The National Economic Empowerment Act

©2025 Government of Tanzania. All rights reserved. No part of this book may be reproduced or distributed without permission of OAG.467
CHAPTER 386
THE NATIONAL ECONOMIC EMPOWERMENT ACT
[PRINCIPAL LEGISLATION]
Arrangement of Sections
Section Title
part i
PRELIMINARY PROVISIONS
1. Short title.
2. Application.
3. Interpretation.
part ii
ESTABLISHMENT OF THE COUNCIL
4. Establishment of Council.
5. Functions of Council.
6. Delegation of functions.
7. Composition of Council.
8. Disqualification of members.
9. Tenure of office and removal of members.
10. Meetings, quorum and disclosure of interest.
11. Procedures of Council not invalid on certain circumstances.
12. Procedure of Council.
13. Staff of Council.
part iii
THE SECRETARIAT
14. Executive Secretary.
15. Duties of Executive Secretary.
part iv
ESTABLISHMENT OF NATIONAL ECONOMIC EMPOWERMENT FUND
16. National Economic Empowerment Fund.
17. Objectives of Fund.
18. Financing of Fund.
19. Establishment of instrument entity.
20. The Fund to act with care and diligence.
21. Fund may establish business entities.

18. Financing of Fund.
19. Establishment of instrument entity.
20. The Fund to act with care and diligence.
21. Fund may establish business entities.

©2025 Government of Tanzania. All rights reserved. No part of this book may be reproduced or distributed without permission of OAG.468
THE NATIONAL ECONOMIC EMPOWERMENT ACT [CAP. 386 R.E. 2023]
22. Confidentiality.
23. Exclusivity.
24. Conflict of interest and disclosures.
part v
REGISTRATION OF INSTITUTIONS AND ORGANISATIONS
25. Register.
26. Requirement to register.
27. Procedure for registration.
28. Issuance of certificate.
29. Cancellation of certificate.
30. Appeals.
31. Duties of institutions or organisations in relation to economic activities.
part vi
FINANCE, AUDIT AND REPORT
32. Accountability.
33. Estimates of revenue and expenditure.
34. Audit.
35. Annual report.
36. Special report.
part vii
MISCELLANEOUS PROVISIONS
37. Protection of members.
38. Offences and penalties.
39. Offences by institution or organisation.
40. Regulations.
SCHEDULES

ISCELLANEOUS PROVISIONS
37. Protection of members.
38. Offences and penalties.
39. Offences by institution or organisation.
40. Regulations.
SCHEDULES

©2025 Government of Tanzania. All rights reserved.

©2025 Government of Tanzania. All rights reserved.

No part of this book may be reproduced or distributed without permission of OAG.469
PREAMBLE
WHEREAS, Article 8(1) (b) of the Constitution of the
United Republic of Tanzania, 1977 provides that, the United
Republic of Tanzania is a state which espouse principles of
democracy and social justice and accordingly the primary
objective of the Government shall be the welfare of the people;
AND WHEREAS, the Government has resolved to take
measures designed to promote and facilitate economic
initiatives aimed at empowering Tanzanians;
AND WHEREAS, the Government has agreed in terms
of the National Economic Empowerment Policy that, natural
resources, trade, agriculture, industry, and other economic
opportunities must generate wealth, boost the small and
medium enterprise sector, in order to bring about a sustainable
affirmative action and facilitate genuine and positive economic
empowerment to the population of Tanzanians;
AND WHEREAS, economic empowerment is a central
means for bringing about economic growth and social justice
among our people that is necessary for the promotion of peace,
tranquility and social stability that has charasterised our society;
CHAPTER 386
THE NATIONAL ECONOMIC EMPOWERMENT ACT
An Act to establish the National Economic Empowerment Council for the
promotion and facilitation of ownership of income generating activities
and assets by Tanzanians to provide legal and institutional framework
for the Council; to establish the National Economic Empowerment Fund
and to provide for the control of the financial affairs of the Council and
the Fund, and to provide for other incidental matters.

mic Empowerment Fund
and to provide for the control of the financial affairs of the Council and
the Fund, and to provide for other incidental matters.

[1st February, 2005]
[GN. No. 23 of 2005]
Act No. 16 of 2004

[1st February, 2005]
[GN. No. 23 of 2005]
Act No. 16 of 2004

©2025 Government of Tanzania. All rights reserved. No part of this book may be reproduced or distributed without permission of OAG.470
THE NATIONAL ECONOMIC EMPOWERMENT ACT [CAP. 386 R.E. 2023]
NOW THEREFORE, with a view to promoting rapid
economic growth that will facilitate broader economic
ownership by Tanzanians deliberate measures are taken to
establish structures and mechanism to redress the existing
economic inequalities among various sections of the
population;
IT IS THEREFORE ENACTED by Parliament of the United
Republic of Tanzania as follows:
PART I
PRELIMINARY PROVISIONS
1.–(1) This Act may be cited as the National Economic
Empowerment Act. (2) Omitted. 2. This Act shall apply to Mainland Tanzania. 3.

