The United Republic of Tanzania

Public Private Partnership Centre

( PPPC )

HOW DOES THE GOVERNMENT SUPPORT THE INVESTMENTS IN PPPS?

The Tanzanian government supports PPP investments through a variety of guarantees designed to attract private investment and ensure project success:

  • PPP Facilitation Fund: Supports the costs associated with project preparation, consultancy, and advisory services.
  • Viability Gap Funding: Available for economically justified projects but not financially viable.
  •      Project equity:  is crucial for financing and Encouraging private partners, ensuring that they are invested in the successful delivery and operation of public infrastructure projects.
  • Financial Guarantees: These may include minimum revenue guarantees or other forms of financial backing that mitigate investment risks.
  • Political Guarantees: Safeguards against political risks that could affect project outcomes.
  • Legal Guarantees: Ensuring a stable legal environment for the project's duration.

Performance Guarantees: Commitments related to project specifications and operational benchmarks. These guarantees are outlined in various amendments and regulations under the PPP Act, providing a structured framework to support and secure private investments in public projects.