BUSINESS

`Tanzania can become ICT hub by utilising competitive advantages`

Executive Director of the Tanzania Investment Centre, Emmanuel Ole Naiko

With a fully utilisation of the country’s competitive advantages, Tanzania can attract more investments and become a regional leader in Information and Communication Technology (ICT) sector.

This is according to Emmanuel Ole Naiko, Executive Director of the Tanzania Investment Centre (TIC) in his remarks during the Sixth International Conference on ICT for Development, Education and Training held in Dar es Salaam recently.

“With the combination of the other strength Tanzania has, we are able of attracting a lot of investments in this sector and Tanzania become their hub and convince them to set their head offices here,” Naiko said.

He said the Economic Agenda on ICT Development creates a win-win situation for investors and the country.

Talking on the competitive advantage Tanzania has over others, he mentioned a strategic geographical position and its connectivity to the global markets, a 44 million ha of arable land, agri-business, extractive industries, power generation, and tourism among others.

“To facilitate investments in all these sectors we have enacted enabling legislations and regulations,” he noted.

He explained that Tanzania has several ICT investment from various companies such as Seacom; Easy Cable and the National Cable, adding that along with them are telecom projects which have brought telecommunication facility which a few years ago was reserved for the haves only.

He said to date ICT projects registered by TIC have reached 133 projects between 1990 and 2010 or 2.2 percent of all projects registered by TIC. The ICT investment in Tanzania created a total investment of USD4,527m and employment of 32,600 people between 1990 and 2010.

Giving examples of countries that have done well by choosing ICT as the backbone of their economy Naiko pointed out Mauritius which started as a sugarcane economy in the 1970s moving to tourism in 1980s and 90s and is now an ICT economy.

“This decision has made wonders to the economy of Mauritius which reduced the Income Tax from 30 percent to 15 percent an act which widened tax base and tripled the tax collection,” he noted.