In Summary
  • The debts have been paid after verification and audit

Dar es Salaam. The government has settled an outstanding arrears amounting to Sh190 billion between July and September.

The payment was made to contractors, civil servants and bidders following an accomplishment of audit exercise to verify the unsettled debts.

This was said by deputy minister of Finance and Planning Dr Ashatu Kijaji on Tuesday October 17 when addressing business community in Bukoba municipal, during her visit to inspect operations at Tanzania Revenue Authority (TRA) and Government Procurement Services Agency (GPSA) in Kagera Region.

In a statement from ministry’s government communication unit, Dr Kijaji said Sh67.2 billion was paid to bidders, Sh24.2 billion to contractors, Sh38 billion  to service providers, public servants Sh37 billion while other creditors received Sh24 billion.

The money paid is part of Sh1 trillion allocated in the 2016/17 budget for settling various debts.



“The government is valuing the contribution of business men in the development projects and improvement of social services,” said the deputy minister.

She also insisted the business community to continue using Electronic Fiscal Devices (EFD’s) Machine in doing business to enable government collect the correct revenue.

In his remarks, Chairman of business community in Kagera Region, Mr Seif Mkude, commended government for the emphasis on revenue collection and improvement of social services.

He expressed their satisfaction on the increase of development projects and promised to continue paying taxes.

Speaking on behalf of the Regional Commissioner Maj Gen Salim Kijuu, Bukoba District Commissioner, Mr Deodatus Kinawiro asked the business men to expand their businesses in order that they can benefit from free market, provided that they are close to neighbour countries such as Uganda, Rwanda, Burundi Kenya and Democratic Republic of Congo (DRC).