Nabaki’s Future Role in Tanzania
Nabaki’s Future Role in Tanzania
Nabaki Afrika continues to thrive in a complex business environment, and – despite the turbulence of recent years – to demonstrate strength and resilience with steady sales. As a focused yet flexible company, we have adapted to changing and challenging conditions, exploring and exploiting the opportunities of new and emerging markets, and expanding our focus from the private domestic market towards large-scale national infrastructure projects.
Nabaki continues to see great business potential in Tanzania, as the country expands its industrialisation goals and caters for a rapidly increasing and urbanising population. Tanzania’s growing economy, the evolution of its mining sector, and ongoing large-scale construction and civic works, all provide opportunities that Nabaki is well placed to optimise. In summary, as we continue to build our reputation as a TRIED, TESTED, and TRUSTED company, we are excited and optimistic about Nabaki’s future in Tanzania!
Tanzania’s business potential
• Growing Economy: the Tanzanian economy has been growing at a remarkable rate (c.7%), over the past decade, and the World Bank projects strong future growth (>5% in 2022; 6% in the years head).
• Industrializing: Tanzania is prioritising industrialisation and infrastructure in its aim to transition from a low to medium income country. Massive new projects – including Tanzania’s US$ 10 billion SGR railway and the US$2.9 billion Julius Nyerere hydro project (both partially supplied by Nabaki) – are helping inject money into the economy and offset recent global and national disturbances.
• Improving business environments: The presidency of Samia Suluhu Hassa, which began in March 2021, ushered in a new chapter for Tanzania, with the country’s first female head of state focused on bolstering the country’s business environment and investment climate, and promoting the private sector, especially in agriculture and mining.
• Local content: Tanzania prioritises local companies and transparent bidding processes. New policies that require the mining and mineral sector to procure supplies/services from local owned companies provide great opportunities for Nabaki, which was awarded its Local Plan and Local Content certificate in July
2021, and has opened a new Civils and Mining Supplies division.
• Strategic position: Tanzania shares an international border with eight countries, and provides a gateway to Indian Ocean shipping for at least six landlocked countries.
• Vast untapped mining potential: Tanzania has some of the world’s richest deposits of natural gas, gold, and helium, as well as rare minerals and metals (including diamonds, platinum, uranium, and tanzanite) and important deposits of nickel, graphite, and lithium.
• Housing demand: Has a housing deficit along with a growing and urbanising population
• Peace & potential: Tanzania has been a beacon of peace and stability in the region since Independence in 1961. With a stable currency, a rich natural resource base, immense tourism potential, it is set to hold its seventh national multiparty election in 2025.