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Average per capita income in Tanzania is US$280 a year. 20% of the population live on less than US$1 a day; 60% on less than US$2 a day. Poverty is not decreasing, despite relatively stable economic growth. Tanzania is IDA-eligible and has LDC status.


Its macroeconomic policy has been approved by the International Financial Institutions. The country enjoys macroeconomic stability with reasonable and stable growth figures averaging 5% over the last five years. Economic growth is increasing. Inflation is decreasing; in late 2002 it was 4%. Last year the country's foreign debt increased to around US$6.5 billion, considerably higher than when the HIPC completion point was reached in late 2001. The liberalisation of the economy and privatisation of public companies is proceeding very slowly. The country's IDA performance is good, and its rating has risen to 1.

Public resources are managed with increasing transparency. The country has risen to 71st place on the Transparency International index. The civil law system is weak; proceedings are slow and opaque. The government apparatus is not very effective; its quality and capacity could be improved.

The country receives a huge amount of development aid: over US$1.2 billion, equivalent to over 13% of GDP or US$34 per head of the population. The Netherlands is Tanzania's fourth largest donor. In 2002 expenditure amounted to €74.5 million; the budget for 2003 is €56.2 million. The main sectors are education, health and governance (decentralisation). Macro support is also provided. The presence of technical experts at the embassies makes the Netherlands a significant player in relations with the authorities and in donor consultations. Dutch NGOs active in Tanzania include NOVIB, ICCO, Cordaid, HIVOS, SNV and the Netherlands Management Cooperation Programme (PUM).

Tanzania plays an important role in East Africa, both politically and economically. The country is active in promoting peace talks in Burundi and is hosting the Rwanda tribunal. It is considerably burdened by an influx of refugees from Burundi and DRC. Tanzania focuses on regional economic cooperation as a member of the East African Community and SADC. The Netherlands sees Tanzania as a partner in initiatives in the field of conflict prevention, the Great Lakes issue, Burundi, the Arusha tribunal and human rights.

In view of the level of poverty, the country's IDA performance rating, the size of the programme in priority sectors and the Netherlands' position within the donor community, as well as of the importance of supporting a stable country in an unstable region, bilateral development cooperation with Tanzania will be continued.

 

 

 

 

Multi Annual Strategic Plan of the Embassy of the Kingdom of the Netherlands in Tanzania

 

 

 

 

January 2008 – December 2011

 

 

 

 

Umoja ni nguvu, utengano ni udhaifu - Unity is strength, disunity is weakness

 

1. Management summary and decision points

 

Tanzania, one of the partner countries with a “MDG profile”, remains one of the poorest countries in Africa. Tanzania’s poverty reduction strategy, generally referred to by its Kiswahili acronym Mkukuta sets out a general vision on coherent policies to reduce poverty. The Mkukuta is currently half-way of its implementation period. EKN’s Multi-Annual Strategic Plan (MASP) is aligned to that strategy by building on the common donor response to the Mkukuta: the joint programming document.

 

Based on our experiences and the lessons learned EKN proposes:

 

A. Focus on Service Delivery at Local Level (SDLL) and sector choice

EKN has made the strategic choice to focus on Service Delivery at Local Level. Through this focus we can assure a better macro-micro link within the dialogue with Government of Tanzania (GoT) at national level in PRBS and respective sectors, and enhance capacities at local level both within Local Government Authorities (LGA’s) and of Non-State Actors (NSA’s). This common agenda of all EKN staff leads to a more flexible and cross-cutting approach in both sectoral and overarching issues. The common objective is to strengthen the functioning of the state organs and private sector in service delivery and of civil society as countervailing power insisting on this improvement in service delivery.

 

In line with EKN’s strategic focus on service delivery al local level, EKN has chosen to focus on three sectors that have a core function in the delivery of services: decentralisation, health and private sector development. The theme’s gender and good governance will be integrated in those three sectors. The dialogue on GBS implementation will offer the opportunity to discuss these and related issues like corruption in a broader context. In water and energy EKN will be a delegating donor only. EKN had already withdrawn from the education sector.

 

In accordance with the Joint Assistance Strategy’s definition for lead and active donors, EKN will continue to play a role of lead or active donor in the three sectors mentioned. Currently EKN is the lead donor in the health and decentralisation sectors. 

 

B. Continued efforts to strengthening harmonisation and alignment

Development assistance over the past decades has made little headway in reducing poverty. Non-aligned aid, usually by means of a myriad of stand-alone projects, was the hallmark of international aid to Tanzania for many decades. Increased awareness among donors of the lack of results and also an increased assertiveness on the part of GoT has led to more harmonization and aligned aid. In view of the high number of international donors in Tanzania, increased effectiveness of aid in Tanzania can only be achieved through a further rationalization of the donor architecture. EKN actively contributes to this process. 

 

The harmonized context in which EKN operates is illustrated by its portfolio of activities. Only 4% of this portfolio is bilateral. The major part (96%) of EKN funding is in the form of a) GBS or basket funding, b) multi-donor programmes with non state actors, and c) through silent partnerships with other donors. In this environment targets, objectives, and indicators are jointly agreed on with GoT, NSA’s, and DP´s. Outputs, outcomes, results are the product of these coordinated investments and combined efforts.

 

To monitor progress the GoT and DP’s agreed on a Performance Assessment Framework (PAF), containing overall indicators in the context of GBS (see annex III). Monitoring frameworks also exist at the different sector levels.

 

C. Strategic modality mix

EKN intends to continue supporting the implementation of the Mkukuta by focussing on a limited number of aid modalities:

-          GBS

-          Basket arrangements e.g. in health, water and local government (by using government systems within local government)

-          Pooled fund arrangement for support to non-state actors

-          Projects, for instance when innovative activities have been agreed upon with GoT and DP’s

 

D.  Decision points  

Given the present country allocation for Tanzania of 83 mln. Euro per year, which includes presently 30 mln. Euro GBS and other on-going activities, it is proposed that the following new commitments will be made: 

-          Support to the decentralisation process; 75 million for 5 years (60 million for MASP 2008-2011)

-          Up scaling support to the health basket; 60 million for MASP 2008-2011, minimum of 15 million per year

-          Additional allocation for SBE 0610S19 (HIV/AIDS) of 2 million in 2009 to cover actual commitments.

 

 

 

E. Other EKN activities

 

The text of the MASP hardly touches on all other activities EKN will undertake in the coming years, be it the political bilateral relations, consular activities or others.

 

Regarding the other countries of accreditation, Madagascar will continue to receive limited support through some instruments for private sector development and trade promotion. No activities are foreseen on the Comoros other than monitoring a WASH-program implemented through UNICEF. Mauritius does not qualify for development financing. Therefore regular bilateral contacts will focus on trade relations and culture (common history).


 

2. Context analysis, trends, opportunities and risks

 

Tanzania has since independence been a factor of stability in an often very volatile region. After changing from a socialist orientation to more liberal economic policies, Tanzania has known stable macro-economic conditions and economic growth rates in the order of 6-7 % per annum. The poverty reduction strategy aims at halving the poverty, which in the 1990s stood at 40 % of the population. Recent indications cast doubt on whether that central objective will be achieved. Although key social indicators (net enrolment rate at primary schools and infant mortality) show significant progress, poverty, particularly in rural areas, remains high and economic change limited.

 

The sections below delineate key trends that are observable in Tanzania and that form the backdrop for the strategic choices of EKN.

 

Lately two trends have emerged with regard to the media’s and the parliament’s contribution to good governance. Although the media tended to report submissively without challenging official positions, a few newspapers have engaged in investigative journalism to expose corruption and reprehensible behaviour by the powers that be. The opposition parties, albeit small, have managed to challenge the government in the field of governance to the extend that a significant number of CCM MP’s have become more critical of government actions.

