EU set to freeze 100m euros in aid to Tanzania

[Invisible]

LIKE the World Bank before it, the European Union (EU) has decided to get tough with Tanzania over the slow pace of investigations and prosecutions of various cases of grand corruption, by freezing substantial aid money until better results are seen, THISDAY has reliably learnt.

According to impeccable sources within the diplomatic community, the EU will withhold or delay disbursement of 100 million euros (approx.180bn/-) that had earlier been promised to the government as budgetary support.

The sources told THISDAY that the move follows the EU’s dissatisfaction with explanations offered by the government of why grand corruption cases already in court have been progressing so slowly and why other similar big graft scandals have not even landed in court yet, over the course of the past year.

"The EU has been irked by what it sees as unconvincing explanations offered by the government over the way it is handling corruption scandals so far, to the point of deciding to freeze the disbursement of 100m euros in budgetary support for the time being," a well-placed source confirmed.

The source said the EU is still seeking more detailed explanations from the government over the delays in bringing grand corruption cases already in court to conclusion and initiating prosecution proceedings in similar cases that are still reportedly at the stage of investigation.

Cases which are said to have been directly mentioned as examples in this context include those involving the mysterious Kagoda Agricultural Limited company and the infamous Richmond power generation fiasco.

The head of delegation of the European Commission in Tanzania, Tim Clarke, and head of cooperation Enrico Strampelli were not immediately available for comment over the reported aid freeze as both were reportedly attending a regional seminar in Lusaka, Zambia.

Nevertheless, such a move would bring the EU in line with institutions like the World Bank, which earlier this week categorically declared a similar cut-down in aid to Tanzania, also citing the country’s perceived slow pace in imposing and consolidating public finance reforms, transparency and accountability.

The end result of the World Bank’s move is that Tanzania will now receive SDR 739.8 million - or about $1.15bn - in the 2010 and 2011 fiscal years, representing a reduction of about $312m from what had initially been allocated to the country.

”The reduction reflects the weaknesses in the (country’s) institutional environment which have allowed the occurrence of serious corruption activities in areas central to the management of the economy,” the bank said in a statement.

The EU itself last year also delayed disbursement of almost 555 million euros (approx. 980bn/-) in general budget support to Tanzania due to what it described as the government’s failure to meet agreed conditions including improvements in transparency and accountability and prosecution of public officials involved in corruption.

Contacted for comment in Dar es Salaam yesterday, the Minister for Finance and Economic Affairs, Mustafa Mkullo, said he had not received any official communication from the EU on the latest reported aid freeze.

"I have not been notified of any delaying or freezing of aid from the EU. But if that is to be the case, they will certainly be informing us soon, " Mkullo told THISDAY.

He said as minister responsible for such matters, he would have expected to have received such news. "Unless there is someone else within the government who may have received such information...but with regard to my office, that has not been so, " he added.

General Budget Support (GBS) is provided by 14 donors in Tanzania, and together with the Highly Indebted Poor Countries initiative (HIPC) relief, contributes 20 per cent of public expenditure.

GBS money is supposed to go straight to the Treasury, not earmarked for any specific expenditure but allowing the government to increase its overall spending.

But like the ordinary Tanzanian taxpayer, GBS contributors generally like to know what plans are on the ground for deploying the funds, how these plans are progressing, and how the money is actually spent in the final analysis.

Source: ThisDay

Hii si habari njema hata kidogo

 

[S. S. Phares]

Pengine Economic slow down imewafisili kidogo hawa Wazungu, ila wanatumia upumbavu wetu kama kisingizio.

Kibaya zaidi ni kuwa mkwamo wa misaada kwa visingizio kama hivi huwa vinakwenda sambamba na mkwamo wa uwekezaji kutoka nchi husika...vyovyote vile hawa wazungu wakishikilia misimamo ya aina hii tumeumia.

 

[Keil]

Hii si habari njema hata kidogo

Kwanini si habari njema? Mimi nilidhani labda angalau watamshitua JK ili afikirie namna ya kudanganya kwenye report ya Richmond na kutuzuga kwenye KAGODA. Maana hizo kesi mbili ndiyo zinawagusa maswahiba wake. Majibu ya kutunga lazima yazushe maswali ya ziada na hivyo inabidi waje na uongo mtakatifu.

Sasa nimeelewa kwanini wanasema mashushushu wametumwa nje kwenda kuchunguza KAGODA na mara sijui ma-auditors wa Sauzi wamrudi BOT, nadhani ni sababu ya hiki kibano.

Ila naona hapa watu walipwa posho na ma-auditor watalipwa mshiko halafu kwenye output kuwe ni zero, then tunakuwa tumeliwa mara 2!

Bongo ni shamba la bibi maana yuko choka mbaya, nyani wanajilia mazao wapendavyo na hakuna wa kuwafukuza.

 

[LazyDog]

Pengine Economic slow down imewafisili kidogo hawa Wazungu, ila wanatumia upumbavu wetu kama kisingizio.

Kibaya zaidi ni kuwa mkwamo wa misaada kwa visingizio kama hivi huwa vinakwenda sambamba na mkwamo wa uwekezaji kutoka nchi husika...vyovyote vile hawa wazungu wakishikilia misimamo ya aina hii tumeumia.

Wenzio wamekuwa wakiumia kwa miaka nenda rudi!

Our biggest enemy (genge la majangili) is being cornered; wananchi tuwe watazamaji tuu? 2010 ikipita...

 

[Kidatu]

This is very good move. Kwa upande wangu naona hawa wafadhili wamechelewa sana kusimamisha kutoa misaada, jambo hili lilitakiwa lifanyike miaka mingi iliyopita. Hatubebeki kwa mbeleko wala kwa tenga.

 

[kinepi_nepi]

Misaada ni utumwa na chanzo cha ufisadi, ndio maana kina Kikwete wanagawana fedha na akina Rostam na wananchi wamelala wanangojea kuchimbiwa visima na misaada badala ya kudai matumizi ya kodi zao.

Sio wasitishe waikate kabisa ili tuanze kushikana mashati kieleweke haraka.

 

[Steve Dii]

They're just a bunch of backstabbers. First they should return back billions of dollars finding refuge in their countries, product of backhanders to our corrupt regimes to facilitate the existence of their multinationals.

Why promise in first place while you know the extent of corruption at hand? They should issue travel ban to everyone whom they already know is involved in grand corruption.

Wamekalia kung'ata na kupuliza na sisi tunaona wanatujali... wanawajua karibu wezi wote, lakini hatusikii wakiwafanyizia...

It's time to do away once and for all with these budgetary supports. Zinazidi kutudumaza tu tukizidi kuongopewa na mijizi yetu hapa kuwa tunahitaji hali yenyewe ikijirundikia mabilioni nje ya nchi.

 

[kinepi_nepi]

Kumbuka nchi za wenzetu zina kitu wanakiita maslahi ya nchi kwanza, wametutengezea mafisadi ili waweze kuwapachika hatamu wawaendeshe watakavyo. Ufisadi umetengenezwa sasa viongozi wakileta tabu wanawatishia kuwachongea kwa wananchi ili tulete mapinduzi ya kijeshi pasikalike watuibie kwa raha zao.

Dawa ni wananchi kuwa wajanja kuliko wafadhili na viongozi wezi waliolalia masikio na ubongo.

 

[Cynic]

Why promise in first place while you know the extent of corruption at hand? They should issue travel ban to everyone whom they already know is involved in grand corruption.

Travel bans seem to be very effective. Imewarudi vichwa ngumu kama Mzee Mugabe. Kwa JK na genge lake itakuwa ni big blow