Fiscal and monetary burden of Tanzania's corporate bodies: The case of public enterprises

H.P.B. Moshi

Working Papers from African Economic Research Consortium

Abstract: Public enterprises (PEs) have played a dominant role in Tanzania's socio-economic development. However, these enterprises have contributed significantly to economic crises presently facing the country. Precisely, they have been a fiscal and monetary burden to the economy. The main objective of this study is to analyse and make some initial attempts in assessing the magnitude of the burden. To achieve this, it became necessary to collect data of macro-nature at various focal points, namely Ministry of Finance, Tanzania Audit Corporations and various Holding Corporations. These institutions do have "consolidated", although rather scanty, data on most of the PEs. The analysis did indicate that the public enterprises have contributed significantly in suffocating the efforts of improving Tanzania's fiscal and monetary aggregates. Consequently, the major recommendation arising from this study is the need to redefine afresh the role of public and private sector in the national economy with the ultimate objective of commercialising and privatising the public enterprises.

Date: 1998-03-06
Note: African Economic Research Consortium
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Persistent link: https://EconPapers.repec.org/RePEc:aer:wpaper:61989a81-0805-49a8-94c7-1ffaa9657e29

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