TANZANIA: PENSION FUNDS EYE 100,000 JOBS VIA INDUSTRIALISATION

Tanzania Social Security Association (TSSA) envisages creating over 100,000 full-time jobs in the country in the next 20 months, significantly boosting economic transformation drive.

TSSA, an alliance of PPF Pension Fund, Local Authority Provident Fund, National Social Security Fund, Government Employees Pension Fund, National Health Insurance Fund, Public Service Pension Fund and Workers Compensation Fund, plans to transform the semi-state sector, investing in 27 industries that will create up to 114,000 jobs.

TSSA Chairman Eliud Sanga told reporters here over the weekend that the social schemes have agreed to join forces in industrial investment while also diversifying in other sectors.

Sanga who is also LAPF Director General, speaking after a day-long closed-door working session, courtesy of Minister of State in the Prime Minister's Office, Policy, Parliament, Employments, Youth and the Disabled, Jenista Mhagama, said investments in various industries were at various stages of implementation.

"Some industries have already started production... we hope that construction works will be completed by the end of next year or early 2019 before full operations start," he said.

Minister of Home Affairs Mwigulu Nchemba, Minister of Health, Community Development, Gender, Elderly and Children Ummy Mwalimu, Permanent Secretary in the Ministry of Industry, Trade and Investment Adolf Mkenda, SSRA Director General Irene Isaka and heads of social security funds attended the meeting.

Citing the marriage between PPF and NSSF, Sanga said the schemes are investing in the sugar milling at Mbigili and Ngerengere in Morogoro to produce 30,000 and 200,000 tons per year, respectively.

"Construction is scheduled to start this month and completed by next October," he said, arguing that the investment will end sugar shortage in the country. A maize flour and sunflower processing factories planned for Dodoma are expected mid this year.

NSSF Director General Prof Godius Kahyarara said NHIF has injected 2.1 mil lion US dollars (over 4tri/-) as working capital for Africa's largest anti-malaria factory in Kibaha.

He said the Labiofarm factory has started production and exported over 100,000 tons of biotech products to Niger last month. Ms Mwalimu, winding up the session, said the government has resolved to scrap all legislations impeding social security schemes from participation to the country's industrial economy.

She said NHIF had complained over the public procurement law as a major hindrance to its investment drive. "We will present the matter to the cabinet for immediate solution," she said.

She lauded social security funds for directing their investments on clothing and skin factories, saying all the needed raw materials are available in plenty and that there are huge domestic and export markets for the manufactured products.

The minister challenged the social security funds to embark on public education campaign to raise public awareness on the undergoing semi-state sector transformations.

Source: NAM NEWS NETWORK