The Final Showdown EL Vs JK: The Death Of Boyz2Men


Mchugaji since you nailed on the best staff like FDI, below is the article i wrote few years ago concern FDI and JK. Enjoy !


During late 1980s economist came with the argument that Foreign Direct Investment (FDI) is one of the way of developing African stagnate economy. They argued that FDI represented about 60% of foreign exchange raised in all developing countries. FDI represents combination of capital, stock, know-how and technology (Della 1997). Majority of FDI orthodoxy continue to believe FDI is the only potential source of bridging the gaps in capability development, exploitation of resources and participation in the international markets. However, the argument is inconclusive. To be fair through FDI there is potential direct contribution to economic growth and technological improvements. However, such potential contribution depends on the type of FDI. For developing countries such as Tanzania, FDI suppose to be a means of acquiring a new technology, however there is more evidence that in Tanzania FDI is not an essential element for industrial and technological improvement.

The cheerleaders of FDI once argued that through privatizations (acquisition) of local firms to the foreigners, we will be able to rehabilitates those firms to be productive again. They argued that FDI will inject new technology and spillovers the know-how knowledge which will resuscitate stagnant industry. However, they missed the point when it comes to upgrading of local industries; it can only happen into two ways. First, by knowledge transfer to acquired firm, and second, by creation or upgrading of linkages with domestic economy. Research shows that FDI tend to increase out put/ productivity through introduction of new technology. However, that is not the case to majority of the foreign firms which acquired our local firms. We saw in TTCL, the company which acquired it didn’t upgrade TTCL into more advanced technology, instead it layoff massive amount of people; bring the so called management guru from Canada and that was the end of the story. When it comes to Tanzania majority of FDI came for only one purpose Natural Resources. They’re extracting these resources and ship them to their countries as raw materials, and that disprove the whole theory of FDI link to development of domestic economy. If Barrick cares a lot about Tanzania, why they’re not processing gold to a finished product in Tanzania? Or why does they’re not develop supporting industries such as suppliers and distributors?

FDI suppose to boost domestic economy through job creations or creation of supporting industry such as supplier and etc. However, the case is difference in Tanzania. For instance, Vodacom is one of the giant cell phone providers in Tanzania; however it employed less 800 employees (according to Vodacom Investor Newsletter of 2008). Also most of Vodacom suppliers are from South Africa and that kills the all idea of FDI. Apart from that most of their employees are located in the urban area such as Dar es Salaam. So, that raises the question how will FDI transform Tanzania economy while majority of the population located in the rural area?

The core center of Tanzania economy is agriculture which composite about 40% of Tanzania GDP, however there is less foreign investor who are eager to invest on that sector, and that bothered me so much. I asked my self over and over if FDI is so important then why not agriculture sector?

The FDI orthodox will always take you through the income statements of different companies which accepted FDI, and show you how profit improved. However, they will not discus about how human capital has improved. FDI is not supposed to be a new way of imperialism, or a new slave trade era. The notion that desperate Tanzania citizen are better off earning a dollar a day than no dollar at all, will not transform us to a better economy.

In conclusion, we need to stop thinking that foreigner will transform our economy to a more advance one. There is a need of renewing our patriotism toward our country, we were better off in 1970s than today. Please don’t measure economic development through looking at skyscrapers or more choices in the restaurant menu. But through education standard, healthcare and economic growth which percolate to the bottom.
At the end we need to analyze several questions:

  • (a) What happen to Maendeleo kwa Kila Mtanzania?

  • (b) Does MKUKUTA advocates still believe on it? If yes can we reach the goal of eliminating poverty by 50% in 2020?
 
The distinction I see is that Lowassa is urging for us to invest internally and not to foreigners! Foreign investors are reaping extremely well due to tax and duty shelters, lack of checks and balances to ensure what is being produce is being accounted.

Serikali is burdening Watanzania to shoulder the Foreign Investors through creating conducive environment to Mwekezaji, but fails miserably to create the same to Mzawa and that is what I see Lowassa is basing his argument or opinion.

So if it is political game of placing yourself in better shape, as one has indicated, this statement and premises in which it was issued, place Lowassa in same line with the philosophies of Sokoine and Nyerere and leaves Kikwete and his followers as maadui, kupe na mabwanyenye wenye kutukuza ukoloni mamboleo kinyume na msimamo wa Azimio la Arusha la kujenga jamii ya kijamaa na yenye kujitegemea!

I don't agree with notion that Lowassa is some how better on how he approached our economy. When Lowassa was prime minister, he didn't seem to advocate true free market rather than calling himself a local investor (fisadi). I am hard to believe we are talking about Lowassa who resigned as prime minister after caught stealing billions of shillings from the same people he suppose to defend (richmond). I am sorry and I think you guys want to promote Lowassa here and forget all crimes he committed and never face justice. Are we really talking about possible crime offender?

