Aid unreliability and Tanzania's possible futureThe case of Internal Resource Mobilization in Tanzania

By Israel Laizeri (IDS – PhD Student)

Abstract

Tanzania needs internal resources mobilization (IRM) for socio-economic development. Mobilized internal resources are regarded by economists as fiscal resources accruing from the domestic economy of a particular country. They are intuitively regarded as resources originating from domestic agents, notably, households (via savings), businesses (via retained earnings) and government (or the public sector, via taxation and revenue generation). Taxation is the biggest source of all internal resources for Tanzania as it applies to many other developing countries in Africa. It is imperative that policymakers in Tanzania do more to address constraints currently hampering implementation of tax collection reforms and to maximize contribution of taxes to internal resources. Some of resources often re-invested in the country, household savings in household enterprises and retained earnings are ploughed back into firms, while the government invests in physical or social infrastructure thereby promoting socio-economic development. The main focus of this paper is rooted from assumptions that (1) in Tanzania, there are opportunities for internal resources mobilizations that can facilitate higher levels of investment and economic growth including highly rapid poverty reduction and contribute toward reducing aid dependence thereby increase domestic policy space as well as ownership; and (2) there are challenges hindering effective internal resource mobilization.

Keywords: Development, Aid, Tanzania and Internal Resource Mobilization

1.0 Introduction

Controversies about effectiveness of aid go back to some decades (Radelet, 2006). Scholars such as Jeffrey Sachs, Joseph Stiglitz, and Nicholas Stern hold that aid has contributed to poverty reduction and growth in some countries and prevented worse performance in others (Radelet, 2006). Meanwhile, other scholars like Dambisa Moyo, Milton Friedman, Peter Bauer, and William Easterly have strongly criticized aid, saying that it has enlarged government bureaucracies, perpetuated bad governments, limited policy space, enriched the elite in poor countries, or just been wasted. Furthermore, there is evidence that a greater proportion of aid donated to developing countries has been phantom1 rather than real (Rugumamu, 1997; Edward, 2012). Even when it turns out that the aid is real, some argue that it can be lethal for the ability of

1 Phantom Aid by Action Aid description is that type of aid that never reaches the poor and doesn’t reach the targeted recipients. Action Aid estimated that half of all aid failed to reach intended recipient as most of it is used in administration costs, technical assistance costs, debt services, used toward commercial ventures and thus the amount that reaches the poor which is what termed as the real aid is only half of what left. http://www.actionaid.org/sites/files/actionaid/real_aid_2.pdf

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the recipient country to develop and control its own economic and financial institutions and objectives (Rugumamu, 1997).

Globally, the modem concept of bilateral foreign aid began with the United States' response to destruction in Europe after WWII. The USA addressed this through creation of the Marshall Plan, enacted in 1947, which provided funds to rebuild European states. Other states followed the example of the United States and started incorporating foreign aid into their foreign policies (Lancaster, 2009). Different countries have different experiences in foreign aid, for instance, countries that are characterized as developmental states or the newly industrialized countries such South Korea, Japan, Hong Kong, Tawain, and Brazil; seem to have had a different experience of foreign aid compared to Africa (Fritz & Menocal, 2006).

In the Tanzanian context, Bagachwa and colleagues (1997) analyzed aid flows into the country reported that they evolved through four phases: first, the aid expansion phase when donors supported the country in the wake of the Arusha Declaration (1967–1980). During the 1960s to 1970s, Tanzania generally had warm relations with China and the Scandinavian countries because they gave considerable economic assistance (Lynge, 2009). According to Lynge (2009), the United Kingdom and Germany have also sustained relatively close ties with the country. In 1990, Tanzania received an Agricultural Adjustment Credit for USD 385 million, of which USD 200 million came from the ODA. It focused on liberalization of marketing of agricultural products and inputs.

