Tanzania: Not a place to invest in Africa

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eTN earlier published an article on investing in Africa was based on a report by  Rand Merchant Bank’s seventh edition of Where to Invest in Africa.
One of our readers in Tanzania strongly objected to the ranking of Tanzania and responded. eTN guaranteed for the writer to remain anonymous. The response reads:
Did the writer actually contact anyone running a business in Tanzania??  The writer of the report it is based on likely never did and wrote something from half a continent away with no idea what is actually happening to the business community.
Such articles and reports only serve to embolden current policies and will be used as encouragement that the path the current president is on is the correct one when it is in fact in a phase of rapid self-destruction.
A) investors are leaving in droves. Contact companies like Worldwide Movers to back this up.
B) many of the banks are on the verge of collapse due to a high level of nonperforming loans – the economy has tanked and people can’t pay the loans back. Several have already collapsed.  Annual accounts/statements showing this have been pulled from websites.
C) most, if not all, sectors are reporting a massive reduction in turnover and profits. Dealers in building supplies (a good indicator of growth) are reporting business as halved!
D) mining companies are being targeted with extremely questionable commodity value assessments and subsequent extortionate bills for tax (search Acacia).. They are closing and retrenching workers.
E) The tea industry (Unilever, Mufindi Tea Company etc) hasn’t made a profit in several years, resulting in large-scale retrenchments (thousands of workers over the last two years), company sale and bank repossession.
F) The tourism industry is experiencing similar difficulties in being levied an unsustainable level of regulatory compliance and tax burden. Many, especially in southern Tanzania, are being sold.
G) the value of construction timber/forestry has also collapsed because people aren’t building, and would be even worse had it not been for a questionable decision to move thousands of government workers to Dodoma. Pine tree blocks that would sell for Tsh13m-16m were subsequently being traded at Tsh2-3m!  Private forestry operators such as Green Resources are in trouble and retrenching.
H) industrial exports have declined these last months/year.
I) investors are being harassed and extorted left right and center. The Tourism sector is paying 56 or so DIFFERENT TYPES of taxes and fees.  The revenue authority district and regional managers are being told to raise revenue on a shrinking economy whatever the cost – driving more to close businesses in record numbers.
J) work permits are being rejected or delayed for months in an anti-foreigner angle, so management of investments/projects is getting impossible
K) political opposition leaders are being shot in the streets (search Tindu Lissu), being arrested on trumped-up charges and passing through police stations like a merry go round. Any public of social media statements are deemed illegal and there are allegedly dozens in jail and court for Facebook posts etc. Their houses and offices are being bombed or set alight.  Political parties are not being permitted to organize meetings/rallies. Parliament has been muzzled – their live TV broadcast cut off and MPs are being arrested regularly for charges of sedition etc.
L) The government isn’t listening to the pleas of the private sector – just bulldozing back to the socialist policies that Nyerere collapsed the economy with last time.
And against this backdrop, the article states that Tanzania went up two places??  What planet are they from?!
What other indicators would the writers look at?!!
  • Kejo JOnes Fredrick

    Many investors around here werent paying taxes things have changed now its either they pay or move on somewhere else

    • Kijitonyama@gmail.com

      Tanzania is not stabilized country every new leader come to the power has his corruption style the big problem now in Tanzania is no more democracy country we what is going on to the opposition all are be threatening to be killed or jailed I think the whole world know that. They cannot convince the investors anymore to invest there is no procedures of income tax or vat they inform in short time to pay big amounts as a tax if you can’t pay they will take all your property be careful before you invest in tanzania a specially now

      • ChapaNgombe

        Rubbish, for serious investors and people wanting to do serious and honest business, there has been no better time to invest in Tanzania! Corruption in Tanzania on all levels was beyond control before the advent of the bulldozer, now everyone is called on to play fair. Those complaining are the ones who were used to money for nothing..

        • Epimark Bernard

          Whoever want shortcut in investment should not come to Tanzania. We want investors who will do their investments by law, no more corruption in Tanzania. Mining companies have been stealing our wealth for many years in cooperation with some unfaithful leaders. The time has come,we got such a patriotic president,Mr Magufuli, he is doing a good job and we support his efforts. You want to invest in Tanzania, be ready to pay taxes, we are tired of asking for aids while we have everything. You take our minerals and call us poor with your aids. Stay away with your corrupt ideas. Tanzania will be built by Tanzanians. Keep it up my President, John P. Magufuli.

        • Robert Kidando

          Your comments are fair and correct. Gone are the days, no place for ill gotten wealth. We don’t need corrupt and scum companies here, we know you the so called “investors”, the serious ones are well known.

