Today sees the opening of the Consultative Group meeting between Tanzania and its development partners. The government will receive the usual plaudits for its sound economic policies, and a commitment of one billion US dollars (100 billion shillings) in grants and loans for the coming year. Inflation is down to under five percent, the economy grew by 5.6 percent last year, foreign investment is high by African standards, domestic and foreign debt are at sustainable levels. Compared to earl...read more
Today sees the opening of the Consultative Group meeting between Tanzania and its development partners. The government will receive the usual plaudits for its sound economic policies, and a commitment of one billion US dollars (100 billion shillings) in grants and loans for the coming year. Inflation is down to under five percent, the economy grew by 5.6 percent last year, foreign investment is high by African standards, domestic and foreign debt are at sustainable levels. Compared to earlier years of 'negative' growth and rampant inflation, these are solid achievements. There's one big blot on this otherwise rosy landscape: the expected benefits of economic stabilisation and growth are not reaching the poor, especially in the rural areas.