 

Two scandals in particular have fuelled these trends and finally led to the resignation of the prime minister, with investigations underway that could ultimately lead to convictions of people with a high public profile. Confronted with an increasingly vocal and better informed population, expressing dissatisfaction about lack of quality services and accountability, the new government installed will have to deliver.

 

Opportunities to support this trend for EKN lie in further democratisation, decentralisation, a vibrant civil society and good investigative journalism. This will contribute to the much needed culture of openness and transparency that will improve accountability and governance at all levels and sectors of society.

 

2. Economic performance is strong, opportunities lie in further improvements business climate, increase in foreign direct investments and better resource management

 

Tanzania's economic performance, according to the IMF, continues to be relatively strong. Economic growth reached 6.75 per cent in 2006/07 and is on track to exceed 7 per cent in 2007/08. However, this growth may not be enough to reach the target of reducing poverty by half by 2010. The present high rate of population growth and the lack of development in rural areas need to be addressed. The scope for even higher growth is significant if Tanzania taps into the opportunities of improving natural resource management and increasing regional and global integration. 

 

Tanzania has abundant natural resources yet to be exploited, which could boost the GDP growth rate further. Unfortunately, even from the resources that are being exploited, the government earns negligible revenues. Particular area of concern is governance, especially in fishery, forestry and mining. Recent studies on illegal logging in the forestry sector indicate high level involvement of senior civil servants in practices that are causing substantial losses of potential domestic revenuesThe formal private sector in Tanzania is rather small, although growing in tandem with the liberalisation of the economy and the privatisation of parastatals. A particular feature is the considerable foreign business presence, partly the long-standing business community of Asian origin and new interests in recent years, especially South African and Chinese. The clout of the informal economy is marginal. Since privatisation reforms various business interests have taken a foothold within political life in Tanzania. Different power blocs in the governing elite pull in favour of their respective strategic interests. The outcome of this process is often a sub-optimalization of the economic process as a result of the protection of certain interest groups within the economy. However there is mounting pressure from both the opposition parties, the media, the public and the international community to serious fight corruption and put the economic interest of the country as a whole above the greed of individuals.

 

Government recognizes the importance of the private sector for economic growth but this has not resulted in a clear vision of the government on how to support the sector. Increasing economic growth will require attracting more investment, particularly foreign direct investment, which in turn will require strengthening public infrastructure as well as institutions and governance. Opportunities lie in various programmes carried out by GoT and DP’s that target constraints within PSD such as the regulatory framework and access to finance. Yet, a sense of urgency is lacking within the GoT and within the existing private sector.

 

3. Poverty reduction faces distributional challenges.

 

To obtain the objectives of the Mkukuta and the MDG’s the government has realised that addressing rural poverty is key.  As mentioned in the Power and Change Analyses (PCA), distributional challenges are hampering poverty reduction (Gini coefficient increased from 0.34 to 0.35, indicating an adverse trend in the period 1991 to 2001). Generally it is observed (and raised during the last AR) that fund allocation for social services is still unequally distributed. In general this means that richer LGA’s receive more funds per capita than the poorer, often rural areas.

From this perspective, the present drive to decentralisation is a logic step and is fully supported by EKN, as it will enhance equitable development opportunities in the country. It creates an opportunity to enhance service delivery at local level and to increase the accountability of the government towards the population. The implementation of a formula-based fiscal transfer system is a cornerstone of the decentralisation policy of the government and will lead to an equal distribution of resources between the LGA’s. Within the LGA’s the decentralisation process addresses the equitable distribution of services over the LGA by the empowerment of villages in the planning process.

 

Although the government is not always consistent in the implementation of the policy on decentralisation, it constantly emphasises its strong commitment to D by D. The creation of a core reform coordination unit under the Chief secretary and  the appointment of the State Minister for Local Government as the Prime Minister are indications of a possible new momentum for the implementation of the D by D policy.

 

EKN recognises the challenges and the importance of support to the decentralisation agenda of the GoT in order to reduce poverty and promote equitable development.  Specific efforts of EKN are the continued support to the decentralisation reform and the budgetary support to LGA’s for development via the formula-based LGCDG. The lack of proper implementation of the recurrent formula-based transfer systems is stressed at the different dialogue forums.

The governance aspects, such as accountability and democratisation form part of these programmes and will be further strengthened via NSA support.

 

4. Service delivery remains a challenge.

 

Improved service delivery of both social and economic services at local level is fundamental to achieve the objectives of the GoT and the MDG’s. This has been recognised by the GoT and is woven into the Mkukuta.

 

Many of the public services Tanzanians are relying on, are delivered by local authorities. Those services often leave to desire, not only in quantity but also in quality. The capacity at local level is often limited due to staff shortages, lack of training and funding. As a consequence health facilities are often understaffed and poorly equipped, schools lack teachers and books, etc.

These issues are underestimated at national level. EKN brings these issues at the dialogue table in the different forums it is participating, including the GBS forum. The support to the further development and the transparency of the fiscal decentralisation system is seen as an important tool to enhance financing of service delivery. EKN will address the funding flow to LGA level both by monitoring the actual transfers and by funding the LGCDG, and the health Basket. The HR issues are important issues addressed both from the health and decentralisation perspective.

 

EKN will continue to monitor the delivery of services in general at local level and the implementation of the budget as far as transfers to the LGA level is concerned.

 

5. Rationalisation of the aid architecture underway but proves to be a difficult and time demanding process

 

International aid still plays a dominant role in Tanzania, which is often described as a “donor darling”. The number of aid agencies is indeed very high.  The need for harmonisation and alignment will therefore remain high on the agenda. Even though GoT tries hard to increase domestic revenues, high aid levels will be needed for financing investments in energy, transport, agriculture and social services so as to achieve the objectives of Mkukuta. The main challenge will be to align foreign aid to domestic processes and priorities. This challenge is growing due to the increased trend of globalisation of aid initiatives  that at country level create parallel structures, undermining proper public finance management and accountability and creating favourable conditions for corruption. Trying to reach a coherent approach towards financing the development efforts of the people of Tanzania and being a reliable and predictable partner will remain a challenge, also for the Netherlands.

 

EKN is working in this environment of increased harmonisation. However, to achieve the EKNs main objective of improved SDLL, EKN will facilitate and monitor specific results in the identified priority areas, health, PSD and decentralisation, as will further be explain in chapter 4.

 

Harmonisation and alignment should also encompass international NGO’s and Global initiatives.

As chair of the task force on the new dialogue structure, EKN has agreed with GoT to start discussions with a number of global initiatives to integrate them in the agreed structure and align their activities to domestic processes. In the Health sector this process has already started. EKN will also continue seeking increased complementarity with SNV and MFS organisations, particularly in the field of strengthening local government and accountability at local level. Ideally, MFS organisations should focus on strengthening accountability and not on service delivery in areas such as health, HIV-aids and education.

 

6. Tanzania’s role as peace facilitator in the region consolidated and enhanced, creating expectations at home as well

 

Tanzania has a vested reputation in the region as a peace facilitator. It plays a significant role in the peace mediation efforts in the Great Lake region, it has undertaken efforts to broker a deal with Zimbabwe in the SADC framework and is active in the Sudan peace talks. With the election of president Kikwete as Chair of the AU it is expected that Tanzania will play even a bigger role in the political instable regions in Africa. Next to its role as facilitator and mediator, Tanzania’s participation in peace keeping forces is also on the rise.

 

Presidents Kikwete’s efforts in solving political troubles in neighbouring countries, especially of late in Kenya, create expectations for solutions for the ongoing political stalemate on Zanzibar. On his election President Kikwete acknowledged the long-standing political divisions on the islands, but it was not before early November 2007 that he publicly announced that the talks between the secretaries-general of the CCM  and  the opposition  Civic United  Front  (CUF) should pick up pace in 2008. The continuation of the political impasse might force the opposition to a more radical stand that could have destabilizing effects, not only on the islands, but also on mainland.

