Tanzania’s Agriculture Boosted: $2.1 Billion SAGCOT Initiative Launched with World Bank and Private Sector Partnership

Dar es Salaam

Today, a significant milestone was achieved in Tanzania’s agricultural sector with the signing of an agreement to support the Southern Agricultural Growth Corridor of Tanzania (SAGCOT). This initiative, launched three years ago, aims to enhance agriculture in the country’s southern highlands by fostering large and small investments in collaboration with the private sector.

The signing ceremony was led by Philippe Dongier, the World Bank’s Country Director, marking the fulfillment of commitments made by development partners to facilitate the execution of SAGCOT’s objectives. During the event, Sophia Kaduma, the Permanent Secretary of the Ministry of Agriculture, Food and Cooperatives, emphasized the importance of this partnership between the government and the private sector in accelerating agricultural development.

Kaduma pointed out that the government’s goal is to reduce poverty and improve living standards in both rural and urban areas. She highlighted that an investment of approximately 2.1 billion US dollars through this program would significantly contribute to economic growth through agriculture.

Vel Gnanendran, the Resident Representative of the Department for International Development (DFID), expressed optimism about the initiative, noting that the development partners are fully committed to ensuring the success of SAGCOT, including improving the program’s performance.

Geoffrey Kirenga, the CEO of SAGCOT, thanked the government for its innovative approach in involving the private sector in national economic development. He stressed that the time has come for Tanzanians to shift their mindset, emphasizing the role of collaboration between the government and the private sector in driving development. Kirenga revealed that development partners have already pledged 1 billion US dollars, which will soon be available to start implementation activities in the management and coordination of SAGCOT’s operations.