AfricaPress-Tanzania: FOR the past decade, Tanzania focused on making remarkable economic reforms, reinforcing leadership ethics and investing in human development, which among others saw the country crossing the threshold into lower middle income status, well ahead of 2025 year that had been anticipated.
The observation that was made by Minister of State in the President’s Office in charge of Investment, Prof Kitila Mkumbo, recently while speaking with Roundtable of Tanzania Chief Executive Officers (CEOs) and members over the weekend in Dar es Salaam is a clear testimony that the government is committed to promoting the private sector in partnership of the country’s economic growth.
Traced back to President John Magufuli fully recognising and issuing special Identity Cards to petty traders as a force to reckon with in the country’s development, this is a clear show that building the country’s economy is a collective responsibility without leaving anyone in the cold.
In the attempt, the government has created a conducive environment, where businesses have continued to prosper, be it for a hawker, peasant, Mama Lishe (female food vendors), big and small entrepreneurs.
What has transpired is the motivation to the citizens and brought onboard local billionaires like a small-scale miner Saniniu Laizer, who now owns $3.4 million after the government purchased his first tanzanite, precious stones weighing 20 pounds (9 kg) and 11 pounds (5 kg) at 7.7bn/-.
(Recall President Magufuli once said that he wants to leave behind a legacy of a nation of hundred billionaires.)
That put slightly aside, the private sector is the engine of growth and globally, successful businesses through them drive growth, create jobs and pay the taxes that finance services and investment.
In developing countries, the private sector generates 90 per cent of jobs, funds 60 per cent of all investments and provides more than 80 per cent of government revenues.
It is no doubt that “poverty” is a global issue and challenge which has been being fought against by all human beings for over thousands of years and to address this, the government deserves praise for realising and embracing the private sector in its economic and social development.
“Every developing country has the potential to grow dynamically for decades, as long as the government plays the right role in facilitating the development of private enterprises along the line of the country’s comparative advantages and tap into the latecomer advantages, once said, Prof Justin Yifu Lin at Peking University.
This is because many companies in the private sector, especially the world’s largest and most brand-visible firms, have made substantial progress in operationalising sustainability concepts by integrating these concepts into operations, strategy, and communications.