MINARY PROVISIONS
1.–(1) This Act may be cited as the National Economic
Empowerment Act. (2) Omitted. 2. This Act shall apply to Mainland Tanzania. 3.

In this Act, unless the context otherwise requires-
“Act” means the National Economic Empowerment Act;
“Chairman” means the Chairman of the Council appointed
under section 7(1)(a);
“Council” means the National Economic Empowerment
Council established under section 4;
“economic activities” means such activities undertaken by
an institution or organisation for purposes of economic
empowerment of an individual person, group of individual
persons formed on communal basis, association,
partnership or company, the primary purpose of which is
to generate income and includes farming, trading, mining,
transportation, manufacturing, tourism, construction,
fishing, livestock keeping and rendering or providing service;
“economic empowerment” means deliberate and affirmative
actions and measures undertaken by the Government for
the purpose of promoting and enhancing knowledge, skill,
economic prowess and financial prudence of Tanzanians
Short title
Application
Interpretation
Cap. 386

ose of promoting and enhancing knowledge, skill,
economic prowess and financial prudence of Tanzanians
Short title
Application
Interpretation
Cap. 386

©2025 Government of Tanzania. All rights reserved. No part of this book may be reproduced or distributed without permission of OAG.471
THE NATIONAL ECONOMIC EMPOWERMENT ACT [CAP. 386 R.E.

hts reserved. No part of this book may be reproduced or distributed without permission of OAG.471
THE NATIONAL ECONOMIC EMPOWERMENT ACT [CAP. 386 R.E.

2023]
to enable them to meaningfully participate in economic
activities, and includes all plans, strategies, policies and
measures taken to achieve that goal, be it by public or
private sector;
“Executive Secretary” means the Secretary of the Council
appointed under section 14(1) and the term “Secretariat”
shall be construed accordingly;
“Fund” means the National Economic Empowerment Fund
established under section 16;
“institutions or organisations” in relation to economic
empowerment, means-
(a) Government departments, or agencies, institutions
such as the Tanzania Credit Guarantee Agency,
Small Enterprise Development Agency, Entrepreneur
Development Institute, Market Development Centre,
Vocational Education Training Authority, Small
Industries Development Organisation, institutions
of learning, institutions and organisations such as
banks and financial institutions, Savings and Credit
Cooperative Societies;
(b) Non Governmental Organisations, Folk Development
Colleges, Co-operative Societies Mwananchi Fund;
(c) Credit Guarantee Fund;
(d) Privatisation Fund;
(e) Rural Electrification Fund;
(f) Community Based Organisations;
(g) Agricultural Finance Bank; and
(h) individual persons who perform economic activities
and any other institution or organisation which may be
established as such;
“member” means the member of the Council or Committee;
“Minister” means the Minister charged with the coordination
of economic activities for purposes of economic
empowerment;
“Register” means a Register established under section 25(1).

harged with the coordination
of economic activities for purposes of economic
empowerment;
“Register” means a Register established under section 25(1).

©2025 Government of Tanzania. All rights reserved. No part of this book may be reproduced or distributed without permission of OAG.472
THE NATIONAL ECONOMIC EMPOWERMENT ACT [CAP. 386 R.E. 2023]
PART II
ESTABLISHMENT OF THE COUNCIL
4.–(1) There is established a Council to be known as the
National Economic Empowerment Council. (2) The Council shall be the agent of the Government
constituted under the Prime Minister’s office. (3) The Council shall have a common seal. (4) The Council shall be a body corporate with perpetual
succession, and subject to the provisions of this Act, be
capable of-
(a) in its own name, of suing and being sued;
(b) acquiring, holding and alienating movable and
immovable property or enter into any contract or
transaction;
(c) borrowing or lending; and
(d) performing such acts as a body corporate may by law
perform.

ble property or enter into any contract or
transaction;
(c) borrowing or lending; and
(d) performing such acts as a body corporate may by law
perform.

