Tanzania and the US are set to sign the Millennium Challenge Cooperation (MCC), a five-year programme likely to attract unspecified billions of shillings for development of roads, water and energy projects.
An MCC delegation from the US is in Dar es Salaam to assist the government to develop a Millennium Challenge Account (MCA) Compact Programme that would systematically address constraints that impede economic growth in a move to enhance poverty reduction.
The Coordinator of the Millennium Challenge Account (MCA) in Tanzania, Mr Bernard Mchomvu, said that an eight person team would work with relevant government officials to develop the programme.
He was optimistic over the programme, saying that if implemented well the impact of economic growth rate would be felt by the majority poor.
Mr Mchomvu explained that the presence of the experts in the country who are scheduled to spend between five and 12 days was a step towards the preparation of details on how the government should address constraints that stall economic growth.
“After discussions and evaluation of factors a proposal would be drawn by Tanzania and submitted to MCC for negotiations.
“Upon successful negotiations an agreement would be prepared ready for signing by the two parties at a date to be announced by the coordinator”, he said.
Mr Mchomvu explained that both the government and MCC were aware that Tanzania has abundant unexploited resources coupled with arable land and yet little was achieved on economic growth and that was why the latter was around to help find means and ways of dealing with the constraints.
The MCA initiative was introduced by President George Bush in 2003 to support poor nations that ruled justly and promote economic freedom, with Tanzania being one of the 23 eligible countries.
An MCA Steering Committee has already been formed and has met once since its formation early this year.
Its members include Permanent secretaries in the Ministries of finance; energy and minerals, water; infrastructure, planning, privatization and empowerment; finance Zanzibar; foreign affairs and international cooperation; Tanzania Chamber of Commerce Industries and Agriculture (TCCIA), Tanzania Business Council, Confederation of Tanzania Industries (CTI), Technoself of Arusha.
The US members of the delegation are Brevnov Gretchen (country director), Mr Mathew Kavanagh (logistics/fiscal expert), Mr Steve Anderson (monitoring and evaluation), Mr David Nummy (fiscal), Ms Anne Rothbaum (monitoring and evaluation), Mr Jonathan Saiger (infrastructure-energy and road), Mr Lucas Black (associate country director) and Mr Richard Noth (water sector).