AFR-East

Tanzania

Maturity

Inception

Focus

PIM Policy Profile, InfraGov 2.0 Benchmarking, possible application of GPB tools (tbc)

Summary

The PIIAG team has not yet provided a full Governance PM/unit meeting briefing on global PIIAG resources. The PIIAG team has engaged with the Tanzania team in the context of possible engagement relating to the delivery of the PIM Guidelines and the PIM DLI relating to improved coverage of project appraisal including climate considerations. Possible interventions could include the PIM benchmarking, Climate Change Screening and other CPB tools for strengthening the quality at entry/appraisal process. Public Investment Management in Tanzania mainland and Zanzibar is not uniform. They operate on separate legal framework, governance structure and operational dynamics. The needs and capacity levels are different. There is an ongoing PEFA assessment in Zanzibar and we anticipate another PEFA for mainland in the current FY.

Key Country PIM Issues

Tanzania mainland’s PIMA 2022 and PEFA 2022 (PIM scored D+) noted that the existence of legal and procedural framework (the PIM-OM 2015), but full operationalization was slow. They identified persistent weaknesses in Tanzania’s public investment management system, particularly weak links between strategic plans, the MTEF, and the annual budget; inadequate project appraisal and cost-benefit analysis; weak gatekeeping and ad hoc project selection; poor multi-year costing; implementation delays and cost overruns; underfunded operation and maintenance; incomplete asset registers; and limited monitoring and post-completion evaluation. These gaps were compounded by capacity constraints, payment arrears, weak oversight of fiscal risks from PPPs and SOEs, and limited integration of climate-risk considerations into investment planning and budgeting. Zanzibar's 2018 PEFA assessment rated public investment management (PI-11) "C" overall: appraisals are conducted by a presidential committee without independent verification (only 47% of major project results published in 2017/18. The PEFA identified basic but incomplete public investment management systems, with weaknesses in the consistency and transparency of project appraisal, non-standardized project selection, limited publication of project costings, and weak links between strategic priorities and the capital budget. It also highlighted significant asset management gaps, particularly the absence of a functioning computerized register for non-financial assets, which constrained maintenance planning, lifecycle costing, disposal oversight, and overall accountability for public infrastructure. At the time of the assessment PIM Operational Manual (PIM-OM) had been developed, but its operationalization across government was not yet effective.

Key ASA-TA Engagements (Recent/Ongoing)

The world bank supported Zanzibar Planning Commission to revise develop Guidelines of the Preparation of Feasibility Studies for Development Projects in Zanzibar and revise their Project Planning Guidelines (2026) – complete (TF073691) Training the government of Zanzibar on Climate PIM (2026) – complete (TF073691) Public Finance Review (PFR) which will include review of PIM in Tanzania Mainland (2026) – initiation stage

Key Operational Engagements (existing or expected operations)

Strengthening Public Investment Management is a strategic objective in the governments Public Finance Management Reform Program (PFMRP Phase VI Strategic Plan 2022/23 – 2026/27. The key results are by June 2027: 80% of Public Sector complied with Public Investment Management Operational Manual (PIM-OM) by June 2027; National Project Management Information System (NPMIS) implemented to all Public Sector Entities; and 80% of major public investment in Zanzibar analyzed in an economic scale by June 2027. The World Bank PforR (P180722) operationalizes PIM reform through a concrete disbursement-linked result indicator. DLI 5: "Increased percentage of capital expenditures going to appraised public investment projects (including climate change considerations) by the end of the financial year". This indicator directly targets the root problem identified in both the IMF PIMA and PEFAs that capital expenditure was being allocated to projects that had not gone through a standardized appraisal and prioritization process. PFMRP (PforR) P180722

What does success in 2026 mean?

From PforR - already met, so maintain level of performance year on year

What does success in 2027 mean?

From PforR - already met, so maintain level of performance year on year

Resourcing Context

Current resources available to Go TZ/ZNZ: As per the PFMRP (PforR) in 2026 the allocation is US$ 1,176,470 for mainland, and US$ 323,530 for Zanzibar Potential resources: FMUP / PIIAG support for PIM digitalization and skills building; coordination with Prosperity and Digital-AI teams.

Regional Management/Staff Unit Engagements

Not recorded yet

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Last updated: 2026-07-01

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