By Business Insider Reporter, Dodoma
The government has intensified efforts to modernise the country’s public procurement system through an ongoing review of the Public Procurement Act, Chapter 410, in a move aimed at aligning state purchasing and supply chain management with the ambitions of the national Development Vision 2050 (Dira 2050).
The review, spearheaded by the Ministry of Finance, reflects growing recognition that procurement reform will play a critical role in supporting industrialisation, public sector efficiency, local enterprise development and long-term economic transformation.
Officials say the proposed reforms seek to create a more modern, integrated and technology-driven procurement framework capable of improving accountability, reducing inefficiencies and strengthening service delivery across government institutions.
The latest phase of consultations brought together procurement and supply chain officers from local government authorities, primary and secondary schools, and health centres during a stakeholder workshop held in Dodoma.
Procurement reform and economic transformation
Speaking during the closing session of the workshop, Assistant Commissioner in the Ministry of Finance’s Public Procurement Policy Department, Ms. Emma Komba, said the review process is designed to establish a comprehensive procurement and supply chain management system that incorporates every stage of the supply chain.
These include needs assessment, purchasing, cargo clearance, receiving, storage, distribution and disposal of public assets.
According to Ms. Komba, the reforms are also intended to support key pillars of Dira 2050, particularly industrial development, inclusive growth and sustainable economic expansion.
“This review is a strategic step toward ensuring that all issues relating to the entire supply chain are fully integrated into the new law and that these reforms become a catalyst for national development,” she said.
She added that the Ministry of Finance would analyse and incorporate recommendations submitted by stakeholders to identify areas requiring improvement and establish a stronger legal foundation for the country’s future development agenda.
Digital procurement system gains momentum
The review comes as Tanzania continues expanding the use of the National e-Procurement System of Tanzania (NeST), an electronic procurement platform introduced to improve transparency, efficiency and oversight in public spending.
Public procurement accounts for a substantial share of government expenditure in Tanzania, making the sector central to broader anti-corruption, fiscal management and public sector reform efforts.
Over the years, businesses and development partners have repeatedly raised concerns over procurement delays, bureaucratic bottlenecks, limited access for small businesses and weak contract management within some public institutions.
Analysts say strengthening procurement systems could significantly improve the business environment by creating more predictable opportunities for local suppliers and reducing operational inefficiencies that increase project costs.
Director of Legal Services at the Public Procurement Regulatory Authority (PPRA), Mr. Paul Kadushi, said the authority would continue providing training and technical support to procurement practitioners and suppliers to improve utilisation of the electronic procurement system.
“As PPRA, we have invested considerable effort in educating suppliers and special groups, but we also need to strengthen the capacity of procurement practitioners themselves so they can perform their responsibilities more efficiently,” he said.
Dira 2050 places pressure on public sector efficiency
The procurement law review is taking place at a time when Tanzania is accelerating implementation of major infrastructure, industrial and social service projects under its long-term economic transformation agenda.
Government planners increasingly view efficient procurement systems as essential for delivering strategic investments in transport, energy, education, healthcare and digital infrastructure.
Economists argue that procurement reform could also strengthen Tanzania’s industrialisation drive by expanding opportunities for domestic manufacturers and service providers through local content frameworks and fairer access to government contracts.
The reforms are additionally expected to improve coordination across public institutions and enhance value for money in state-funded projects.
Under Chapter 410 of the Public Procurement Act, the Ministry of Finance holds the legal mandate to review and update procurement policies, laws, regulations, guidelines and directives governing public procurement and supply chain management in Tanzania. With the country positioning itself for a more industrial and technology-driven economy under Dira 2050, the success of the procurement reforms may prove critical in determining how efficiently public resources are translated into economic growth and improved public services.