 

Opportunities for the international community are limited to active monitoring of the process behind the scenes and only when necessary and opportune by a more active and public engagement. In light of the elections foreseen in 2010 efforts are underway in the field of voter education and capacity building for the institutions involved. EKN operates within the framework of the EU and the basket program aimed at deepening democracy.

 

It may be concluded that the overall developments in Tanzania move in a positive direction. However risks exist that may reverse these trends. Vested interests, both political and economic, could potentially threaten the scope and pace of reform and the general modernization of Tanzanian society. 

3. Internal analysis and review

3.1 Lessons Learned in Recent Years

 

The MASP 2005-2008 was drawn up before the Mkukuta was finalised. The link with the national policy was therefore not perfect. This has been adjusted over the period.

The MASP identified lack of coherence and priority setting as a major concern and tried to tackle that by the creation of multidisciplinary teams. This has proven not functional in the case of EKN. Over the last 2 years EKN has worked hard to obtain a common vision and objectives. Improved SDLL serves as the core theme around which the different themes and sectors operate. This has proven successful in achieving coherency and synergy between the different interventions.

 

The objectives and results of the previous MASP are not always measurable. This is understandable as results are often jointly agreed upon and in the field of processes or qualitative. The objectives have been achieved to certain degree. The results in the education sector were a substantial increase of the enrolment rate in primary education, but lack of teachers and teaching aides hampered qualitative improvements. Results in the legal sector have not been monitored as the embassy has withdrawn from that sector. In the field of accountability and health results have been relatively positive. In the field of planning and gender they are mixed. The role of EKN in the field of support to Civil Society was successful, resulting in the establishment of the Foundation for Civil Society. EKN also undertook pioneering work resulting in a code of conduct for harmonized donor interventions with Civil Society.

 

Among the major factors explaining the weak performance on certain result areas were the limited harmonisation and the difficult dialogue between GoT and DP´s. The stronger common focus within EKN and the improved harmonisation among donors have led to the discussion of those problems in the different dialogue fora.

 

The sector concentration, started under the previous MASP, has resulted in phasing out of activities in agriculture, environment and water. Pressure to continue in these sectors has been tremendous. In the case of water the output target for water and sanitation forced the Embassy to deviate from the sector choice, resulting in the end in a silent partnership (SP) of € 50 million with Germany. In environment, activities directly funded by the Ministry in The Hague itself still take place. This form of aid offers little scope for aligning it to national plans and policies, the less so since EKN is not in a position to either monitor those activities or participate in the central policy dialogue in the sector concerned.

 

Having made the choice for aligned aid means a choice for domestic reporting on results. This has proven to be a challenge. Not only is the national system for data collection weak, with rather unreliable statistics on GDP and inflation, key information on the wellbeing of people is only collected on a five year basis (household budget survey). In sectors monitoring information systems are in general weak while routine data are often available but not sufficiently used. As of fiscal year 2008/09 all ministries have to submit yearly performance reports. This is considered to be an important step forward in improving result based management within government.

EKN has learned that in a complex environment it is necessary to develop a common agenda that reinforces the position of EKN in the dialogue with GoT and DP’s.  Choosing SDLL as the common agenda has proven to be instrumental in drawing attention to specific issues at local level in different fora. It has also strengthened the internal communication and cooperation within the Embassy.

3.2 Strengths and Weaknesses

 

Assessment of the strength of EKN should basically come from a peer review, elements of which are foreseen in the JAST. EKN is recognized by others as a flexible organisation with a strong unified position on development as well as political and economic/trade issues (no split between diplomats/embassy on the one hand and development experts/aid agency on the other hand). EKN has a reputation of putting development first, instead of looking at institutional interests. Within a relatively short period of time EKN managed to sign a SP agreement with USAID and to ensure a substantial Dutch contribution to the One UN Pilot in Tanzania.

 

EKN is also consistently drawing attention to the importance of macro-micro linkages, emphasizing the need for more transparency and accountability on fund flows to lower levels of the government administration.

 

Increasingly DP´s in Tanzania have the impression that attempts in finding new ways of harmonisation and alignment are not supported nor appreciated at HQ level. It is sometimes felt that only lip service is paid to the Paris Declaration and that in practice very often national procedures and preferences and priorities are being pushed. Strengthening the dialogue at HQ level about the implications of the Paris Agenda seems necessary. A stricter reality check on the rather up-beat DAC reporting by member states on their implementation of the Paris Declaration could here and there reveal the true character of the emperor’s clothes!

 

4. Strategic choices and objectives

 

In Tanzania eighty percent of the poor live in rural areas. The delivery of basic services is less developed in the poor rural areas as compared to the urban richer areas. Moving away from centralistic socialist economic management GoT decided in 1998 to embark on decentralisation aiming to bring better and more equitable services to the people all over the country. A local government reform program was started that has strengthened capacities of Local Government Authorities at district level and below (including district health committees, school committees and water user groups).

 

EKN, having been for many years (co)lead donor in local government, has come to the conclusion that the micro-dimensions of service delivery are insufficiently reflected in the dialogue at national level. These usually focus on processes and general policy issues without addressing problems like fund flows at local level, quality of planning or  implementation of district plans, quality of services including rights of women and girls, or equal access of health care and education, safety from sexual harassment and violence, and local accountability. Also economic development at local level is addressed insufficiently in the present policies and developments.

 

The policy priorities “pro-poor growth” and “equal rights and opportunities for women” as laid down in the policy letter to the Dutch parliament “Niemand langs de zijlijn” are fully integrated in the present MASP. The focus of EKN on service delivery at local level integrates gender aspects as well as economic development issues. National programmes focussing on improved access to credit and the improvement of the business environment further strengthen this focus. As rural poverty is an expression of the lack of economic  possibilities and inequality, EKN will continue to emphasise in in the policy dialogue the importance of pro-poor economic development and equity which is central for poverty reduction in Tanzania. Possibilities for support in the context of the 4th policy priority “energy” as stipulated in the policy letter of R, is being looked into together with DMW through delegated financing modality.

 

Improved service delivery is an important instrument in reducing poverty and enhancing equitable growth. Seen the strategic focus of EKN on SDLL, the need to focus and the recognised added value EKN has in the sectors health, PSD and  decentralisation/ local governance fields, EKN has decided to focus its active role in those 3 areas. The choice is also based on lengthy expertise within this embassy in the sectors health and local government/decentralisation and  the recognition of the GoT and other DP´s of the Netherlands as an expert in these areas which resulted in EKN being selected as lead in those sectors by their peers. Also within PSD EKN has a recognised advantage, the relative strong position of the Dutch business community and the fact that the Netherlands is one of the largest foreign investors, adds to the expertise of EKN in this sector/theme.

 

EKN is appreciated for emphasising the need of increased flow of funds to service delivery points and the strengthening of the necessary systems to make good use of the resources available. EKN is stimulated by colleagues to continue to do so and will use its leading or active position in these areas, amongst others, for that purpose. All three sectors/themes are dealt with by (senior) policy officers, in two cases by specialists with longstanding experience within the field and who are selected by their peers to play a leading role.

 

Gender and governance are themes that will be integrated and discussed within the policy dialogue for the 3 above mentioned sectors.

 

At local level EKN will continue to monitor the delivery of services in general.  Health, education and water services can serve as indicators for the level of overall service delivery. Strategic partnerships will be sought with PMO-RALG, LGA’s and NSA’s to improve the flow of funds to health facilities, schools and other service points,  enhance accountability (including public expenditure tracking) and addressing violence and sexual harassment. Support to the LGCDG and local government reform will strengthen SDLL

 

Within the current country allocation more financing for services at local level needs to be allocated. Already the financing of the WSSP through the water basket, using the LGCDG system, will contribute to water supply at village level. For health services to improve at local level, including improved maternal health service, health systems need higher funding levels. A substantial increase of the Dutch contribution to the health basket is therefore foreseen. Discretionary funding for development, via the LGCDG,  is essential to allow priority setting of development in line with the needs at local level. Local government reform will continue albeit under a different form, not any longer as a separate project entity but fully integrated within the operations and responsibilities of PMO-RALG. The Water and Sanitation Sector Development Programme (WSSDP) will be supported via a silent partnership with KfW. This sector is therefore not further treated in this chapter. In the budget an allocation of € 10 million per year has been reserved.