5.–(1) The Primary function of the Council shall be to implement
the National Economic Empowerment Policy as promulgated
by the Government and in so doing, it shall develop strategic
institutional framework and national guidelines to support
planning, and co-ordination of the sector and multi-sector
response to such policy at all levels, and shall in particular,
co-ordinate training on entrepreneurship and research geared
towards facilitation of economic empowerment and shall, in
that respect-
(a) provide Tanzanians with the opportunity to participate
in economic activities;
(b) encourage and promote savings, investment and
meaningful economic participation by Tanzanians;
(c) promote and support business ventures pioneered and
run by Tanzanians; and
(d) to manage, administer and identify sources of grants
and donations for the Fund. Establishment of
Council
Functions of
Council

by Tanzanians; and
(d) to manage, administer and identify sources of grants
and donations for the Fund. Establishment of
Council
Functions of
Council

©2025 Government of Tanzania. All rights reserved. No part of this book may be reproduced or distributed without permission of OAG.473
THE NATIONAL ECONOMIC EMPOWERMENT ACT [CAP. 386 R.E.

hts reserved. No part of this book may be reproduced or distributed without permission of OAG.473
THE NATIONAL ECONOMIC EMPOWERMENT ACT [CAP. 386 R.E.

2023]
(2) Without prejudice to the generality of subsection (1),
the Council shall have the duty to-
(a) subject to other written laws which provide for the
manner in which certain business or transactions are
to be carried out, designate types of business which
may be done by Tanzanians jointly or in partnership;
(b) develop and facilitate implementation of sector and
multi-sector strategies for mobilisation and utilisation
of resources for economic empowerment activities;
(c) develop and facilitate implementation of national
multi-sector strategies for advocacy of all matters and
activities relating to economic empowerment;
(d) advise on the establishment and strengthening of
individual or communal groups, cooperative or
partnerships or joint ventures in economic activities;
(e) provide advice to the Government, public and private
sector institutions on specific issues and measures
aimed at the promotion of economic empowerment of
Tanzanians;
(f) promote research on economic activities and foster
linkage with research institutions;
(g) make recommendations relating to any existing or
proposed business or investment opportunities;
(h) recommend on the modalities and measures to be
taken that will ensure that micro-credit facilities are
available for exploitation by or the gaining of access to
such credit facilities;
(i) establish and maintain sector and multi-sector
economic empowerment information management
system and facilitate information dissemination;
(j) develop and supervise effective mechanism for
monitoring trends of economic empowerment
activities and for evaluating the impact or results;
(k) identify training opportunities on economic and
investment issues and to co-ordinate relevant training
programmes;

aluating the impact or results;
(k) identify training opportunities on economic and
investment issues and to co-ordinate relevant training
programmes;

©2025 Government of Tanzania. All rights reserved. No part of this book may be reproduced or distributed without permission of OAG.474
THE NATIONAL ECONOMIC EMPOWERMENT ACT [CAP. 386 R.E. 2023]
(l) collaborate with institutions and organisations for the
purposes of promoting access to services relating to
economic opportunities;
(m) in collaboration with relevant sectors, perform such
other activities and functions ancillary or incidental
to the promotion and enhancement of economic
empowerment of Tanzanians;
(n) study and review existing laws with a view to making
recommendations for amendments as may be necessary
for the purpose of facilitating or realisation of the
objectives of this Act; and
(o) advance and lend money to any person, company,
corporation, association or institutions, either with or
without security and upon such terms and conditions
regarding repayment or otherwise as the Council may
decide. (3) Where, pursuant to the provisions of subsection (2), the
Council decides to designate certain types of economic activities
which may be carried on only by Tanzanians individually or
in joint venture with other institution or organisation, it shall
publish in the Gazette.

s
which may be carried on only by Tanzanians individually or
in joint venture with other institution or organisation, it shall
publish in the Gazette.

6. The Council shall, in performing its functions, have powers
to delegate any of its functions to any public or private office or
institution as it may deem necessary. 7.–(1) The Council shall consist of nine members being-
(a) the Chairman who shall be appointed by the President;
and
(b) eight other members who shall be appointed by the
Minister from among citizens of Tanzania. (2) In making the appointment, the Minister shall ensure
that the public and private sectors are adequately represented
through senior officials who possess proven experience in
trade, agriculture industry or finance. Delegation of
functions
Composition of
Council

ented
through senior officials who possess proven experience in
trade, agriculture industry or finance. Delegation of
functions
Composition of
Council

©2025 Government of Tanzania. All rights reserved. No part of this book may be reproduced or distributed without permission of OAG.475
THE NATIONAL ECONOMIC EMPOWERMENT ACT [CAP. 386 R.E. 2023]
(3) Members of the Council shall be paid such allowances
drawn from the funds of the Council as may be determined by
the Minister upon recommendation by the Council. (4) Members of the Council shall perform their functions
on part-time basis. 8. A person shall not be appointed or continue as a member if
such person-
(a) is an undischarged bankruptcy;
(b) is of unsound mind, or is subject to an order of a court
declaring him to be mentally ill or mentally disordered;
or
(c) has at any time been convicted by court of theft, fraud,
forgery and uttering, perjury, bribery, corruption or
any offence involving dishonesty. 9.–(1) A member shall hold office for a period of three years
and be eligible for re-appointment for another term.

r
any offence involving dishonesty. 9.–(1) A member shall hold office for a period of three years
and be eligible for re-appointment for another term.

