EU & UK's aid package to Tanzania

[BAK]

EU delays 900bn/- aid package to Tanzania

SEBASTIAN MRINDOKO
Dar es Salaam

THE European Union has not released the 555 million euros (approx. 980bn/-) budgetary support it promised Tanzania reportedly because the government has yet to meet some agreed conditions, it has been disclosed.

The European Commission was last month scheduled to launch its largest ever aid package for economic growth and trade-related issues in Tanzania, as part of General Budget Support.

However, the aid disbursement under the 10th European Development Fund (EDF) framework has since been delayed.

Under the five-year EDF programme (2008-2013), the EU funds were expected to finance key poverty reduction sectors such as education, health and infrastructure.

General Budget Support 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.

While it is understood that other donors have already fulfilled their commitments to Tanzania in budget support, the EU appears to be somewhat dragging its feet until certain conditions are met by the government.

The Permanent Secretary in the Ministry of Finance and Planning, Gray Mgonja, yesterday dismissed suggestions that the delay in the release of the EDF funds was caused by misunderstandings between the two sides on certain areas.

There have been reports that the European Commission had delayed the release of the funds to Tanzania because of concerns over corruption allegations at the Bank of Tanzania and elsewhere.

But Mgonja insisted that there was no apparent association between the delay in the release of the funds and the government’s reported failure to meet conditions.

’’They have not told us anything about the delays. But in my opinion, it may just be the result of bureaucracy at the head office in Brussels in releasing the funds earmarked for budget support,’’ the Treasury PS told THISDAY when contacted in the city yesterday.

’’This afternoon, I expect to have a meeting with the European Union representative in Tanzania. We will discuss the release of the funds,’’ he said.

He reiterated that there was no connection between the issue and the government’s ongoing war against corruption, particularly the investigation into massive misuse of funds in the BoT’s external payment arrears account.

Budget support is money going 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, budget support donors like to know what the government intends to do with this money towards improving the lives of its citizens, how these plans are progressing, and how the money is actually spent.

Since the year 2000 when General Budget Support was first introduced, the government has scored good progress on a number of poverty reduction indicators, including:

Education

• Primary education is now free and more children are now enrolled in school (enrolment has risen from 60% in 2000 to 97% in 2007);
• An extra 40,000 primary school teachers have been hired between 2003 and 2007;
• The proportion of students passing the Primary School Leavers' exam has risen from 22% in 2000 to 62% in 2005;
• More secondary schools have been built to accommodate the children who are finishing primary school (between 2006 and 2007 the number of secondary schools increased by more than 50% from 2,300 to 3,500).

Health

• The number of children dying before the age of 12 months has gone down by almost a third in the last five years, with 68 deaths per 1,000 live births in 2004, compared to 99 deaths per 1,000 live births in 1999;

• Under-five mortality (deaths of children before the age of 5 years) has gone down by almost a quarter from 147 deaths per 1,000 live births in 1999 to 112 deaths per 1,000 live births in 2004. This reduction can be attributed to GoT’s efforts to increase the use of vitamin A supplements, child immunisation and insecticide-treated bed nets to fight malaria;

• The number of under five-year-olds sleeping under an insecticide-treated bed net doubled to almost 30% between 2005 and 2006.

Infrastructure

• More people now have access to better roads, with the percentage of trunk and regional roads in good and fair condition increasing from 51% in 2000 to 84% in 2005.
• But despite these achievements, significant challenges still remain. These include the need to strengthen local government financing systems and ensure that resources reach districts on time to enable them to implement their development plans.
• There is also a need to build capacity at district level to deliver critical services such as schools and clinics and improve monitoring systems to ensure that there is reliable data to measure progress being made in each sector and plan effectively.

 

[Game Theory]

Kama kuna mtu anayo namba yake mpigieni yule binti wa Kambona hapo Dar. Yeye ndiye msemaji mkuu wa EU Tanzania

 

[Power to the People]

Kwa wale walio wazazi correct me if i am wrong wanajua kwamba hata mtoto mdogo naongelea wale ambao wana uwezo wa kuongea, wanapofanya jambo la kukasirisha reaction ya kwanza ili asiadhibiwa itakuwa ni kukataa kabisa kufanya jambo hilo. unaweza ukamuuliza Baby kwa nini umemwaga maji? yeye atakuambia mama sio mimi hata kama hakuna mtu mwingine yeyote yule. haya ni mambo madogo sana lakini kadri mtoto anapokuwa na malezi anayopewa na wazazi wake.

My point here is sishangai sana watu hawa wanapo rukia kukanusha kila jambo linalosemwa ili kufunika madhambi yao we umeambiwa timiza condotions just make sure kila kitu safi halafu uone kama ombi halitakubaliwa. ioni sababy ya wao kuchelewesha kama kila kitu kiko sawa.

Na pia baada ya mambo yote yanayoendelea kuhusu ufisadi any sensible human being hahitaji kuambiwa uhisani utasuasua. Watu wawe serious jamani wakati wanapoongelea maslahi ya taifa. tusijdnganyane kama watoto hapa.

