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Tanzania: Is the govt broke?

Discussion in 'Biashara, Uchumi na Ujasiriamali' started by Mpita Njia, Nov 10, 2011.

  1. Mpita Njia

    Mpita Njia JF-Expert Member

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    Nov 10, 2011
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    By The Citizen Team
    Dar/Dodoma.

    There are growing signs that State coffers are running dry, a situation which has put the government in an awkward position when it comes to meeting its obligations and honouring a wide range of commitments.


    Indicators showing that the government has liquidity problems include the recent failure to pay civil servants their October salaries in full, disburse subsidies to political parties and finance budgeted projects.

    Reliable sources have confided to The Citizen that last month, a number of government workers in some district councils failed to get their pay in time, while some received partial payment.

    But the minister for Finance and Economic Affairs, Mr Mustafa Mkulo, quickly dismissed the concern and maintained that the government was in a sound financial position and capable of meeting its financial obligations without any unnecessary delays.

    He told The Citizen in Dodoma where he is attending the ongoing Parliamentary session that it was not true that there was salary delay of salaries as his office through Treasury has been approving salaries on 25th of every month.

    "If there have been any delays, it must have been the result of some technical issues and not government failure to release money," he said.

    However, The Citizen has established that the government failed to release full salary allocations to some district councils.

    A public notice with reference number GDC/F.10/1/VOL.III/166 dated October 26, 2011 signed by one Swai V. W on behalf of Geita district executive director, bears testimony to the government failure to fully remit salaries.

    A source that asked not to be named at the Finance ministry, said Geita was one of many councils whose workers either received their pay late or amounts lesser than what is due to them.

    The source also told this paper that until the end of last month, the government had also failed to release funds for other charges (OC) for the second quarter of this financial year. According to the Finance Act OCs for the second quarters are supposed to be released on October 1.

    But when reached for his comments, Tanzania Revenues Authority (TRA) tax services education officer Protas Mmanda said the authority has been collecting ‘enough funds' in accordance with its targets.

    Another indication that the government finds it hard to meet its cash obligation was revelation earlier this month that it has failed to honour contractors' debts to the tune of Sh425 billion.

    The ongoing exhibitions and celebrations by ministries have also raised concern to some people, who are noting that a lot of money is going into these functions unnecessarily.

    Some MPs who talked to The Citizen on condition of anonymity wondered where the ministries were getting the money since it was not budgeted for.

    Furthermore, Mr Mkulo's statement last month that his ministry was thinking of stopping funding the purchase of oil for emergence power generation, has been cited by some commentators as yet another sign that the government was in a financial fix.

    Commenting on the issue, Mzumbe University economist Dr Prosper Ngowi said if it were true that the government has failed to pay its workers, the move would have bad impact to the country's economy.

    "After the budget is passed the task is left for the government to look for funds… any suggestion that the government lacks money to pay its workers will lead to negative impacts to our economy locally and internationally," he said.

    Mr Julius Mushi, a graduate from University of Dar es Salaam business school argued that if the government is failing to raise money to pay its workers and run its day-to-day activities, one can argue that it is broke. Reached for comment from Apollo Hospital in India where he is undergoing treatment, the shadow minister for Finance and Economic Affairs, Mr Kabwe Zitto, said the situation doesn't surprise him.

    "For a very long time now, I have spoken about the financing stress the government is going through," he said.

    Giving some data, Mr Kabwe claimed that total government expenditure in September was Sh910 billion against revenue collections of Sh480 billion only, which translates to a deficit of Sh430 billion.

    However, he noted, salary payment could not be a big problem as such, since the payroll costs amount to around Sh264 billion a month, which would be handled by domestic revenue sources. He argued that the government might be in an awkward position because of low tax collections and reluctance by donors to release funds.

    "Mkulo needs to move a motion in Bunge to amend the Finance Bill of 2011 in order to widen tax collection, especially by ensuring all mining companies pay corporate tax," said Mr Kabwe
     
  2. Kinyungu

    Kinyungu JF-Expert Member

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    Wengi walishajua hii gov ya JK ni muflisi kwa sasa
     
  3. ndetichia

    ndetichia JF-Expert Member

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    Tatizo watanzania tulio wengi sio wakweli na mambo mengi tunayapeleka kisiasa. Kama serikali haijashindwa kulipa salaries, kwanini Geita wanapewa salary pungufu?