 

The policy dialogue around GBS provides an important opportunity to discuss broader political and development issues. Governance issues including corruption, will be taken up within the context of this policy forum. EKN will also use that forum to enhance the dialogue on issues around SDLL and specific issues related to the 3 sectors if needed. Examples of EKN successes in this regard are the effectively tabling of the non adhering to the budget concerning funding of local governments for service delivery and the harmonised reaction of DP´s on the BoT scandal. EKN will further focus the discussions on the relation between GBS and poverty reduction, including equity.

4.1 Decentralisation and local governance

References

MKUKUTA Cluster 3; MvT: Policy art. 2, operational objective 7 (Good Governance in priority countries); STR Decentralisation and Local Gov.

Introduction

The improvement of SDLL is a prerequisite to achieve the objectives of the Mkukuta and the MDG’s. The decentralisation process presently implemented in Tanzania is believed to contribute considerably to improved and equitable service delivery as it brings decision making, financing and implementation closer to the work field. The increase of financial means and the capacity to use those in an efficient and transparent way are important factors that are to enhance service delivery in the field of e.g. health, education and water. Also economic development will benefit from improved governance at local level.

 

Therefore EKN concentrates its development programme around SDLL. As a consequence the local government reform is at the core of EKN programme, although this does not imply that only activities at local level are being supported.  The increased capacity at local level will help the LGA’s to absorb the needed increase of financial means for social services. The link with an increase of the basket fund for health services at local level is pertinent.

The present EKN support to the decentralisation process and local governance consists of 3 components, which all will finish during 2008 (see the STR on decentralisation).

 

As indicated in the STR, important progress has been made in building the capacity of LGA’s in the field of planning and financial management. The introduction of the Local Government Capital Development Grant (LGCDG) and the formula-based recurrent grants have led to a significant increase in the fiscal resources, which in turn led to a high level of investment in especially education and health facilities and water supply. However, it is also recognized that decentralisation reforms have lacked significant progress in areas like mainstreaming D by D across government, legal harmonization, devolution of staff to LGA’s, the full operationalization of planning and financial management systems, the full integration of LGCDG into Government budget, the autonomy on decisions on the use of financial source and the coherence between LGRP and the various other reforms, including the PSRP and sector reforms.

The deficient implementation of the national budget leaves LGA’s with an under funded budget, especially in the  development budget.

 

The introduced formula-based block grants would enhance equity in the distribution of funds over the LGA’s for the delivery of services. However, the implementation is still leading to inequitable distribution as richer areas (with relative more staff and facilities) still receive a bigger share of the budget. EKN will continue to push for the equitable allocation of funds and monitor the implementation of the formula-based allocations.

 

Issues concerning accountability require further attention. Councillors are not yet operating as representatives of their constituency, in spite of improvements gained. The improvement in information provision to the public is limited and the demand for accountability by the people remains weak. Local media play so far an insignificant role in forming the opinion of the people outside the main urban areas.

 

During the period of this MASP, EKN will continue its support to the decentralisation process. Accountability and democratic processes will have due attention and will be incorporated in the programmes described both under this chapter and the Good Governance chapter.

To further enhance service delivery the contribution to LGA’s development budget will be increased via the LGCDG.

Objectives

Improved SDLL

Strategic results

For Tanzania

-          D by D embedded across government.
The mainstreaming of Decentralization by Devolution is essential to enhance the capacity of LGA’s to perform their role efficiently and adequately. MDAs will have to refocus from delivery of services to policy formulation, setting of standards and guidelines, technical support to LGA’s and monitoring and evaluation of policy implementation.

-          Financial flows enhanced
SDLL in a decentralized environment means that adequate resources need to be available and the decision-making power concerning these resources is at LGA level.

-          Autonomy of LGA’s strengthened
LGA’s need the proper mandate concerning human and financial resources to function properly and to assure the democratic oversight by the councillors.

-          Accountability enhanced
Increased downward accountability towards the citizens will enhance the performance of the public service.

-          Improved monitoring system for gender related issues to strengthen planning and implementation at LGA level

For EKN:

-          National support programme to decentralisation process implemented

-          Effective dialogue on decentralisation and local governance established

-          Continued strong harmonisation between DP´s

-          Financial flows permanently on the agenda and monitored

-          Increase development budget at local level through continued support to LGCDG

-          Improvement of service delivery at local level on the agenda of different sectors and GBS policy dialogue

-          Best practices on gender mainstreaming discussed at policy level

-          Accountability at local level strengthened by active dialogue at different levels like PMORALG and PRBS 

-          Support to NSA actors in the field of local governance enhanced.

Intervention strategy

EKN will both support government and CSOs. The interventions are described below In order to boost the implementation of the GoT policy on D by D, EKN will fund both the decentralization reform process and the LGCDG. LGCDG is a form of budgetary support to local governments for development activities. The increase in the funding of the LGCDG and the decentralization process will enhance:

-          the transfer of the LGCDG into a system of development transfers to the LGA’s.

-          the fiscal space at local level to plan and implement local priorities and increase service delivery

-          the capacity of local governments to absorb an increased funding for services required to achieve the MDG’s

-          the possibility of bilateral DP´s to stimulate the WB to join the basket

 

Government support

EKN will continue to support the decentralization process. The formulation of a future support programme is at the moment taking place.  The programme, follow up of the LGRP, will be housed and mainstreamed in PMO-RALG and financed via a basket arrangement. It will also provide support to other Central Ministries in order to enhance the mainstreaming of D by D across government. Important partners will be the Ministry of Finance and PO-PSM. Systemic issues related to fiscal and human resource management will remain important ingredients of the new support programme. Building of the capacity of the LGA’s and LLGA’s will continue, including providing the space to use the already available capacity and mandates of the LGA autonomously. Governance aspects will form another component of the programme.

The future support to the fiscal decentralization will be enhanced by an increase of the support to the LGCDG via the basket modality. In this period EKN will encourage the development of the LGCDG into a comprehensive system for development funding in LGA’s. It will in the coming years absorb the development budget of the different sectors The funding of the LGCDG will enhance the financial resources available at LGA level and will create a dialogue forum for issues related to financial flows and budgeting. The increased capacity will further enhance the capacity of the LGA’s to absorb sector specific funding for service delivery.

 

Monitoring; the precise monitoring and evaluation frame will be developed during 2008 during the formulation and inception phase of the new support programme.

 

Non Government support

CBLGA

After a slow start of the CBLGA, implemented by SNV, the programme is obtaining momentum and is appreciated by all actors, including CG. The programme specifically addresses the 3 actor groups in governance, government, NSA and private sector. The programme has the capacity to take initiative to pilot new approaches (such as Internal Strategic Assessments, accountability mechanisms, etc) and specifically addresses the political representatives (councillors) at local levels. CBLGA has started to involve the media for information dissemination, civic education and increased community involvement. In 2008 the programme will be reviewed. On the basis of the outcome it will be decided whether an expansion to other LGA’s would be feasible and with which implementing organizations. The continuation of the present support in  13 LGA’s after 2008 will be assured by SNV from the SNV core budget.

Via the SNV programme best practices related to gender mainstreaming will be studied and documented for policy purposes.

 

- Civil Society

See good governance section; Foundation for Civil Society.

 

- Other support

EKN will provide support to media via the Tanzania Media Trust Fund. One of the foreseen target groups are journalists working outside the main cities. It will also provide grants to institutions. Local press clubs and media can be among the beneficiaries. During the coming 2 years and via the support to SNV it will become clear whether additional funding to the Media in rural areas would be necessary, possible and effective to raise accountability. EKN will study the need for additional support to Public Expenditure Tracking Surveys (PETS). 

