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International Journal of
Law, Policy and Social Review
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VOL. 7, ISSUE 3 (2025)
How shortage of land banks endangers indigenous landowners in Tanzania
Authors
Yenu A Mgugule
Abstract

The introduction of the free-market economy and economic liberalization triggered a significant rise in the number of investors seeking land for investment in the country. At the same time, population growth and the expansion of human activities have contributed to growing pressure on land resources. Consequently, land is becoming increasingly scarce. If this trend continues, there may come a time when securing land for strategic investment projects becomes either extremely difficult or prohibitively expensive.

To address this challenge, the government undertook several measures, including the establishment of the Tanzania Investment and Special Economic Zones Authority (TISEZA). This Authority was created through the Investment and Special Economic Zones Act of 2025, which repealed the Tanzania Investment Act of 2022 and the Export Processing Zones Act of 2006. TISEZA was formed by merging the Tanzania Investment Centre (TIC) and the Export Processing Zones Authority (EPZA). In essence, however, TISEZA represents a rebranding of the former institutions an old concept in a new package. The Act introduces few substantive changes, primarily substituting the name TISEZA in place of TIC or EPZA, with the notable exception of Section 23, which provides for the establishment of land banks under TISEZA's supervision.

TISEZA, along with its predecessors TIC and EPZA, was granted the authority to acquire land parcels for investment purposes. However, these institutions have failed to effectively exercise this mandate, resulting in a persistent shortage of land banks to meet investor demand. As a consequence, investors often resort to acquiring land directly from villages and subsequently submit sales agreements to TISEZA to obtain licenses, incentives, and derivative rights. This practice exposes customary landholders to potential exploitation and displacement. The root of this failure lies in the existing legal and institutional gaps surrounding land banking in the country. The study recommends amending the laws governing land banking in Tanzania to address these shortcomings.
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Pages:62-66
How to cite this article:
Yenu A Mgugule "How shortage of land banks endangers indigenous landowners in Tanzania". International Journal of Law, Policy and Social Review, Vol 7, Issue 3, 2025, Pages 62-66
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