Peak Resources

Speaking at the 11th Tanzania National Business Council meeting at the State House, the Tanzanian president has pledged to support the private sector.

This is a refreshing statement considering the turmoil the Tanzania mining industry has faced in recent times following significant changes in legislation that may affect investment appetite in the country.

Acacia Mining has suffered most severely at the hands of this change and is looking to sell parts of or all of its Tanzania gold assets.

At the meeting, President Magufuli highlighted his wish for the government to work on a new, closer and mutually beneficial engagement with the private sector saying: “Business people are our most important stakeholders; they provide the government with much-needed revenue.”

The intermittent power supply in the country was a key issue mentioned at the meeting as well. President Magufuli assured the audience that the government was working on its concerns and that an agreement with a new contractor was expected to be signed soon.

“It is heartening to see the winds of change blowing from Tanzania. This is a very clear and powerful signal that the country is open to business and keen to create an environment where companies can thrive,” says CEO of Kibo Mining Louis Coetzee.

Kibo Mining is working to execute the development of a coal-fired power station in Tanzania which will feed electricity into the main grid. It will also develop its own coal mine to feed the power station.

“We are looking forward to making further strides with our nationally important flagship Mbeya Coal to Power Project, that aims to alleviate the acute power deficiency in the country and hope to sign the power purchase agreement shortly.”