Tanzania and Germany have signed three grant agreements totaling US $30M (approximately Sh78.6bn) to advance water infrastructure and natural resource conservation projects.
The signing ceremony took place at the Ministry of Finance sub-offices in Dar es Salaam, reinforcing longstanding development ties between the two nations. Representing Tanzania was the Permanent Secretary in the Ministry of Finance, Dr. Natu El-Maamry Mwamba. The German delegation included Deputy Ambassador Manuel Muller and Christoph Tiskens, Director for Eastern Africa and the African Union at the German Development Bank (KfW).
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Phases of development
The grants will support three initiatives. The first is the Investment Financing Facility – Output Based Approach (IFF-OBA), which received US $11.6M (Sh30.6 billion). This program encourages water utilities to obtain loans from commercial banks, with eligible entities receiving grants covering up to 50% of the investment, capped at US $1M.
The second agreement, will fund a feasibility study for the Climate Resilient Towns project. This preparatory phase aims to enhance urban adaptability to climate change. The third initiative, the Sustainable Development of Protected Areas Ecosystems Project, has been allocated US $17.5M (Sh45.9 billion). It targets conservation and community development in and around Serengeti and Katavi-Mahale National Parks.
Dr. Mwamba emphasized the projects’ importance in improving public services, safeguarding natural resources, and promoting sustainable livelihoods. He reaffirmed the government’s commitment to successful implementation and further cooperation with Germany.
Mr. Muller described the agreements as evidence of Germany’s enduring partnership, particularly in tourism and conservation. Mr. Tiskens noted the potential of the IFF-OBA model to unlock financing for water projects and boost private sector engagement, while also supporting livelihoods near protected areas through new value chains. Germany remains a key development partner for Tanzania across multiple sectors.
