Tanzania does not have necessary resources to sustainably finance activities to achieve its national development outcomes and in particular the SDGs. Achieving Tanzania’s development goals and the SDGs rooted in the 2030 Agenda requires mobilizing a diverse range of public and private financial resources. Furthermore, for Tanzania to achieve Vision 2025, sustainable finance will need to be utilized as a driving force for social and economic resilience. The government is keen to identify opportunities to mobilize additional sources of finance and use existing financial resources more efficiently to achieve the SDGs by 2030, coupled with the Development Finance Assessment (DFA). However, currently, there is a missing link between national development plans and the financial resources needed to achieve them.
National resource mobilization and increased commitments from private investors and enterprises will be increasingly needed for recovery, while maintaining progress towards the achievement of the SDGs by 2030. More importantly Tanzania will need “SDG aligned investments” to trigger the envisaged economic transformation. Tanzania will also need “innovative financing models”, including the Integrated National Financing Framework (INFF) which is a tool to strengthen its planning process and finance sustainable development. Against the above background, 4IP Group will be working with the Government of Tanzania, UNDP, Development Partners and our strategic partners (Economic Support Organizations) in order to come up with new modalities and business models which will assist the country to “fastrack” the achievement of the SDGs through catalyzing investments from the private sector amid the existing volatilities in the global economy.
The SDG Investor Map presents 13 Investment Opportunity Areas (IOAs) that can direct private capital towards achieving sustainable and inclusive economic growth for Tanzania.
The GIIN (2015) reports there has been at least 109 non-DFI impact deals in Tanzania, disbursing approximately USD 227 million in capital. How many of these deals have been intermediated through Tanzania’s market enablers? And when that happens what kind of arrangement do you have with Impact Investors who fly to Dar es Salaam to benefit from your capacity building work?
According to the GIIN there are 129 impact capital vehicles managed by 92 non-DFI impact investors that actively consider Tanzania—nearly as many as consider Kenya. Most of these impact capital vehicles are active across the region.
