Tanzania courts private capital to drive water infrastructure under Dira 2050

By Asia Singano, N’Djamena

Tanzania is positioning the water sector as a cornerstone of its long-term economic transformation, unveiling an ambitious investment agenda that seeks to expand access to clean and safe water while attracting greater private sector participation in strategic water infrastructure.

Addressing the African Water Forum 2026 in N’Djamena, Deputy Minister for Finance Laurent Luswetula said the government views water not merely as a social service but as a critical economic asset capable of accelerating agricultural productivity, industrialisation, energy generation, urban development, public health and climate resilience.

Speaking on behalf of Finance Minister Ambassador Khamis Mussa Omar, Luswetula said the implementation of Tanzania’s Vision 2050, which officially commenced on July 1, 2026, together with the forthcoming Presidential Water, Sanitation and Hygiene (WASH) Compact, marks a new phase in the country’s efforts to modernise the water sector through coordinated public and private investment.

“Access to clean and safe water is fundamental to Tanzania’s economic transformation. Our objective is to ensure that every village has access to basic water services by 2031 while creating investment opportunities that support sustainable growth,” Luswetula said.

The strategy reflects a broader policy shift under Vision 2050, which places infrastructure development and private-sector-led investment at the centre of Tanzania’s long-term development agenda. The government plans to integrate ministries, development partners, private investors and local communities to accelerate water supply projects, sanitation services and digital innovation across the sector.

Tanzania’s Deputy Minister for Finance, Laurent Deogratius Luswetula (left), bids farewell to the World Bank’s Regional Water Director for Africa, Saroj Kumar, after delivering remarks on behalf of Finance Minister Ambassador Khamis Mussa Omar (MP) at the African Water Forum: From Vision to Action, currently underway at the Radisson Blu Hotel Conference Centre in N’Djamena, Chad. Luswetula is leading the Tanzanian delegation at the forum on behalf of the Finance Minister.

Among the flagship initiatives is the proposed National Water Grid, which will connect water-surplus areas with regions facing chronic shortages, helping to improve water security for households, agriculture and industry. The government is also prioritising climate-resilient WASH systems, modern irrigation infrastructure, digital water management technologies and watershed conservation.

Luswetula invited domestic and international investors to partner with the government through Public-Private Partnerships (PPPs), describing the sector as one of Tanzania’s emerging investment frontiers.

“We welcome private sector participation in strategic investments, including the National Water Grid, climate-resilient WASH services, irrigation systems, digital water solutions and the protection of water resources,” he said.

The emphasis on water infrastructure comes as Tanzania seeks to support rapid industrial growth, expand commercial agriculture and strengthen resilience against increasingly frequent climate-related shocks. Reliable water supplies are widely recognised as essential for reducing production costs, improving food security and attracting manufacturing investment.

The World Bank welcomed Tanzania’s approach, describing the country’s long-term planning framework as a model for aligning infrastructure investment with private sector participation.

The Bank’s Regional Water Director for Africa, Saroj Kumar, praised Tanzania for embedding water sector reforms within Vision 2050 and noted that the country’s strategy allocates a significant role to private investment, with the private sector expected to contribute about 70 percent of total investment under the national development framework.

Members of the Tanzanian delegation listen attentively as Deputy Minister for Finance Laurent Deogratius Luswetula (not pictured) delivers Tanzania’s statement on behalf of Finance Minister Ambassador Khamis Mussa Omar (MP) during the African Water Forum: From Vision to Action, currently taking place at the Radisson Blu Hotel Conference Centre in N’Djamena, Chad.

“The World Bank recognises Tanzania’s strong commitment to improving the lives of its citizens through Vision 2050 and remains committed to supporting the implementation of this ambitious agenda,” Kumar said.

The African Water Forum, held under the theme “From Vision to Action,” has brought together African governments, development finance institutions, investors and technical experts to explore financing models capable of closing the continent’s substantial water infrastructure gap. For Tanzania, the forum serves not only as a platform to showcase reforms but also as an opportunity to mobilise long-term capital for a sector increasingly recognised as a catalyst for inclusive economic growth. With demand for water rising alongside urbanisation, industrial expansion and climate pressures, the government’s investment drive signals that water infrastructure is set to become one of the country’s next major development priorities.