MPs hit at govt over economy, Dar port slump

Dodoma. MPs yesterday voiced their concern about what they said were economic hardships, drop in cargo volume at Dar es Salaam Port and sluggish implementation of key development projects.

Debating the 2017/18 Budget Framework Plan and National Development Plan tabled in Parliament on Tuesday, MPs from across the political divide urged the government to take urgent measures to turn the situation around.

They said while the government was telling Tanzanians the economy was growing at an impressive rate, the situation on the ground did not reflect the numbers.

Mr Ahmed Salum (Solwa-CCM) said the effects were already being felt in the finance sector, with one of the biggest banks in the country, CRDB, declaring a quarterly loss and control of Twiga Bancorp being taken over by the Bank of Tanzania (BoT).

“One of the reasons for this is the new policy of depositing parastatal funds with BoT. State-owned entities should be allowed to bank with private financial institutions as this will, in turn, enable the banks to flourish and issue loans to the private sector,” he said, adding that the government should also pay its domestic debts so that money could circulate and stimulate economic growth.

Dr Raphael Chegeni (Busega-CCM) said what the people wanted was prosperity and not empty rhetoric.

“The economy may be growing, but there is no trickle-down effect. Numbers mean nothing if people don’t reap the fruits of economic growth.”

Mr Deo Sanga (Makambako-CCM) said the Fifth Phase government started on a sound footing by reducing unnecessary government expenditure, cracking down on corruption and boosting revenue collection, adding that now was the time for money to be poured into development projects.

Dar es Salaam Port

MPs said traders from neighbouring countries, particularly the Democratic Republic of Congo (DRC), had abandoned Dar es Salaam Port, leading to a sharp drop in cargo volumes.

They added that traders stopped using the port after the government began taxing on behalf of the DRC cargo destined for the central African nation.

“Why should we concern ourselves with DRC’s revenue affairs? That’s not our problem...we should only handle cargo here and let the DRC government collect revenue within its borders. DRC traders have switched to Mombasa and Beira ports, and we are losing business as a result,” said Mr Hussein Bashe (Nzega Urban-CCM).

Mr Khatib Said Haji (Konde-CUF) said the drop in cargo had a multiplier effects on thousands of Tanzanians who depended directly and indirectly on the transport business.

“Transit cargo trucks are now lying idle... their owners are no longer making money...they are no longer servicing their bank loans. Truck drivers are jobless and their families are suffering. Business is bad for food vendors and garages along the highways used by these trucks. Traders selling spare parts are also feeling the pinch.”

Mr Haji added: “Why should we continue to suffer like this for the sake of the DRC’s government. Let them fix their revenue collection systems just like we are currently doing with ours.”

Development projects

MPs also spoke out against what they said was the government’s tendency to list the same projects in its development plans every year without implementing them.

Mr Sixtus Mapunda (Mbinga Urban-CCM) said the Mchuchuma coal and Liganga iron ore projects had repeatedly featured in government plans since 2007, but nothing tangible had been achieved almost a decade later.

“This is unacceptable...we’ve had enough of these endless stories. We now want to see action and results...it’s not enough just to mention these projects. We should implement them.”

Communication breakdown

MPs also said the various ministries and state agencies were not reading from the same script.

Mr Zitto Kabwe (Kigoma Urban-ACT-Wazalendo) said while the Minister of State in the President’s Office (Good Governance and Public Service), Ms Angellah Kairuki, said recently that the government was saving Sh 19 billion each month after removing ghost workers from the public payroll, BoT data for August showed that the government wage bill had increased from Sh456 billion in June 2015 to Sh534 billion in June 2016.

“This is a Sh78 billion increase, and yet we are told that we no longer have ghost workers, there has been no salary increments and no new employment. There’s someone who is lying here. This ghost workers story is a public relations stunt,” he said.

Lawmakers also said Finance and Planning minister Philip Mpango routinely ignored their suggestions, with Dr Chegeni accusing him of “professional arrogance”.

Mr John Heche (Tarime-Chadema) said Dr Mpango should be humble as he could be sacked any time.