THOUGH there is positive growth in various sectors when the country was implementing the Five Year Development Plan (FYDP I), the government has failed to hit the target in many areas.
The failure is attributed to significant
financing gap attributable to inadequacy in public funds and inertial
in the operationalisation of the public-private partnership (PPP)
policy.
The FYDP I also contained strategies to
mobilise financial resources for its implementation. It was estimated
that a total of 44.5tril/- would be required to implement the plan, this
translated to an equivalent of 8.9tril/- each year out of which
2.9tril/- was to be mobilised by the government and the remaining
6tril/- was to be financed by private sector.
In a comprehensive review report for
Tanzania FYDP 2011/2012-2015/2016, the country recorded positive growth
but fell short of target in many areas.
Speaking when tabling the report to MPs,
Deputy Finance Minister and Planning Dr Ashatu Kijaji, said that some
areas performed well while others not so well. She said that overall the
FYDP I sought to attain an average economic growth of eight percent
between 2010/2011 and 2015/2016.
Since 2010, however, real Gross Domestic
Product (GDP) has been growing at an average rate of around 6.7 per
cent slightly below the target.
Dr Kijaji said that during the period
under review, the fastest growing sectors were communications (15.3 per
cent) construction (13.0 per cent), financial intermediation (9.9 per
cent) and transport and storage (8.8 per cent).
Giving summary of the achievements in
the five priority areas, Dr Kijaji said that in energy sector, installed
power generation capacity increased from 900MW in 2010 to 1,246 MW in
June 2015.
This is 44.8 per cent of the plan target
of generating 2,780MW at the end of plan period. “Although the target
was not reached, electricity generation has continued and is expected to
improve following the completion of construction of gas pipeline from
Mtwara to Dar es Salaam and completion of Kinyerezi I Power Plant which
is expected to generate 150MW,” she told MPs.
In road transport, a total of 2,775km of
road were constructed and rehabilitated to bitumen standard, equivalent
to 53 per cent of the planned target of 5,204km. In the same period,
the number of passengers handled in air transport increased from
3,437,608 in 2011 to 5,059,739 in 2014.
In Railway, 150km of the railway line
with 80 pounds/yard rail were rehabilitated equivalent to 76.1 per cent
of the target of rehabilitating 197km by the end of 2015/2016. In
agriculture, there was considerable improvement in small-holder crop
production, irrigation schemes, livestock production and export of both
crop and livestock.
The Deputy Minister said that the sector
grew from 2.7 per cent in 2010 to 3.4 in 2014 which is however, below
FYDP I target of growth of six per cent per annum.
However, positive and satisfactory
growth was recorded in the share of manufacturing sector as total export
increased from 17 per cent in 2012 to 23 per cent in 2014 which is
above the target of 19.1 per cent. In ports, cargo handling increased
from 9.9 million tonnes in 2011/2012 to 14.6 million tonnes in
2014/2015.
The increase according to Dr Kijaji, was
attributed to deployment of new and modern cargo handling equipment as
well as increase of cargo handling time from 12 to 24 hours per day.
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