(2) Notwithstanding the provisions of subsection (1), a
member shall cease to be as such where-
(a) he resigns from the Council;
(b) the appointing authority revokes his appointment;
(c) a member is appointed to such other position the terms
of which are inconsistent with his membership to the
Council; and
(d) a member fails without assigning any valid reasons
whatsoever to attend three consecutive meetings of the
Council. (3) The appointing authority shall not later than three
months from the date on which office fall vacant fill any
vacancy in the Council in respect of a member appointed
pursuant to section 7(1)(b). 10.–(1) The Council shall hold its meetings quarterly except
that a Chairman may, at any time when circumstances demand,
convene an extra-ordinary meeting of the Council. Disqualification
of members
Tenure of office
and removal of
members
Meetings,
quorum and
disclosure of
interest

extra-ordinary meeting of the Council. Disqualification
of members
Tenure of office
and removal of
members
Meetings,
quorum and
disclosure of
interest

©2025 Government of Tanzania. All rights reserved. No part of this book may be reproduced or distributed without permission of OAG.476
THE NATIONAL ECONOMIC EMPOWERMENT ACT [CAP. 386 R.E. 2023]
(2) In the absence of the Chairman, members of the
Council shall nominate from among their number a member
who shall be the acting Chairman and a member so appointed
shall assume all powers of the Chairman for the purpose of
that meeting. (3) The quorum of the Council shall be not less than half of
its members. (4) A member of the Council who has a direct or indirect
personal interest in a matter being considered or about to be
considered by the Council shall, as soon as possible after the
relevant facts have come to his knowledge, disclose the nature
and extent of his interest to the Council. (5) A disclosure of interest under subsection (4) shall be
recorded in the minutes of the meeting of the Council and the
member making such disclosure shall not-
(a) be present during the deliberations of the Council for
the making of the determination; or
(b) influence any other member or participate in the
making by the Council of the determination.

f the Council for
the making of the determination; or
(b) influence any other member or participate in the
making by the Council of the determination.

(6) When there is no quorum for the continuation of a
meeting only because of the exclusion of a member from the
deliberations on a matter in which he has disclosed a personal
interest, the other members present may-
(a) postpone the consideration of the matter until a
quorum is realised; or
(b) proceed to consider and decide the matter as if there
was a quorum. 11. A decision taken by the Council or an act performed
under the authority of the Council shall not be invalid only by
reason of-
(a) an irregularity in the appointment of a member;
(b) a vacancy in the Council;
(c) a fact that a member has lost qualification for being
appointed or remaining as such; or
(d) a fact that any person who is disqualified from being
a member or who was removed from that office sat as
Procedures of
Council not
invalid on certain
circumstances

y person who is disqualified from being
a member or who was removed from that office sat as
Procedures of
Council not
invalid on certain
circumstances

©2025 Government of Tanzania. All rights reserved. No part of this book may be reproduced or distributed without permission of OAG.477
THE NATIONAL ECONOMIC EMPOWERMENT ACT [CAP. 386 R.E. 2023]
such on the Council at the time when such decision
was taken,
where such decision was taken by a majority of members
lawfully entitled to vote and the said members, at the time,
constituted a quorum. 12.–(1) Subject to this Act, the Council may regulate its own
practice and procedures on matters relating to its meetings. (2) The Council may appoint committees on specific terms
of reference. 13.–(1) The Council shall have power to employ such members
of staff as it may deem fit for the purpose of smooth execution
of the functions and objectives of the Council. (2) Without prejudice to the generality of subsection (1),
the Council shall have powers to employ or appoint on terms
and conditions as it may determine agents or professional
persons for any specific purpose. (3) The Council shall pay such salaries and allowances to its
staff as it may determine.

mine agents or professional
persons for any specific purpose. (3) The Council shall pay such salaries and allowances to its
staff as it may determine.