 

Division of Labour

EKN has presently the lead of the development partners group together with Finland.  It is difficult to predict whether the embassy will continue this leading role for the period of the MASP as elections (deciding lead donorship) are held yearly and the interest of DP´s in the subject is increasing, especially after the issues of the lack of transparency and poor implementation of the budget were successfully put on the agenda of the Annual Review.

EKN will continue to be actively involved in the policy discussions and raise issues affecting the implementation of the local government reform.

As chair of the Fiscal Decentralization Task Force, the implementation and transparency of the budget will be maintained on the agenda.

Indicators

The Tanzanian programme presently under design by PMO-RALG will develop a monitoring framework for the programme and the decentralization process. Indicators for the monitoring of the above mentioned results will be based on that framework. Areas which will be followed closely by EKN are:

-          the flow of funds and the implementation of the budget

-          autonomy of LGA’s in planning, budgeting and decision making

-          number of sectors mainstreamed in LGCDG

-          the devolution of human resource management (HRM)  

-          legal amendments to enhance the decentralization process

-          the role and functioning of councillors

-          accountability

 

For the 2nd result the PAF for GBS has included indicators (see PAF matrix).

 

Risks

-          Implementation of budget remains weak, especially with regard to intergovernmental transfers to LGA level
Mitigation: monitoring and policy dialogue.

-          Commitment of GoT to D by D not translated sufficiently in actions.
Mitigation: enhancing broad government ownership during programme development stage, policy dialogue, strengthening demand side of accountability of LGA’s for autonomy.

4.2 Health

References

Sector Track Record Health, National Health Strategic Plan (2003-08/09), Joint External Evaluation of the Health Sector  (2007), National Strategy for Growth and Reduction of Poverty 2005 (Mkukuta), Tanzania Demographic Health Survey (2004-05), MvT (policy articles 5 operational objectives 4 and 5), MDG’s 4,5, 6, and 1.

Introduction

The Health Sector is complex and comprises of many different players; GoT: Ministry of Health and Social Welfare (MOHSW), PMO-RALG, MOF, MOE. Implementing Partners: Public Sector (LGA’s, Referral Hospitals, Training Institutions, Academic Institutions, and organisations), Private Sector (including Health Insurance companies), Faith Based Organisations, and NGOs. Development Partners: Bi and multilateral agencies, international NGOs, and a growing group of Global Health Initiatives (Global Partnerships, Foundations, Programmes etc.).

 

The recent joint external evaluation of the health sector (JER-2007) covering the period 1999-2006, provides a fairly upbeat assessment on progress; e.g stronger district health planning and management, technical progress in disease control (malaria, HIV, TB), IMCI, and some evidence of improved quality. But there has been little progress in some aspects of the health strategy implementation, notably public-private partnership and hospital reform. The success of initiatives on local governance of health care (committees, boards) has also been patchy. The gravity of the human resource crisis has recently been recognised, although this is yet to translate into the change required in the number, distribution and motivation of skilled health workers.

 

In spite of mixed progress with respect to strategy implementation, the sector has achieved extremely good results over the past 5+ years. Under-five mortality has fallen dramatically, and coverage of a number of key health interventions has improved steadily. The main exception is maternal and reproductive health, where very little improvement has been registered compared to the 1990s.

 

The formulation of the new health sector strategic plan (HSSP III 2009-2015) provides an important opportunity to improve upon shortcomings of the present one (HSSP II). Specifically, it should incorporate lessons learned from the JER-2007, renew focus on service delivery results (with an emphasis on Reproductive Health including FP), and strengthen the monitoring and evaluation systems. Its financing framework should specify the intended allocation of resources to strategic priorities, including levels of service delivery, over the medium term.

Objectives

Accelerated progress on health and HIV/AIDS and specifically move  more rapidly towards the health related MDG’s.

Strategic Results

Tanzania:

Development and implementation of a Tanzania-led, holistic, results-based Health Sector Strategic Plan. 

 

EKN specific focus:

Health Financing Strategy evolved: greater attention for – and dialogue on – strategic resource allocation over the medium term, manifest in more useful MTEF and PER processes of the respective ministries involved in the Health Sector. Integration (as much as is possible) of the financing through Global Health Initiatives in existing pooled funding mechanisms (i.e. the Health Baskett) aligned with national strategies and systems. Promote the development of a longer term (10 years +) Health Care financing strategy.

-          Public Private Partnerships expanded: encourage government to work more closely with non-government providers to extend coverage of essential services

-          Human Resource Situation improved: encourage more substantive, rapid and pragmatic measures to address the human resource crisis

-          Sexual Reproductive Health and Rights activities expanded: greater attention to and service delivery of reproductive health  and family planning

-          HIV Prevention, Care and Treatment expanded: securing long term funding for prevention, care and ART; integration of financing of global initiatives in appropriate pooled funding mechanisms.

-          Gender / Equity of access: Gender and equity of access addressed in the HSSP-III.

-          Monitoring & Evaluation improved: push for greater results-focus, a robust M&E framework for the new health strategy, accountability for performance and stronger means (HMIS) to measure performance

-          Gender awareness heightened: increased attention and action, for the specific gender dimensions  in above mentioned areas. 

 

With reference to the STR; the overall M & E systems need to be improved. Reporting and analysis of results, with the exception of the ‘vertical/priority diseases programmes’, is mixed and often not integrated. The use of data for (decentralised) decision-making needs to be strengthened. The future HSSP III (2009-15) will provide an opportunity to work towards an improved M & E strategy including a regularly updated set of targets and indicators.

Intervention strategy EKN

General EKN Health Sector support:

EKN will, as an elected  member of the Troika,  be a lead DP for the coming 3 years and coordinate and represent the 25+ DP´s  with regard to GoT, Private Sector , Civil Society, Global Health Initiatives, and other stakeholders. EKN will participate in the MOHSW monthly management meetings, and is a member of the numerous key Sector Policy Committees and Technical Working Groups. EKN is also a member of the coordination committee which guides the development of the future Health Sector Strategic Plan 2009-2015.

 

Specific EKN Health Sector support:

The EKN will support the implementation of the Tanzanian Health Sector Strategic Plan, and help to ensure increased and improved service delivery, particularly at the primary health care level (first level hospital and below), for which the LGA’s are responsible. Specific focus and support will be provided to service delivery of Sexual and Reproductive Health and Rights (SRHR) and Health Systems strengthening.

EKN will continue to support HIV and AIDS activities related to the Health Sector.

However, realising that there are (too) many Development Partners in the HIV and AIDS arena, and in view of prioritisation and division of labour, the EKN will not anymore specifically support HIV and AIDS activities beyond the Health Sector.

 

The specific EKN Health Sector Support programme will comprise of the following:

 

1. Renewed and expanded Health Basket contribution (Sector Budget Support)

Referring to the JER 2007: The Health Basket Fund (HBF) has been evaluated as a particular effective, aligned, pooled funding mechanism comprising of 10 DP´s, and a budget of  65-70 million USD annually. The budget is roughly divided among district level (at present .75 USD per capita) for routine and development activities and allocated based on the respective district plans, and at MOHSW HQ according to their priorities reflected in the MTEF.  It has been calculated that to implement the Tanzania Essential Health Package at district level approximately 5 USD per capita is required for routine and development activities (excluding salaries etc.); a total of 200 million USD. At present the HBF budget of 30 million USD is the dominant source of funding for district activities, whereas the significant GoT contribution is mainly spend on salaries.

 

EKN and a number of other major DP´s, of which their contribution expires this financial year (30 June 2008), have been requested to continue and expand their predictable HBF support. GoT is committed to increase its support to the Health Sector overall and specifically service delivery and HRD at district level. EKN is  planning to renew and  expand its HBF contribution to minimal € 15 million per year.

