Template-type: ReDIF-Paper 1.0
Author-Name:Jameson Boex 
Author-Name: Jorge Martinez-Vazquez 
Author-Email: jorgemartinez@gsu.edu 
Author-Homepage: https://icepp.gsu.edu/profile/jorge-martinez-vazquez/
Author-Workplace-Name:  International Studies Program. Andrew Young School of Policy Studies, Georgia State University
Author-Workplace-Homepage:  https://icepp.gsu.edu/
Title:  Local Government Reform in Tanzania: Considerations for the Development of a System of Formula-Based Grants 
Abstract: Since 1999, Tanzania has been actively pursuing reforms of way in which the central government finances local government activities. Although local government 
authorities in Tanzania play a significant role in the delivery of key government services, the resources which the central government provides to the local level are tightly
 controlled by the central government. Based on the unique context of Tanzania’s local government reforms, the purpose of the current study is to propose a more efficient,
 equitable and transparent mechanism to allocate local government resources among the different local government authorities with the purpose of improving the delivery of 
local government services.Local government finance reform in Tanzania is garnering increasing interest in policy circles. Although Tanzania’s neighbor Uganda is often been 
considered one of the big reformer in local government finance in Africa, Tanzania is well-positioned to surpass Uganda in the depth of their reforms in the near future and 
become the next “success” in local government finance reform in Africa.This paper structured as follows. Section 1 provides a brief summary of local government finances
 in Tanzania and summarizes the policy-relevant findings and considerations which are the basis for our considerations. The first section further contains a general outline
 of a possible formula-based transfer system and considerations regarding the sequence of reforms. Section 2 considers issues related to the vertical allocation of resources 
in Tanzania. Section 3 presents considerations regarding the conceptual approach for the horizontal allocation of resources among LGAs in Tanzania. Sections 4 through 6 
contain specific considerations for sectoral allocation formulas, including primary education (Section 4), primary health care (Section 5), and road maintenance, water, 
agricultural extension and local administration (Section 6). Finally, Section 7 contains considerations for the implementation of the new formula-based
system of intergovernmental grants.
Keywords:Local Government Reform, System of Formula-Based Grants,Tanzania
Length: 55 pages
Creation-Date: 2003-03-01
File-URL:http://icepp.gsu.edu/files/2015/03/ispwp0305.pdf
File-Format:Application/PDF
Handle: RePEc:ays:ispwps:paper0305