CHANGE OF TONE ON THE PRIVATE SECTOR WELCOME

President John Magufuli yesterday chaired the 11th Tanzania National Business Council meeting at State House, which indicated the government’s new determination to usher in a new era in its relations with the private sector. The first indication of the new vigour in relations between the two crucial partners was reflected by the manner President Magufuli conducted the meeting.

He shunned protocol and gave members of the business community an opportunity to air their concerns for more than five hours. He also promised to provide the business community with feedback within one week.

The new direction that was evident in yesterday’s meeting is a welcome relief as it comes at a time when many companies have been registering losses, laying off workers and reducing their capital investments due to what they say is an unfriendly business environment. We commend the government’s new directives on taxes. Yesterday, President Magufuli castigated some “unprofessional” tax collectors for harassing businessmen, with the Head of State categorically saying that he never sent any tax collector to harass businesspeople.

He went further and issued an amnesty of sorts to businesspeople and companies with unpaid tax bills. He urged TRA and the Ministry of Finance to find ways of minimising tax bills for businesses that had failed to pay taxes in the past to avoid sending them into bankruptcy.

We also commend President Magufuli because the tone he set yesterday reaffirms the importance of the private sector to the economy of the country.

However, most of concerns that were raised by the private sector did not have to wait for an annual meeting. This, sadly, shows that not only is service delivery of many state agencies wanting, but also that they do not have a system of receiving and addressing concerns of their clients on a daily basis. This should now end for the betterment of the private sector.