Banjul, Gambia. African countries need to implement stronger policy and tax measures to enable the industrial sector to contribute more significantly to economic growth, job creation, increased production and export expansion, Finance Minister Khamis Mussa Omar has said.
Mr Omar made the remarks during a discussion on the role of industrial development in driving economic growth in Africa, held on the sidelines of the 2026 African Caucus Meeting at the Sir Dawda Kairaba Jawara (SDKJ) International Conference Centre in Banjul, The Gambia.
Mr Omar said Tanzania has continued to implement policy and tax measures aimed at encouraging investment, supporting local industries, increasing production and creating employment opportunities, particularly for young people.
He said Tanzania has started implementing the National Development Vision 2050, which targets transforming the country into a $1 trillion economy by 2050, with the private sector expected to contribute about 70 percent of that target through industrial production and other economic activities.
The minister identified limited access to capital, inadequate markets, infrastructure gaps, including energy and transport, as well as shortages of skilled human resources as some of the major challenges slowing industrial growth in many African countries, including Tanzania.
He said addressing these challenges would accelerate industrial transformation and enable African economies to move towards value addition and increased competitiveness in global markets.
Mr Omar said the government was strengthening special investment areas and providing incentives to investors and young entrepreneurs starting businesses.
He said young entrepreneurs are being supported through tax relief measures, including a one-year exemption period that allows them to build their capital base before beginning tax payments.
“All these efforts can achieve greater success through strong cooperation between the public and private sectors, where both sides sit together and discuss issues that can improve the business environment,” he said.
The minister also called on the World Bank and the International Monetary Fund (IMF) to increase support for African countries in implementing strategic infrastructure projects that promote economic transformation through value chains.
Speaking during the discussion, World Bank Director responsible for Group One African countries, Dr Zarau Wenderine Kibwe, said the institution was ready to work with African countries by supporting industrial infrastructure development.
He said such investments would help boost employment, increase production and expand domestic and international trade through value addition of agricultural products and other goods.
The Tanzanian delegation at the meeting is led by Mr Omar and includes Zanzibar Minister for Finance and Planning Dr Juma Malik Akil, Bank of Tanzania (BoT) Governor Emmanuel Tutuba and Tanzania’s High Commissioner to Nigeria, who also oversees diplomatic affairs in The Gambia, Ambassador Selestine Kakele.
