Mkukuta review and emerging issues for mkukuta ii
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MKUKUTA REVIEW AND EMERGING ISSUES FOR MKUKUTA II. ANNUAL NATIONAL POLICY DIALOGUE 19-25 Nov. 2009: Day 2: Friday 20 th Nov. 2009 Ms. A. Mwasha /Prof. A.V.Y. Mbelle. STRUCTURE OF PRESENTATION. FIVE SECTIONS I: INTRODUCTION II: EMERGING ISSUES FROM REVIEW

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MKUKUTA REVIEW AND EMERGING ISSUES FOR MKUKUTA II

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Mkukuta review and emerging issues for mkukuta ii

MKUKUTA REVIEWAND EMERGING ISSUES FOR MKUKUTA II

ANNUAL NATIONAL POLICY DIALOGUE

19-25 Nov. 2009: Day 2: Friday 20th Nov. 2009

Ms. A. Mwasha/Prof. A.V.Y. Mbelle


Structure of presentation

STRUCTURE OF PRESENTATION

FIVE SECTIONS

I: INTRODUCTION

II: EMERGING ISSUES FROM REVIEW

III: HIGHLIGHTS/ISSUES FOR MKUKUTA II

IV: CHALLENGES

V: CONCLUDING REMARKS


I introduction

I: INTRODUCTION

POVERTY IS THE MAIN DEVELOPMENT CHALLENGE IN TANZANIA. THE FIGHT AGAINST POVERTY IS GROUNDED IN THE FOLLOWING:

  • NATIONAL REALITIES – SINCE INDEPENDENCE

  • HUMAN RIGHTS PERSPECTIVE – POVERTY IS DEHUMANIZING

  • REGIONAL AND INTERNATIONAL COMMITMENTS

    HENCE POLICIES AND STRATEGIES PUT IN PLACE

    KEY DOCUMENTS: ARUSHA DECLARATION (1967) NATIONAL POVERTY ERADICATION STRATEGY (1998); VISION 2025 (1999); PRSP 2000-2004; MKUKTA (2005).


I introduction1

I: INTRODUCTION

EXPECTATIONS ON MKUKUTA OVER POVERTY REDUCTION STRATEGY PAPER: SUBSTANTIAL POVERTY REDUCTION, GIVEN:

  • MOVE FROM PRIORITY SECTOR APPROACH TO OUTCOME-BASED APPROACH TO POVERTY REDUCTION

  • IMPROVED COORDINATION

  • IMPROVED SYNERGIES AND CROSS-SECTOR COLLABORATION

  • POVERTY FOCUS INCLUDING BEING MDGs-BASED

  • IMPROVED MACROECONOMIC PERFORMANCE MANIFESTING IN RELATIVELY HIGH GDP GROWTH


Introduction

INTRODUCTION …

AREAS OF CONSENSUS

  • GROWTH ACHIEVED DURING MKUKUTA IMPLEMENTATION COULD HAVE DELIVERED MORE IN TERMS OF POVERTY REDUCTION (CONTRAST 1991/2 – 2001 AND 2001-2007 HBSs). WHERE DID ALL THE GROWTH GO?

  • HIGHER GROWTH COULD HAVE BEEN ACHIEVED

  • CONSIDERABLE A CHIEVEMENTS HAVE BEEN RECORDED IN NON-INCOME POVERTY (HUMAN DEVELOPMENT GAINS) AND SYSTEMS FOR RESOURCE ALLOCATION E.G. SBAS

  • REFORM PROCESS HAS BEEN INCOMPLETE

    CAUTION: MKUKUTA SHOULD NOT TAKE ALL CREDIT NOR ALL BLAME


I cont d

I: CONT’D

CONSIDERABLE “INVESTMENTS” IN MKUKUTA

  • DEVELOPMENT OF STRATEGIC BUDGET ALLOCATION SYSTEM (SBAS MACRO AND MICRO)

  • REVIEW OF STRATEGIC PLANS (MDAs, LGAs)

  • MONITORING SYSTEM

  • PRODUCTION OF MAIRs AND PHDRs

  • DESIGN OF MEDIUM TERM STRATEGIC PLANNING AND BUDGETING MANUAL


Ii emerging issues from review

II: EMERGING ISSUES FROM REVIEW

  • MOST OF THE ISSUES RAISED DURING CONSULTATTIONS TOWARDS MKUKUTA LARGELY STILL VALID

  • KEY ISSUES THAT NEED TO BE ADDRESSED FOR MORE EFFECTIVE IMPLEMENTATION AND ATTAINMENT OF RESULTS HAVE BEEN IDENTIFIED (INADEQUATE PRIORITIZATION AND COORDINATION; INCOMPLETE REFORM PROCESS; INSTITUTIONAL CONCERNS, ETC)


Ii cont d

II CONT’D

FINANCING OF MKUKUTA:

  • MKUKUTA FINANCING TAKES LARGER SHARE (EG. 70.7% DURING 2008/09 COMPARED TO 29.3% NON-MKUKUTA ACTIVITIES)

  • SPENDING BY ECONOMIC CATEGORY FAVOURS DEVELOPMENT SPENDING (70%)

  • CLUSTER II TAKES LARGER SHARE OF MKUKUTA FINANCING (EG. 45.5% DURING 2008/09; COMPARED TO CLUSTER I, 34.1%; CLUSTER III, 16.1% AND X-CUTTING ISSUES, 4.4%)