1.1 Socialism, Self- Reliance and Arusha Declaration 1960s – 1980sIn the 1960s, Nyerere based his development strategy on self-reliance and redistribution by making clear his commitment to a war against poverty. He was also very aware of the danger of being heavily dependent on aid, which he emphasized in the famous Arusha Declaration. Nyerere went on by saying that he did not believe that foreign assistance could solve Tanzania’s problems, as he said, “It is stupid to imagine that we shall rid ourselves of our poverty through foreign financial assistance rather than our own financial resources” (Arusha Declaration, 1967). As noted by Rugumamu (1997), Tanzania was a typical example of the country, whose identity determined means and volume of its support by developed countries from the 1960s to 1980s. In November 1979, the IMF informed President Julius Nyerere that it would provide a large loan to Tanzania on condition that the government would implement a macroeconomic adjustment program. The main components of the said program included a large devaluation of the shilling, fiscal restraint and parastatal reforms. An agreement with the IMF was important for Tanzania, since it would have unlocked foreign assistance from other donors, including the World Bank. Nyerere reacted to the IMF proposal with disbelief, and announced that his government would not change the value of the currency. He then proceeded by expelling the IMF mission from Dar es Salam (Coulson, 2013).

From 1980 to 1985, Tanzania resisted settling with the IMF/World Bank and failed with its home-grown attempts at reforms; the aid adjustment phase that followed the accord with the World Bank and the IMF. Starting in 1982, and as a way to induce adjustment and policy changes, the international community began to curtail foreign aid flows. In the four years between 1981 and 1985, net official assistance, in per capita terms, declined by a remarkable 40 percent (Edward, 2012). Overall, bilateral and multilateral aid fell by roughly a third during the

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period of 1981 to 1985. In May 1981, the government launched a homegrown program that aimed at mobilizing internal resources for export and food self-sufficiency. Arusha Declaration called for socialism and self-reliance, implying that the two aspirations were inseparable.” Nevertheless, “despite the recognition of the importance of self-reliance, the country has become more, rather than less, dependent on foreign aid since the proclamation of the Arusha Declaration” (Rugumamu 1997). Since the mid to late 1970s, the long-held planning view began to be questioned by an increasingly large number of experts that ventured that “government failures” were more pervasive, generalized and costly than “market failures” (Edward, 2012).

1.2 Structural adjustment and liberalization policies of mid-1980s to dateSince the mid- 1980s, there was a shift in emphasis from project aid to programme aid. It was mainly attributed to by the country’s balance of payments problems and the declining capacity in industry. In the mid-1980s, Tanzania was forced by the donor community, particularly the World Bank and the International Monetary Fund (IMF), to change its development policy from a state-controlled economy to a free market system. Provision of development aid was conditional on Tanzania’s acceptance of drastic economic reforms as formulated by the WB and the IMF. The country signed the standby agreement with the IMF and a structural adjustment programme with the World Bank in 1986.

Tanzania’s implementation of the Economic Reform Programme (ERP) from mid-1980s marked its acceptance to a market oriented economy and helped to restore donors’ confidence. The objectives of the ERP as outlined in the evaluation report by the Netherlands Development Cooperation (1995: 173) were “the achievement of real GDP growth of 5%per annum, a reduction in the rate of inflation to below 10 % a year, a decrease in the government budget deficit, and an improvement in the balance of payments position.’ Under the ERP, a wide range of policies was adopted that aimed at liberalising internal and external trade, unifying the exchange rate, reviving exports,, stimulating domestic savings and restoring fiscal sustainability (World Bank 2001: 295). During that period, more aid from donors was directed to the economic reform programme.