PART III
THE SECRETARIAT
14.–(1) There shall be the office of the Executive Secretary
of the Council who shall be the head of the Secretariat of the
Council. (2) The Executive Secretary of the Council shall be
appointed by the President from among persons holding or
who have held a senior position in the public service. (3) A person may not be appointed the Executive Secretary
unless such person holds a degree from a University whose
awards are recognised by the Government and has had
experience in business or public administration or economic
or agricultural planning or management. Procedure of
Council
Staff of Council
Executive
Secretary

nce in business or public administration or economic
or agricultural planning or management. Procedure of
Council
Staff of Council
Executive
Secretary

©2025 Government of Tanzania. All rights reserved. No part of this book may be reproduced or distributed without permission of OAG.478
THE NATIONAL ECONOMIC EMPOWERMENT ACT [CAP. 386 R.E. 2023]
15. It shall be the duty of the Executive Secretary to conduct
daily affairs of the Council under general directions of the
Council and shall in particular be-
(a) responsible for the carrying out of the policy decisions
of the Council and the day to day administration and
management of the affairs of the Council;
(b) responsible for arranging the business for and the
recording and keeping of the minutes of all decisions
and proceedings of the Council at its meetings; and
(c) perform any other function assigned to him by the
Council or under any written law. PART IV
ESTABLISHMENT OF THE NATIONAL
ECONOMIC EMPOWERMENT FUND
16.–(1) There is established a Fund to be known as the National
Economic Empowerment Fund into which shall be paid all
monies, appropriated by Parliament and such other monies
collected as grants, contributions or loans in accordance with
the provisions of this Act.

ll
monies, appropriated by Parliament and such other monies
collected as grants, contributions or loans in accordance with
the provisions of this Act.

(2) All monies appropriated or collected for the Fund shall
be deposited in the bank as the Council shall determine or
designate and shall be expended for the purposes of defraying
expenses or achieving the objective of the Fund as specified
under section 17 regard being had to the functions of the
Council stipulated under section 5. (3) The Fund shall be managed and administered by the
Council. 17. The objectives of the Fund shall be to facilitate the redressing
of economic inequality which exists among persons by-
(a) promoting universal understanding of equity
ownership of property among Tanzanians;
(b) contributing to the creation of employment
opportunities;
Duties of
Executive
Secretary
National
Economic
Empowerment
Fund
Objectives of
Fund

ans;
(b) contributing to the creation of employment
opportunities;
Duties of
Executive
Secretary
National
Economic
Empowerment
Fund
Objectives of
Fund

©2025 Government of Tanzania. All rights reserved. No part of this book may be reproduced or distributed without permission of OAG.479
THE NATIONAL ECONOMIC EMPOWERMENT ACT [CAP. 386 R.E. 2023]
(c) providing a link between institutions and organisations
that are registered under this Act and to monitor
economic activities undertaken by such institutions
and organisations and, where necessary, to provide
technical and, or facilities that may be necessary for
the purposes of advancement or furtherance of their
economic activities; and
(d) employing such schemes of businesses and enterprises
as may be necessary to achieve the objectives of this Act. 18.–(1) The operating and capital expenses of the Fund shall
be financed by money appropriated by Parliament, grants,
loans or income accruing to the Fund. (2) The Fund shall utilise any money referred to in
subsection (1) in accordance with the statement of estimated
expenditure referred to in subsection (3).

he Fund shall utilise any money referred to in
subsection (1) in accordance with the statement of estimated
expenditure referred to in subsection (3).

(3) The Fund-
(a) shall, in each financial year, at a time determined by
the Minister, submit to him for his approval granted
with the concurrence of the Council, a statement
of estimated income and expenditure, for the next
financial year; and
(b) may, in any financial year, submit adjusted statements
of estimated income and expenditure to the Minister
for his approval. 19. The Fund may, having regard to-
(a) the implementation directives issued by the Council;
(b) the policies adopted by the Government, regarding the
economic empowerment of Tanzanians; and
(c) the objectives of the Fund,
establish, promote or facilitate the establishment of companies,
trusts, unit trust, management companies, or other suitable
business entities for purposes of engaging in activities or
schemes designed to economically empower Tanzanians. Financing of
Fund
Establishment of
instrument entity

es for purposes of engaging in activities or
schemes designed to economically empower Tanzanians. Financing of
Fund
Establishment of
instrument entity

©2025 Government of Tanzania. All rights reserved. No part of this book may be reproduced or distributed without permission of OAG.480
THE NATIONAL ECONOMIC EMPOWERMENT ACT [CAP. 386 R.E. 2023]
20. The Fund shall, in the performance of its functions and the
exercise of its powers, act with such care, diligence and skill as
may reasonably be expected of a person who manages affairs
of another person. 21. The Fund may, having regard to-
(a) the implementation programs; and
(b) the policies adopted by the Government regarding the
economic empowerment of Tanzania,
establish, promote or facilitate the establishment of companies,
trusts, unit trust, management companies or other suitable
business entities for purposes of engaging Tanzanians in such
activities or schemes. 22.–(1) The Fund shall not use for its own benefit or divulge
other than in the proper course of performing its duties
and powers, or, as required by any law or order of a court of
competent jurisdiction, any confidential information which
they may obtain in relation to the affairs of the Fund.

d by any law or order of a court of
competent jurisdiction, any confidential information which
they may obtain in relation to the affairs of the Fund.