 

[MzalendoHalisi]

Misaada ndo chanzo cha kurudi nyuma uchumi wa Tanzania!

Kwa nini EU wasifuatilie mbali tu huu msaada ili serikali iamke toka usingizini ktk kuimarisha ukusanyaji kodi na unfair tax exepmtions kwa matajiri? Kwanza naskia TRA kuhusanya tu 30% ya kodi!

Kwanza tuzibe kwanza hili kapu linalovuja kabla ya msaada mwingine!

 

[Mpaka Kieleweke]

Hapa ni kuwa hawatatoa mpaka waone hatua zinachukuliwa dhidi ya mafisadi na ufisadi.

Kama JK anafikiri kuwa anaweza sana kufanya haya maigizo yake basi na aendelee nayo kwani yatamtokea puani siku moja kama sio kesho basi kesho kutwa .

 

[Masaki]

Misaada ndo chanzo cha kurudi nyuma uchumi wa Tanzania!

Kwa nini EU wasifuatilie mbali tu huu msaada ili serikali iamke ktk kuimarisha ukusanyaji kodi na unfair tax exepmtions kwa matajiri? Kwanza naskia TRA kuhusanya tu 30% ya kodi!

Kwanza tuzibe kwanza hili kapu linalovuja kabla ya msaada mwingine!

Wewe sasa naona unataka nduguzo waliopo Bongo waishi maisha kama ya wale walioko Zimbabwe.

 

[Mbalamwezi]

Joint Press Statement by the acting Head of Delegation of the European Commission and the National Authorizing Officer for EDF (Permanent Secretary, Ministry of Finance and Economic Affairs)


This Day newspaper of 4th March 2008 carried a head article entitled "EU delays 900bn/- aid package to Tanzania", stating that the European Commission's aid programme under the 10th European Development Fund (2008-2013) has been delayed. This is not correct.

Tanzania's Country Strategy Programme under the 10th European Development Fund (Tsh 900bn) was signed at the EU-Africa Summit in Lisbon in December 2007. This programme will start disbursing from 2009 onwards. Neither this programme nor its timeframe have been changed.

As part of the 9th European Development Fund (2001-2007), the European Commission provides general budget support to Tanzania (Tsh 300bn). According to the financing agreement, the final payment is scheduled for September 2008. No decision has been taken to delay or withhold this payment.


Gray S Mgonja
National Authorizing Officer for EDF
Permanent Secretary, Ministry of Finance and Economic Affairs


Tim Clarke
Head of Delegation of European Commission

04 March 2008

Hawa This Day ni wavivu au ni nini hasa? kwa nini hawakucheck na EU? Ona sasa wanavyoumbuka!

 

[tibwilitibwili]

dah sasa skandali hili tena .Tutwaamini tena hawa This Day ?

 

[Mbalamwezi]

dah sasa skandali hili tena .Tutwaamini tena hawa This Day ?

Ah, tuwavumilie hivyo hivyo, naona hawa wanajitahidi sana japo wakati mwingine ndo hivyo tena

 

[Pundit]

''They have not told us anything about the delays. But in my opinion, it may just be the result of bureaucracy at the head office in Brussels in releasing the funds earmarked for budget support,'' the Treasury PS told THISDAY when contacted in the city yesterday.

Mgonja anajichanganya sana.Ukimsoma hapa na kusoma press release yake utaona kama vile kuna kitu anajua anaficha katika hii statement halafu akaenda kukaa chini na wataalam wa spin wakamtengenezea press release.



Kama nimekosea basi lawama ni zake mwenyewe.Tunashuhudia jinsi watendaji wetu wakubwa tu wanavyotoa matamshi ya kitoto.Huwezi kuanza kutoa vi-opinion vyako tu kwa kitu ambacho hata hakipo, ukishaanza ku-entertain kutoa vi-opinion unanionyesha either wewe si mtu makini au kuna kitu unataka ku sugar coat.

Wakati Mwanakijiji alivyomuhoji DCI Manumba nilishuhudia tabia hii pia.Mwanakijiji alimuuliza DCI kuhusu kauli moja ya Msemaji wa Polisi aliyoitoa BBC kwamba vijana wa JamboForums wanashikiliwa kwa makosa ya ugaidi, kwanza kabisa DCI akasema hakuisikia hiyo interview, badala ya kuishia kusema sikuisikia na siwezi kuongelea kitu ambacho sijakisikia DCI akaendelea ku entertain speculations kuwa -kama msemaji alisema ni makosa ya ugaidi atakuwa amejichanganya tu, amekosea tu-.Yaani wewe DCI Mzima Mwanakijiji anaweza kukufeed mambo yoyote unatoa comments tu, sasa kama huyo Msemaji wa Polisi hajasema hivyo je? Yaani hata ile supposition ya kusema "kama kasema" tayari inakuonyesha kuwa umemfikiria huyu msemaji kuwa anaweza kuwa incompetent kiasi cha kukosea hivyo, kesho mkikutana kwenye ma corridor of power halafu hajasema na yeye ni mtu vindictive itakuwaje?