A particularly serious impasse between the government and the aid community erupted in 1993-94, and it was only solved in 1995 when a high level committee chaired by Gerry Helleiner (a University of Toronto professor, and a Tanzania old hand) mediated between the parties and devised a new approach to coordinate aid (Edward, 2012). In the 1990s, there was a shift in donors’ thinking towards poverty reduction measures and thus, the ODA’s objectives included the need to address poverty reduction in developing countries. Reasons for the donors’ focus on poverty reduction were mainly influenced by the World Bank (WB) new poverty agenda and influence of the United Nations Development Programme’s (UNDP) Human Development Report of 1990. The WB focused on the new poverty agenda by emphasizing on labor intensive growth and investment in human capital of the poor people (particularly health and education) to enable them to participate in the growth process (White, 1998: 11). The UNDP’s human development reports, since 1990, have been putting emphasis on human development including enhanced human capabilities. In emphasizing on pro-poor expenditures, both the WB and the UNDP argue for rural healthcare versus urban hospitals and the subsidies for primary education versus tertiary education (White, 1998: 12).

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1.3 Tanzania Aid issues Apart from the fact of possible negative effects of aid to recipient countries like Tanzania, the levels of ODA to the country, in real terms, have been fluctuating considerably, peaking in 1992 before falling significantly to 1996, and then rising again to another peak from 2007 to 2010 before falling back again in 2011. In 2014, Tanzania media reported that the General Budget Support (GBS) donor group withheld nearly US$ 500 million in budget support to Tanzania over corruption allegations linked to the infamous Tegeta Escrow account scandal involving government funds set aside to pay an independent power producer famously known as IPTL saga. The IPTL is alleged to have been fraudulently paid out to individuals from a Central Bank special account. In another related incident widely discussed in the Tanzania media, on the 29th March, 2016, the US government aid agency terminated continuation of a an aid package worth US$472m (£ 331 m) of funding for a Tanzanian electricity project by claiming that Tanzania had failed a good governance conditionality test over its handling of the October 2015 General Elections with respect to the Zanzibar part of those elections.

Tanzania is one such example of how foreign aid has impeded the country’s ability to develop on its own, relying so much on donor money that it can no longer effectively operate with financial independence. I argue that Tanzania could radically deviate from relying on external donors and pursue a different development path, one in which the country would rely predominantly on the mobilization of internal resources. The concept of “mobilized internal resources” is used in this context to refer to fiscal resources that accrue from the domestic economy.

There are those who may argue that donor countries could hardly be expected to give aid without being motivated by their own political, strategic, or economic interests (Trip, 2013). It is hardly surprising if the allocation of foreign aid is rarely determined by the relative needs of developing countries (Action Aid, 2005). Most bilateral aid seems unrelated to the recipient countries’ development priorities. That is why from the beginning foreign aid has made little impact on the development needs of most Tanzanians (Edward, 2012). It may indeed be argued that the foreign aid that Tanzania received in the 1960s and 70s for purposes of supporting its then-socialist policies such as the collectivization of agriculture and the villagization process was wasted, as the intended objective was hardly attained (Edward, 2012). Worse was the collapse of the Tanzanian economy in the late 1970s and early 1980s, in spite of massive aid flows from donor countries2 (Edward, 2012).

2.0 Conceptual clarification Although development has been a constant concern of government policymakers, economists and other social scientists – and has touched lives of more people than ever before – there has been little agreement on its definition. However, this paper adopts the definition as submitted by Naomi (1995) who viewed development as a process of societal advancement, where improvements in people's well-being are generated through strong partnerships between all sectors, corporate bodies and other groups in society. Hence, it is reasonable to know that development is not only an economic exercise, but also it involves both socio-economic as well as political issues and encompasses all aspects of societal life patterns.

2 “This period, of course, was also when Structural Adjustment Policies (SAPs) were imposed on many developing countries, including Tanzania. Here, however, I focus on the possibilities of strengthening the role of the state today.”

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In Tanzania, it is like in other developing countries in Africa where there has been little agreement among policymakers, economists, scientist and social scientists on how development can best be achieved. Basically, there have been two dominant arguments where some professionals believe that development of these countries can only be achieved through foreign aid and internal resources mobilization while others believe that Africa can do without foreign aid (Osoro, 2010). The first argument is built on the factor that countries face economic vulnerability, weak domestic policies and reliance on development strategies together with growth models rooted from colonial era. The second argument on Africa can do without foreign aid focuses on untapped natural resources, political will as well as good governance, export revenues, change in financial policies, investment performance, hope for better performance in agriculture, trade liberalization and conducive legal structures and human resource capacity as factors used to enhance internal resources mobilization (Rwegasira, 1998).

