Chapter 3A
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Targets, Activities and Indicators

bulletReduce income poverty 
bulletRural Development and Export Growth 
bulletPrivate sector development 
bulletGood Government 
bulletMacroeconomic Stability 
bulletImprove quality of life and social well-being 
bulletEducation 
bulletHealth 
bulletSocial well-being - political involvement 
bulletReduce vulnerability amongst the poorest groups

 

It is said that ‘if you do not know where you are going then any road will get you there’. People who get things done are usually clear about what they want to do, how they will do it and, most importantly, how they will know if they have been successful.

What is true for individual people is also true for groups, for businesses and for governments – if you are serious about getting things done then you must be clear about targets, activities and indicators.

TARGET

a clear idea of what you want to do (it helps to say how much you will do by what date)

ACTIVITIES

a clear idea of what actions you must take (it helps to make a list of steps to show what you must do first, then second and so on)

INDICATORS

a clear idea of what you will measure so that you will know if your activities are hitting the target

This section lists the targets, activities and indicators that have so far been identified for the three guiding ideas of the PRSP which are to:

bulletreduce income poverty
bulletimprove quality of life and social well-being
bulletreduce vulnerability amongst the poorest groups

In general terms the way to reduce income poverty is to make it possible for businesses of all sizes to flourish so that there are more jobs and more money moving around. The way to improve quality of life and social well being is to make sure that all people have easy access to education, health, safe drinking water and good food. The first step in reducing vulnerability is to identify those who are vulnerable and to find out what their needs are – targets, activities and indicators can then be set to guide what we do.

Reduce income poverty

If the country as a whole was more wealthy then there ought to less poverty. We therefore have to make the country more wealthy and make sure that the wealth is fairly equally distributed and/or that safety nets are built to protect the most vulnerable.

The plan over the next three years is to earn more from agriculture and to earn a lot more from the industrial and service sectors.

This will be possible because of changes that the government makes to ensure good governance and macroeconomic stability.

Assuming that the new wealth reaches the poorer people then we should be well on the way to reducing poverty.

Targets

  by 2003 by2010
Reduce the proportion of the population below the poverty line from 48-42%

from 48-24%

Reduce the proportion of the rural poor by 7.5% from 57-29%
Reduce the proportion of the food poor

by 3.5%

from 27-14%

Activities

The activities that should reduce income poverty are described on the next few pages. They include:

bulletpromoting rural development and export growth
bullethelping to develop the private sector
bulletworking towards better and more decentralised government
bulletmake sure that the macroeconomy remains stable

Indicators

bulletfood poverty line
bulletbasic needs poverty line
bulletownership of ‘standard’ modern machines like radio, fridge, TV etc
bulletuse of modern materials in building houses

Rural Development and Export Growth

Tanzania has a long history of rural development. Early efforts were state controlled with strong government support systems for rural producers. Later ones have been market oriented with less government support. The best way ahead is not yet clear. In the next three years the Government will ask everyone to work together to find solutions and to develop a Rural Development Strategy.

Poor people and private businessmen will be asked to take the lead in finding new ways of being efficient and effective.

Targets and activities

Credit will come from crop buyers, banks and cooperatives rather than from the Government

bullet

Farmers will organise themselves in groups or cooperatives to make it easier to get credit from financial institutions,

bullet

Farmers will carry out crop-specific research and other activities to increase the quantity and quality of their products.

bullet

Private crop buyers or traders will continue to experiment with voucher schemes and other ways of making it easier to buy fertilizers and insecticides.

bullet

Local communities will play a more active role in rebuilding and maintaining rural roads and in developing irrigated farming (as far as possible with the help of the Government).

The Government will limit itself to making sound policies, and to supporting the people in rural areas through:

bullet

Working with non government organisations, local banks and international partners to provide training and other forms of support to local communities and groups concerning:
bullet

organisational and financial management skills

bullet

 repair and maintenance of rural roads

bullet

 development of irrigated farming

bullet

development of small to medium sized enterprises

bullet

development of the informal sector

bullet

Providing demand-driven research and crop extension services

bullet

Supporting labour-intensive agro-processing (particularly for cashewnuts, cotton, coffee and other crops)

bullet

Making sense of systems to control the movement of crops within the country and between countries

bullet

Making the new Land Act work for everybody whether rich or poor, female or male, and making sure that the associated regulations make it possible to use land as security for loans

bullet

Paying particular attention to the poorer parts of the country and making sure that they get the extra support they need.

Much of this is already happening. The Government will, where appropriate, help to organise extension, training and ‘best practice’ workshops and to provide support to energetic entrepreneurs. The vision for the future is an increased number and quality of traditional and new export products.

Indicators

bullet

kilometres of rehabilitated rural roads

bullet

growth in value-added in agriculture

bullet

seasonal production of key food and cash crops

Private sector development

The Government has been supporting private sector development businesses since 1993. It has been responsible for:

bullet

The Tanzania Investment Act

bullet

The privatisation of several government-owned enterprises

bullet

The creation of the Tanzania Investment Centre (TIC)

However, apart from the Mining and Tourism industries, the response of private investors has not been very good.