What we should focus are solutions to building strong leaders for our country. We are lacking strong institutions and platform to prepare our future generations. I am eager to hear future leadership and policies that fit out challenges and I don't think we lacking ideas. What ccm had created in Tanzania is a mess and we current have people with solutions but are not given opportunities to take leadership.

Lets continue to fight for constitution to protect the interests of Tanzanians and neither for Lowassa, Kikwete, Malecela, Makamba, Aziz. There are about 43 millions Tanzanians and nor ten families. Lets be smart for our future....
 
I don't agree with notion that Lowassa is some how better on how he approached our economy. When Lowassa was prime minister, he didn't seem to advocate true free market rather than calling himself a local investor (fisadi). I am hard to believe we are talking about Lowassa who resigned as prime minister after caught stealing billions of shillings from the same people he suppose to defend (richmond). I am sorry and I think you guys want to promote Lowassa here and forget all crimes he committed and never face justice. Are we really talking about possible crime offender?

What we should focus are solutions to building strong leaders for our country. We are lacking strong institutions and platform to prepare our future generations. I am eager to hear future leadership and policies that fit out challenges and I don't think we lacking ideas. What ccm had created in Tanzania is a mess and we current have people with solutions but are not given opportunities to take leadership.

Lets continue to fight for constitution to protect the interests of Tanzanians and neither for Lowassa, Kikwete, Malecela, Makamba, Aziz. There are about 43 millions Tanzanians and nor ten families. Lets be smart for our future....

I think you missed Muchungaji point, the bottom line is not how clean or dirty is Lowassa, but he can execute compare to JK. The guy have a common sense, and JK have a nonsense that is a perfect different among the two.
 
I don't agree with notion that Lowassa is some how better on how he approached our economy. When Lowassa was prime minister, he didn't seem to advocate true free market rather than calling himself a local investor (fisadi). I am hard to believe we are talking about Lowassa who resigned as prime minister after caught stealing billions of shillings from the same people he suppose to defend (richmond). I am sorry and I think you guys want to promote Lowassa here and forget all crimes he committed and never face justice. Are we really talking about possible crime offender?

What we should focus are solutions to building strong leaders for our country. We are lacking strong institutions and platform to prepare our future generations. I am eager to hear future leadership and policies that fit out challenges and I don't think we lacking ideas. What ccm had created in Tanzania is a mess and we current have people with solutions but are not given opportunities to take leadership.

Lets continue to fight for constitution to protect the interests of Tanzanians and neither for Lowassa, Kikwete, Malecela, Makamba, Aziz. There are about 43 millions Tanzanians and nor ten families. Lets be smart for our future....


Niweze,

For your information Lowassa did not benefit from Richmond or Dowans and that is why a few months ago he spoke openly about it by urging the to not pay Dowans. But on that case of Dowans- Richmond, Kikwete stated we should pay before realizing there was too much heat and he backed down.

Lowassa sin on Dowans is abuse of power, but the benefactor of that abuse of power is still smiling asking Watanzania to look for win win situation!

However, Lowassa hands are not clean and that is why when Nyerere slapped him upside the head he resorted into alcoholism and was a lost case until Mkapa brought him back to life!

So put aside personal stuff and lets look at the hoja itsef!
 
Mtanganyika,

It is interesting that this week alone, Donors have called us out on Umiliki wa Ardhi on Kilimo Kwanza, EZP and FDI! Wanasema we can not depend on these alone to prosper!

Lakini watu wanakataa kuliona hili, watadai enzi za Nyerere tulitumia mkaa kung'arisha meno na sasa colgate ziko kila kona, but it is all imports while we have flouride in sopme lakes all over Tanzania.

We are exporting raw materials and import finish goods that the first place of the product cycle was Lukuledi, Mbinga and Kasulu!
 
I agree kwamba we're looking Tanzania problem from the top of the pyramid, matokeo yake tunamisss the important point. The argument imehamia kuhusu Ufusidi and no Fisadi, Magamba and no Magamba. People have become like a cheerleader they cheer for anything as long as it's against the opponents.

Tanzania sasa ina surfer from serious problems kama Balancing of Budget, donors wameshaona kwamba subsidizing this government is waste of their time and their taxpayer money. Now wanachofanya ni kutafuta sababu by every means, mare you're not balancing the budget, mara revenue yako iko below than expenditure.... Ukweli ni kwamba Wazawa wengi tumesema tangu mwanzo, stop foreign aid, restructure tax laws by giving subsidies those who invest in new technology and products which benefit local economy. Start to prepare a plans of detour from Agriculture based economy. Mwisho let us balance our own budget by using revenue za ndani kwanza, i know it's not easy but we can try to reduce utegemezi.

Wehu kama JK wanachofanya ni kuzunguka dunia nzima kuomba omba, jana kabanwa anasema Hosea inabidi atowe study ya 2009 inayohusu ufisadi, do we want to discuss 2009 issues today? How about reduce the government size, erase any tax loopholes, restructure land law and banking act. Then tuone kama Tanzania hatuwezi kuwa the next south Africa.
 