2.1 Types of internal resources to be mobilized

Developing countries are need for internal resources to invest for socio-economic development. Such internal resources are financial resources accruing from the domestic economy of a particular country. They are intuitively regarded as resources originating from domestic agents, notably, households (via savings), businesses (via retained earnings) and government or the public sector (via taxation and revenue generation). Taxation is the biggest source of domestic revenue for African countries including Tanzania. It is imperative that policymakers across the continent should do more to address constraints currently hampering implementation of tax reforms and to maximize contribution of taxes to domestic revenue (UN, 2014). Some of these resources are often re-invested in a particular nation. In due regard, household savings are accrued from household enterprises and retained earnings are ploughed back into firms, while governments invest in physical or social infrastructure thereby promoting socio-economic development of a given nation.

2.3 The role of internal resource mobilization toward reducing aid dependence

Greater internal resources mobilization leading to higher proportions of investment financed through domestic savings and a greater percentage of the government budget financed through taxation can clearly reduce the degree of aid dependence while widening policy space and enhancing domestic ownership (UNCTAD, 2007). Taxation plays a central role in building states and shaping their ties to society, a pattern contrary to aid dependence, which weakens the social contract based on bargaining around tax, and institution-building based on the revenue imperative thereby cultivating the risk of increased marginalization (Rwegasira, 1998).

2.4 Internal resource mobilization and enhancement of the country’s economic performance

Internally mobilized resources often constitute the bulk of resources that a country mobilizes for investment and the remainder comes from external sources including aid. Therefore, other things remaining constant, a country with higher domestic savings generally enjoys higher investment rates. Internally mobilized resources can meet more than a small proportion of any country’s

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overall investment needs and can do so in a predictable as well as sustainable manner. Investing in agriculture, for example, is often neglected by external aid despite the fact that it represents the sector in which most of the world’s poor struggle to make a living with internally mobilized resources investments. With external sources, donors will always be interested in investing in areas of high returns such as tourism, oil, gas and minerals (Bhushan, 2008; UN, 2014).

2.5 Key drivers of internal resource mobilization

Improving internal resource mobilization for generating greater domestic public and private savings for investment requires critical drivers of policy initiatives and institution-building, among others, on part of any developing country. Such key internal resource mobilization drivers include macroeconomic policy, the government’s expenditure plan, tax policy, the investment climate, enhanced regional markets, economic openness as well as competitiveness, diversification and agricultural growth, capacity building and state including governance. Macroeconomic policy is obviously fundamental in establishing the overall climate for domestic savings and investment (Rwegasira, 1998). However, the key drivers of enhanced internal resource mobilization are in the remit of governments, since governments must define as well as implement policies, and create or strengthen institutions that are fundamental to a well-functioning financial sector (Bhushan, 2008).

