Tanzania’s new finance minister eyeing Tzsh1.5 Trillion in monthly revenues

President Magufuli (C), his Vice President Ms Suluhu (2nd L) and Premier Majaliwa (2nd R) in a group photo with the new cabinet members.

President Magufuli (C), his Vice President Ms Suluhu (2nd L) and Premier Majaliwa (2nd R) in a group photo with the new cabinet members.

Tanzanian President John Magufuli has sworn-in six new ministers including four he left pending when he first revealed a lean cabinet early this month.

The new ministers include Finance and Planning Dr. Philip Mpango, Prof Joyce Ndalichako (Education, Science and Technology), Prof Jumanne Maghembe (Natural Resources and Tourism) and Prof Makame Mbarawa who was transferred to Works, Transport and Communication docket from Water and Irrigation.

President Magufuli also sworn in Eng. Gerson Lwenge to become new Minister for Water and Irrigation while Hamad Masauni becomes—Deputy Minister for Home Affairs.

New Finance Minister Dr Mpango announced a new government revenue collection target of Tzsh1.5trillion per month. If the new target is achieved, the east African nation will be able to raise Tzsh18trillion in the next financial year.

The current national budget stands at TZsh21trillion of which sh15trillion is projected to be generated from domestic revenue sources with the rest coming from donor funding.

Dr Mpango said his priority is to review all tax legislations to allow industries and larger business people pay taxes. The former Tanzania Revenue Authority (TRA) boss said “I’m optimistic we can generate sh1.5trillion.”

Shortly after taking office as the Acting Commissioner General replacing Rished Bade, who was sent parking by the no-nonsense leader, Dr. Mpango generated over Tzsh1.3trilion outpacing the target that has remained below Tzsh1trillion for years.

“We must improve our economy. But this can be possible by the ever-increasing large industries … we only have Tanzania Breweries Limited (TBL) as one large industry, we have to increase the number of companies with similar capacity to at least 10 to improve revenue collections,” he said.

Prof Makame Mbarawa who was transferred to the Ministry of Works, Transport and Communications from Water and Irrigation docket said the new government will ensure that the long awaited central railway is upgraded.

The minister said while there are plans to put up 4800 kilometers of tarmac roads, construction of the new standard gauge railway is inseparable to the development vision 2025.

“Yes the government has talked much about upgrading the central railway. There is no way for the nation to continue using roads whilst opened trade opportunities to the neighboring EAC countries and as well as the opportunities land rocked countries present,” he said