So much growth, so much poverty: Dar’s case

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Posted Monday, May 2 2011 at 00:00

By PAUL REDFERN in Washington DC


Tanzania's phenomenal growth rates over the past decade have not resulted in sufficient levels of poverty reduction, says the World Bank.

http://www.theeastafrican.co.ke/new...+takeoff/-/2558/1137848/-/rwkofx/-/index.html
In a new country report, the Washington DC based institution says that over the past 10 years Tanzania has sustained “high economic growth driven by structural reforms and improvements in economic performance and service delivery.”


It adds that growth in gross domestic product has averaged between five and seven percent a year since 2000.


Access to primary education has increased dramatically, and under-five child mortality has declined by more than one-third since 2000.


However, Tanzania’s solid growth record “has not led to a corresponding reduction in poverty,” the report says.


The result is that Tanzania is “not on track” to meet the basic needs and the food security Millennium Development Goals for 2015.


Encouragingly however, “a relatively large concentration of the population around the poverty line, suggests that achieving the MDG remains feasible.”


Since 1995, the International Development Association (IDA) wing of the World Bank has provided more than $5.5 billion to Tanzania in loans and grants.


Nearly half of this has been focused on increasing growth, improving the efficiency of public financial management, and improving social service delivery.


IDA has also provided investment lending for private and financial sector development, energy, roads, rail, water, rural development, natural resource management, community and local government development, and public sector reform.


Since 2003 IDA and 13 other donors have assisted Tanzania through general budget support, combined with policy advice.


This approach has contributed to doubling per capita spending in education, health, water, agriculture, roads, judiciary, and combating HIV/ AIDS.


To assist Tanzania in meeting its development goals, the IDA says it will continue to actively coordinate with partners and participate in the joint development dialogue with the government.