigation strategies alongside efforts to strengthen economic resilience. These objectives are underpinned by two cross-cutting priorities: increased empowerment of women and youth and improved government effectiveness through more efficient, transparent, and accountable institutions.
“We have seen tremendous progress with recent policy changes," said Nathan Belete, World Bank Country Director. "Girls and boys now have multiple pathways to complete their secondary education... With such renewed commitment to human development and inclusion by the government, the outlook for inclusive growth and poverty reduction is favorable."
The CPF is informed by extensive consultations with various stakeholders as well as a country opinion survey. It aligns with priorities identified in Tanzania’s Third Five-Year Development Plan and Zanzibar’s Five-Year Development Plan. The focus on private sector-led growth is consistent with IFC’s Creating Markets Strategy.
“Private sector participation is critical to any economy’s growth," said Mary Porter Peschka, IFC’s Regional Director for Eastern Africa. "IFC will continue to work closely with our public and private sector partners...to further support inclusive finance, agribusiness, manufacturing, and sustainable infrastructure.”
“In recent years MIGA has seen a significant increase in investor interest in Tanzania,” said Șebnem Erol Madan, Director of Economics and Sustainability at MIGA.“As part of the new CPF...MIGA will continue to support financial inclusion...and mobilizing private capital in other sectors.”
The CPF builds on a well-performing WBG portfolio in Tanzania which provided over $9 billion dollars from 2018-2022 delivering improvements such as increased access to safe water for nearly 4.7 million people; improved secondary education benefiting 2.7 million students; expanded access to electricity for 7.9 million people in rural areas.
IFC’s investment portfolio in Tanzania stands at over $400 million focused on financial institutions, agribusinesses, real estate while its advisory portfolio reached $11 million in 2024. Recently MIGA issued political risk guarantees totaling $151 million focusing on renewable energy and digital sectors.
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