UK-Tanzania alliance eyes investment future

By Business Insider Reporter

The United Kingdom and Tanzania last week marked the one-year anniversary of the Mutual Prosperity Partnership (MPP), a bold initiative redefining economic cooperation between the two nations.

Launched in 2024 and anchored by a dedicated UK government office in Dodoma, the MPP is rapidly becoming a cornerstone of Tanzania’s efforts to drive sustainable development, attract foreign investment, and diversify its economy.

At a high-level event co-hosted by the British High Commission and Tanzania’s President’s Office – Planning and Investment, stakeholders celebrated a year of tangible progress and laid out a roadmap for deeper collaboration in the years ahead.

Vision for shared growth

At its core, the MPP is designed to align UK capital and expertise with Tanzania’s long-term development goals. The partnership is targeting:

  • £300 million in UK foreign direct investment (FDI)
  • Up to £1 billion in UK government-backed investment
  • £100 million in private capital for Tanzanian SMEs

The financial commitment underlines the MPP’s emphasis on mobilising not just public sector support but also unlocking the potential of the private sector-particularly in agriculture, green growth and trade.

Speaking during the event, British High Commissioner, Marianne Young, described the partnership as “a reflection of the strength and depth of the UK–Tanzania relationship,” adding that its impact is already visible in key sectors.

Investing in sustainability and agriculture

One of the MPP’s flagship initiatives is the UK-funded Green Growth Facility, which is helping a network of 30,000 farmers in Tanzania secure Rainforest Alliance certification for vanilla and cocoa.

The certification strengthens export competitiveness by verifying product origin, environmental standards, and ethical practices.

This approach fits neatly into Tanzania’s broader push to move up the agricultural value chain and tap into climate finance mechanisms that reward sustainable practices.

Dr. Kitila Mkumbo, Minister of State for Planning and Investment.

Strategic mineral value addition

Another area of strategic focus is the minerals sector.

The MPP is exploring how UK expertise and investment can help Tanzania develop value addition capabilities, turning raw resources into refined products for both local consumption and export.

Combined with efforts to grow bilateral trade, the initiative is expected to expand Tanzania’s access to UK and global markets.

The anniversary also marks one year since the opening of the UK Government Office in Dodoma-the first diplomatic mission of its kind in Tanzania’s administrative capital.

The office symbolizes the UK’s long-term commitment to decentralization and policy coordination at the heart of government.

Looking ahead

With Tanzania pursuing a bold agenda of industrialization, infrastructure expansion, and inclusive growth, the MPP represents a timely and strategic alignment of international support with national priorities.

“From trade and investment to green growth and regional cooperation, the MPP is about building a future of mutual benefit,” said Dr. Kitila Mkumbo, Minister of State for Planning and Investment. “The UK is not just a development partner, but a trusted economic-ally.”

As the partnership enters its second year, both sides have signaled an intent to scale up successful models and explore new frontiers – from digital trade infrastructure to youth entrepreneurship and climate resilience.