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Your opinions matter to us times;. Kapat Send. Growth is concentrated in telecommunications, financial services, retail trade, mining, tourism, construction and manufacturing. While growth was formerly driven largely by public spending and international aid, this is no longer the case.
Growth today is generated mainly by the private sector, but the sectors with the highest rates of growth are predominantly capital-intensive and concentrated in large urban areas. Growth has largely failed to affect the great challenges, generating more employment and additional jobs in all parts of society and improving incomes for the vast majority of the population.
One major cause for the lack of poverty reduction despite economic growth is that Tanzania has not succeeded in raising productivity in agriculture over the last decades. Tanzania remains predominantly agricultural, with three quarters of the population living in rural areas. The birth rates in rural areas are high 6.
While donors and the government have used significant resources to improve the social sectors, similar necessary support has not been given to agriculture and other productive sectors. Lack of secure land tenure to ensure that the traditional users in the rural districts do not lose their land is one of the most essential issues, constraining investments that could enhance productivity.
Processing of food and other agricultural produce and other forms of manufacturing is also very limited in the rural areas creating very few additional employment opportunities. For the same reason, Tanzania is experiencing significant out-migration of young people from low productivity agriculture to urban informal service sectors, where productivity is just as low.
Unemployment is high and growing rapidly, especially in the urban areas and among youth. In addition, one-third of those employed are so-called "working poor": technically employed, but whose income is less than the basic needs poverty line of USD 0.
They often work either in farming or in the urban informal service sector in low-productivity, part-time jobs. An estimated , new young job-seekers enter the labour market each year, but only a fraction of them have a realistic possibility of obtaining a stable job that can give them the possibility to provide for a family. The flow from countryside to city of rural-urban migration will continue in years ahead, and Dar es Salaam is already one of the fastest growing cities in Africa.
In sharp contrast to the largely stagnating extreme poverty, Tanzania has seen the emergence of a small, but growing urban middle class.
The Government is working hard to meet these demands, through for instance, large subsidies for cheap electricity, comprehensive tax exemptions to foreign and national companies as well as government employees, and large non-taxed per diem allowances for civil servants.
This can threaten the continued peace and stability as well as social cohesion in Tanzania. However, the benefits to be derived from the exploitation of natural resources will not significantly materialize for another 10 years or so, and it is crucial to ensure macroeconomic management. In recent years, the Government has increased its use of both interest-bearing and low interest concessional borrowing.
The debt continues to grow rapidly, with corresponding increase in debt servicing and repayment. There is especially a need for greater openness in public contracts and procurement. Poverty cannot be measured simply by examining income distribution and distribution of assets alone. The official statistics focus only on private consumption and therefore underestimate the importance of consumption of public goods. The statistics thus underestimate the improvements achieved in recent years.
The Tanzanian government has chosen to spend significant resources on provision of public goods to the population.
As a consequence, access to water, education and health services have improved substantially over the last decades. Today, Tanzania is one of the few low-income countries that are close to achieving universal primary education. In the health sector, general success has been achieved in extending access to basic health services, and the results can be seen in the increasing number of children who survive.
There have been declines in both infant mortality rate the official child mortality rate as well as in mortality for children under five years of age. However, there continue to be major challenges in reducing maternal mortality. Public spending on education has increased substantially in recent years, whereas health expenditures have declined, both in absolute value and as a share of the national budget. Across all social sectors, there are major and sustained needs to increase the quality of services offered.
The massive expansion of coverage and the attempt to reach out to everyone with education and health services, has reduced the quality of services across the board. Recent studies show comprehensive and persistent quality problems in both primary and secondary education, the consequence being that pupils leave school with entirely inadequate skills.
The quality of primary health care has been negatively affected by a range of factors, including shortage and poor distribution of health workers, poor access to essential medicines and poor infrastructure. This situation is further affected by the rapidly growing population. One of the signs that the quality of healthcare services is inadequate is seen in the fact that there has been only a very slight increase in the proportion of women, who give birth at a public health institution.
This is a significant improvement, but it is still just over half the positions which are occupied. Access to social services continues to be unequally distributed. For both health and education, there are significant disparities in access to services and in the distribution of public expenditures to different groups in society.
This concerns differences between rich and poor, where one lives in the country and differences between rural and urban areas. For example, the number of nurses in the health services per capita is 30 times greater in the best endowed district in the country than the worst.
It is therefore not surprising to see that the proportion of women who choose to deliver their babies in health clinics is also three times greater than in the rest of the country. This shows how important it is to have strong focus on improving the quality and equal access for the population to social services. The complex relations between the semi-autonomous Zanzibar and the union which comprises Tanzania is an important theme in Tanzanian domestic politics, not least in the context of changes in the constitution.
Many Zanzibaris hold strong ambitions for increased autonomy for Zanzibar. The existing structure, where the union has responsibility for key areas such as foreign and security policy, is encountering increasing popular resistance.
While the government could initially be satisfied with the strong popular support, the coalition is now increasingly perceived as inefficient. At the same time, the participation of CUF in the government has weakened popular support for the party. However, for more children to become educated, there needs to be an increase in access to education and school attendance. However, the literacy rate has fluctuated over the last decade, not ensuring continuous growth. The organization helps young children to be educated, literate and aware of personal health and proper forms of family planning.
Their work primarily targets young girls. Room to Read distributes its resources not only to Tanzania but also to over 12 other countries around the world. In that case, the causes of poverty in Tanzania will end sooner than expected. This in turn could help set an example for other impoverished countries. Blog - Latest News. Causes of Poverty in Tanzania The population rate is continuously increasing faster than the poverty reduction rate in Tanzania.
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