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Tanzania Human Development Report 2014 United Republic of Tanzania Economic Transformation for Human Development Tanzania Human Development Report 2014

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Tanzania Human Development Report 2014 United Republic of Tanzania Economic Transformation for Human Development Tanzania Human Development Report 2014 Tanzania Human Development Report 2014 United Republic of Tanzania Economic Transformation for Human Development Tanzania Human Development Report 2014 Economic Transformation for Human Development United Republic of Tanzania Implementing Partner Tanzania Human Development Report 2014 Economic Transformation for Human Development Copyright © 2015 Published by Economic and Social Research Foundation 51 Uporoto Street (Off Ali Hassan Mwinyi Road), Ursino Estates P.O Box 31226, Dar es Salaam, Tanzania Tel: (+255) 22 2926084, 2926085, 2926086, 2926087, 2926088, 2926089, 2926090 Mobile: +255-754 780133, +255-655 780233 Fax: +255-22 2926083 Emails: [email protected] OR [email protected] Website: http://www.esrf.or.tz, http://www.thdr.or.tz United Nations Development Programme Tanzania Office 182 Mzinga way, Off Msasani Road Oysterbay P. O. Box 9182, Dar-Es-Salaam, Tanzania Tel (+255) 22 2112576 +255 686 036 436 UNDP Resident Representative & UN Resident Coordinator Office: Tel: +255 686 036 436 +255 686 036 436 UNDP Country Director Office: Tel: +255 0686 036 475 +255 0686 036 475 Email: [email protected] Website: http://www.tz.undp.org Government of the United Republic of Tanzania Ministry of Finance, P. O. Box 9111, Dar es salaam. Phone: +255 22 2111174-6. Fax: +255 22 2110326 Website: http://www.mof.go.tz All rights reserved, no parts of this publication may be reproduced, stored in a retrieval system or transmitted, in any form or by any means, electronic, mechanical, photocopying, recording or otherwise without prior written permission ISBN: 978-9987-770-00-7 Artistic design of the cover by Mr. Haji Chilonga La petitie Galerie Oysterbay Shopping Centre Toure Drive-Masaki P.O. Box 105160 Dar es Salaam, Tanzania Designed and Printed by Jamana Printers, Tanzania. iii Preface The release of the first Global Human Development processes of transformative growth in Tanzania. The third Report (GHDR) in 1990 signalled a paradigm shift chapter discusses the kind of economic transformation in the conceptualization of development. This report we want, whereas the fourth chapter concludes with a and those that followed, issued by the United Nations commentary on how to make economic transformation Development Programme (UNDP) over the past work for human development. The statistical annex 20 years, have significantly altered the way most provides a rich overview of key indicators/indices of governments approach the challenge of development. socio-economic and human development. Today, many countries have adopted the human THDR 2014 was produced under the aegis of development paradigm in addressing development the UNDP Human Development Initiative, which challenges by putting people at the centre. Since then, embraces a network of global, regional and country several countries and territories have produced their own reports, and was explicitly designed to draw upon country- or region-specific human development reports local expertise and to seek widespread nationally based at regular intervals: in total, more than 600 regional, consultation and feedback from a variety of actors within national and subnational human development reports the field of development policy and action, including have been launched by more than 143 countries. These close collaboration with various government structures. reports are strategic advocacy tools created through The report’s production involved a network of scholars a process of active engagement within these countries drawn from the national research and university system and across regions in addressing cutting-edge issues and with funding from the UNDP. The Economic and Social articulating people’s priority needs. These reports provide Research Foundation (ESRF) was the implementing an important source for innovation and advancement in partner for the THDR, working in close collaboration development policies and practices. with key partner institutions, including the National The current release of the Tanzania Human Bureau of Statistics (NBS), the Office of Chief Development Report (THDR) 2014 is the first THDR Government Statistician Zanzibar (OCGS), and the issue, with a theme of Economic Transformation for Department of Economics at the University of Dar es Human Development. Over the last decade, there has Salaam (UDSM). The project manager and secretariat of been a change in the focus of development policy away the THDR initiative carried out the day-to-day activities from mere quantitative changes in the rate of output in the report’s production in close collaboration with a towards a concern for the changing qualitative