By Prosper Makene
The Tanzania Development Bank (TIB) has welcomed the new Country Manager of the East African Development Bank (EADB), Ms. Angela Muga, on an official visit aimed at strengthening cooperation between development finance institutions in the East African region.
The visit underscored the commitment of both institutions to fostering sustainable economic growth, sharing experiences, and promoting regional integration.
During her visit, Ms. Muga was accompanied by a delegation from EADB, led by Mr. Stephen Wambura, the EADB Resident Manager for Tanzania. The delegation took the opportunity to visit Pipes Industries, a key beneficiary of joint financing from TIB and EADB. Located in the Vingunguti Industrial Area in Dar es Salaam, Pipes Industries is a leading manufacturer of plastic pipes and other plastic products essential for infrastructure development.
Pipes Industries received a loan of approximately TSh 28.65 billion, which has significantly contributed to expanding its production capacity and enhancing its operations. This financing has enabled the company to increase the production of vital plastic products, including pipes crucial for water supply infrastructure in urban and rural areas. The investment has yielded important development outcomes, including job creation for Tanzanians, increased government revenue through taxes, and improved access to water infrastructure equipment.
The project aligns with Tanzania's broader strategy of industrial development, aimed at boosting domestic production and reducing dependency on imported goods. By supporting industries like Pipes Industries, TIB continues to play a pivotal role in strengthening the private sector and enhancing economic resilience.
Speaking during the visit, TIB's Chief Executive Officer, Mr. Deogratius Kwiyukwa, emphasized the importance of collaboration between regional development finance institutions in mobilizing long-term capital for transformative projects. "It is a great pleasure to officially welcome Ms. Angela Muga, the new Resident Manager of EADB Kenya, to our offices. Our partnership spans over 10 years, during which TIB, through EADB, has financed projects worth over TSh 80 billion across various sectors, including agriculture, health, education, industry, mining, and tourism," Kwiyukwa said.
He added, "Through this collaboration, over TSh 28 billion has been invested in the expansion project of Pipes Industries co Ltd in Vingunguti, Dar es Salaam, resulting in increased production of plastic products like water pipes, job creation for young men and women, and the growth of the industrial sector in Tanzania."
Ms. Angela Muga, EADB's Country Manager, highlighted the significance of cooperation among development finance institutions.
"Collaboration among DFIs is crucial for unlocking large-scale capital for regional transformation. By pooling our resources, we can accelerate industrial growth, strengthen regional integration, and deliver sustainable outcomes for East Africa," she said.
She further noted that the partnership between TIB and EADB exemplifies the growing trend of development finance institutions working together to mobilize long-term capital for impactful projects in Tanzania and the broader East African region.
The collaboration between TIB and EADB underscores the growing role of regional financial institutions in driving economic development. By providing patient, long-term capital, these institutions are building value chains that continue to yield positive outcomes long after the financing period ends.
TIB is a government-owned development bank focused on catalyzing domestic investment, particularly in priority sectors such as infrastructure, agriculture, industry, mining, tourism, and small and medium enterprises (SMEs). The bank also plays a key role in managing development funds and supporting project preparation to unlock investments that drive sustainable economic growth in Tanzania.
EADB, established in 1967, is a regional development bank owned by Kenya, Uganda, Tanzania, and Rwanda, along with other development and commercial financial institutions. Its mandate is to promote sustainable socio-economic development and regional integration in East Africa by providing financial and related services to companies in its member states.
The visit concluded with both parties reaffirming their commitment to deepening their partnership and exploring new avenues for collaboration in support of Tanzania's development agenda.
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