3.0 Prospect of Tanzania Developing Using Internal Resources Mobilization

3.1 Widening tax base and tax administration reformsIn the first place, one may rightly argue that Tanzania has not been sufficiently stringent in collecting taxes, which could create domestic revenue and consequently minimize overdependence on foreign aid. Supporting the point, it has been recommended that the government of Tanzania needs to create a fair and efficient taxation system and do away with tax exemptions that create loopholes for tax evasion as well as revenue leakage (UNECA, 2014; Osoro, 2010). Similarly, it is quite possible that there have been unnecessary tax exemptions and tax holidays in the country that have been given to foreign investors, leading to loss of revenue. As UNECA report (2014) asserts that taxation is the biggest source of domestic revenue for African countries, it is imperative for the Tanzanian government to do more to address constraints currently hampering implementation of tax reforms and to maximize contribution of taxes to domestic revenue. As of late, new leadership in Tanzania3 has been insisting on increasing tax payments and has begun efforts to convince citizens that tax reforms4 are part and parcel of wider reforms to improve the business and investment environment of their country. The Tanzanian president appears on television and radio broadcasts, mobilizing citizens to pay taxes and insisting that businesses will also not escape paying taxes. Moreover, the government has embarked on reviewing tax exemptions as well as tax holidays, to ensure that they are only 3 The 5th Government under the leadership of President John Pombe Magufuli has embarked on increasing tax collection in Tanzania by curbing all loopholes in paying taxes and sensitizing the mass to pay their taxes and pushing for Tax Administration reforms http://www.thecitizen.co.tz/News/New-tax-collection-system-to-curb-theft/1840340-3276866-wpjoi/index.html 4 Speech by the minister for finance and planning, Hon. Dr. Philip I. Mpango (MP), Introducing to the National Assembly, the estimates of Government Revenue and Expenditure for fiscal year 2016/17 http://www.tra.go.tz/images/uploads/Laws/budget.pdf

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be granted where appropriate. These efforts can be seen as a move toward raising more money for public expenditure for the government.

3.2 Addressing the capital flight problemRwegasira (1998:4-6) identified that combined macroeconomic, political and institutional measures can be used to assist in addressing the capital flight problem because illegal financial flows pose impact on all aspects of the economy in the country. Such flows have been a huge drain on the country’s internal resources thereby preventing access to these funds for productive investments and undermining the national economic governance. The government needs to address the issue of illegal financial flows as part of her efforts to mobilize domestic resources.

3.3 RemittancesRemittances are an important source of foreign exchange that could be tapped to enhance the internal revenue base of the country in importing vital goods as well as pay off external debts. According to UNECA (2014), Africa is the most expensive continent to send money to. Given the steady increase of Tanzanian nationals who live in abroad, the government could suggest how best to utilize this opportunity to increase sources of funds internally. This is another area of opportunity that Tanzania can look at and make maximum use of it as a means of raising fund for its development, According to UNECA (2014), in 2008; Ethiopia was the first country in Africa to introduce diaspora bonds. Called “Millennium Corporate Bonds,” they were issued by the Ethiopian electric power authority to finance national projects. Although the bonds were not as successful as had been hoped, the Ethiopian Government tried again in 2011, with a second bond issuance, to secure financing for the Grand Renaissance Dam project. Efforts were made to improve the marketing campaign vis-à-vis diaspora Ethiopians and to date; $400 million has been raised, although much of this has come from within the country. Drawing from Ethiopia’s experience, it is clear that there are important conditions that countries considering issuing bonds must think if the process is to be effective and cost-efficient. Issues of making sure that the bonds are marketable and will appeal to the diaspora; second, be able to identify and locate nationals living abroad; third, establish an entity that will attract as well as maintain ties with the diaspora; fourth, improve financial literacy among members of the diaspora to help them to become active investors; and lastly, demonstrate good governance, transparency and political stability. When all these issues are in place as per UNECA (2014) report, this can provide an opportunity for a country like Tanzania to raise funds for its own development

3.4 Financial marketsRwegasira (1998: 4) wrote about performance of financial markets by analyzing the mobilization of resources for financing investments. He argued that principal areas for action are financial-sector reforms aimed at building efficient financial institutions together with financial instruments and the pursuit of conducive interest-rate policies. With a well-developed banking sector and stock markets, the ability to finance new projects and increase in-depth trading should follow. Hence, local investors will be supplied with enough capital for investments, and the government will be in a position to collect enough revenue through taxation.

3.5 Public financial managementSome, however, argue that public financial management contributes to inadequate domestic resource mobilization (UNECA, 2014: 6). In his paper, Rwegasira (1998) suggested that the role

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of the state and government should be to develop skilled human resources for tackling broad as well as strategic tasks in public financial management, strengthening key institutions, and contributing to creating an enabling regulatory and policy environment. Rigorous public financial management characterized by an aggregate fiscal discipline; resource allocation and use based on strategic priorities; and efficiency and effectiveness of programme as well as service delivery will ensure the country's development by using its internally collected resources.

