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Tanzania Signs Key Contracts to Boost Katavi Economy

“These projects are game changers,” said Kihenzile. “We’re not just building roads and ships; we’re building a future for the people of Katavi.
December 21, 2024
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Tanzania has taken a significant step toward transforming the Katavi Region into an economic powerhouse.

The government recently signed two major contracts aimed at improving transportation and fostering growth around Lake Tanganyika.

Deputy Minister of Transport, David Kihenzile, made the announcement on December 20, 2024, during his visit to Karema Port in Katavi. The port, a vital hub for trade in the region, was built at a cost of TZS 47.9 billion and is set to play a central role in the region’s development.

One of the contracts involves constructing a new road to connect Mpanda town directly to the port. This road is expected to make transportation easier for residents and businesses, reduce travel time, and lower the costs of moving goods to market. Contractors have already begun work, showing the government’s commitment to expediting this project.

The second contract focuses on a shipbuilding initiative that will see the construction of two new ships, each with a 3,500-tonne capacity, for use on Lake Tanganyika. Additionally, the agreement includes plans to refurbish three existing vessels—MV Liemba, MV Mwongozo, and MV Sangara which are crucial for connecting communities and supporting trade across the lake.

“These projects are game changers,” said Kihenzile. “We’re not just building roads and ships; we’re building a future for the people of Katavi. Improved infrastructure will open up the region for trade, investment, and economic growth.”

The shipbuilding project is expected to enhance transport safety and efficiency on Lake Tanganyika. With the addition of modern ships and the restoration of older ones, the initiative promises to ease the movement of goods and passengers, benefiting both local residents and traders who rely on the lake.

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In addition to boosting transportation, these projects are set to create hundreds of jobs during construction and beyond. Improved roads and maritime services will also encourage businesses to invest in the region, further supporting local economies and enhancing the standard of living for Katavi’s residents.

The developments align with the government’s broader vision of regional integration and economic empowerment. By enhancing the logistical network in and around Katavi, the projects are expected to strengthen Tanzania’s trade connections with neighboring countries, making Lake Tanganyika a thriving economic corridor.

For the people of Katavi, the road and shipbuilding projects represent more than just infrastructure upgrades they are a pathway to opportunity. Businesses will find it easier to reach new markets, farmers will be able to transport goods more efficiently, and residents will have better access to essential services.

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