The United Arab Emirates (UAE) has announced its decision to withdraw from the Organization of the Petroleum Exporting Countries (OPEC) and OPEC+ effective **1 May 2026**. This strategic move, taken in pursuit of national interests and the country’s long-term vision, will enable the UAE to significantly increase its oil and gas production without being constrained by the organization’s production cuts. This decision carries substantial implications not only for the UAE but also for its international partners, with Tanzania positioned to benefit directly.
The relationship between the United Republic of Tanzania and the UAE has been exceptional and enduring for many years. Under the astute leadership of Her Excellency President Dr. Samia Suluhu Hassan, these ties have been further strengthened through enhanced economic, trade, and investment cooperation. The UAE is among Tanzania’s key partners in the energy, infrastructure, and broader economic development sectors. Various agreements signed between the two countries — including those on petroleum infrastructure development and gas sector collaboration — demonstrate the commitment of both nations to delivering tangible development for their citizens.
The UAE’s exit from OPEC represents a significant opportunity for Tanzania. First, the decision will allow the UAE to ramp up its oil and gas production substantially. The resulting increase in global energy supply is expected to ease pressure on international oil prices. For Tanzania, which still relies heavily on petroleum imports, lower fuel prices will reduce import costs, improve economic efficiency, ease the burden on the government budget, and free up resources for investment in other critical development areas.
Second, the strong friendship between our two countries opens a unique avenue for increased direct investment in Tanzania’s oil and gas sector. Tanzania possesses vast proven natural gas reserves estimated at over 41 trillion cubic feet. With greater freedom following its departure from OPEC, the UAE is well-positioned to expand investments in exploration, processing, LNG infrastructure, and joint energy projects. This will translate into substantial job creation for Tanzanian youth, technology and skills transfer, and increased government revenue through taxes and production shares.
The Fifth Phase Government under the leadership of President Samia Suluhu Hassan has demonstrated integrity and prudence in its foreign policy. Rather than relying solely on traditional relationships, the government is strategically building partnerships with rapidly growing economies such as the UAE. The UAE’s decision clearly shows that our bilateral relations are based on mutual benefit and wise collaboration in vital sectors like energy.
In conclusion, as the UAE increases its oil and gas production, Tanzania must seize this opportunity with both hands. This is the moment to further strengthen our economic diplomacy, attract more investors from the UAE, and ensure that the resulting projects deliver direct benefits to ordinary citizens.
Tanzania and the UAE are true friends. This decision by the UAE is not merely an economic step for their country but also a positive signal for the bright future of our bilateral cooperation. Under the steady leadership of President Samia, Tanzania continues to establish itself as a leading energy and trade hub in Africa.
