Government to government deal in Dar es Salaam stirs controversy

Some observers go so far as to suggest it has the potential to derail President Hassan’s re-election beyond 2025.

The root of the problems is the strong resistance being put up to the proposed deal, which would see Dubai-owned DP World step in and takeover key Tanzanian port facilities on a long-term basis. This resistance has been taking place at a very public level with groups known to be opposed to President Hassan taking a leading role but also a wider response from the public and business which is asking fundamental questions about why such a government-to-government deal needs to be struck and/or why not stick with the conventional arrangement of government agencies retaining management of the port facilities and concessioning the different business units; container break-bulk and so on?

The government response to this opposition is not helping. Local sources report that the response amounts to a crackdown on the opposing voices. Dr Willibrod Peter Slaa, Tanzania’s ambassador to Sweden from 2017 – 2021 is identified as one party recently arrested due to his opposition to the deal with his home subsequently searched. His arrest was preceded by those of other well-known figures and against a background of calls for nationwide mass demonstrations.

From the side of the authorities, there was a stern warning from Camilius Wambura, Inspector General of Police, who stressed that the law enforcement agency will not tolerate anyone “plunging the country into chaos.” He further noted that actions such as mass demonstrations and calls to bring down the government are treason and cannot be tolerated.

The Intergovernmental Agreement between Tanzania and the Emirate of Dubai functions via a document, dated 25 October 2022, and under a heading which states it concerns the Economic and Social Partnership for the Development and Improving the Performance of Sea and Lake Ports in Tanzania. Exactly what it covers is not fully known but Prof Makame Mbarawa, Minister for Works and Transport, has said that it will not cover the Tanga, Mtwara, Bagamoyo ports and Dar es Salaam port’s Berths 8 – 11 as well as the Kurasini oil Jetty (KOJ) one and two, and oil storage facility. This nevertheless leaves plenty of prime facilities in Dar and as such the deal also open to accusations of ‘cherry picking.’