 

2. Public Private Partnerships

-          Malaria Control; through an ongoing silent partnership with the USG. Malaria prevention  strategy has been relatively successful in Tanzania with initially the DfID/EKN, and at present USG/EKN long term innovative support focussed on ITN demand creation, behaviour changes, and active Tanzanian Private Sector involvement as a key components. The silent partnership, has been established on request of MOHSW, to ensure continuing engagement of the Tanzanian private sector, and reduce the transaction costs.

-          APHTA: Explore the possibilities to support and/or collaborate with the Association of Private Health Care Providers in Tanzania.

-          PharmAccess Int.(PAI): Through the Netherlands’ supported Health Insurance Fund, PAI is exploring possibilities to set up innovative social health insurance schemes.

 

3. Sexual Reproductive Health and Rights:  Renewed support for two Civil Society organisations to increase the (political) attention and media coverage on SRHR in general, and to continue work on fistula prevention and repair. Ongoing support to the Social Marketing programme of Oral Contraceptives and Condoms as part of specific focus on Family Planning.

 

4. HIV/AIDS

-          Prevention: support to Condom Social Marketing Programme, through private and public sector, with a focus on the general public, including specific higher risk target groups

-          Treatment & Care: support to the National Aids Control Programme, to expand ART from 200 to more than 500 Health Facilities, improved coordination, and M&E. 

 

Ongoing support programmes from EKN. Both the prevention as well as the care & treatment programmes are slowly producing results; massively increased condom use through private sector availability, steadily increasing number of people on ART (from les then 3000 in 2003 to over 100.000 at present),  reduced prevalence rates over the last decade, and promising signs of reduced incidence.

Indicators Tanzania:

-          HSSP: The HSSP-II (2003-09) has a set of annual and periodic indicators, of which at present 4 are included in the Performance Assessment Framework (PAF) used in relation to the annual GBS review:  DPT-HB3 coverage (EPI), % of births attended by a skilled health worker, # of persons with advanced HIV on ARVs, and TB treatment completion rate.

-          Health Sector Performance Report: During the Joint Annual Health Sector Reviews the  annual Health Sector Performance report is reviewed and  milestones  for the coming year(s) are set.

-          PER, MTEF: During the Joint Annual Health Sector Reviews and half yearly SWAp meeting, MTEF and PER  are reviewed with a specific focus on the flow of funds.

Risks

-          Health Basket: A serious risk is the limited amount of funds presently allocated to the Health Basket (Sector Budget support). EKN would like to stress the need for substantial increases of predictable long-term (10 years) bi-lateral country level funding into the Health Basket.

-          Global Health Initiatives: The unpredictable allocations, the high maintenance, additional conditionalities and  transaction costs of Global Health Initiatives (Partnerships, Foundations) do at present have distorting and negative effects on the  Health Sector and beyond.

 

4.3 Private Sector Development

References

Mkukuta (cluster 1), MvT article 4 (operational objectives 1, 3 en 5), MDG 1 en 8, STR PSD DAR; policy letter on PSD and Poverty Reduction.

Introduction

A strong and healthy private sector is a prerequisite for pro-poor economic growth. It will provide income, job opportunities and tax revenues which in turn can be invested in the social sectors in order to achieve the MDG’s. Tanzania has made pro-poor economic growth one of the three pillars of its poverty reduction strategy (Mkukuta), and private sector development is seen as essential to achieving this. However, the Annual Implementation Report of the Mkukuta does not refer to private sector development or any outcomes that have been realised.

Due to its socialist legacy, Tanzania only started embracing the private sector in the 1990s. Today, that socialist legacy still has a strong impact in the reflex - not only in government but also in the private sector itself - that all development be directed and initiated by government. This causes the private sector, at national as well as local level, to be very reactive in its attitude. On the other hand, government lacks a PSD champion and there is no overall framework for PSD. Although MKUKUTA specifically mentions the business environment, the Annual Implementation Report does not refer to this issue or outcomes that have been realised (or not). Inhibitive registration formalities and outdated labour laws are mentioned as challenges.

Objective

-          More pro-poor economic growth based on an expanding, varied, healthy and vocal private sector.

Strategic results

For Tanzania

-          The enabling regulatory environment for business, in particular MSMEs, improved to make it easier for businesses to set up and/or become part of the formal economy;

-          Capacity in the private sector, particularly for MSMEs, increased;

-          The financial system deepened and broadened;

-          Improved implementation of PSD policies at local level.

Intervention strategy

Although pro-poor economic growth takes up a very prominent position in the Mkukuta, Tanzania does not have an overall strategic framework for private sector development. Neither government nor the private sector itself has a clear vision of the role it has to play in private sector development.

Since there is no overall strategic framework for PSD in Tanzania, a small group of donors work together on several PSD programmes. In line with the AIV-report on ‘Private sector development and poverty reduction’, EKN has decided to focus on improving the enabling environment for the private sector (focusing on legal and regulatory reforms) on the one hand through the Business Environment Strengthening Tanzania programme, and on strengthening the financial sector on the other through the Financial Sector Deepening Trust. Legal and regulatory reforms will contribute to increasing economic growth and enhancing equity, as they will lead to inclusion of the poor who are now excluded from the system because of the cost of doing business and lack of contacts. In the financial sector the main goal is to create greater access to more financial products, particularly for the poor and the informal sector.

 

Because in Tanzania the private sector is weak and government is powerful, EKN will support the (separate) Advocacy Component of the BEST-programme aimed at ensuring that the private sector has a voice and takes up its role in its own development. This way reforms introduced by government are more likely to actually benefit the private sector. Because of the small number of donors involved, there is some scope for EKN to influence the programmes to 1) become more aligned, where applicable and 2) put more emphasis on implementation at local level. As lead in BEST for the year 2008-2009, EKN will have even more scope for doing so. EKN will explore with SNV (through coordination with their PSD and Local Government programmes) possibilities to improve implementation of PSD policies at local level. Gender traditionally is approached from an advocacy point of view. Applying it to Private Sector Development is new. The emphasis will therefore lie in rallying other PSD donors around the issue of gender and creating a common agenda for a gender approach in PSD. A IFC/World Bank study on Gender and Growth in Tanzania will be a useful tool in advocating gender in DPG PSD/Trade and cluster working group 1.

Division of Labour

DP´s are organized in the PSD/Trade Group, which is a consultative forum and a place for coordination amon DP´s involved in PSD, the financial sector and trade promotion. PSD/Trade Group has 12 member organisations, of which nine are active: EKN, SIDA, DfID, DANIDA, CIDA, Swiss Development Cooperation, WB, EC and UN Agencies (UNDP, ILO, UNIDO, IFAD and FAO). DP´s with relatively large PSD budgets (EKN, DfID, SIDA, DANIDA, CIDA and WB) are coordinating their financial support to the BEST and FSDT programmes through basket funding.

Indicators

-          Increased economic growth;

-          Agreement amongst GoT and DP’s on indicators for gender in private sector development.

-          World Bank ‘Ease of Doing Business’ ranking improved;

-          Credit to the private sector as a percentage of GDP increased; 

-          Employment and incomes in formal and informal businesses increased;

-          Proportion of the adult population totally excluded from financial services reduced.

-          An overall growth strategy, including a policy framework on PSD, in place;

-          Alignment of BEST addressed in new programme document;

-          Joint activities of EKN and SNV on PSD implemented;

-          Gender and Growth network up and running;

-          Recommendations from the Gender and Growth Assessment Tanzania implemented.

4.4 Gender

References

-          National Development Vision 2025,” Gender equality & Empowerment of women in all socio-economic and political relations” the strategy; NSGRP; Cluster 1(Goal 4 & 5): Cluster 2(Goal 1, 2, 4 & 5): Cluster 3(Goal 4, 5& 6) & MDG’s related to Gender.