(2) The Fund shall not be entitled to use for its own benefit
or divulge other than in the proper course of discharging
its duties or performance of its functions any confidential
information which it may obtain in relation to the affairs of
the Council. 23. The Fund shall not render any services to any institution
or organisation rendering its services except with the consent
of the Council, and such consent shall not be unreasonably
withheld. 24.–(1) Without prejudice to section 23, the Fund shall be
entitled to render services-
(a) to a prospective institution or organisation; and
(b) any person proposing to buy or sell an interest in any
institution or organisation:
The Fund to act
with care and
diligence
Fund may
establish business
entities
Confidentiality
Exclusivity
Conflict of
interest and
disclosures

isation:
The Fund to act
with care and
diligence
Fund may
establish business
entities
Confidentiality
Exclusivity
Conflict of
interest and
disclosures

©2025 Government of Tanzania. All rights reserved. No part of this book may be reproduced or distributed without permission of OAG.481
THE NATIONAL ECONOMIC EMPOWERMENT ACT [CAP. 386 R.E. 2023]
Provided that, the Fund shall be required to use its best
endeavors to ensure that the Council’s or disadvantaged
persons’ interest are not prejudiced. (2) A member of the Council, employee, staff or agent of the
Council shall not be entitled to acquire any direct or indirect
proprietary interest in an institution or organisation in respect
of which the Fund or employee of the Council is considering
an interest on behalf of the Council. (3) Notwithstanding the preceding provisions of this
section, a member of the Council, an employee or staff of the
Council shall not sit in any meeting of the Council called for
the purposes of the performance of the functions of the Fund
and shall abstain from taking part in the deliberation on any
matter to which such member or employee believes or has
any reason to believe to have direct or indirect proprietary
interest.

the deliberation on any
matter to which such member or employee believes or has
any reason to believe to have direct or indirect proprietary
interest.

PART V
REGISTRATION OF INSTITUTIONS
AND ORGANISATIONS
25.–(1) There shall be a Register of institutions or organisations
engaged in economic activities. (2) The Register shall be kept and maintained by the
Secretary. 26.–(1) It shall be an obligation for each institution or
organisation engaged in economic activities to register with
the Council pursuant to the provisions of this Act and obtain a
certificate of registration. (2) For purposes of this Act, recognition of institution or
organisation engaged in economic activities shall be given
upon registration under this Act. Register
Requirement to
register

nition of institution or
organisation engaged in economic activities shall be given
upon registration under this Act. Register
Requirement to
register

©2025 Government of Tanzania. All rights reserved. No part of this book may be reproduced or distributed without permission of OAG.482
THE NATIONAL ECONOMIC EMPOWERMENT ACT [CAP. 386 R.E. 2023]
27.–(1) Every institution or organisation wishing to carry on
economic activities in accordance with this Act, shall submit
application for registration to the Executive Secretary. (2) The application shall be made in the form set out in the
First Schedule to this Act and contain-
(a) the name and address of the organisation or institution;
(b) the economic activities undertaken;
(c) persons or category of persons involved;
(d) area and location of operation; and
(e) any other information as the Council may determine. (3) The Minister may vary the First Schedule. 28.–(1) The Executive Secretary shall, after receiving
application and upon being satisfied with the contents of the
application-
(a) register the institution or organisation; and
(b) issue a certificate of registration.

upon being satisfied with the contents of the
application-
(a) register the institution or organisation; and
(b) issue a certificate of registration.

(2) The certificate of registration shall be in the form set out
in the Second Schedule to this Act and contain-
(a) name and address of an organisation or institution;
(b) area and location of operation;
(c) economic empowerment activities undertaken;
(d) category of persons who are subject to economic
activities undertaken;
(e) registration number and place of issuance; and
(f) signature of the issuing authority. (3) The certificate of registration issued under this Act
shall be sufficient evidence proving that the institution or
organisation is engaged in the economic activities under the
supervision of the Council. (4) The Minister may vary the Second Schedule. 29.–(1) The Council may, where the institution or organisation
fails to-
(a) observe the guidelines or directives of the Council in
the performance of its activities; or
Procedure for
registration
Issuance of
certificate
Cancellation of
certificate

s or directives of the Council in
the performance of its activities; or
Procedure for
registration
Issuance of
certificate
Cancellation of
certificate

