Tanzania Positions Itself as a Regional Transport and Economic Hub



By Joseph Mahumi, Washington D.C.

Tanzania is strengthening its position as a key regional transport and economic hub in Africa, driven by strategic investments in transport corridors aimed at boosting trade, employment, and regional integration.

This was highlighted by the Minister of Finance, Ambassador Khamis Mussa Omar, during a high-level panel discussion hosted by the World Bank on the role of transport corridors in accelerating Africa’s economic growth. The session took place on the sidelines of the 2026 IMF/WBG Spring Meetings in Washington, D.C..

Speaking at the forum, Ambassador Omar emphasized Tanzania’s proactive approach in connecting regional economies through modern infrastructure, including the historic TAZARA Railway, established in the 1970s as one of the earliest cross-border transport corridors linking Tanzania and Zambia.

He noted that while the corridor has traditionally served as a transport route, the government is now advancing efforts to transform it into a fully integrated economic corridor to unlock broader economic benefits along its route.

“The strategic shift is to develop these corridors into economic corridors rather than purely transport routes, enabling industrial growth, trade expansion, and service sector development. These corridors are vital not only for urban growth but also for unlocking rural economic potential by linking production zones to markets,” he said.

Ambassador Omar also underscored the success of the Central Corridor, which connects the Port of Dar es Salaam to neighboring countries through Lake Victoria and Lake Tanganyika. The corridor has significantly enhanced trade access for land-linked countries including Burundi, Rwanda, the Democratic Republic of Congo, Uganda, and South Sudan, reinforcing Tanzania’s role as a regional trade gateway.

To further strengthen this position, the government has made substantial investments in the Standard Gauge Railway project, valued at approximately $10.2 billion. The railway is being developed in six phases domestically, with plans underway to extend connectivity to Burundi and the DRC, further expanding regional trade networks.

“These investments are aligned with our broader industrialization agenda, particularly in value addition for agricultural and mineral products. Improved infrastructure will also significantly benefit the tourism sector. Tanzania has taken a leadership role by initiating these efforts early, recognizing its responsibility in driving regional development,” he added.

Echoing this perspective, Dr. Ndiamé Diop, Vice President for Eastern and Southern Africa at the World Bank, stressed the need to shift from traditional transport corridors to economic corridors. He cited the Central Corridor as a strong example of regional connectivity and economic integration across Eastern and Southern Africa.

He further noted that economic corridors have significant potential to drive job creation, enhance competitiveness, and deepen regional cooperation, while calling for improved sequencing of investments to ensure equitable and timely benefits for both coastal and land-linked countries.

Meanwhile, Dr. Zarau Wendeline Kibwe, Executive Director representing Africa Group 1 Constituency at the World Bank, emphasized the importance of leveraging knowledge, partnerships, and private sector participation in developing high-impact economic corridors across Africa.

She highlighted the need for conducive business environments and the integration of corridor development into national strategies to maximize economic impact. Additionally, she underscored the critical role of international financial institutions, including the African Development Bank, in mobilizing resources for large-scale infrastructure projects essential for Africa’s industrial transformation and economic self-reliance.

Overall, Tanzania’s continued investments in transport and economic corridors are positioning the country as a strategic gateway for regional trade, contributing to inclusive and sustainable economic growth across the African continent.

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