  • Ali hiji iddi

    They worry to gat kills to the group of Mcc wich or togat shooting like a Präsident TUNDULISU wich make Tanzania its not democrat land right now people are not freedoms like be for many gat locked up in jail without nothing Evin they talking freedom speech by a correct a president to do the right ways police follow you by killing you or Aresti that dictator Situation so country like that’s its not good for investors buy business peoples of the world situation like this was starting in Zanzibar country by dismiss election off opposition peoples wich call C. U. F they have won and MCC took by forces for them by WEOPEN becouse they know CUF don’t have WEOPEN for fight back and to controling there ZANZIBAR COUNTRY that’s why they freid to lost again next election They decide to dictator ALL TANGANYIKA AND ZANZIBAR COUNTRY to make people worry so they can gat to chiming again and again so you can not doing Business and investors such a country like that we want Sefu sharifu back to be the liders of Our ZANZIBAR COUNTRY JUSTICE WAYS urnder United Nations so we can live peace and homonym peoples of ZANZIBAR and ther refused to comes back on in Zanzibar then the world can start to investors and doing business to TANZANIA country this what’s right to do👁

    • Bilo

      Man, get some English checker installed before you post something. God bless you!

      • Ali hiji iddi

        Am sure you URNDER stood that’s why you answer me my friend 😂😂❤️

      • Ali hiji iddi

        Well I’m sure you understood lesso are you answer me and thank you for that you white black people

      • Ali hiji iddi

        Well You must be understood me that’s why you aren’t answering me white black man

  • FALLEN TREE

    People still creating things that unpleasant in TANZANIA,but I know more details about my country that why I can say TANZANIA IS A BEST PLACE FOR INVESTMENT.

  • Epimark Bernard

    This is no longer the country to play games anymore. Pay taxes or go

  • Stephen Makori

    The big problem with most of investers, is that they come, robe the poor countries in the name of investments. We have our ayes open,we know what you people were doing, you left us poor and pretending to give alot of assistance. Supremacy means doing no harm to others. Your scams are now open,u have started spreading bad and wrong informations about our country. We know your divide and rule game that you have done to many African countries with lots of resources. Look on Sudan, Nigeria, Zimbabwe, Liberia and Congo just to mention few. This country is free, u guys will never succed to bring us down. Even with broken legs we shall stand for our country.

  • Stephen Makori

    There is a developed world because Africa is under developing, creatively made through investment (stylish robbing),,,,# we are conscious

    I know you guys smile seeing some Tanzanians supporting these stupidity, they may be giving you chances to infect many, but you will never win.ß

    • Nigger Kunt

      Around Blacks no Relax

  • Msafiri

    There are no business norms anymore

  • Epimark Bernard

    The developed countries could not develope without underdeveloping Africa. Most of African counties are in wars because of the natural resources they have. As it has been mentioned by my brother Stephen Makori down here, DRC for example is in war to date because of her wealth. You built your countries by putting very good infrastructures, very good hospitals with all facilities, very good schools for your kids,but you could not do all this without stealing from our countries.Tanzania is still a virgin land with full of natural resources, minerals, wildlife,lakes, rivers to mention but a few. All these are here for Tanzanians and they must change our lives not anybody else. We know you are not happy with the leadership of our lovely President Mr.John Pombe Magufuli. Our President insist on paying taxes, and you know this. Taxes must be paid to make the country run. Lots has been taken from our counties, and we must reach the point to end up this kind of investment. Our African leaders must open their minds and eyes and stop being corrupted by these hypocrites. My President, Magufuli said that he has no problems with investors, what he needs is to follow the rules and pay taxes. If you think our president is doing wrong, do not bother to invest in Tanzania, stay where you are. We support our president in all ways he is taking to make sure that what is in Tanzania is for Tanzanians. We are with you Mr. President,John Pombe Joseph Magufuli, move.

  • Sisi Kwanza

    The title sounds INCOMPLETE. To make it complete, let’s put it this way; “TANZANIA: NOT A PLACE FOR THE PIGGY NOSED WHITES INBOX AFRICA” This will make more sense. We do not need pigs to come and exploit us in the name of INVESTMENT. NONSENSE!

  • Sisi Kwanza

    The title sounds INCOMPLETE. To make it complete, let’s put it this way; “TANZANIA: NOT A PLACE FOR THE PIGGY NOSED WHITES IN AFRICA” This will make more sense. We do not need pigs to come and exploit us in the name of INVESTMENT. NONSENSE!

    • Tony

      You and Ku Klux Klan have one thing in common, you are racist. I am black Tanzanian and you don’t represent me neither many of us who are not racist. An exploiter is a user, someone who takes advantage of other people or things for their own gain.They came in all races and they exploit any races even their own race-think about that.

      • Tanzania

        True, Sisi Kwanza sounds more as a racist than a patriot that he wants to be seen as.
        That’s a very bad trait building up from uncivilized and probably blind CCM (ruling political party) followers.

  • Enoc

    Wow This country was being exploited by investors who never paid Taxes and now that they are being pressured to pay up all of a sudden its not a place to invest anymore????