©2025 Government of Tanzania. All rights reserved. No part of this book may be reproduced or distributed without permission of OAG.483
THE NATIONAL ECONOMIC EMPOWERMENT ACT [CAP. 386 R.E. 2023]
(b) comply with any of the terms or conditions imposed by
the Council upon registration,
issue a notice requiring the institution or organisation to
observe the guidelines and directives and any other conditions
imposed by the Council within such time as may be prescribed
in the notice. (2) The Council may, where the institution or organisation
fails to comply with the requirement specified in the notice
under subsection (1), cancel a certificate of registration in
respect of any of such institution or organisation. (3) Where the Council has revoked a certificate of
registration, it shall direct the Secretary to notify the institution
or organisation of the decision of the Council and to inform
such institution or organisation that it will no longer be
under the supervision of the Fund whereupon the latter shall
withhold any assistance to such institution or organisation. 30.

hat it will no longer be
under the supervision of the Fund whereupon the latter shall
withhold any assistance to such institution or organisation. 30.

A person who is aggrieved by the decision of the Council
made under section 29 may, within thirty days from the date
on which notice of cancellation was notified to him, appeal to
the Minister. 31.–(1) An registered institution or organisation shall have the
duty to-
(a) prepare and submit performance reports of its
economic activities and programs;
(b) provide to the Council relevant information on
the improvement or establishment of economic
empowerment activities;
(c) create employment opportunities for disadvantaged
persons; and
(d) observe laws, guidelines and other directives which
may be issued by the Council. (2) A report made by institution or organisation shall be
submitted to the Council for the purposes of monitoring and
appraisal. Appeals
Duties of
institutions or
organisations
in relation
to economic
activities

mitted to the Council for the purposes of monitoring and
appraisal. Appeals
Duties of
institutions or
organisations
in relation
to economic
activities

©2025 Government of Tanzania. All rights reserved. No part of this book may be reproduced or distributed without permission of OAG.484
THE NATIONAL ECONOMIC EMPOWERMENT ACT [CAP. 386 R.E. 2023]
PART VI
FINANCE, AUDIT AND REPORT
32. The Council shall-
(a) keep full and proper records of all its revenue and
expenditure and of all the assets, liabilities including
those related to the Fund;
(b) satisfy itself that, all reasonable management measures
have been taken to ensure that, resources which are
necessary for achieving its objectives or objectives of
the Fund are as far as possible, obtained safeguarded
and utilised in the most efficient and effective manner;
(c) prepare appropriation accounts in accordance with the
Public Finance Act; and
(d) prepare annual accounts in accordance with generally
accepted accounting practice, covering all its
transactions. 33.–(1) The Council shall, in respect of each financial year,
prepare and submit to the Minister estimates of its revenue
and expenditure. (2) In preparing its estimates pursuant to subsection (1),
the Council shall have regard to the provisions of the Public
Finance Act.

and expenditure. (2) In preparing its estimates pursuant to subsection (1),
the Council shall have regard to the provisions of the Public
Finance Act.

34.–(1) The accounts of the Council and those of the Fund
shall be audited by the Controller and Auditor-General. (2) Upon the completion of examination of the accounts,
the Controller and Auditor-General shall make and submit a
report to the Council. 35.–(1) The Council shall, within six months after the end
of each financial year, prepare and submit to the National
Assembly through the Minister an annual report in respect of
that year containing-
(a) the audited accounts of the Council together with the
auditor’s report on those accounts;
Accountability
Cap 348
Estimates of
revenue and
expenditure
Cap. 348
Audit
Annual report

Council together with the
auditor’s report on those accounts;
Accountability
Cap 348
Estimates of
revenue and
expenditure
Cap. 348
Audit
Annual report

©2025 Government of Tanzania. All rights reserved. No part of this book may be reproduced or distributed without permission of OAG.485
THE NATIONAL ECONOMIC EMPOWERMENT ACT [CAP. 386 R.E. 2023]
(b) a report on the operations of the Council and the Fund
during that financial year; and
(c) such other information as the Minister may require. (2) The Minister shall cause the report to be laid, before the
National Assembly within three months, or at the next meeting
of the National Assembly. 36.–(1) The Council may, at any time if it appears to it to
be desirable, submit to the Minister a special report, on any
matter incidental to the performance of its functions and those
of the Fund. (2) Notwithstanding the provisions of subsection (1), the
Council shall-
(a) furnish the Minister with information and particulars
as he may in writing require in connection with the
activities of the Council; and
(b) annually, within six months from the end of each
financial year, furnish the Minister with a consolidated
report with regard to the functions, affairs, activities
and provide a statement of the progress achieved
towards realisation of economic empowerment.

report with regard to the functions, affairs, activities
and provide a statement of the progress achieved
towards realisation of economic empowerment.