Introduction

The MKUKUTA places high priority on gender, which needs to be further mainstreamed in every aspect of development in Tanzania in order to change the gender inequality in particular regarding  access to basic services. Despite the favourable policy environment, gender mainstreaming in Tanzania has been a complex process. In the present context of changing aid modalities (basket funding and GBS) it has become even more challenging. EKN finds that in many instances there is a gap  between the planning and budgeting process. Planning provides opportunities to identify the key issues to advance the gender agenda, while at the same time gender is not given enough priority in the budget process. As a result gender and women issues are not adequately funded. Within the sectoral priorities EKN will focus on  promoting gender equality. Key in this approach will be to strengthen the Micro-Macro link by identifying gender issues at local level and linking those to policy processes at national level. Partnerships with civil society, in particular those organisations working with a rights based approach, will be further strengthened.

OBJECTIVES

-          Gender equality promoted and mainstreamed effectively

-          Improved equitable access to service at local level

STRATEGIC RESULTS

Tanzania

-          The collection of appropriate sex-disaggregated data and indicators of impact on decision making at different levels.

-          Improved policies, plans, budget allocation towards equitable access to service delivery at local level

-          Effective civil society in campaigning to enhance gender equality

-          Increased political focus on gender issues

 

INTERVENTION STRATEGY

Given EKN focus on SDLL, gender interventions will seek the full integration of gender issues in the overall policies at local level. This will require working in close collaboration with relevant ministries and linkage with strategic platforms such as the DPG- Gender & Gender Mainstreaming Working Group-Macro Policy (GMWG-MP), the UN Inter-agency gender group, national women’s civil society organisations (CSOs) and Parliamentarians. In addition gender issues will be further enhanced in the common agenda of EKN (see the various sections). 

 

In addition to the interventions at sectoral level also the following steps will be undertaken: 

 

-          Monitoring of the integration of human & women rights in national processes.

-          Roll out of gender best practices, gathered together with SNV and other partners, to a wide range of gender actors.

-          Through continued support to REPOA reinforce the effectiveness of MCDGC in implementing its mandate

EKN will further enhance staff capacity in gender issues in order to further increase the effectiveness of EKN interventions at all levels related to gender.

4.5 Good Governance and Human Rights

References

Mkukuta: Cluster 3 Governance and Accountability, MvT: MvT policy article 1, operational objectivce 2, (Protection of human rights) MvT policy article 2, operational objective 7, (Good governance in priority countries);  MvT policy article 5, operational objective 6, (Greater participation of civil society in development activities). Agenda Cabinet: good governance in development cooperation. Human Rights Strategy ‘Naar een menswaardig bestaan’. 

Introduction

Accountability structures are weak in Tanzania. The legacy of the one-party system, the current dominance of the incumbent party but also its hierarchical and authoritarian organizational culture are determining factors. Democratisation, decentralisation, a vibrant civil society and good investigative journalism will contribute to the much needed culture of openness and transparency that will improve accountability and governance at all levels and sectors of society.

 

In implementing the Human Rights Strategy ‘Naar een menswaardig bestaan’ the focus of EKN will lie in supporting Tanzania to achieve the full realisation of the social and economic rights through its  efforts for improved service delivery at local level. Next to governance related issues that are closely related to proper implementation of human rights, a few specific activities will be undertaken by EKN in the field of civil and political rights.

Objectives

-          Improved functioning of the accountability structures at both central and local level

-          Improved openness and transparency 

-          Increased demand side of public accountability at both central and local level

-          Improved adherence to political and civic rights

-          Improved adherence to women’s rights

Strategic results

For Tanzania

-          Improvement of democratic processes including the functioning of parliament, local councils and political parties

-          Improved freedom of expression and strengthened role of the media by improved access to information and qualitative journalism.

-          Improved functioning of civil society organizations and research institutions as countervailing power within the Tanzanian society.

-          ratification of the Convention against Torture by Tanzania

-          signing by Tanzania of the second optional protocol to ICCPR (abolition of the death penalty)

Intervention Strategy

The improvement of governance forms an integral part of all the interventions of EKN. Both within the GBS-framework and in the specific sectors in which the Netherlands is a lead/active donor governance issues are at the forefront of the discussions with government. Specific attention in these discussions is paid to governance issues that have a negative effect on SDLL. Through system strengthening the internal accountability structures are increased and the transparency is improved.

 

Special attention in this respect is given to the efforts of GoT on the prevention and combating of corruption and the support (both politically, financially and in terms of capacity) that is given to crucial institutions like PCCB, PPRA, TRA and NAO. With the legal framework in place it is now high time for the government to deliver on its promises. GoT failure to address serious allegations of corruption and to provide a proper follow-up on findings of institutions mentioned will not only undermine public support of this government but also the basic principles of the JAST.

 

There is a clear added value for the article 8 Dialogue. Subjects like internal political developments, human rights and Tanzania’s external policies can be discussed in this framework. Efforts will have to be undertaken to show this added value to the Tanzanian side, where as yet a certain reluctance seems to exist to firmly establish setting and content.

 

Where it comes to the more specific activities in the field of civil and political rights the EU-framework (be it through approved activities by the EU HoM’s or Article 8 Dialogue) provides the appropriate framework as will, for specific issues, the GBS-framework and/or the Cluster Working Group for Governance. Specific attention will be given to the resources for and political backing of the Commission for Human Rights and Good Governance.

 

Tanzania has ratified the Convention on the Elimination of All Forms of Discrimination against Women (CEDAW) and The Beijing Platform for Action, the SADC Declaration and was a party to the definition of the AU Solemn Declaration and Protocol on Women’s Rights (Maputo Declaration) which calls for 50% participation of women in decision making structures. EKN's priority in the field of Gender equality and women's rights will mainly  be implemented through the GMPWG under the REPOA secretariat and support to human rights advocacy through organisations supported by FCS.

 

Next to the above EKN specifically supports the demand side of public accountability at both central (see below) and local level (see decentralization and local governance).

 

Deepening Democracy Tanzania Programme (DDTP)

The DDTP seeks to help secure and expand democratic achievements to date by strengthening the capacity of democratic institutions, including Parliament, the Election Management Bodies (National Electoral Commission – NEC and Zanzibar Electoral Commission – ZEC), civil society, media, and the political parties. Tanzania’s efforts under the African Peer Review Mechanism are also supported under this programme. The civil society component will focus on civic education on democratic principles and will focus both on central and local level. The support to political parties and parliament is expected to have a trickle down effect to the capacity of the councillors at local level. EKN is contributing to the Basket and might become in the course of the programme one of the lead donors.

 

Tanzania Media Fund (TMF)

Together with 5 other bilateral agencies EKN is establishing the Tanzania Media Fund, with the key objective to develop and promote investigative and public journalism as an important media genre in light of the contributions it makes on promoting domestic accountability and good governance in Tanzania. The TMF will come into being from 2008 onwards – its first three years fostered by a Host Agency before it will become fully independent. The current EKN commitment is foreseen for both the inception phase and the first year of independence.

 

Foundation for Civil Society (FCS)

The support to civil society (CS) in the country remains a challenge, as especially in the rural areas, they are weak and hardly providing countervailing power. Via core funding of the Foundation for Civil Society, EKN is contributing to a fund that enables overall capacity building support to CS organisations with an important focus on advocacy.

 

REPOA

REPOA plays a pro- active role in facilitating change in Tanzania society. In this respect, it seeks to build the capacity of and the mobilisation of the stakeholders to understand the importance of research and the central role of the intellectual community in this change process of the Tanzania society.

EKN will continue to support the implementation of “the strategic plan 2005-2009” and the “Gender Programme” for the support of secretariat of the Gender Mainstreaming working for macro policies.