3.6 Contractual savings Non-bank financial sectors particularly pension funds (like NSSF, PPF, PSPF, LAPF, NHIF and ZSS) can provide reliable financing for long-term development projects of public demand that would normally face difficulties in attracting suitable investment. The investment can be under public private partnership (PPP). The insurance sector, comparably, has potential with the added benefit of providing an income safety net for businesses and individuals (Osoro, 2010:7; UNECA, 2014:4).

Public financial management contributes to inadequate domestic resource mobilization (UNECA, 2014:6). In his paper, Rwegasira (1998) suggested that the role of the state and governance is development of skilled human resources for tackling broad as well as strategic tasks in public financial management, strengthening key institutions, and contribute to creating an enabling regulatory and policy environment. Rigorous public financial management characterized by an aggregate fiscal discipline; resource allocation and use based on strategic priorities; and efficiency and effectiveness of programme as well as service delivery will ensure the country's development by using its internally collected resources.

3.7 Public-private partnerships Public-private partnerships (PPPs) have been widely used in both developed and developing countries since the 1970s. In essence, public-private partnerships are risk-sharing mechanisms or relationships in which a legal contract assigns public service delivery responsibilities to a private entity. Public-private partnership investment in developing countries across different sectors – water, energy, telecommunications and transport – grew from about $30 billion in 1995 to $140 billion by 2009.

3.8 Domestic savings Raising savings rates from present levels is an important issue in the Tanzanian context. The three main savings sectors (public, private-corporate and household) have important IRM implications and hence, the government needs to put further emphasis on them. Considering the current low levels of taxation from the three main savings sectors, which have the potential for increased domestic revenue mobilization, the government needs to create a fair and efficient taxation system and do away with tax exemptions that create loopholes for tax evasion as well as revenue leakage (UNECA, 2014; Osoro, 2010).

4.0 Challenges hindering effective internal resource mobilization

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In his study of A Neglected Factor in Development Strategy, Bhushan (2008) summarizes the main obstacles to internal resources mobilization being weak financial infrastructure, governance and corruption, while UNECA (2014) identifies these challenges by including low savings rates, poor tax administration and a limited tax base together with illegal financial flows. They add that there is still a persistent disconnection between public financial management and national budgets and planning, which makes it difficult for the country to identify funding gaps and channel existing funds into priority development areas. In addressing the challenges, Rwegasira (1998) suggested that the state should play a strategic role in shaping pro-investment, pro-poor policies and in building critical human and institutional capacities to manage development affairs in the context of globalization.

4.1 Contrasting the role of internal resource mobilization (IRM) with the role of external resource mobilization (ERM)However, it is imperative to note that fundamental difference between domestic and external resource mobilization rests not only on the origin, but also on application of the resources in question. In other words, there are typically significant differences between motivations for, and impact of external resource compared to domestic resources. External resource responds to commercial profit opportunities and retained earnings flow to foreign investors and motivated by political objectives of the donors and creditors. These may or may not coincide with national development objectives (Bhushan, 2008). Or to put it the other way around, it would be difficult, indeed impossible, to meet national development objectives principally through mobilizing external resources. Not only would the quantity of external resources fall considerably short of the total needs of the country, but also they would not “fit” needs of many sectors. For example, most people live in rural areas, depending on agriculture and yet, the resource needs of agriculture and the rural population are seldom high priorities for foreign direct investments or even aid agencies. Honohan and Beck (2007) recommend that ERM resources can play a role to enhance IRM in developing countries by bringing technology, human and financial expertise (as they are doing already), exploiting their independence from local interest groups to act as agencies of restraint (e.g., loan guarantee schemes), offering technical farm extension advice, providing basic business development services and looking at conditions in their own countries, notably, with regard to international remittances.

