The Tanzania Investment and Special Economic Zones Authority has inaugurated five special economic zones located on the outskirts of the capital Dar es Salaam to attract more investments in the industrial sector. These zones include Bozawaji, Nala, Bagamoyo, Kwala, and Benjamin William Mkapa. The authority aims to attract local and foreign investors in priority sectors such as textiles and garments, pharmaceuticals, vehicle assembly, agro-processing, electronics, and renewable energy solutions. The zones are connected to the standard gauge railway network and major ports in the country. Tanzanian Minister of Planning and Investment, Katila Mkombo, stated that it is not enough to attract investors but to ensure their ability to operate profitably, aligning investment projects with national economic goals and providing tax and non-tax incentives.

The authority’s Director General, Giliad Terry, explained that any Tanzanian citizen wishing to establish a factory within these zones will receive land for free, provided the factory is completed within one year. Over 200 factory construction plans have been pre-approved, allowing investors to obtain building permits and start work within 24 hours. Special economic zones are defined as specific geographic areas within a country that offer investors tax incentives, infrastructure, a special customs regime, and simplified administrative procedures compared to the regular national framework, a model popular especially in Asian countries.