Tanzanian President Strengthens Her Hand With Cabinet Reshuffle

DAR ES SALAAM (Capital Markets in AfricA) -Tanzanian President Samia Suluhu Hassan appointed key allies to her cabinet in a reshuffle that may help her push through long-awaited energy industry reforms.

In the second change to the administration since she came to power in March, Hassan appointed January Makamba to the influential post of energy minister. Makamba, a 47-year-old former cabinet minister who has had presidential ambitions, will oversee the development of Tanzania’s huge natural-gas discoveries by companies including Royal Dutch Shell Plc, Exxon Mobil Corp. and Equinor ASA.

Hassan has ordered the resumption of negotiations with the oil majors on a delayed $30 billion liquefied natural gas project, which stalled under her predecessor John Magufuli, who died in March. Magufuli’s government began renegotiating contracts with foreign mining and gas investors in 2016, saying it wanted a bigger share of revenue of the gas that was discovered more than a decade ago. The move scared away some investors and delayed the implementation of some projects.

“I want to see results,” Hassan said after the swearing-in of new ministers on Monday as she pledged more reforms to improve government service delivery. 

Makamba, a popular U.S.-educated politician, was part of a team that masterminded Magufuli’s election victory in 2015, but later fell out with Magufuli and was ousted from his cabinet.

Hassan also appointed the immediate former executive secretary of the Southern African Development Community, Stergomena Tax, as the country’s first woman defense minister. She named another close ally, Makame Mbarawa, as the works and transport minister to oversee flagship infrastructure development projects, including the construction of a new standard gauge railway network.

Source: Bloomberg Business News

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