Summary
👉 The loan program is designed to empower graduates to contribute actively to the national economy.
DODOMA: THE government of Tanzania is developing a new system to allow university graduates to secure capital loans from financial institutions using their academic certificates as collateral.
The initiative, set to take effect in the next fiscal year, aims to reduce youth unemployment and stimulate economic growth.
Deputy Minister of State in the President’s Office, Planning and Investment, Dr. Pius Stephen Chaya, revealed the plan over the weekend during a special lecture titled “Planning for Tanzania’s Future: The Role of Rural Development Planning in Achieving Tanzania Development Vision 2050.”
The event was organized by the Dodoma- based Institute of Rural Development Planning (IRDP) to raise awareness among academic staff, planning stakeholders, and students about the implementation of the national Development Vision 2050 (Dira 2050).
Dr.Chaya noted that the loan program is designed to empower graduates to contribute actively to the national economy.
“Youths, particularly university graduates, play a central role in realizing Vision 2050, whether by serving in key public institutions, participating in development projects, or launching their own enterprises,” he stated.
He said that the government recognizes the challenges graduates face in accessing startup capital from banks and has therefore designed a dedicated lending facility based on academic credentials.
“This scheme will enable more young people to participate effectively in building the national economy,” Dr Chaya noted.
The minister urged eligible graduates nationwide to prepare to utilize the opportunity once the program becomes operational in July this year.
He also highlighted that, under Dira 2050, the private sector is expected to drive 70 percent of the national GDP, a goal that requires a capable and well-supported youth population.
Dr Chaya confirmed that the final draft of the loan scheme is undergoing approval within relevant government cycles.
He encouraged graduates to pursue ventures aligned with their academic backgrounds and professional expertise when accessing the loans.
He further reiterated President Samia Suluhu Hassan’s directive to the President’s Office, Planning and Investment to equip youth with both skills and capital so they can lead in implementing Dira 2050.
“Our focus is on human capital development. We aim not merely to provide jobs, but to foster innovation and self-driven economic initiatives among the youth,”Dr Chaya affirmed.