  • DEVELOPMENT FINANCING OF MKUKUTA DOMINATED BY FOREIGN SOURCES (57% COMPARED TO LOCAL, 43)


Mukuta vs non mkukuta allocation

Mukuta Vs Non-Mkukuta Allocation


Spending by economic category

Spending by Economic Category


Cluster wise allocation

Cluster wise Allocation


Mkukuta development funding

Mkukuta Development Funding


Iii highlights issues for mkukuta ii

III: HIGHLIGHTS/ISSUES FOR MKUKUTA II

DESIGN/VALUE ADDITION OVER MKUKUTA I

  • SHARP, FOCUSSED, PRIORITIZED STRATEGY/INTERVENTIONS

  • GREATER EMPHASIS ON GROWTH (INCLUSIVE)

  • TARGETING GREATER DEVELOPMENT IMPACT

  • FLEXIBILITY IN ADJUSTING STRATEGIES

  • INCORPORATING ISSUES THAT WERE NOT PROMINENT IN MKUKUTA (I): HUMAN RESOURCE DEVELOPMENT PLAN; PUBLIC PRIVATE PARTNERSHIPS; EXTENDED EMPHASIS ON CROSS-CUTTING ISSUES -INTEGRATED MANAGEMENT OF ENVIRONMENTAL RESOURCES (INCLUDING CLIMATE CHANGE); ENABLING INVESTMENT CLIMATE FOR DOMESTIC ENTERPRISE; POPULATION ISSUES; SPATIAL/GEOGRAPHICAL/LOCATION ISSUES;

    RAPID URBANIZATION AND IMPLICATIONS


Iii cont d

III CONT’D

6. ROBUST ACTORS COORDINATION IN ACHIEVING RESULTS

7. LONG TERM GROWTH AND DEVELOPMENT PLAN 2010-2025 (MISSED INTERVENTION IN MKUKUTA) – JUSTIFICATION (EXPERIENCE OF SUCCESSFUL COUNTRIES; INVESTMENTS NEED A LONGER HORIZON TO DELIVER “MULTIPLIER EFFECT”; DOMESTIC RESOURCE MOBILIZATION; INSTITUTIONAL ISSUES; SUSTAINING REDUCTION IN EXTERNAL DEPENDENCE;


Iii cont d1

III CONT’D

DESIGN – WHAT WILL NOT CHANGE :BROAD FRAMEWORK: RESULTS FOCUSSED, CLUSTER-BASED. KEY STRATEGIC INVESTMENTS AND POLICY DIRECTION : HIGH AND SUSTAINED GROWTH

CLUSTER I: GROWTH AND REDUCTION OF INCOME POVERTY

  • GROWTH –FOCUSSED INTERVENTIONS WITH EXPLICIT AND ELABORATE LONG TERM GROWTH PLAN

  • ANCHORED ON COMPARATIVE AND COMPETITIVE ADVANTAGES

  • DRIVEN BY GROWTH DRIVERS: AGRICULTURE, INFRASTRUCTURE, TOURISM, MINING

  • INCLUSIVE GROWTH

  • INTERVENTIONS FROM CLUSTERS II AND III EMBEDED (E.G. SKILLS, WATER FOR PRODUCTION, PRODUCTIVE INTERVENTIONS IN SOCIAL PROTECTION, ECONOMI GOVERNANCE


Iii cont d2

III CONT’D

CLUSTER II: IMPROVEMENT OF QUALITY OF LIFE AND SOCIAL WELL BEING

  • ADDRESSING QUALITY ISSUES IN SERVICE DELIVERY (EDUCATION, HEALTH, WATER, SANITATION)

  • COORDINATED INTERVENTIONS


Iii cont d3

III CONT’D

CLUSTER III: GOVERNANCE AND ACCOUNTABILITY

  • ISSUES OF GOVERNANCE IN SUPPORT OF GROWTH


Iv challenges

IV: CHALLENGES

  • AREAS AND EXTENT OF REFORMS TO COMPLETE REFORM PROCESS

  • IMPROVING THE BUSINESS ENVIRONMENT

  • ADAPTATION TO DEVELOPMENT MANAGEMENT (ATITUDES, WORK CULTURE, ETC)

  • CONTRACTUAL ARRANGEMENTS FOR STUDIES THAT HAVE BEEN APPROVED INORDER TO INFORM REVIEW/DRAFTING OF MKUKUTA II

  • DEVELOPMENT OF MKUKUTA II AND LONG TERM GROWTH AND DEVELOPMENT PLAN CONCURRENTLY

  • POLITICAL CONSENSUS AND STEWARDSHIP


V concluding remarks

V: CONCLUDING REMARKS

MKUKUTA II IS ABOUT CHOICES:

  • SUBSTANTIAL POVERTY REDUCTION VERSUS INCREASED GROWTH IN THE SHORT TERM

  • WHAT SHOULD SPUR GROWTH IN THE SHORT TO MEDIUM TERM AND IN THE LONG RUN

  • FACING THE FINANCIAL RISK: SIGNIFICANT SCALE-UP OF ODA (INCLUDING GLENEAGLES SCENARIO) VERSUS DOMESTIC RESOURCE MOBILIZATION AS ENVISAGED ALSO IN VISION 2025

  • RESOURCE ALLOCATION IN MKUKUTA – ADDITIONAL REQUIREMENTS FOR CLUSTER I WITHOUT DEPRIVING CLUSTERS II AND III


End note

END NOTE

THANK YOU FOR YOUR KIND ATTENTION

AHSANTENI SANA


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