Tanzania eyes major US investors in health

DAR ES SALAAM: TANZANIA is seeking to attract major United States investors into the health sector, particularly pharmaceutical, medical equipment, diagnostic and health technology manufacturing, as the government moves to position the country as a regional hub for health product production. Minister for Health, Mr Mohamed Mchengerwa, said Tanzania was no longer seeking investors merely to supply the domestic market, but strategic partners capable of investing capital, transferring technology, creating jobs and linking local industries to regional markets. Speaking during the US-Tanzania Health Partnership Stakeholders Meeting in Washington, DC, on Thursday, he said pharmaceutical manufacturing had become a strategic priority as the government sought to build domestic production capacity and reduce reliance on imported health products.

Mr Mchengerwa said the government was working to attract American pharmaceutical, diagnostic and medical-device companies through fiscal incentives, improved regulatory pathways, public procurement and financing mechanisms designed to make investments more viable. “ Tanzania is not looking for investors for capital alone, but partners who will help build industries, transfer technology, create employment and make Tanzania an important part of the health-products manufacturing value chain,” he said. He said the approach was also reflected in the five-year health cooperation Memorandum of Understanding (MoU) signed with the United States on July 1, 2026, covering the period from 2026 to 2030.

Under the agreement, Tanzania is committing more than 1.8 billion US dollars, while the US is expected to contribute about 1.34 billion US dollars. The partnership is based on co-ownership rather than charity. To facilitate investment, the Ministry of Health has established the Pharmaceutical Investment Acceleration Taskforce (PIAT), bringing together the Tanzania Investment and Special Economic Zones Authority (TISEZA), Tanzania Medicines and Medical Devices Authority (TMDA), Medical Stores Department (MSD), Tanzania Revenue Authority (TRA) and special economic zone authorities.

Mr Mchengerwa said the arrangement was intended to simplify the investment process by bringing relevant institutions together. “We are bringing all these institutions together because the investor should not have to move from one door to another.