5.0 Conclusion

It has been remarked that for over fifty (50) years of its existence since its independence, Tanzania has been receiving billions of dollars in aid and, yet, the said aid has had little impact on the country’s socio-economic development (Tribe, 2013). Furthermore, the said aid might have been of little benefits to the country’s poor who constitute the vast majority of its population (UNDP Report, 2015). As a matter of fact, it is not quite clear why Tanzania has been continuing to depend on foreign aid while the country is endowed with plenty of natural resources such as fertile land, minerals, water, forests and gas, to mention but a few. It is through this argument that this paper asserts that in order for a country to develop, it should really reduce if not do away with heavy reliance on foreign aid or official development assistance. Emphasis on a country to develop should be from internal resource mobilization. Of course the paper acknowledge the challenges associated with internal resources mobilization but the paper argues that Tanzania, stands a bigger chance of achieving its 2025 vision of becoming a middle income

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country if it’s to highly depend on internal resources mobilization than depending on foreign aid. Thus this paper suggests the only possible way out for in this development quagmire would include gradual but strategic reduction of aid dependency through domestic resource mobilization, domestic borrowing, international borrowing, aid and grants with minimal conditionalities

References

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Action Aid (2005) Real Aid: An Agenda for Making Aid Work. London: Action Aid – accessible from http://www.un-ngls.org/orf/cso/cso9/real-aid.pdf

Action Aid (2011) Real Aid 3: Ending Aid Dependency. London: Action Aid – accessible from www.actionaid.org.uk/policy-and-research/research-and-publications/

Bhushan.A and Culpeper. R, (2008). Domestic Resource Mobilization a Neglected Factor in Development Strategy. Ottawa: The North-South Institute.

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Osoro N. E, (2010). “Domestic Resource Mobilization in Sub-Saharan Africa; The Case of Tanzania” NSI, Ottawa, Canada.

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Radelet, S (2006). A primer on Foreign Aid, Centre for Global Development, downloaded from http://www.who.int/hac/techguidance/training/analysing_health_systems/a_primer_on_foreign_aid_06.pdf

Rwegasira, D.G (1998). “Key Issues in African Development in the 21st Century”, Tokyo Japan

Rugumamu, S (1997). Lethal Aid: The Illusion of Socialism and Self-Reliance in Tanzania. Trenton, NJ: Africa World Press,

Tribe, M. (2013) International Aid to Tanzania- With some comparisons from Ghana and Uganda Discussion Paper 15-03, Department of Economics, University of Strathclyde, https://www.strath.ac.uk/media/departments/economics/researchdiscussionpapers/15-03.pdf

UNECA (2014) “Domestic resource mobilization,” Marrakech, Morocco

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iThe author of this article is Israel G. Laizer, working with United Nations Development Programmes (UNDP) Legislative Support Project as a Monitoring and Evaluation Specialist; He has a Master’s Degree in Development Studies from University of Dar es Salaam in its Institute of Development Studies (IDS). For the past 10 years, he has been working with National and International Non-Governmental Organizations, Government and government agencies, different Development Partners (DPs) such as USAID, COMIC RELIEF, ACTION AID, UNDP, DFID, SIDA, OXFAM (UK), different Embassies supporting development agenda, research institutions in the country and outside the country and recently in UNDP supported Legislative Support Project in both Tanzania National Assembly and Zanzibar House of Representatives.

He is currently pursuing Doctoral degree programme at the University of Dar es Salaam under supervision of Professor Severine Rugumamu exploring on prospect of development in Tanzania using domestic resource mobilization. His thesis that he is working on is titled “Prospect for development in Tanzania, the premise of Domestic Resource Mobilization” gave him deeper insight and understanding of Africa development challenges, AID management and an alternative to developmental approach framework that Africa should embark if it is to achieve sustainable development as highlighted in this paper

The opinion and views shared in this document are of my own and doesn’t reflect those of United Nations Development Programmes (UNDP)

He can be reached at laizerisrael@undp.org or call through number +255 685 701 687 and WhatsApp number +255 784 732639 and skype: israel.laizer2