Kwa nini nimetoa mfano huu? Ni sawa sawa na alivyosema Mgonja wakati amehojiwa na This Day.Kama kitu hakipo sema hakipo, sio kuanza kutoa vi opinion ambavyo at best viko undiplomatic (watu wanakusaidia na kufanya checks zote probably kwa sababu serikali yako inajulikana kwa corruption wewe unawaita "bureaucrats" kama wakisema jamaa wametutukana je?, yale yale ya "we are glad to see you go"!

Viongozi tunao!

 

[Sonara]

EU, UK approves over 1trn/- in aid to Tanzania

Finance and Economic Affairs minister Mustafa Mkulo (L) speaks at a joint news conference with the head of DFID Tanzania, Darren Welch, at the ministry`s headquarters in Dar es Salaam yesterday.

The European Union's executive approved 385 million euros (USD 549 million, equivalent to over 700bn/-) aid for Tanzania yesterday, the largest annual assistance package for the country.

"This substantial financial commitment demonstrates our confidence in the Tanzanian government to aggressively tackle the economic challenges ahead ..." EU Humanitarian Aid Commissioner Karel De Gucht said in a statement.

The European Commission said it would inject 305 million euros into Tanzania's national budget as part of the multi-annual aid programme known as Millennium Development Goal, and earmark some 70 million euros for road construction.

About 8 million euros is to be spent in renewable energy in the country, where only 10 per cent of the population has access to electricity.
Meanwhile, the United Kingdom government through its Department for International Development (DFID) has disbursed 230bn/- to Tanzania in budget support for 2009/10 financial year.

Speaking to journalists in Dar es Salaam yesterday, the Minister of Finance and Economic Affairs, Mustafa Mkulo said that the fund will be directed to the implementation of the National Strategy for Growth and Reduction of Poverty.

“The money has come at the right time, consistent with the Joint Assistance Strategy for Tanzanian (JAST) principles and the memorandum of understanding that guides the implementation of General Budget Support (GBS),” Mkulo said.

The Minister applauded the UK’s government for its commitment to support Tanzania’s government over the years and timely disbursement of the GBS resources.

Mkulo said that other countries including Finland, Norway, Ireland, Denmark and Sweden have been supporting Tanzania for its budget resources, but UK is the leading one by donating a huge amount of money for the government.

He said despite the donations, the GBS continues to be the government’s most preferred aid delivery modality given its advantages over other modalities namely basket funding and direct project financing.

“As we all know, GBS reduces transaction costs of aid, enhances government ownership and leadership of the development process, strengthens domestic capacity to manage public resources and use of country system,” said Mkulo.

Mkulo however assured the development partners and the general public that the government is committed to strengthening the exchequer system through sustained implementation of the Public Financial Management Reform Programme (PFMRP).

For his part, the Head of DFID Darren Welch said that UK is committed to Tanzania’s development efforts and it will continue to be the largest bilateral donor providing budget support to Tanzania.

“We want to see more people getting access to safe water, more mothers giving birth safely and more children going to school. We are therefore keen to support the Tanzanian government to make faster progress in reducing poverty and bringing a better life to its entire people,” said Welch.

He said that the donation will help the Tanzanian government to work hard to improve the business to grow and provide decent jobs as well as to take decisive action to challenge and tackle corruption.

Meanwhile, the UK government has launched a new policy statement or White Paper on international development called ‘Building Our Common Future.’

Welch said that the White paper reaffirms UK’s commitment to international development during difficult economic times.

“It reminds us that our common future will be better if we can work together to create a world that is more prosperous, more secure and that limits and withstands climate change” Welch added.

Last year the government of Tanzania was under intense pressure to address the theft of several million dollars from the Bank of Tanzania’s external payment arrears (EPA) account as donors withheld the disbursement of over Tsh. 812 billion (over USD 677m) promised for general budget support for 2008/9.

The group of 14 development partners providing General Budget Support (GBS) to Tanzania had apparently made a bold decision to demand serious answers from the government on what it is doing about the looting of public money from the Bank of Tanzania.

Norway was among the development partners whose assistance to Tanzania is in line with the country’s implementation of the poverty eradication strategy, popularly known as Mkukuta.

Critics said that the move by development partners to withhold the GBS funds was indicative of the lack of seriousness by the government, which was seen as reluctant to take actions against suspects named in the EPA scandal.

Tanzania lost about 4.1bn/- in general support from Denmark in the 2007/8 financial year after it failed to fulfill its commitment to present anti-corruption legislation to the parliament. And only this year, Norway threatened to withdraw aid over misuse of donor funds in the Natural Resources and Tourism ministry.

The country’s reliance on foreign aid in its budget stands at round 3trn/- out of the 9.5trn/- total national budget. Yesterday’s announcement, which came hardly a month after the national budget was endorsed in Dodoma, is a good sign that donors have started honouring their commitments for the current fiscal year which started on July 1.

The GBS group comprises Norway, Denmark, the African Development Bank, Canada, the European Union, Finland, Ireland, Japan, Germany, the Netherlands, Sweden, United Kingdom and the World Bank.


SOURCE: THE GUARDIAN