Targets & activities

bullet

restructure and restaff the TIC to focus on promoting investment

bullet

submit new companies legislation to Parliament

bullet

establish an automatic and computerised filing and registry system for the Commercial Court

bullet

make it easier for local and foreign businesses to invest in Tanzania (with appropriate safeguards)

bullet

push through reforms that will reduce the cost of utilities (including electricity) to industry

bullet

speed up the adoption of key reforms in the National Anti-Corruption Strategy

The government will also develop a Private Sector Strategy by 2003. This will help to:

bullet

 improve coordination between government and donor initiatives

bullet

create an enabling environment for micro, small and medium enterprises and informal sector activities

bullet

modify the taxation system

Good Government

A government is good when it can provide quality services to all of its people all of the time. It is organised so that money is gathered and spent in an open and transparent way and for the greater good of all. Because of the openness and transparency the government can be held to account by the people.

The main objectives set out in the PRSP are to:

bullet

 improve the performance of the government in delivering public services

bullet

 improve the way in which incentives lead to better quality work

bullet

minimize the ‘leakage’ of funds and strengthen systems for holding government officials responsible for what they do with them.

Of the best leaders when they are gone the people say, ‘We did it ourselves’ 
[Tao te Ching]

Targets

bullet

a government system that is efficiently and effectively decentralised

bullet

reduced corruption

bullet

increased professionalism and cost effectiveness in the government system

bullet

improved government capacity, motivation and performance

bullet

improved budget management at central and lower levels

bullet

integrated Financial Management Information Systems (IFMs)  set up in all ministries and sub-treasuries. All money coming from the central and sub-treasury levels will pass through the IFM and all spending plans and arrears will also be recorded.

Indicators

Activities

Improved honesty and transparency in the accounting system

Strengthen systems for more efficient cash management, procurement, payment and expenditure control, inventory, equipment and asset management and timely audit reports.

Budgets prepared on time at all levels
Developed and approved performance improvement modules for priority sectors
Developed and approved specific anti-corruption action plans for the ministries of Agriculture and Cooperatives, Education and Culture, Health and Water, and the CSD based on the National Anticorruption Strategy. Carry out diagnostic surveys for, approve operational strategies and implement sector specific anticorruption plans for the Judiciary, Ministries of Works, Education and Culture, Health, Home Affairs, the Attorney General’s Office, and the Tanzanian Revenue Authority
  Make the Central Tender Board’s results public through press releases
Many different organisations allowed to deliver public services Implement actions under the Public Sector Reform Programmes
Only IFMs used in central government budgeting, accounting and financial information systems for recurrent expenditure. And reclassify the development budget according to the GFS Extend the IFMs to all Ministries, Departments and Agencies in Dar es Salaam and in all regional sub-treasuries by 2002

Macroeconomic Stability

There is macroeconomic stability when the economy is growing, there is low inflation and the Government gets the national accounts to more or less balance. The Tanzania government has a good record for reducing inflation and the targets for the next three year period will build on this.

Targets and activities

bullet

Accelerate economic growth (GDP) to 6 per cent

bullet

Keep inflation at about 4 per cent

bullet

Ensure that the exchange rate for the Tanzania shilling continues to be controlled by the market

bullet

Keep government savings at the level of about 4 months of import of goods and services

bullet

Keep the accounts more or less balanced (with only modest amounts of overspend)

bullet

Broaden the tax base (and prevent tax evasion)

bullet

Improve the administration of the tax system

bullet

Improve the abilities of financial managers at national and local Government levels

Indicators

bullet

overall growth of the Tanzanian economy

bullet

rate of inflation

bullet

gross official international reserves

bullet

movement in the exchange rate

bullet

balance of money in the economy

bullet

resource allocation – actual budgetary allocation for basic education, primary health care, water, rural roads, agricultural and HIV/AIDS

The following activities, some of which are mentioned in other parts of this booklet, will also help to create a stable macroeconomic environment.

Indicators

Activities

Overall growth in the Tanzanian economy

bulletMaintain macroeconomic stability

Expanded Investment (Physical and Human)

bullet

Improve rural roads and other infrastructure services (water, power, telecoms etc)

bullet

Promote training in demand driven skills and employment, counselling

Improved investment productivity

bullet

Develop micro finance facilities

bullet

Improve the investment climate in line with the PSD programme by
bullet

growing a strong and diversified private sector

bullet

reducing the costs of doing business

bullet

creating an efficient and effective legal system

Developed Private Sector Strategy by 2003

bullet

Ensure coordination between government and donor activities

bullet

Ensure an enabling environment for micro, small and medium enterprises and informal sector activities

bullet

Taxation – levels and rationalisation

Growth of Agriculture by at least 5 per cent by 2003

bullet

Improve access to agriculture research and extension

bullet

Make it easier to get micro-finance/agricultural credit

bullet

Promote rural finance, improve trading/marketing of outputs and inputs, and remove administrative fiat

bullet

Promote export of agricultural products as well as agro-processed goods

bullet

Distribute land suitable for irrigation in favour of the poor

Well maintained rural road network

bullet

Increase budget allocation in financing rehabilitation and maintenance of rural roads

bullet

Develop and apply labour intensive technology for rehabilitation and maintenance, and increase the use of local contractors

bullet

Strengthen the capacity at district level to manage road rehabilitation and maintenance carried out by contractors.

 

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