Tanzania: Field Report

Sarah Lucas
May 2006
Download the full text version of the field report (PDF, 89KB)

Tanzania is rather unique among MCA countries. It is one of just two countries currently receiving support under the MCA’s Threshold Program and, at the same time, developing a proposal for full MCA Compact funding. Under the Threshold Program, Tanzania is implementing an $11 million program to combat corruption. For full Compact funding, for which it first became eligible in 2006, Tanzania is designing a proposal targeted at infrastructure in the water, transportation and energy sectors.

It may have been a blessing in disguise that the country didn’t make the cut for the full Compact program in the first two years. As a third-round country, Tanzania stands to benefit from the lessons learned by the MCC and recipient countries in the early rounds. These are the early days of Compact proposal design for Tanzania--an opportune time to see what lessons about early engagement the MCC is applying in the third round.

This field report briefly describes Tanzania's current status with the MCA. It then focuses on what is going right in the early stages of Tanzania's Compact development process, and identifies some challenges that lie ahead. The report concludes with a look at major issues for MCA policy and practice that emerge from the Tanzania experience but are clearly echoed in a number of other countries.

A lot is going right in Tanzania. The MCC is applying lessons learned in its first two years, leading to improvements in:

• balancing country ownership with meaningful guidance;
• coordinating with other donors; and
• building on existing country strategies.

Potential challenges in the Tanzania proposal process include:

• balancing efficiency and thorough consultation;
• making tough choices about what to fund; and
• creating incentives for policy reform.

While the process overall has gone well, the Tanzania experience suggests that the MCC would benefit from better definition and articulation of its approach to:

• the relationship between the MCC and USAID;
• the relationship between the Threshold and Compact programs;
• MCC's approach to consultation;
• MCC's approach to investments in infrastructure; and
• innovation in the MCC model.

Next Section: Current Status: Separate MCA Structures

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MCA Monitor Reports from the Field are a snapshot in time, on-the-ground assessment of the MCA process. The Tanzania Report from the Field is based on a field visit and interviews conducted in mid-May, including interviews with MCC staff in Washington. Subsequent MCC missions occurred in late May and June which may have addressed some of the issues raised in this report. The author wishes to recognize the substantive contribution of Jonathon Kass and Sheila Herrling in the preparation of this report.