Tanzania the country accomplishment shows to decline in

Tanzania is one of the
poorest countries in the world in terms of per capital income, which its
economy depends heavily on agriculture. Both
World Bank and IMF, and other donors have contributed funds to rehabilitate
Tanzania’s slow economic infrastructure and to ease poverty through Structural Adjustment
Programs (SAPs). Agriculture is still the most important part of Tanzania’s
economy so improving agriculture was the only way to assist Tanzanians because
most population of Tanzania are living in countryside where agriculture is
taking place thus many Tanzanians could benefit much from this program through improvement
in agriculture. There was one of the core goals of Structural Adjustment
Programs (SAPs) in 1985 was to rise up the output of food and export crops,
which was possible by improving the market system for these crops and, also
providing more incentives for production. Nevertheless, the government reduced
effort to administered the structural adjustment programs(SAPs) measures,
following this, the IMF and World Bank withdraw from supporting the government
and either other donor countries refused to give grants and loans, again the
country accomplishment shows to decline in the following years in economic
performance was owe to bad weather condition lead to the destruction of
people’s properties and crops as agriculture is one of the most important
sector of the national economy, it drive to the poor performance thus low gross
domestic product, not only agriculture was affected but also other economic
activities were terribly affected. In addition to improvement in agriculture imposed
by the IMF and World Bank was to transform the country economy, which is change
to free market economy together with privatization of public sector in
Tanzania, privatization lead to many benefits including, recovery of dead
industry increase national output of Tanzania experienced a lot of Economic
problems as the country were coming from the war with Uganda. Generally, the
world economy was fall down, trade liberalization was more likely an incentive
to attract many external and internal investors to take into consideration and
invest in Tanzania indeed the amount of investors increased and the national
output increased too, as well as trade liberalization lead to shifting of many
trade barriers such price and market reforms, tariffs, embargoes, custom duties
and other duties. Trade liberalization was guiding Tanzania and other
developing countries to the system of open market where the forces of demand
and supply are the only antecedent of price in the market, hence the government
is not supposed to interfere in any problem. Last but not least, throughout
SAPs economic recovery program that IMF and World Bank started among other
measures to renovate and rebuild the Tanzanian infrastructure through
rehabilitation of the existing infrastructure in which were placed from the
colonial government, there were need for improving these infrastructures
because they were in bad conditions, and they included roads, railway, airports
and harbors. The main importance of infrastructure is for fostering the
economic performance in the country together with making the country more
accessible in all regions. Road
infrastructure helps to make transport and communication so easy in a country,
giving agricultural performances to grow and expand the market from rural areas
to urban areas and together with making exportation of cash crops abroad so
smooth. As Tanzania was changing its economies from command economy to free
market economy that is privatization in place where private investors are
increasingly investing in the country, mostly infrastructure is one of the
ingredients of the national economy. These infrastructure were improved in the
recent years, Tanzania transport network have developed significantly. Any part
of Tanzania is now accessible without any matter that is the success of
structural adjustment programs (SAPs) and the Government at large because
structural adjustment programs (SAPs) cannot be able to run itself.

Apart from those possible advantages, SAPs through
privatization of public entities to private sector lead the government’s loss little
control of the national economy, which is the decision process about the price
of goods and services are left in the hands of the forces of demand and supply
in market mechanism to decide. One of the major weakness to leave the market to
decide in which the government have no power to decide on economic productions,
even to control monopolies and other market failure, it does not mean that the
government have no control but not as much as it had during the past times
within its sovereignty, this is evidence that Tanzania inflation is increasing
every year the government have failed to control this inflation.

We Will Write a Custom Essay Specifically
For You For Only $13.90/page!


order now