Monday, June 29, 2009

Poor implementation of MKUKUTA is stumbling block to MDGs

Tanzania needs decades of solid economic growth to help lift the people from poverty and improve in basic facilities by focusing on policy direction and increased pace on MKUKUTA objectives. Staff Writer ANNE ROBI reports…..

TANZANIA is unlikely to achieve the Millennium Development Goals (MDGs) by 2015 as the number of people living below the poverty line keeps increasing every year, due to poor implementation of key development objectives on the National Strategy for Growth and Poverty Reduction (MKUKUTA).

The 2007 Household Budget Survey (HBS) indicates that 12.9 million Tanzanians live below the poverty line as compared to 11.4 million in 2000/01. The survey points out that the MDGs for health, gender equality and hunger are lagging behind. “Due to the population growth rate… poverty remains overwhelming with some 83 per cent individuals living below the basic needs in rural areas as compared to urban areas,” reads part of the survey.

“Unless the government takes a change in policy direction and increased pace, MKUKUTA objectives will fade up and MDGs will be at risk,” says the Economic Advisor of United Nations Development Programme to Tanzania, Mr Amarakoon Bandara. Basing on the survey's finding, Mr Bandara says that more analysis is required to inform and address more effectively the challenges against poverty alleviation.

“Most of Tanzanians still depend on agriculture which is the backbone of the country…but the survey indicates that its importance has declined because of poor implementation of some key factors on MKUKUTA,” he notes. The HBS indicates that agriculture has declined to 57 per cent as compared to 62 per cent in 2000/01 among active members (15-60 years). However the report shows that there has been an increase in self employment.

It says that cash income continues to be largely through agriculture products - with food crops dominating, providing the main source of cash income for 40 per cent of households. The HBS also says that around 87 per cent of rural households were reported to own land for agriculture --which is slightly smaller than the proportion reported in 2000/01.

The mean of the acreage of land owned in rural areas appears to have declined from 6 to 5 acres. “Ownership of specialized agriculture equipment continues to be very low as there has not been much headway in mechanism,” highlights part of the survey. In line with the land for agriculture in rural areas, livestock ownership has also declined substantially since 2000/01 following hard droughts.

Some 68 per cent of employed adults are in the agriculture, hunting and forestry. According to the Prime Minister, Mr Mizengo Pinda, the agriculture sector lacks enough investment and technical equipment, despite its importance in providing a living to a big percentage of Tanzanians. Mr Pinda acknowledges that more strength is needed towards agriculture especially in rural areas focusing on farming, cattle keeping and horticulture.

“We need to develop economic policies that are the key factors with special attention placed on income-generating activities in rural areas to benefit the poor,” says the premier. According to the Dar es Salaam-based World Bank Economist, Mr Paolo Zacchira, another setback is due to the fact that rural areas are often cut off from essential services and other types of support.

“Poverty continues to be rife because the progress in Tanzania's economic benefits has been uneven and many of the poorest citizens have seen little or no improvement in their quality of life,” he explains. The HBS shows that poverty is strongly related to education and the poor are still less likely to send their children to school than the non-poor.

“Poorest households have seen a rise in education participation rate of more than 30 percentage between 2000/01 and 2007,” indicates the HBS. The survey also mentions health as another challenge where poor households remain less likely to consult doctors when sick although they make greater use of government health services.

The poor also have less connection to the electricity grid where the limited extension of the grid has largely benefited the non-poor. “Tanzania will need decades of solid economic growth to help lift the people from poverty and improve basic amenities,” notes the Commissioner for Policy Analysis in the Ministry of Finance and Economic Affairs, Mr Mugisha Kamugisha.

On wages, the HBS confirms that as in 2000/01, there are large disparities in income between different earners. More educated individuals earn more than the least educated. “There are also a substantial difference between the average income of men and women. Men earn around 1.7 times what women earn,” analyses part of the survey.

The HBS points out a number of factors reflecting the difference mostly in education. It states that the disparity between men and women continues to be large. It is indicated that 30 per cent of adult women have no education compared to 17 per cent of men. “The proportion of women with no education has decreased from 33 per cent in 2000/01 to 30 per cent in 2007; however literacy rates have not changed substantially,” indicates the HBS.

According to experts, Tanzania still remains one of the poorest countries in the world, despite being one of the third-biggest gold producers in Africa. The United Nations Human Development Index, measuring a range of social and economic indicators ranks Tanzania as number 159 out of 177 poorest nations in the world. The HBS report was carried out in the Tanzania Mainland by Ministry of Finance and Economic Affairs in collaboration with the National Bureau of Statistics Tanzania (NBS). According to the NBS, the main objective of the research was to get information on levels of consumption and expenditure at household level, for poverty mapping and analysis of changes in standards of living of Tanzanians.

source; daily news

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