CEOs in limbo as Govt axes 20 agencies, eyes mergers

Uncertainty hangs heavy over the leadership of 20 public institutions as the government announced their dissolution and merger, a move aimed at streamlining operations and boosting efficiency.

Presidential appointees, including chairpersons of boards and CEOs, find themselves in limbo as their positions face the axe.

The sweeping reforms, unveiled on Friday, December 15, 2023, by Minister of State Prof Kitila Mkumbo, stem from a comprehensive performance evaluation by government experts.

The restructuring will see major consolidations across diverse sectors. NIDA and RITA will merge into a single entity tasked with managing all citizen identification data. Similarly, TADB and AGITF will join forces to create a one-stop shop for agricultural loans and funding.

In a bid to streamline the tea industry, the Tea Board and TSHDA will combine, while the Meat Board and Milk Board will unite to promote and manage livestock products.

Technology and manufacturing agencies are facing a similar fate, with CARMARTEC, TEMDO, and SIDO set to form a unified body. To boost investment attraction, TIC and EPZA will merge, creating a single window for investors.

Research institutes in the agricultural sector are also witnessing consolidation. TRIT, TORITA, and TACRI will join forces under the umbrella of TARI.

However, not all institutions will survive. The Tanzania Food and Nutrition Centre, along with TPFCS and Kibaha Education Centre, are headed for closure. The latter’s dissolution will pave the way for new entities – Kibaha Secondary School and Vocational College – while Tumbi Hospital will be upgraded to a regional facility.

Job losses, a major concern, were addressed by Mkumbo. He assured public servants that “no one will lose their job.” Reskilling and redeployment across public service positions are planned.

Transparency and due process were also emphasized. “The government respects the laws establishing these institutions,” Mkumbo stated, adding that ministers have been tasked with completing all merger or dissolution processes within the current financial year.

This is not the end of the reform journey, Mkumbo stressed. “Performance evaluation of public institutions is an ongoing process,” he noted, reiterating the government’s commitment to “enhancing productivity for Tanzania’s development.”