Objective: In the context of a programme to improve people-centered care, launched by the Tanzanian Ministry of Health, an international project (HEALCARe) was initiated to enhance the health literacy (HL) and respectful compassionate care (RCC) competencies of Bachelor’s nursing and midwifery students. Part of the project involved exploring the perceptions of different stakeholders regarding what facilitates these students’ competencies. This paper specifically reports the perceptions of faculty lecturers and clinical instructors. Methods: We conducted nine focus groups with lecturers and instructors from three Tanzanian universities and their teaching hospitals, with a total of 65 participants. Results: Through thematic analysis, seven themes were identified: ‘knowledge of HL,’ ‘knowledge of RCC,’ ‘modules with clear key components in the curriculum,’ ‘expert teaching in the faculty classroom,’ ‘priority of supervision in the clinical setting,’ ‘learning methods, materials and resources,’ and ‘evaluation tools and monitoring the transfer from theory to practice.’ Conclusions: The findings show that students need to be supported in transferring the theory taught in class to clinical practice in patient care. The curricula of all universities and corresponding hospitals should specifically address the training of HL and RCC competencies. This will facilitate the improvement of students’ competencies, contributing to better health outcomes in Tanzania.