TATO Participates in High-Level National Budget Dialogue: Spotlight on Tourism in Tanzania’s Economic Future

The Tanzania Association of Tour Operators (TATO) proudly participated in the Tanzania Private Sector Federation (TPSF)-led high-level review dialogue on the 2025/26 National Budget Reforms, which brought together leading voices from key industries to examine the fiscal direction and its implications for the country’s business environment and economic trajectory.
The session, held in collaboration with Oasis Group, formed part of TPSF’s ongoing effort to strengthen public-private dialogue and ensure inclusive and evidence-based recommendations are presented to the government.
Although TATO Board Chairman, Mr. Wilbard Chambulo, was listed among the distinguished panelists, he was represented by our Executive Director, Mr. Elirehema Maturo, who effectively conveyed the concerns and opportunities surrounding the tourism sector under the new budget reforms.

Key Highlights: What the 2025/26 Budget Means for Tourism
As Tanzania continues its journey toward economic transformation, the tourism sector—one of the top foreign exchange earners—faces both opportunities and challenges in light of the 2025/26 budget.
1. Emphasis on Local Value Addition & Reinvestment:
TATO echoed the growing consensus around the importance of reinvesting in local tourism infrastructure and value chains. Mr. Maturo stressed the need for targeted fiscal incentives to stimulate investment in locally owned lodges, tour companies, and cultural experiences.
2. Fuel and Energy Pricing Implications:
A recurring concern during the panel discussion was the rising cost of fuel and energy. For the tourism industry, this directly impacts transport operations, including game drive vehicles, domestic flights, and logistics—core elements of the safari experience.
3. VAT & Service Levy Adjustments:
The government’s move to reduce service levies and offer VAT exemptions in specific sectors was welcomed as a step in the right direction. However, TATO advocated for wider inclusion of tourism-related services in such incentive frameworks to foster a more competitive environment for local operators.
4. Need for Predictable Tax Regimes:
Mr. Maturo highlighted the need for tax stability and predictability, which is critical for international investors and local entrepreneurs planning long-term tourism ventures. Sudden fiscal shifts could discourage tourism development and delay project implementation.
5. Expanding the Tax Base through Digital Inclusion:
Tourism stakeholders also aligned with the call for broadening the tax base through digital platforms, ticketing systems, and online booking technologies. TATO reaffirmed its support for modernizing tourism systems in line with the digital economy strategy.

Sectoral Dialogue: A Cross-Industry Perspective
The high-level panel comprised respected voices from across Tanzania’s economic spectrum, including:
- Dr. Mwajuma Hamza – Executive Director, Tanzania Women Chamber of Commerce
- Ms. Michelle Kilpin – Country Director, Tanzania Breweries Limited (TBL)
- CPA Godvictor Lyimo – Chairman, Tax & Finance Committee, Tanzania Chamber of Mines
- Mr. Wilbard Chambulo – Chairman, Tanzania Association of Tour Operators (represented by Mr. Elirehema Maturo)
- Mr. Dan Tandasi – Director of Research, Policy & Advocacy, Tanzania Bankers Association
- Mr. Timothy Mmbaga – Executive Director, Agriculture Council of Tanzania
Each panelist brought unique insights on how the new budget reforms intersect with their sectors, from agriculture and manufacturing to mining and tourism. The panel emphasized that cross-sector collaboration will be vital in achieving sustainable economic growth.
TATO’s Commitment
TATO remains committed to working hand-in-hand with the government and the broader private sector in ensuring that Tanzania’s tourism industry continues to thrive amid economic reforms.
As Mr. Maturo concluded in his remarks,
“Tanzania’s natural beauty and cultural richness are unmatched, but to compete globally, we must build an enabling fiscal environment that supports innovation, inclusion, and sustainability in tourism.”
About TATO
The Tanzania Association of Tour Operators (TATO) is the leading voice of the tourism private sector in Tanzania, representing over 300 licensed tour operators. TATO advocates for policies that enable growth, sustainability, and excellence in delivering world-class tourism experiences.