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Forum for the Future of Aid

Southern Voices for Change in the International Aid System Project

The Forum on the Future of Aid is an online community dedicated to research and opinions about how the international aid system currently works and where it should go next

organised by ODI

Aid, Industrialisation and Economic Development in Tanzania: Some New Ideas and Old Debates

Source: Economic and Social Research Foundation (ESRF), Tanzania

The topic of aid and development has dominated the international community and nation-states since the early 1970s. More recently, the subject has taken centre stage of the development debate in the light of the shift from bilateralism and multilateralism and the growing influence of globalisation which is increasingly eroding the role of aid in favour of investment. In the context of developing countries, like Tanzania, a debate has also emerged on what sector policy thrusts should underpin economic development. Should industrialisation take the lead of should agriculture continue to be the backbone of the economy? This policy dialogue paper attempts to address these topical isues from a historical and current perspective and identifies the challenges which confront Tanzania in the context of these issues and suggests the kind of policies and strategies that need to be adopted to address the identified challenges.

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