NATIONAL POLICY DIALOGUE

ASSESSMENT OF ACHIEVEMENTS IN MKUZA

Friday 20/11/2009

Purpose of the Report

The Report provides progress in terms of MKUZA performance, challenges.

The achievements are not linked to MKUZA Goals due to shortage of time.

The primary objective of the Report is information sharing and stimulating dialogue.

Data contained up to 2008, in some cases data up to 2007 only.

Per Capita and GDP

Per capital GDP went up from 516 thousands (414 US Dollar) in the year 2007 to 639; thousand (534 US Dollar) in the year 2008, an increase of 23.8 percent

Capital formation increased in nominal terms by 37.5 percent in 2007 compared to 33.0 percent in 2006 – probably no real increase given the inflation rate of 13% during that period.

TREND OF PER CAPITA GDP

Figure 2: The Trend of Per Caital GDP From 2003-2008

284331

368

462516

639

0

100

200

300

400

500

600

700

2003 2004 2005 2006 2007 2008

Year

Per

Cap

ital G

DP

TREND OF CONSTANT PRICE GDP GROWTH

Figure 1: The trend of Constant Price GDP Growth Rates From 2003-2008

5.96.5

4.9

6.0 6.3

5.4

0.0

1.0

2.0

3.0

4.0

5.0

6.0

7.0

2003 2004 2005 2006 2007 2008

Year

GD

P G

row

th R

ates

REVENUE AND EXPENDITURE PERFORMANCE

Government Accounts show that in 2007/08, total domestic revenue collected was TZS110.7 billion compared to TZS 89.6 billion for 2006/07; an increase of 23 percent.

An increase of 16.3% of GDP in 2006/07 to 18.2 % in 2007/08

Total Government expenditure for 2007/08 was 179.2 billion; out of that 73.9 billion was for development expenditures [emphasis on development].

Inflation

Annual inflation rate increased to 20.6 in 2008 compared to 13.1 registered in 2007.

Current rate during this period (2009): Aug 5.1; Sept 4.3; and Oct.4.5

Annual average CPI for 2008 show that: Food CPI was 154.4, Non-food CPI was 135.4; overall CPI was 145.4.

SELECTED SECTOR PERFORMANCE - Transport

The total number of passengers handled at Zanzibar airport declined by 3.6 percent in 2008 compared to 2007.

Tonnages of cargo handled in 2008 declined by 57.9 percent.

Passenger handled at Zanzibar Ports increased by 9.3 percent in 2008 - from 1.33 million passengers in 2007 to 1.45 million passengers in 2008.

Tonnage of cargo declined in 2008 (311,680) compared to 2007 (410,408). [due to major repair works].

Transport and communication had a growth rate of 28.9 and 22.8 percent respectively

A BRIEF ON ROAD SECTOR PERFORMANCE

PEMBA – roads under construction: South Roads Project – total 45.0 km ( management of

rural roads using labour intensive methods-significant employment creation to about 2000 worker days/km).

Feeder roads( Ole-Kengeja; Wete-Gando) and Trank road (Wete – Konde); total 63 km.

Unguja – major trank roads projects; Amani(Welezo) – Dunga – 12.7km; Mfenesini – Bumbwini _ 13 km; Both with bridges. Mazizini – Fumba _ 18km

SELECTED SECTOR PERFORMANCE - Agriculture

Performance in agriculture sector was slightly better in 2008 (5.7 percent) compared to 2007 (negative 0.4 percent).

Overall, services sector register a constant GDP growth rate of 6.4 percent in 2008, which is lower

compared to 10.4 percent recorded in 2007.

TRADITIONAL COMMODITIES

In 2008, cloves production increased to 4,007.3 tons compared to 1,085.6 tons in 2007. [price varies between US$ 3850 to US$ 4000].

Seaweed increased to 11,177 tons in 2008 compare to 8,485 in 2007.

Fish catches in 2007 was 23,582 tons and 24,803 tons in 2008, an increases of 5%.

TREND OF IMPORT AND EXPORT TRADE

Figure 3: The Trend of Imports and Exports Trade in Zanzibar From 2003-2008

71.579.6

120.7

87.5

107.793.4

17.1 14.2 12.721.2

30.215.4

0

20

40

60

80

100

120

140

2003 2004 2005 2006 2007 2008Year

Billi

on T

sh.

Imports Exports

PERFORMANCE IN TOURISM

Tourist arrival has increased from 19,368 visitors in 1985, to an estimated 219,047 in 2007.

Hotel capacity has grown from 550 beds in 1985 to 9,430 beds in 2007, most rapidly in coastal areas.

In 1985, only 50 beds were located on the coast; by 2007, there were 7,640 (81% of the total).

Tourism represents 40% of all exports of services, making it one of the largest categories of international trade, with more potential that could benefit the poor if value chain and backward linkages are considered.

WATER AND ELECTRICITY

On water, commercial users increased tremendously from 319 to 1,347 due to introduce cost sharing during August 2008 and increase awareness among the users. New reservoirs constructed with total capacity of 6.9million liters. Partly Japanese aid valued at Yen 1.23 billion (US$ 12ml; Tzs 13biln).

