Transcript PROGRAMU YA BEST:SHERIA NA TARATIBU BORA

Business
Environment
Strengthening
Programme for
Tanzania (BEST)
Brief on BEST Programme
The Better Regulation Unit, (BRU),
MPEE
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BACKGROUND
 Tanzania has gone a long way to
empower its people
 Private Sector has been identified as
engine for economic growth
 Investment climate reforms popular
among African countries as a means
of attracting investments
 Cost of doing business are declining,
 BUT still high, THEFORE more need to
be done to fully address regulatory
constraints AND unleash Tanzanian
Economic potential
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COST OF DOING BUSINESS
 According to the Doing Business
Report for 2007 and 2008
 Tanzania ranked 142 out of 175 counties on ease of
doing business and rated among ten (10) best
reformers
 Cost of starting a business is 91.6 % of GNP per capita
 No African countries rank in the top 25 – South Africa
stands at the 29th position in ranking of countries in
ease of doing business
 According to the diagnostic Report of
the Formalization of Property Rights,
September, 2005
 there are 10 stages, 103 steps, its 379 days and cost US$
5506 to register a business
- there are 5 stages, 74 steps, its 1286 days and cost
US$1022 to collect a debt
 there are 9 stages, 92 steps, its 390 days and cost
US$11964 to register a business (legally incorporate a
Private Coy)
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WHY BUSINESS REGULATORY REFROMS?
 A conducive regulatory environment is among key
economic growth drivers needed to spur growth of
businesses both small and large in rural and urban
areas towards the full development of the private
sector SO AS TO FACILITATE the following:
Easy entry and exit to Business
More Formalized Businesses especially SMEs
Access to Finance
Timely and amicable resolution of Commercial
Disputes
 Reduced Business risk and lower cost of borrowing
Control
 Employment Creation and income generation
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WHO IS MORE CONSTRAINED?
 Proportionately SMEs are more
constrained by regulatory and
administrative constraints than big
businesses (Business Licensing, Land
Laws, Labour laws, Taxation,
Commercial justice laws, etc).
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WHAT IS THE BEST
PROGRAMME?
 BEST is a GoT’s cross cutting programme
aimed at improving the business
environment by reducing the legal and
regulatory burdens and improving
service delivery to the Private Sector, and
thus
. Best Programme aim to achieve broad
based (MKUKUTA) objective of growth
and reduction of income poverty
 Contribute to Private Sector enhancement
in, economic growth, job creation and
poverty reduction
 Potential shared growth for majority in
Agriculture, tourism and natural recourses
exploitation.
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WHAT ARE THE REFORM AREAS?
The Programme is Divided into the Following
Reform Areas/Components:
. Business entry, regulation and exit
The objective of this component is to ensure that the business entry
and exist national wide is low cost, fast and efficient. Output include
- The establishment of one stop fast and lower cost business
registration system which is linked to other registries
- Modernized birth, death and insolvency registration services
and
registration information that is safeguards and easily retrievable
- Establishment of a transparent and efficient business licensing
regime.
. Land Law Reform
- The objective of this component is the establishment of an efficient
land market with accurate land information, efficient land
registration, and land dispute resolution
- The establishment of legal and institutional framework
- The establishment of an efficient land registration and information
- Establishment of effective surveying and mapping infrastructure
- Affective resolution of land disputes
- Formalization of Unplanned urban settlements
- Implementation of village land act N0. 5 of 1999
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Commercial dispute resolution
 The objective of this component is to reduce the cost
and time taken to process and resolve commercial
disputes and strengthen the delivery of commercial
justice. Output include:
- Enhanced access to commercial court
- Access to commercial court enhanced
- Adoption of the reforms to the civil justice system
-Modernized delivery of civil justice
-Continued legal education supported
-Tanganyika law society supported to become an
effective advocacy, representative and regulatory
organization for lawyers in Tanzania
-Performance of commercial dispute resolution
implementers is enhanced through capacity
building
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Labour Law reform
 The objective of this Component is to
introduce an efficient , flexible and
socially responsible labour market.
The reform address the need for
greater enterprise growth and job
creation, and higher productivity
through the promotion of core
employment standards and
workplace harmony.
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Strengthening the Tanzania
Investment centre
 The component aim at to strengthen
the TIC to attract new investment
and to maximize its impact on the
economy. Output include:
 An effective TIC website and targeted
marketing activities
 Delivery of targeted investment
promotion strategy
 Existing investors are supported to
expand investment and develop local
suppliers network
 Sites and buildings which meet
investors needs are being promoted
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Best programme and institutional
support
 Support will focus on strengthening
the BRUs role as a coordinating and
supporting unit to implementing
Ministries and departments.
 Best Zanzibar
 The programme fund has been
allocated to strengthen the
regulatory environment for business
in Zanzibar with similar output as in
Tanzania Mainland
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BEST advocacy
 This addresses the need to enhance the
quality and credibility of private sector
organizations to engage effectively in
public/private dialogue , and to
advocate effectively for improvement in
the business environment in Tanzania
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ROLES OF THE MDAs
 Each MDAs has the primary
responsibility for reform activities
that fall under their portfolio
 Sign MoU WITH MPEE& implement
the reforms based on rolling 2 yrs
work plan and Procurement plan
 Account and request for fund
replenishment in accordance to BEST
financial guidelines.
 Produce quarterly reports to BRU
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BEST Programme
Achievements
 Key administration improvements in overall programme
management have been implemented within BRU
 incorporation of Regulatory Impact Assessment into Tanzania's
law and policy making processes has been formally approved by
Permanent Secretaries, MPs and the Office of the Cabinet
Secretariat, widespread training and awareness activities have
taken place, and introductory training capacity in RIA has been
built in a local training institution;
 a new Business Activities Registration Act was enacted in January
2007 repealing the outdated Business Licensing Act and setting
the stage for the implementation of a nation-wide one-stop low
cost and efficient business startup regime;
 a diagnostic study on sectoral licensing in Tanzania was
completed in 2006, a first draft stakehoIders' consultation paper
on business licensing reforms has been prepared and widely
distributed, a business licensing reform study tour to Kenya has
taken place, and a first draft policy paper is in the course of being
drafted by a technical working group on licensing reform;
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BEST Programme
Achievements Cont…….
 the Tanzania Investment Centre's Corporate plan was
drafted and presents a focused approach to investment
promotion which is complimented by detailed activities;
 Under the land component, mortgage regulations and
Bills to regulate land markets and the real estate agency
and valuation professions have been drafted. Work on
clearance of a backlog of cases on resolution of land
disputes has also been initiated and procurement is
underway in relation to a large number of land related
assignments and provision of goods;
 The Commercial Court has commenced its expansion to
Mwanza, and is in the course of upgrading its case
management software, purchasing video conferencing g –
facilities, establ ishing a training plan of its staff and
organizing an African Commercial Courts' conference.
Extensive stakeholder consultations have taken place on
the Law Reform Commission's Position Paper on Civil
Justice reforms. These are expected to-set the stage for
extensive amendments to the Civil Procedure Code,
Advocates Act and other laws making up the "Civil Justice
System," and modernisation of court administration
through, among other things, the use of information
technology.
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CONCLUSION
 It is our expectation that at the end
of the programme the business
environment in Tanzania will be
conducive: The costs for doing
businesses will be lowered and
therefore they will operate profitably,
be able to generate more income to
get rid of poverty.
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Asanteni sana kwa
kunisikiliza
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