Tanzania Revives Kibaha–Chalinze Expressway Plan Under New PPP Strategy

Tanzania Revives Kibaha–Chalinze Expressway Plan Under New PPP Strategy

The Tanzanian government is restructuring the long-delayed Kibaha–Chalinze expressway project in a renewed effort to accelerate construction through a revised public–private partnership (PPP) framework.

Officials say the new approach aims to overcome procedural setbacks that stalled the project for several years and attract fresh investor participation.

Key Transport Corridor

The proposed 78.9-kilometre expressway forms part of the strategic Dar es Salaam–Chalinze–Morogoro corridor, one of the busiest transport routes in Tanzania. The highway serves as a crucial link connecting the commercial capital to the country’s interior regions and neighbouring landlocked states.

Once completed, the expressway is expected to ease heavy congestion on the corridor while improving the movement of goods and passengers.

Under the current plan, the road will operate as a toll highway, allowing private investors to recover construction costs through user fees.

Fresh Approach After Procurement Challenges

The project has faced multiple delays since preparations began in 2017, largely due to procurement complications and disagreements between the government and potential investors.

Initial feasibility studies carried out by international consultants attracted interest from several global construction firms. However, the bidding process eventually narrowed to a small number of companies, leaving the government with limited negotiating leverage.

At one point, the remaining investor proposed a project cost of over $900 million, significantly higher than the government’s estimated $560 million, creating a major obstacle to finalising the deal.

Authorities say the revised PPP strategy is intended to resolve these issues and bring new investors into the project.

Infrastructure Key to Long-Term Growth

Government officials view the expressway as a critical component of Tanzania’s long-term economic development strategy.

The project aligns with the Fourth Five-Year Development Plan (2026/27–2030/31), which prioritises infrastructure expansion as part of the country’s ambition to build a $1 trillion economy by 2050.

The government estimates that achieving its development targets will require Sh477.7 trillion ($183 billion) in investment by 2031, with the private sector expected to provide about 70 percent of the financing.

Private Sector Support

Private sector representatives have welcomed the government’s decision to restructure the project but stress the importance of a predictable policy environment to attract investors.

Industry stakeholders also say strengthening local expertise in large infrastructure financing and engineering will be important to ensure successful delivery of complex PPP projects.

If implemented successfully, the Kibaha–Chalinze expressway could serve as a blueprint for future PPP infrastructure initiatives and potentially form part of a broader expressway network linking Dar es Salaam to Dodoma.