Saturday, April 22, 2017

Professor from US challenges Tanzania’s industrialized economy

A renowned Professor of economy has challenged the concept of the industrialization drive currently being undertaken in quick pace by Tanzania government saying that, without building institutions, the fifth phase government would fail in its undertakings in near future. Professor Lant Pritchett of the Harvard Kennedy School from the USA confirmed recently that that, “Tanzania government needs to reinforce its institutions into performing better in order to reach high level of the industrialized economy”.He said that, most African states have failed to accomplish their dreams of the industrial development in their countries because of the poor implementation of the imposed institutions (such as laws, policies, rules and regulations). He said even if the institutions are there, but they might be so weak to enable leaders to supervise with a view to further the industrial economy. However, he spoke citing examples of some countries in African continent which he noted are not so serious in implementing their own institutions, a result of which ended up in total failure. In order to successfully attain the industrial economy, Professor Lant insisted that issues of corruption and other malpractices which harm the economy should be looked at more critically. Opening the 22nd annual meeting of the economic stakeholders on poverty alleviation organized by REPOA recently, the Minister for Finance Dr. Phillip Mpango who graced the occasion as a guest of honor confirmed that the fifth phase government is currently diligent in the fight over corruption, embezzlement on public funds. The government is also fighting hard to restore public respect in work places towards building an industrialized economy with a view to alleviate people’s poverty so as to raise their standards of living. He said that, the ongoing crackdown on corruption, tax evasion, embezzlement and other mischief in public sector are meant to attract local and foreign investors so as to build an industrialized economy. The industrialization growth for Tanzania economy is an important concept which the current fifth phase government has prioritized since it came in power in late 2015. The concept aims to widen up the existing gap between the rich and the poor citizens in the country. Under the industrialization process, there are certain elements which are required in order to make an effective economic growth among the people in the country. Among the most important elements needed of all is the general education. Education is the most key concept for its role is to advocate the general idea of the whole concept about the industrialization process and what it entails as it is being undertaken by nations all over the world. Dr. Mpango highlighted various priority areas the government is concentrating on at the moment in order to remove obstacles for Direct Foreign Investment (DFI) to pave the way for industrialization development in the country. In Tanzania he said the move towards industrialization process is going well following intervention to improve the investment environment through scaling up infrastructure and power supply.

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