New opportunities opened up in the cooperation between Finland and Tanzania
Finland and Tanzania conducted negotiations regarding forms for development cooperation at the beginning of October. A decision was taken to continue processes proven to be good, and new opportunities opened up as well.
The negotiations for cooperation between Finland and Tanzania were held in Dar es Salaam on 7 October. The previous negotiations on cooperation were conducted in February 2005, and they lead to the signing of an Agreement on general terms and procedures for development co-operation laying down guidelines for the cooperation between the two countries.
The 2008 cooperation negotiations focused on development policy issues and the development cooperation between Finland and Tanzania. Preparatory work for the negotiations was done among other things within the framework of a meeting of interest groups organised by the Ministry for Foreign Affairs at the end of September. 40 officials including from the Ministry, involved in work on Tanzania or sharing an interest in matters related to it, attended the meeting. The meeting considered, among other things, a draft negotiation mandate elaborated by the Ministry.
The final agenda for the negations was agreed on in cooperation with the Tanzanians. The Finnish delegation was lead by Sirpa Mäenpää, Deputy Director General of the Department for Africa and the Middle East. Raili Jämsä-Uusitalo represented the Development Policy Committee. The Tanzanian delegation, for its part, was lead by Ramadhani Mussa Khijjah, Deputy Permanent Secretary to the Ministry of Finance.
Focus on the environment, agriculture and regional development
Forests and the environment, agriculture and bioenergy, and regional development were fixed as the thematic foci for the cooperation between Finland and Tanzania. The Tanzanians stressed the importance of extensive sectoral programmes funded in the form of general budget support as a good form of aid. In the years to come, Finland is not likely to grant more than15 million euros a year to Tanzania in the form of budget support.
Support to the sector of forestry will be continued within the framework of a new national forestry programme. When considering climate change, Tanzania expressed the wish that Finland would support the basket fund in the sector of agriculture.
In the negotiations it was noted that the first stage of implementation of the Sustainable Management of Land and Environment, SMOLE in Zanzibar is scheduled to end in June next year. A draft project has been elaborated on the second stage which, however, requires evaluation before a call for tenders can be launched.
As for regional development, it was noted that Finland has provided support for two sectoral programmes and that these programmes will continue to be supported. At the same time, it was confirmed that Finland will continue to co-chair a donor group involved in supporting local governance. Tanzania reported on the long-term cooperation pursued in the provinces of Mtwara and Lindi and on a District Economic and Social Empowerment Programme, DESEMP under preparation. Both parties concluded that the project document related to its implementation phase calls for thorough evaluation and modification. An open call for tenders for its evaluation as well as its implementation will have to be organized.
The use of the local cooperation appropriation also came up in the negotiations. Finland provides funding for projects owned by Tanzanian non-governmental organisations for a total of app. one million euros per year. The strategy for local cooperation is due to be revised by the end of 2008.
Finland expressed its reservations to Tanzania's plans to set up a Constituency Development Fund, CDF. Finland asked to be provided with supplementary information on plans for the Fund.
New opportunities in the cooperation between institutions
Both parties to the negotiations expressed their satisfaction with the initiative of the Tanzanian Ministry of Communications, Science and Technology to support the sector of information society. At the moment, the Finnish Funding Agency for Technology and Innovation is evaluating the impacts of Finland's new Institutional Cooperation Instrument on cooperation in the sector. Tanzania expressed the wish that Finland provide support for the development of a national identity card system as well.
In the negotiations, Tanzania stressed the importance of developing the Dar es Salaam electricity transmission and supply network; an application for funding is already under preparation. At the same time, Tanzania asked for support for buying mobile Wärtsilä generators to the countryside.
The negotiators asked Finland for support for strengthening Tanzania's local governance. Tanzania intends to present Finland with a specified proposal for upgrading the capacity of the personnel working for the Ministry of Finance. Further, there is a project to set up a new institute for sustainable development in Tanzania. Both parties to the negotiations considered this a good plan, and an open call for tenders for consultant participation can be launched. The Tanzanians proposed that the institute be placed under the University of Dar es Salaam.
Tanzania also recalled that the Convention Between Finland and Tanzania for the Avoidance of Double Taxation and the Prevention of Fiscal Evasion with Respect to Taxes on Income and on Capital should be updated to correspond to current legislation. Tanzania's representatives promised to provide Finland with a draft agreement regarding the matter.
The next cooperation negotiations will be scheduled when necessary.
Further information: Unit for Eastern and Western Africa, Second Secretary Matti Kiisseli, tel.: (09) 1605 6271, email: [email protected].