Tanzania: 10,000 Internships Ordered for State Enterprises

• Vice-President Deogratius Ndejembi mandated state-owned enterprises to create 10,000 annual internships for graduates.
• The Office of the Treasury Registrar and key ministries must submit an implementation plan within two weeks.
• This initiative aims to provide professional experience for young graduates and accelerate Dira 2050 goals.
• The Vice-President suggested allocating 5-10% of public institutions' 1.3 trillion TZS annual dividends to fund youth development programs.
• The broader vision includes 30,000 total internships annually, linking to public procurement opportunities for trained youth.

The directive signals a significant shift in operational priorities for state-owned enterprises, requiring immediate attention to internal policy development, budget allocation, and compliance with new human capital development mandates.

Vice-President Deogratius Ndejembi has issued a direct order to the Office of the Treasury Registrar (OTR), along with key ministries including the President's Office Planning and Investment, the Ministry of Finance, and the Ministry of Agriculture, to devise a comprehensive strategy within two weeks. This urgent directive, delivered during the C-CEOs Forum 2026 held in Arusha, mandates the placement of 10,000 graduates into state-owned enterprises annually.

The core objective of this initiative is to establish structured internship programs within public institutions. These programs are designed to equip young people with essential professional experience, thereby enhancing their competitiveness across domestic, regional, and global labor markets. The Vice-President emphasized the critical need for immediate action, stating that if necessary, existing expenditures should be reallocated to ensure the program's funding. He also confirmed his intention to present a detailed report on the implementation measures to President Dr. Samia Suluhu Hassan.

Lawyers advising Tanzanian state enterprises should prepare for the immediate implementation of structured internship programs. This directive signals a significant shift in operational priorities for state-owned enterprises, requiring immediate attention to internal policy development, budget allocation, and compliance with new human capital development mandates. The urgency underscores a need for swift internal adjustments to accommodate this new national imperative.

The Vice-President's directive stems from a recognized challenge: a significant number of graduates struggle to enter the labor market due to employers' demands for prior work experience, which is often difficult to acquire. According to Tanzania Commission for Universities (TCU) statistics for the 2024/25 academic year, approximately 62,570 students graduate from universities annually, a figure that does not even include those completing vocational training through VETA. While the Tanzania Employment Services Agency (TAESA) successfully trained 3,200 young individuals for the labor market by 2021, this achievement is considered insufficient to meet the ambitious goals of Tanzania Vision 2050.

Mr. Ndejembi articulated a philosophy that public institutions should not be solely judged by their financial balance sheets or dividend contributions. Instead, he argued, their value should also be measured by their contribution to enhancing the productivity of the nation's youth. He expressed concern that the awards presented at the C-CEOs Forum did not adequately recognize institutions for their role in creating employment opportunities for young people, stressing that Tanzania Vision 2050 necessitates greater investment in human capital.

To fund these initiatives, the Vice-President suggested leveraging a portion of the substantial dividends paid by public institutions. He noted that the country's 308 public institutions collectively paid approximately 1.3 trillion Tanzanian shillings in dividends during the 2025/26 financial year. He proposed that allocating just five to ten percent of these funds, viewed as an investment rather than an expenditure, could significantly support youth development programs and the ambitious Dira 2050 human capital investment goals.

Beyond the initial 10,000 internships within the public sector, the Vice-President outlined a broader vision to create 30,000 internship opportunities annually. This expanded plan includes encouraging the private sector to absorb an additional 20,000 interns, thereby significantly boosting youth employment prospects across the economy. This comprehensive approach aligns with the overarching theme of the C-CEOs Forum, which focused on fostering high-performing public enterprises for a competitive, inclusive, and resilient economy in implementing Tanzania Vision 2050.

Crucially, the internship initiative is strategically linked to public procurement policies. Mr. Ndejembi highlighted the existing 30 percent public procurement allocation designated for special groups, arguing that internships would equip young people with the practical skills necessary to effectively compete for and benefit from government contracts. He cited figures from the Public Procurement Regulatory Authority (PPRA), indicating that tenders worth nearly 40 trillion Tanzanian shillings had been advertised this year.

The Vice-President's ambition is for 5 trillion Tanzanian shillings from these substantial tenders to be directed towards groups of young people who have been prepared and skilled through these public sector graduate programs. This integration of internships with procurement opportunities aims to not only provide experience but also to create direct economic pathways for youth, thereby reducing unemployment. Prof. Kitila Mkumbo, the Minister of State in the President's Office – Planning and Investment, further underscored this point, stating that public entities bear a key responsibility in cultivating a favorable environment for the private sector to thrive and contribute to national development.

Lawyers advising Tanzanian state-owned enterprises (SOEs) should prepare for the immediate implementation of structured internship programs, as directed by the Vice-President, which will require internal policy development, budget allocation, and compliance with new human capital development mandates. This directive signals a shift in operational priorities for SOEs, potentially impacting their financial planning and public procurement strategies.

Source: Original reporting on Tanzanian government directives.