What it means as Tanzania govt shuts down its own economic think tank

 

In Summary

The Planning Commission was established under the President’s Office via Government Notice No. 20 of February 2008 as an agency for strategic thinking (Think Tank) on the economy, as well as providing advice on medium- and long-term strategies for socioeconomic development, always focusing on the Big Picture. 

By The Citizen Reporters @TheCitizenTZ news@tz.nationmedia.com

Dar es Salaam — The government has proposed the abolishment of the Planning Commission as an independent entity. The Special Bill Supplement for the 2018/19 Finance Act dated June 12, this year, proposes repealing the Planning Commission Act, Cap 314 of the Laws of Tanzania, with the aim of enabling the Finance and Planning ministry to take over the functions and responsibilities of the

commission.

The Planning Commission was established under the President's Office via Government Notice No. 20 of February 2008 as an agency for strategic thinking (Think Tank) on the economy, as well as providing advice on medium- and long-term strategies for socioeconomic development, always focusing on the Big Picture. Therefore, the commission was responsible for creating and conducting insightful and counter-intuitive policy analyses on problems of great public importance to provide solutions to be implemented by the government.

Through the proposed amendments, "all assets, rights, obligations and liabilities which were vested in the commission shall be transferred to public office, and all deeds, bonds, agreements and instruments subsisting before the repeal of the Act shall continue in force, and be enforced by or against the ministry, government Institutions or departments.

"The proposed amendments are a result of the change of structure in the government by virtue of the 'Ministries (Discharge of Ministries Functions) Notice, 2016," the proposal reads in part.

"Employees or staff of the commission who are necessary for the purpose of the ministry, government institutions or departments shall - subject to law and procedures governing public services - be transferred to public offices."

The Bill also proposes that "all employee or staff who are deemed to be employed or transferred to a public office shall continue to be members of a statutory, voluntary pension or any other superannuation scheme in accordance with the laws and regulation governing the scheme."

However, employees or staff whose services are not transferred to a public office shall be paid terminal benefits in accordance with applicable laws and regulations governing the terms and condition of their services immediately before termination.

Some economists have, however, differed on the government's intention to abolish the commission, with some saying that this is the right decision, while others saying the government should state clearly the validity of the proposed change.

A senior lecturer at the University of Dar es Salaam's Business School (UDBS), Dr Omary Mbura, said this is a good decision because it would "smoothen out coordination between planners (planning experts) and seekers (Ministry of Finance).

"In order to successfully implement any plan, you need to have finance because they translate plans" into action, he said in a telephone interview with The Citizen.

Dr Mbura also said that, when the commission was separate from the Finance ministry, it was difficult to align its plans with the financial resources needed to implement the plans.

An economist at the Association of Tanzania Employers (ATE), Mr Oscar Mkude, said if the commission's work will be performed by the Finance ministry, then cooperation should be improved to enable the planners to play their part in formulating policies.

"The commission was working independently; but, now, it will be under the (Finance ministry's) permanent secretary. This is not healthy economically," he said.

The ATE official added that it was obvious that the commission was for all practical purposes trashed soon after the fifth-phase government of President John Magufuli came to power - and what is sought to be done now is simple to formalize the situation.

"When I heard that the ministry will now be dealing with finance and planning, I finally realised that the commission has no chance," he said.

The executive director of the economic research think tank Repoa, Dr Donald Mmari, yesterday said the proposal to abolish the commission is not coming for the first time - stating that the first and second phase phases of government had a ministry of Finance and Planning.