Abu Dhabi Fund For Development And Tanzania Collaborate For Sustainable Energy Solutions

Representational image. Credit: Canva

The Abu Dhabi Fund for Development (ADFD) has signed a loan agreement with the Government of Tanzania worth AED 110 million (US$30 million) to enhance energy security in the country.


The project’s objective is to fully connect the Kagera administrative region with the national electricity grid, reducing dependency on energy imports from Uganda and providing sustainable and safe electricity sources to communities, economic areas, and service facilities.

The agreement was signed by His Excellency Mohamed Saif Al Suwaidi, Director General of Abu Dhabi Fund for Development; and His Excellency Dr Mwigulu Nchemba, Minister for Finance of The United Republic of Tanzania; in the presence of His Excellency Khalifa Abdullah Al Qubaisi, Deputy Director General of ADFD; and other officials from both sides.


H.E. Al Suwaidi said that this strategic project was a significant step towards the development of Tanzania’s energy sector and ensuring sufficient electricity supplies to meet the population’s needs sustainably.

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“The Fund will collaborate with Tanzanian partners to support their development programs and work towards the United Arab Emirates’ future aspirations and the Fund’s strategic objectives of accelerating energy projects globally for the betterment of developing countries’ societies,” he said.

H.E. Dr Nchemba praised the longstanding relationship between the Abu Dhabi Fund for Development and Tanzania since 1977, which has played a vital role in implementing development projects and contributing to economic and social progress in the country.

He emphasized that the project’s financing will reduce energy import dependency, stimulate economic activities, develop existing industries, and create job opportunities for the population.

The Abu Dhabi Fund for Development has previously financed six development projects in Tanzania, including the Kidaho-Uvinza Road and the Kagera Sugar Project. These projects have significantly contributed to the development process and improved the quality of life for Tanzanian communities.

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