Boosting investment, tourism: Pangani River Bridge, road project to unlock coastal regions’ economic potential

Tanzania has long demonstrated its commitment to infrastructure development, with a notable record in building roads, bridges and transport networks that enhance national connectivity. Yet, the Pangani River Bridge and the Bagamoyo–Pangani–Tanga road project have lingered in the pipeline for years, despite their strategic importance to the northern coastal corridor.

Communities and businesses along the Tanga-Pangani-Bagamoyo stretch have endured years of inadequate infrastructure, relying on inefficient ferry crossings and lengthy detours to move goods and people. The launch of the long-awaited project in February 2025, officiated by President Samia Suluhu Hassan, marks a significant breakthrough in efforts to unlock the region’s economic potential.

Once completed, the infrastructure is expected to catalyse new investment, revitalise tourism and restore Bagamoyo and Tanga as pivotal coastal economic hubs—reclaiming their historic role in maritime trade and commerce.

Transforming connectivity and trade

A key benefit of the project lies in the improvement of transport efficiency between Bagamoyo, Pangani and Tanga. At present, crossing the Pangani River depends on unreliable ferry services, which regularly disrupt the seamless movement of people and cargo. The construction of a permanent bridge will eliminate this longstanding bottleneck, cutting travel time and reducing transport costs.

Improved road infrastructure is a vital enabler of economic growth, particularly in agriculture, fisheries and trade. With better access to major markets, farmers and fishermen in the Pangani area will be better positioned to sell their produce competitively. Businesses also stand to benefit from lower logistical expenses, which will increase the appeal of investing in sectors such as manufacturing, agro-processing and commerce.

The project will significantly reduce travel distance. According to TANROADS, the current official distance from Dar es Salaam to Tanga via the Chalinze–Segera route is 354 kilometres. The new route, once complete, will shorten this to approximately 309 kilometres—saving around 45 kilometres. This improvement is expected to enhance trade efficiency and tourist mobility along the coastal corridor.

Furthermore, the planned New Bagamoyo Port—together with the establishment of Special Economic Zones (SEZs) and Export Processing Zones (EPZs)—will benefit greatly from enhanced transport links. The road and bridge will facilitate smoother movement of goods between Bagamoyo and Tanga ports and inland markets, transforming both towns into dynamic economic centres. For years, these towns have witnessed economic stagnation; the anticipated improved connectivity is set to reignite investment and industrial activity.

Tanga, in particular, is poised to emerge as a strategic energy hub, serving as the terminal point for the East African Crude Oil Pipeline (EACOP), which will transport Ugandan crude oil to global markets. The new infrastructure will facilitate the movement of personnel and materials for the project, while attracting related industries. Collectively, these developments are expected to reposition Bagamoyo and Tanga as vibrant centres of trade and industry.

Tourism prospects in the northern circuit

The northern coastal zone is endowed with a rich mix of historical and ecological attractions. Bagamoyo, a UNESCO World Heritage site, is renowned for its cultural significance, while Pangani and Tanga are known for their unspoilt beaches, historical landmarks and marine biodiversity. However, inadequate connectivity has long hindered the area’s tourism potential.

The new road and bridge are set to make travel between Dar es Salaam, Bagamoyo, Pangani and Tanga far more accessible. The development is expected to boost both domestic and international tourist arrivals, stimulate investment in hospitality and tourism services, improve access to Saadani National Park—Tanzania’s only coastal wildlife reserve—and strengthen marine tourism, diving, and cultural heritage tours.

Improved accessibility is likely to translate into increased tourism revenue, job creation and broader socio-economic development across the region.

Unlocking domestic and foreign investment

Infrastructure development remains a cornerstone of efforts to promote investment. The Pangani River Bridge and the Bagamoyo–Pangani–Tanga road project are expected to create a more conducive business environment and attract interest from both local and international investors.

Demand for residential and commercial properties is projected to rise as the region becomes a key transit point. A better road network will support manufacturing and processing by easing the movement of inputs and finished goods. Investors in fisheries, horticulture and cash crops will benefit from improved market access, while opportunities in hospitality and tourism—such as hotels, restaurants and leisure services—are likely to expand.

The creation of SEZs and EPZs will further enhance the region’s investment profile. Supported by modern road infrastructure, these zones will promote export-oriented industries and facilitate the efficient movement of goods to and from ports.

The project also underscores Tanzania’s commitment to infrastructure as a pillar of economic transformation. It sends a clear message to development partners and financiers that the country remains steadfast in its ambition to modernise transport networks and stimulate private sector growth.

Aligning with national development priorities

The road and bridge project aligns with the goals of Tanzania’s Development Vision 2025, which places infrastructure development at the core of efforts to achieve inclusive and sustainable economic growth. The government has consistently reiterated its commitment to improving regional connectivity and unlocking the economic potential of coastal areas.

To maximise returns on investment, collaboration among the government, private sector and development partners will be essential. Public-private partnerships (PPPs) will play a critical role in ensuring timely delivery, sustainability and long-term maintenance of the infrastructure.

The Pangani River Bridge and the Bagamoyo–Pangani–Tanga road project represent a transformative development for Tanzania’s coastal corridor. By improving connectivity, reducing costs and opening new avenues for tourism and investment, the project offers substantial long-term benefits for the economy and communities along the route.

As the implementation phase progresses, it is imperative for all stakeholders to remain focused on timely execution and proper maintenance. With an upgraded road network and improved bridge infrastructure, Tanzania stands poised to open new economic frontiers and cement its position as an attractive destination for investors and tourists alike.