Division of Labour

In relation to cluster 3 of the Mkukuta – governance and accountability – EKN is currently the lead donor in Local Government Reform. Other issues and programmes under this cluster include Public Finance Management, Legal Sector Reform, Public Service Reform and  Anti-corruption measures. In these sectors other DP’s are leading. EKN will follow the developments on these issues in light of its input in the dialogue in the GBS-framework and in relation to their impact on the effective implementation of the Mkukuta. No lead role for EKN is foreseen in the near future.

Indicators Tanzania

Tanzania’s governance record is monitored by Cluster Working Group III. Next to the PAF  (see annex) the reports of the CWG III form the basis for discussion with the GoT during the Annual Review. The EU Governance Profile forms a helpful tool in assessing Tanzania’s progress amongst others in the field of political and democratic governance, including Tanzania’s performance in the field of the classical Human Rights.

Risks

GoT failure to address serious allegations of corruption and to provide a proper follow-up on findings of institutions like PCCB, NAO and PPRA will not only undermine public support of this government but also the basic principles of the JAST .

4.6 Other Programmes and Areas

Culture and Development

 

As from January 2006 EKN has been one of the Embassies with a bilateral fund for culture and development. The country-specific policy objectives of Culture & Development for Tanzania are:

-          Strengthening of Tanzanian cultural identity and the advancement of the cultural self-awareness and self-esteem of the Tanzanian people.

-          Conservation of cultural heritage, being of both a material and immaterial nature, including therewith the conservation of knowledge and skills of specific architecture, musical instruments and handicraft.

-          Cultural exchange and co-operation to advance mutual understanding between Tanzania, the countries in the region and the Netherlands and Europe. This also means stimulating intercultural reflection and dialogue on social, political and cultural perceptions.

Intervention strategy

Since there are only a limited number of DP’s active in this field and given the shortage of funding, EKN’s limited means, if used in a strategic and coordinated way, can contribute to the above mentioned broad objectives. The recently erected Sector Working Group on Culture  will

support Tanzanian Cultural Institutions in order to improve the work of Culture services (Heritage as well as cultural and artistic expressions) at all levels.

 

Trade

References

MvT article 4, operational objective 5.

Introduction

The Netherlands is a leading investment partner in Tanzania and the second largest EU-investor (only preceded by UK). Therefore the Netherlands can make use of its network within the Dutch business community, giving EKN a competitive edge in comparison to other donors when planning to enhance the enabling environment for the development of the private sector. In terms of quantity and quality EKN will assist in sustaining the position of the Netherlands business community, enhancing it where possible. This could prove challenging given questionable policies currently being proposed and partially implemented by the GoT.

Objectives

Strong Tanzanian-Netherlands trade and investment relations for the socio-economic development of both countries.

Strategic results

An increased level of Dutch investment in Tanzania.

Intervention Strategies

EKN will intervene on all levels necessary to facilitate, promote and were necessary defend, Dutch investments that might be at risk. Subsequently informing potential investors on how to operate within the ever changing parameters set by GoT.

 

Risks

GoT is steering an uncertain but at times very post-socialist course by introducing measures that jeopardize free trade and international investment.

 

Energy

References

MvT article 2, operational objective 8.

Introduction

The Tanzanian energy sector is subject to extensive redesign. Within the GoT’s latest reform programme of the entire sector, including an extensive investment and restructuring programme for TANESCO, DP´s like WB and Sida are very much involved. DMW is seeking opportunities to facilitate existing plans and programmes. Most likely with the WB, who as lead donor has extensive knowledge of projects that could be co-funded by the Netherlands.

Objectives

A sound and reliable energy sector.

Strategic results

Within a four year period EKN will assist in the co-funding (DMW, probably with the WB) of a relevant project within the energy sector and linked to the Governments overall reform strategy.

Intervention Strategies

EKN supports a comprehensive approach to the overall government strategy. The Energy Sector Reform Programme and the herewith-interlinked TANESCO Investment Plan are part of EKN’s discussions within the dialogue on GBS. Possibilities for Dutch financial contributions to alleviate the energy problem, particularly at rural level, have been assessed by DMW. DMW (assisted by EKN) will further investigate how to co-fund a component within the energy sector; not as an active donor in the sector, but through delegated funding modalities. It is understood that funding for this sector will be (a) additional to the country allocation and (b) programmatic in character.

Risks

The future wellbeing of the Tanzanian energy sector is subject to numerous rigorous measures that will have to be taken by GoT in the near future.

 


 

 


APHTA

Association of Private Health Care Providers in Tanzania.

AR

Annual Review

ART

Anti Retroviral Treatment

BEST

Business Environment Strengthening Tanzania

BEST-AC

BEST- Advocacy Component

CAT

Convention Against Torture

CBLGA

Capacity Building Local Government Actors

CCM

Chama Cha Mapundezi

CSOs

Civil Society Organisations

D by D

Decentralization by Devolution

DCO

Directie Cultuur en Onderwijsontwikkeling

DDTP

Deepening Democracy Tanzania Programme

DfID

Department for International Development

DMW

Directie Milieu en Water

DP´s

Development Partners

EKN

Embassy of the Kingdom of the Netherlands

FCS

Foundation for Civil Society

FSDT

Financial Sector Deepening Trust

FTE

Full Time Equivalent

FY

Fiscal Year

GBS

General Budget Support

GoT

Government of Tanzania

HBS

Household Budget Survey

HMIS

Health Management Information System

HQ

Head Quarters

HRD

Human Resource Development

HRM

Human Resource Management

ICCPR

International Convention on C and Political Rights

IMF

International Monetary Fund

JAS

Joint Assistance Strategy

JAST

Joint Assistance Strategy Tanzania

JER

Joint External Evaluation Report

KfW

Krediet für Wiederaufbau

LGA

Local Government Authority

LGA’s

Local Government Agencies

LGCDG

Local Government Capacity Development Grant

LGRP

Local Government Reform Programme

LHRC

Legal and Human Rights Centre

LSR

Legal Sector reform

MASP

Multi Annual Strategic Plan

MDAs

Ministries Departments and Agencies

MDG’s

Millennium Development Goals

MFSs

Mede-financieringsorganisaties

MKUKUTA

Mkakati wa Kukuza Uchumi na Kupunguza Umasikini Tanzania

MKUKUZA

Mkakati wa Kukuza Uchumi na Kupunguza Umasikini Zanzibar

MoF

Ministry of Finance (of Tanzania)

MOHSW

Ministry of Health and Social Welfare

MSMEs

Micro- Small- and Medium Size Enterprizes

MvT

Memorie van Toelichting

NAO

National Audit Office

NGO

Non-governmental Organisation

NHSP

National Health Strategic Plan

NSA’s

Non-State Actors

NSGRP

National Strategy for growth and Poverty Reduction

PAF

Performance Assessment framework

PCCB

Prevention and Combating of Corruption Bureau

PER

Performance Evaluation Review

PETS

Public Expenditure Tracking System

PFM

Public Finance Management

PFMRP

Public Finance Management Reform Program

PMO-RALG

Prime Ministers Office Regional and Local Government

PPRA

Public Procurement Regulatory Authority

PRBS

Poverty Reduction Budget Support

PRSP

Poverty Reduction Strategy Paper

PSD

Private Sector Development

PSR

Private Sector Reform

REPOA

Research on Poverty Alleviation

SDLL

Service Delivery at Local Level

SGACA

Strategic Good Governance and Anti-corruption Analysis

SNV

Stichting Nederlandse Vrijwilligers

SP

Silent Partnership

SPICAD

Support Programme for Institutional Capacity and Development

SRH

Sexual and Reproductive Health

SRHR

Sexual and Reproductive Health and Rights

STR

Sector Track Record

TAIPA

Tanzania Independent Producers Association

TANESCO

Tanzania National Electricity Cooperation

TMF

Tanzania Media Fund

TR

Track Record

UNICEF

United Nations International Children's Emergency Fund

USAID

United States Agency for International Developmetn

USG

US Government

WB

World bank

WASH

Water and Sanitary Health

WSSDP

Water and Sanitation Sector Development Programme

 



 

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