By 
Dar es Salaam, Tanzania, 20 May 2026 — Tanzania has presented a nearly USD 985 million budget for the Ministry of Works for the 2026/27 financial year, signalling a major infrastructure push aimed at strengthening national connectivity, unlocking regional trade corridors, reducing urban congestion, expanding transport access and positioning the country as a stronger gateway for East and Southern Africa.
The budget, presented in Parliament by the Minister for Works, Hon. Abdallah Hamis Ulega, places roads, bridges, ferries, airports, expressways, public-private partnerships and climate-resilient infrastructure at the centre of Tanzania’s next phase of development.
The Ministry is requesting approximately USD 985.15 million for recurrent expenditure and development projects. Of this amount, about USD 947.85 million will go to development projects, while approximately USD 37.30 million will support recurrent expenditure. The development budget includes about USD 593.48 million from domestic sources and USD 354.37 million from external financing.
According to the Ministry, Tanzania’s national road network under TANROADS now covers 37,734.41 kilometres, of which 12,225.26 kilometres have been built to bitumen standard. Since independence in 1961, when the country had only 1,360 kilometres of paved roads, successive governments have expanded the network substantially. Under the Sixth Phase Government alone, Tanzania has built 1,495.45 kilometres of roads and 18 major bridges within five years.
Between July 2025 and April 2026, the Government completed 243.13 kilometres of national roads to bitumen standard, rehabilitated 94.36 kilometres to gravel standard, completed nine major bridges, continued construction of 11 bridges and advanced preparations for 13 more.
Read more: Zambia–Tanzania bilateral trade hits US$11.85 billion
The Minister said the investment reflects a broader national mission: to connect farmers to markets, patients to hospitals, students to schools, young people to jobs and Tanzania to the regional economy.
The construction sector remains one of Tanzania’s most important economic engines. In 2025, it contributed 11.9 percent to GDP, ranking second among key sectors. It also grew by 4.0 percent, compared with 3.0 percent in 2024, while creating 18,988 jobs for contractors, consultants, artisans, suppliers, youth and women.
A major regional priority in the 2026/27 plan is the continued construction of roads linking Tanzania with neighbouring countries. These include the Tanga–Pangani–Makurunge road and Pangani Bridge linking Tanzania and Kenya; the Manyovu–Kasulu–Kabingo regional road connecting Tanzania and Burundi; the Kibondo–Mabamba road linking Tanzania and Burundi; the Lusahunga–Rusumo road connecting Tanzania, Rwanda and Burundi; and the Matai–Kasesya road connecting Tanzania and Zambia.
These investments will support cross-border trade, regional tourism, agricultural value chains, mining logistics, industrial corridors, port access and the movement of goods across the East African Community and the Southern African Development Community.
The Ministry also plans to continue constructing roads serving strategic economic zones, including ports, railways, airports, industries, farms, mines, tourism areas, export processing zones, national capitals and border security areas.
Urban mobility forms another major pillar of the new budget. Tanzania will continue congestion-reduction projects in Dar es Salaam, Dodoma, Arusha, Mwanza, Mbeya, Iringa, Singida and Pwani. In Dar es Salaam, priority works include Bus Rapid Transit Phase III from Maktaba to Julius Nyerere International Airport and Gongolamboto, Phase IV from Maktaba to Morocco, Mwenge and Tegeta, and preparations for Phase V from Ubungo to the port, Tabata and Kigogo.
The Government will also advance flyover projects at Mwenge, Morocco, Tabata, Fire, Magomeni and KAMATA, alongside major road expansions, including Ubungo–Kimara, Mbagala–Kongowe–Mkuranga, Mwai Kibaki Road and Kibaha–TAMCO.
In Dodoma, the plan includes the near-completion of the 112.3-kilometre Outer Ring Road, expansion of the Dodoma–Morogoro corridor, and upgrades on the Dodoma–Iringa and Dodoma–Arusha routes. Arusha will benefit from the Arusha–Kisongo road expansion, Mbauda–Losinyai road construction, Tengeru–USA River expansion and the Tengeru–Mererani road.
The Ministry is also preparing to use infrastructure bonds to finance major maintenance and rehabilitation of key economic roads. These include Morogoro–Dodoma–Singida–Tabora–Shinyanga–Mwanza, Kongowe–Kibiti–Lindi–Mingoyo, Sirari–Musoma–Mwanza–Geita–Bukoba–Mutukula, Chalinze–Segera–Tanga–Moshi–Arusha, Babati–Singida and Dar es Salaam–Morogoro–Iringa–Makambako–Mbeya–Tunduma.
This financing direction reflects Tanzania’s growing shift toward diversified infrastructure funding. The Government has also invited the private sector, financial institutions, domestic investors and foreign investors to participate in road construction, building development, ferry operations and workshop projects through public-private partnerships.
Climate resilience also features strongly. Following damage caused by El Niño rains and Cyclone Hidaya, which affected 63 bridges, 827 kilometres of roads, 84 kilometres of drains and 225 culverts across 139 districts, the Government allocated approximately USD 213.95 million to restore damaged infrastructure.
Through the CERC programme, 81 emergency bridge projects have been implemented in 22 mainland regions. Of these, 70 projects, worth about USD 159.23 million, are being implemented by local contractors, while 11 projects, worth approximately USD 54.72 million, are being implemented by foreign contractors. Implementation has reached 97.6 percent.
Ferry infrastructure remains a priority for communities separated by water and for Tanzania’s blue economy. The Ministry, through TEMESA, has completed ferry projects serving Kisorya–Rugezi and Bwiro–Bukondo, while new ferries at Ijinga–Kahangala, Nyakaliro–Kome, Buyagu–Mbalika and Nyamisati–Mafia are at advanced stages. Additional rehabilitation works cover MV Kilombero II, MV Nyerere, MV Magogoni, MV Ukara I, MV Kigamboni and MV Pangani II.
In aviation, the Ministry is supervising construction, expansion and rehabilitation of 10 airports. Msalato International Airport, planned as a strategic transport hub for central Tanzania and international connectivity, has reached 85.17 percent for infrastructure works under Package I and 71.52 percent for building works under Package II.
Looking ahead, Tanzania is preparing a national Expressway Master Plan with support from KOICA, expected for completion in November 2028. The Government is also advancing the Kibaha–Chalinze–Morogoro Expressway, covering 163.8 kilometres, under a PPP arrangement, alongside early-stage expressway studies for key Dar es Salaam and Arusha corridors.
WARNING! All rights reserved. This material, and other digital content on this website, may not be reproduced, published, broadcast, rewritten or redistributed in whole or in part without prior express permission from ZAMBIA MONITOR.
Comments