TASAF supported 24 water projects The quantity of electricity distributed decreased from

137,108,000 KW in 2007 to 130,687,000 KW in 2008 (one month break down in June, 2008) re paved in 2007

PERFORMANCE IN EDUCATION

Number of primary schools increased from 119 in 2007 to 119 in 2008.

Numbers of secondary schools remained constant at 69 in 2007 and 69 in 2008.

Number of private nursery schools decreased at 11.4%; (from 236 schools in 2007 to 209 schools in 2008).

Total number of students in public schools (provide basic education) increase from 206,611in 2007 to 207,708 in 2008.

Number of students in secondary schools increased from 72,193 in 2007 to 81,099 in 2008.

PERFORMANCE IN HEALTH

Introduction of the 2nd line PHCUs to reduce long distance for delivery services Result: increase in delivery in health facilities

attended by skilled personnel Result: maternal mortality reached 365/100,000 in

2007 compared to 473/100,000 in 2006

Note: this is from the routine data – survey data may reveal slightly different numbers!

Performance in Health

Malaria control programme, Zanzibar Aids Control Programme, and Zanzibar Tuberculosis and Leprosy Programme are in place. Results: modest decline in anaemia in pregnant mothers

from 43.1% in 2006 to 38% in 2007 malaria incidence in >5 was reduced from 54% of

the total under five population to 24% in 2007. of the 2837 people tested for TB,(F-1597;M-1240),

only 13 were found positive (U+P).

MOTHER TO CHILD CARE --- HIV and AIDS

The government provided ARV drugs, HIV kits, equipment and supplies to health facilities, offering voluntary counselling and testing (VCT), and Prevention of Mother to Child Transmission (PMTCT) interventions.

PMTCT services were provided in 15 sites The number of pregnant women accessing PMTCT

services was 3,000 in 2005; is 21,000 women in 2007

INSTITUTIONAL AND HUMAN RESOURCES REFORM

A comprehensive study on ZPSRP has been undertaken detailing the best coordination mechanism of core

reforms with a comprehensive package on: Developing functional institutional structures. Advise on developing scheme of service for various

cadres ( work in progress). Advise on scope of local government reforms. A Zanzibar Human Resources Draft Policy first draft

in place. A situation Analysis Report for Civil Service Policy in

Zanzibar (Draft) is ready for discussion by Stakeholders.

INCLUSIVENESS AND PARTICIPATION

Involvement of people at grassroots levels widened by increasing the number of Shehias from 294 to 303;

Strengthening of non-state actors to take part in public matters (number of CSOs increased from 350 (2007) to 415 (2008);

Act No. 3 & 4 of 1995 and Act No. 1 of 1998 reviewed in order to further strengthen linkages with civil society.

Act No 1 of 2006 on PWD enacted; National Disable Council for PWD established in 2007.

Government of URT set aside Tshs. 21.0 billion and Tshs 1.2 billion set aside by RGoZ (KK Fund) in support of micro-enterprises.

YOUTH ENTERPRENUERSHIP-ILO STUDY

A total of 88 individual and group enterprises were covered.

63 in Unguja and 25 in Pemba. Magharibi district represented the highest number of

enterprises surveyed ( 25%); Kati and Mjini districts, 13.6 percent, Kusini, 10.2

percent. Apparently all top five districts with highest number of

enterprises are in Unguja.

GENDER SENSITIVITY ANALYSIS ON OWNERSHIP

Type of Institution ownership by gender in Pemba and Unguja

10

36

17

48

13

0

5

10

15

20

25

30

35

40

Female only groups/individual Male only groups/individual Mixed groups

Type of ownerships

Type of ownership

Nu

mb

er o

f in

stit

uti

on

s

Unguja Pemba

Economic and Financial Reforms

Capacity building undertaken in areas of: Economic

Management – to IMF Institute; Postgraduate in Economic courses; MTEF Seminars; PER Workshops, Planning Techniques; Macro-Economic Forecasting.

Macro – Economic environment steadily being strengthened (Management of Public debt Regular CPI data, monthly management of the budget through Ceiling Committee).

IFMS, (significant improvement in reporting, foster the reconciliation, facilitate final accounts and National Accounts generation, increasing transparencies , accountability and no over commitments).

Strengthening Internal Audit in all MDAs.

Good Governance Reforms

A Good Governance Coordination Department formed within the Ministry of CAGG

Civilianization of Prosecution processes is on going. Work on the development of the Zanzibar Good

Governance framework and action plan has already commenced.

A case flow Management Committee to facilitate smooth administration of Court Cases has been established

Law Review Commission is in place and review work in progress.

Computerization of vital registration is on going at the Registrar General’s Office.

CHALLENGES

Financial resourcesHuman capacitiesInstitutional weaknessesDivision of duties among DPsCoordinationMonitoring and EvaluationData availabiliy

End of presentation

MANY THANKS FOR YOUR ATTENTION

Dr. Hamed R.H.Hikmany

Commissioner

National Planning, Sector Development and Poverty Reduction,

Ministry of Finance and Economic Affairs, Zanzibar