nature core team composed of experts from the UNDP, ESRF, of economic growth encapsulated in the concept of NBS and UDSM. In addition, a broader working group, economic transformation. Economic transformation composed of 35 experts drawn from a variety of national is particularly relevant for Tanzania since, while institutions and development agencies, provided Tanzania witnessed impressive GDP growth rates of further support, feedback and guidance throughout more than 6% since 2000, this growth has not led to a the report’s production process. This process involved commensurate reduction in income poverty. At the same commissioning and writing ten background papers, time, the Government of Tanzania has set an ambitious which constituted the core materials for writing up the target of reducing poverty significantly and becoming a final report. In parallel, the report’s production further middle-income country by 2025. This requires not only involved collecting large and diversified amounts of data sustained economic growth in quantitative terms, but on socio-economic development, and compiling tables also a significant economic transformation involving a with key indicators/indices of human development, as fundamental change in the economy’s structure. This presented in the statistical annex. report analyses the economic transformation necessary We would like to thank Dr. Hoseana Lunogelo, for Tanzania to achieve the stated objective of becoming Executive Director of ESRF, for giving the opportunity a middle-income country by 2025, as aspired by the for ESRF to be the implementing partner for the national development vision 2025. THDR initiative. Special thanks are due to Dr. Tausi The report contains four chapters and a statistical Kida, the Director of Programmes at ESRF and Project annex. The first chapter presents a snapshot of the status Manager for the THDR initiative, for the technical and progress of human development in Tanzania. The and coordinating role she played in directing the whole second chapter discusses what is meant by economic process of preparing and producing the report. Special transformation and illuminates the nature of the on-going appreciation is due to Professor Marc Wuyts (ISS) iv TANZANIA HUMAN DEVELOPMENT REPORT 2014 for the intellectual guidance he provided throughout background paper # 1, “The status and progress of this process. Special thanks are further due to the core human development in Tanzania”; THDR team for their commitment to the project. This team is composed of Dr. Rogers Dhliwayo (UNDP), ii. Prof. Marc Wuyts and Dr. Blandina Kilama – authors Mr. Amon Manyama (UNDP), Dr. Tausi Kida (ESRF), of background paper # 2, “Economic transformation Dr. Jehovaness Aikaeli (UDSM), Dr. Kenneth Mdadila in Tanzania: vicious or virtuous circle?”; (UDSM), Mr. Ahmed Markbel (NBS), Mr. Sango Simba (NBS), Mr. Deogratias Mutalemwa (ESRF), Ms. iii. Prof. Marc Wuyts and Dr. Blandina Kilama – authors Monica Githaiga (UNESCO) and Prof. Marc Wuyts of background paper # 3, “The changing economy (ISS). We would also like to record our appreciation of Tanzania: patterns of accumulation and structural to Dr. Amarakoon Bandara – former economic advisor change”; for UNDP Tanzania – who played an important role during initial stages of preparing the report prior to his iv. Dr. Amarakoon Bandara, Prof. Rajeev Dehejia and reallocation to the UNDP office in Zimbabwe. Mr. Shaheen Lavie-Rouse – authors of background Our sincere gratitude goes to the report’s drafting paper # 4, “The nexus between growth and human team, composed of the following experts: Dr. Tausi Kida development”; and Prof. Haidari Amani (chapter 1); Dr. Hazel Gray (chapter 2); Prof. Gelase Mutahaba, Prof. Ernest Mallya v. Prof. Longinus Rutasitara and Dr. Jehovaness and Dr. Jehovaness Aikaeli (chapter 3); Prof. Gelase Aikaeli – authors of background paper # 5, “What Mutahaba, Prof. Ernest Mallya and Prof. Haidari Amani growth pattern is needed to achieve the objective of (chapter 4), and Dr. Kenneth Mdadila and Dr. John Tanzania Development Vision 2025?”; Mduma (statistical annex)1. The preparation of statistical annex benefited greatly from the active support given by vi. Dr. Razack Lokina and Prof. Anthony Leiman the national statistical offices of both Tanzania Mainland – authors of background paper # 6, “Managing and Zanzibar. In this regard, we are indebted to Dr. natural resources for sustainable growth and human Albina Chuwa – Director General of the NBS – and Mr. development in Tanzania – the case of extractive Mohamed Hafidh – Chief Government Statistician of the Revolutionary Government of Zanzibar – for their industry”; support in preparing THDR 2014. We thank Dr. Richard Whitehead – Managing Director of Edit to Publish – for vii. Prof. Alfred Agwanda and Prof. Haidari Amani the splendid work in copy-editing the final manuscript. – authors of background paper # 7, “Population We would like to express our
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