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Tanzania: Proposed amendments to Land Act will permit diaspora foreign ownership of land for the first time

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Tanzania: Proposed amendments to Land Act will permit diaspora foreign ownership of land for the first time

Bowmans

5th September 2024

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Historically land and property ownership in Tanzania have been limited to Tanzanian citizens only (although certain exceptions exist for foreign companies to hold land/ property through the Tanzania Investment Centre).

The Written Laws (Miscellaneous Amendments) (No. 2) Act, 2024 (Bill) which was published on 26 June 2024 as part of the process for preparing the Bill to be introduced in the National Assembly proposes several interesting changes to the Immigration Act, Cap 54 (Immigration Act) and Land Act, cap 113 (Land Act).

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Some of the key proposed changes that aim to enable diaspora (individually or through a company whose majority shareholders are persons who are holders of diaspora special status) to own land in Tanzania through a special derivative right granted by the Commissioner for Lands are outlined below.

Immigration Act

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Proposed new definitions under section 3:

  • Diaspora Tanzanite Card: A valid card issued under the Immigration Act to a Tanzania non-citizen diaspora after being granted a special status.
  • Special status: The status granted to a Tanzania non-citizen diaspora under the Immigration Act for the purpose of entry, stay or exit of the United Republic and for such other purposes as may be provided under any other written laws.
  • Tanzania non-citizen diaspora: A person who was formerly a citizen of the United Republic other than a citizen by naturalisation or whose parent, grandparent or such other descendant is or was a citizen of the United Republic.

Proposed amendment of section 31 (1) by deleting the words ‘Director of Immigration’ and substituting for them the words ‘Commissioner General of Immigration’ to harmonise the use of terms in the Immigration Act.

New additional sections 36A, 36B, 36C, 36D, 36E and 36F to provide for matters relating to special status to Tanzania non-citizen diaspora as follows:

  • Eligibility for the special status and issuance of the Diaspora Tanzanite Card: This is applicable if such a person is Tanzania non-citizen diaspora; observes national ethos, traditions, customs and cultural values; is not a fugitive offender or has not been convicted of an offence of or related to money laundering, economic and organised crimes or other transnational crimes; holds a valid passport or travel document; is of good moral turpitude; and complies with such other requirement as may be prescribed in the regulations made under the Immigration Act.
  • Special circumstances for grant of special status: An applicant who possesses a rare, unique or noble profession, talent or skill which is of significance to the United Republic, may be granted special status and issued a Diaspora Tanzanite Card by the Commissioner General.
  • Validity of the Diaspora Tanzanite Card: 10 years, subject to renewal.
  • Dependant of the Tanzania noncitizen diaspora: Issuance of dependant pass subject to terms and conditions under the Immigration Act provided that, the dependant is not a Tanzania non-citizen diaspora.
  • Conditions of special status: Requirement to observe the Constitution of the United Republic, other written laws and special status as set out under the Immigration Act, and be of good moral standing.
  • Revocation of special status: The Commissioner General may revoke a special status if satisfied amongst other things that there is a breach of conditions; special status was obtained through fraud, false representation or concealment of any material fact; or a person has shown themselves by act or speech to be disloyal or disaffectionate towards the United Republic.

Proposed amendment of section 45 by adding word ‘Card’ to impose a penalty for an offence committed by holders of Diaspora Tanzanite Card as is the case for holders of visas, permits, certificates and passes issued under the Immigration Act.

Land Act

New definition of ‘Special Derivative Right’ under section 2. The Bill proposes adding a new definition to mean a right to occupy and use land granted by the Commission pursuant to section 19(1A) and includes a lease, sublease, licence, usufructuary right and any interest analogous to those interests.

New additional section 19(1A) – (1E) as follows:

  • Requirement for minority Tanzanian citizen shareholders: The special derivative right as detailed under the proposed new section 19(1A) can be granted to a person who is (i) granted a special status and holds a Diaspora Tanzanite Card issued under the Immigration Act or (ii) a body incorporated under the Companies Act whose majority shareholders are Tanzanian citizens and hold a Diaspora Tanzanite Card.
  • Special derivative right in respect of general village land: The Commissioner for Lands (Commissioner) may, subject to subsection (1A) and upon application in a prescribed form, grant a special derivate right in respect of general or village land subject to the provisions under the Land Act and such other conditions as may be prescribed in the regulations or as the Commissioner may impose.
  • Termination and revocation of special derivative right: Upon revocation of special status as provided under the Immigration Act and the breach of conditions of right of occupancy under the Land Act.

Further, the proposed Bill indicates that the procedures for application, issuance and termination of a special derivative right granted by the Commissioner shall be provided in the regulations.

Written by Michael Strain, Managing Partner, and Bertha Mwarija, Senior Associate, Bowmans Tanzania

 

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