PART VII
MISCELLANEOUS PROVISIONS
37. A matter or thing done by any member of the Council,
employee or officer shall not, if done bona fide in the execution
of the functions conferred upon such member, employee or
officer by this Act or by regulations made under the Act render
such member, employee or officer personally liable for such
matter or thing. 38. A person who, in connection with the exercise of any power
or perfomance of any function by the Council-
(a) interferes with or exerts undue influence on, a member
of the Council, an employee, staff, agent or any other
person performing the functions of the Council; or
Special report
Protection of
members
Offences and
penalties

an employee, staff, agent or any other
person performing the functions of the Council; or
Special report
Protection of
members
Offences and
penalties

©2025 Government of Tanzania. All rights reserved. No part of this book may be reproduced or distributed without permission of OAG.486
THE NATIONAL ECONOMIC EMPOWERMENT ACT [CAP. 386 R.E. 2023]
(b) knowingly gives false or misleading information
concerning principal affairs of the Council or the Fund,
commits an offence. 39.–(1) It shall be an offence for an official of any institution
or organisation for commission of an act which amount to an
abuse of funds. (2) For purposes of subsection (1), “abuse of funds” shall
be construed to have been committed in the event of the
occurrence of any of the following-
(a) use of funds issued by or through a credit facility under
the guarantee of the Fund contrary to the purpose for
which it was issued;
(b) theft of funds of an institution or organisation; or
(c) false pretence, utterance of forged document, supplying
misleading information or unlawfully procures funds
or asset or any other property of the Fund. 40.–(1) The Minister may, after consultation with the Council,
make regulations for better carrying on the provisions of
this Act.

operty of the Fund. 40.–(1) The Minister may, after consultation with the Council,
make regulations for better carrying on the provisions of
this Act.

(2) Without prejudice to the generality of subsection (1),
the Minister may make regulations-
(a) providing for procedures to be followed under the Act;
(b) prescribing any forms which may be necessary for the
purposes of this Act; and
(c) providing for anything which, in his opinion, is
necessary for better carrying into effect the purpose
and objective of the Fund. Offences by
institution or
organisation
Regulations

n his opinion, is
necessary for better carrying into effect the purpose
and objective of the Fund. Offences by
institution or
organisation
Regulations

©2025 Government of Tanzania. All rights reserved. No part of this book may be reproduced or distributed without permission of OAG.487
THE NATIONAL ECONOMIC EMPOWERMENT ACT [CAP. 386 R.E. 2023]
FIRST SCHEDULE
(Made under Section 27(2))
FORM NO. NEE OI
THE NATIONAL ECONOMIC EMPOWERMENT ACT
APPLICATION FOR REGISTRATION
OF ECONOMIC ACTIVITIES
PART A
(To be filled by the applicant)
1. Name and Address of applicant
..................................................................................................................... ..................................................................................................................... ..................................................................................................................... 2. Name of Institution or Organisation
..................................................................................................................... ..................................................................................................................... ..................................................................................................................... 3.

............................. ..................................................................................................................... 3.

Economic activities undertaken ........................................................ ..................................................................................................................... ..................................................................................................................... 4. Persons or Categories of persons involved in economic
activity ................................................................................................... ..................................................................................................................... ..................................................................................................................... 5. Date .......................... Signature of the Applicant................................ PART B
(For Official Use only)
6. Recommendation ................................................................................ ..................................................................................................................... .....................................................................................................................

................................ .....................................................................................................................

Date
Signature of the Secretary
and Seal of the Council

Date
Signature of the Secretary
and Seal of the Council

©2025 Government of Tanzania. All rights reserved. No part of this book may be reproduced or distributed without permission of OAG.488
THE NATIONAL ECONOMIC EMPOWERMENT ACT [CAP. 386 R.E. 2023]
SECOND SCHEDULE
(Made under section 28(2))
FORM NO. NEE O2
THE NATIONAL ECONOMIC EMPOWERMENT ACT,
CERTIFICATE OF REGISTRATION
THIS IS TO CERTIFY THAT, (Name of Institution or Organisation)
........................................................................................................................... ........................................................................................................................... ........................................................................................................................... P. O. Box .......................................................................................................... HAS BEEN REGISTERED AS INSTITUTION/ ORGANISATION/
CARRYING ON
ECONOMIC ACTIVITIES IN ACCORDANCE WITH THE ACT. ISSUED AT ......................... THIS.......................... DAY OF........................ YEAR 20 ......................... ..............................................

....... THIS.......................... DAY OF........................ YEAR 20 ......................... ..............................................

................................................ Signature of the Secretary Signature of Chairman
and Seal of the Council