    Tanzania inahitaji mabadiliko ya hali ya juu..
     
  4. T

    Tinno Member

    #4
    Nov 10, 2011
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    Another proof that the TZ govt is living beyond its means is the growing public debt.I tell TZ will be another Greek or Italy!
     
  5. Bhokem

    Bhokem Member

    #5
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    hahahaaaaa, kwa hali hii lazima watu Cameroon
     
  6. lukindo

    lukindo JF-Expert Member

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    Inaelekea strategies anazotumia jk ni za kujiamini zaidi kiuchumi kwa kuangalia hali iliyopo na kuridhika nayo kwa dhana kuwa kesho itakuwa kama jana tu!

    Ni mfano wa mtu aliyekabidhiwa duka lililojaa bidhaa na cash ndani yake aliendeshe, badala ya kufikiria kumaintain hilo duka badala yake anaanza kutumia tu pesa na kufukuza wateja. Kiukweli baada ya muda duka litafilisika tu!

    Alivyopokea 'kijiti' kutoka kwa mzee wa 'ukweli na uwazi' na kuona hazina imejaa ndio mchezo ukaanzia hapo, matokeo yake nasikia wafanyakazi mbali na kucheleweshewa mishahara bado wamekopa CRDB! na bado miaka minne sasa!!!
     
  7. chitambikwa

    chitambikwa JF-Expert Member

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    Maana ya Mkulo ni ninin kweli?
     
  8. Elli

    Elli JF-Expert Member

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    Taarifa zilizopo kitaani ni kwamba hali ni mbaya sana, isivyoelezeka. Nukta
     
  9. e

    evoddy JF-Expert Member

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    Nov 10, 2011
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    Hata kama MKULO hataki kukubali ukweri ndiyo huo maana hata ujenzi wa barabara karibu zote umesimama wakandarasi tayari wametoa notes ya kusimamisha ujenzi maana pesa hakuna,Je!tunahitaji ushaidi upi zaidi huo?
     
  10. newmzalendo

    newmzalendo JF-Expert Member

    #10
    Nov 10, 2011
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    pesa za safari zipo nyingi tu,
    pesa za service ya V8,VX na BMW's zipo nyingi tu,
    pesa za kufanya sherehe za miaka 50 tumeweza na tunadhubutu zipo
    tulifanya miaka 45 ya uhuru kwa bonge la Tafrija pale Taifa

    Hakunaga pesa za
    -madawa hospitalini
    -mishahara ya walimu na wafanyakazi wa halmashauri
    -Ambulance kwa wajawazito
    -Elimu ya msingi na secondary
     
  11. Idimi

    Idimi JF-Expert Member

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    Na wazabuni wanao-supply chakula kwenye magereza na shule za sekondari za sirikali hawajalipwa pia, wanalalamika. Nadhani hadi Desemba mwakani tutakuwa hoi kbs kiuchumi, afadhali ya Greece.
     
  12. Comrade Mpayukaji

    Comrade Mpayukaji Senior Member

    #12
    Nov 10, 2011
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    Ni kweli mpaka sasa OC kwa ajili ya idara na wizara mbalimbali hazijatolewa na hazina. Na kwa Mtizamo wangu na jinsi mabo yanavyokwenda asilimia kubwa za Halmashauri za wilaya ztakufa kwani zinaendeshwa kwa kiwango kikubwa kutegemea ruzuku kutoka serikali kuu. Serikali hatuna jamani. Imebaki jina. Imefilisika!!!!!!!!!!!
     
  13. M

    Mdondoaji JF-Expert Member

    #13
    Nov 10, 2011
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    Subiri watetezi wa CCM waje hapa kudai nyie mna wivu tu. Sie tumeshalizungumza hilo tangu mwaka ulipoanza.
     
  14. Mlachake

    Mlachake JF-Expert Member

    #14
    Nov 10, 2011
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    Lazima ushoga uhalalishwe. kwa hali hii. imekula kwetu
     
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