Mtanganyika,

Mediocrity, idiocy, laziness, gluttony and any sort of idioms or euphamisms can best describe CCM and its leadership and especially the current leadership!
 
Ivi wewe una nini na lowassa? the only way he can redeem himself ni kama arudishe mali alizotuibia!
 
This thread heading and its content does not fit.what kind of showdown you talking bout.?
 
Mtanganyika,

It is interesting that this week alone, Donors have called us out on Umiliki wa Ardhi on Kilimo Kwanza, EZP and FDI! Wanasema we can not depend on these alone to prosper!

Lakini watu wanakataa kuliona hili, watadai enzi za Nyerere tulitumia mkaa kung'arisha meno na sasa colgate ziko kila kona, but it is all imports while we have flouride in sopme lakes all over Tanzania.

We are exporting raw materials and import finish goods that the first place of the product cycle was Lukuledi, Mbinga and Kasulu!


While I enjoy this reading I am obliged to make some corrections. Yes we do import colgate and the likes but we manufacture as well and even export. Just last year HSBC has bought shares in one of the toothpaste making factory in Dar.

It isn't all that bad. However, we import TOOTHPICK! Nchi nzima twatumia toothpick toka Asia, haiumi bali inachekesha.

Karibu Mbinga!
 
Kigoma kuna ziwa lakini maji ya uhai yanatoka Dar, ze zitto yuko wapi?
 
Mtanganyika,
Miracles in Malaysia and China and even Singapore as par Rev, were brought partly through FDI. And when we say no benefits what are the indicators we use?
There are studies done on impact assessment of FDI flows to Tanzania and in some areas there are benefits, huge in jobs creation and expansion of manufacturing sector. My own study on mining sector reveals that the country hasn't benefited enough with FDI inflows because of poor policy interventions on linkages. Agriculture and manufacturing sector wasn't prepared to supply to the mining sector. Even energy sector wasn't (read tanesco). So the sector remained ENCLAVE! As I always say it is a matter of forward and backward linkages.
But on other indicators like export earnings, forex reserve and expansion of the service sector the trend is postive.
Much as we encourage FDI we have to facilitate the local investors ie SME supply and trade with foreign companies. We have to ensure that in every dollar into our economy, 60 dollar cents is spent within the country. This requires a strategic thinking and not mere 'workshop chat'
 
Kigoma kuna ziwa lakini maji ya uhai yanatoka Dar, ze zitto yuko wapi?

Kigoma is a complicated case. You can imagine in 49 years since UHURU kgm got its first tarmac road last two years. Kigoma still uses an expensive thermal power that discourages investments. Americans thruough MCC had a hydro power project to be left because of vyura na kamongo! Kama gundu hivi ha.ha ha.
Now we see opening up and we will encourage locals to establish GOMBE water as Iringa has maji africa, Mtwara Ndanda water and the likes. We are drawing our blueprint for encouraging meaningful investments into this trading centre and export to Congo and Burundi
 
Lowassa anajaribu kuwaweka kina Nape na JK kwenye checkmate.. yeye anazungumzia masuala ya sera na wao wameng'ang'ania kupambana na Chadema na mipasho ya kisiasa. Lakini vile vile anaonekana kujaribu kupendekeza solutions ya matatizo kwa namna ambayo ni tofauti na inavyopendekezwa na CCM ya sasa. Kimsingi anasema hajali kelele za "mafisadi wa CCM" he has work "to do".

For once I would beg to differ with you. Lowassa has lost credibility and the public has shun him. He is trying to divert attention by getting involved in matters that would ostensibly portray him as a saviour. But what suprises me is that he has been in the government for quite a long time and you would never hear him providing the counsel he is currently offering. Even at the constituency level, the guy has never presided over any thing that comes close to what he is preaching today.

Mimi ninavyofikiri ni kwamba issue ya mafisadi ni current and topical and there is nothing wrong preaching this at the moment especially kama hilo ndilo ambalo watanzania wangependa kuliona likishughulikiwa kwa sababu suala la ufisadi katika CCM limewagharimu na chama kiko katika mchakato wa kujitazama na kujisafisha. Mimi nina mashaka na uthabiti wa kauli yake hasa wakati huu ambapo yuko under siege.
 
Mbopo,

If Mafisadi and Ufisadi was mali, then CCM would not have been the rulling or majority party on November 1st 2010!
 
Zitto,

Suala si kuwa FDI hazifai kabisa, bali ni kutokuwepo misingi imara ya kuhakikisha kuwa inatunufaisha na sisi na si wawekezaji wa nje pekee, ndio maan aLowassa anakimbilia kuwaambia wananchi kuwa wao ni bora kuliko wawekezaji wa nje!
 
Back
Top Bottom