Dar es Salaam. Economists are advising the government to prioritise the optimisation of resources, foster an investment-friendly atmosphere, and reform policies and laws to combat poverty and bolster private sector expansion.
Speaking to The Citizen yesterday, the experts stressed the importance of undertaking structural reforms aimed at alleviating poverty and catalysing growth within the private sector.
Prof Semboja Haji Hatib, a seasoned economist who teaches at the University of Dar es Salaam and the State University of Zanzibar (Suza), emphasised the necessity for comprehensive transformational systems.
“All policies should prioritise the optimal utilisation of resources, which inherently diminishes poverty,” he said.
He further emphasised the need for transparency in government institutions, asserting that appointments should be based on merit rather than personal connections to ensure efficient resource management.
“Capable individuals should compete for top positions in public institutions so that they perform like the private sector,” he said, adding that those appointed due to personal connections, should not be expected to reduce and eliminate poverty.
Echoing similar sentiments, economics lecturer at Dar Es Salaam University College of Education (DUCE), Prof Abel Kinyondo, highlighted the disparity in benefits between sectors like telecommunications, mining, and infrastructure development, which predominantly benefit a select few, and sectors with larger employment potential being left underdeveloped.
“To combat this imbalance, we must bridge sectors with significant employment potential with those experiencing substantial growth to lift more individuals out of poverty,” said Prof Kinyondo.
Recognising the demographic dividend, he underscored the benefits of Tanzania’s youthful population, stressing the significance of providing them with essential skills for both self-employment and the job market to drive economic progress.
However, he said the population growth in Tanzania is more of an advantage than a disadvantage because Tanzania has a young population, which means it can equip them with skills and benefit the country in terms of human capital.
“If we equip these young people with skills for self-employment, it’s a solid reason for our country to make significant economic progress. But if our young people remain without skills, it could be even a bigger disaster,” he said.
He emphasised that what needs to be done is to link sectors with many people and those with good growth so that more people can benefit from them and move out of poverty.
“Even the review of laws and policies should consider this because the growth of various sectors in the country should improve the living standards of individuals,” he explained.
Economics lecturer at Sokoine University of Agriculture (SUA), Dr Chris Magomba, underscored the importance of implementing strategic structural reforms, particularly in sectors such as education, infrastructure, telecommunications, and energy, to reduce business costs, enhance connectivity, and attract private sector investments.
“We need a combination of structural reforms that can create an enabling environment for economic growth and development,” he said.
“We should also focus on promoting innovation and facilitating technology transfer, which can drive growth in sectors such as the digital economy and advanced manufacturing,” he added.
The executive director of the research think tank Repoa, Dr Donald Mmari, said to achieve these goals, investment environments need to change in the country by amending policies and laws to be more investor-friendly, both domestically and internationally.
“Investing in reforms that facilitate innovation and technology transfer is paramount for driving growth in emerging sectors like the digital economy and advanced manufacturing,” Dr Mmari said.
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Air Tanzania Banned From EU Airspace Due to Safety Concerns
Several airports have since locked Air Tanzania, dealing a severe blow to the Tanzanian national carrier that must now work overtime to regain its certification or go the wet lease way
The European Commission has announced the inclusion of Air Tanzania on the EU Air Safety List, effectively banning the airline from operating in European airspace.
The decision, made public on December 16, 2024, is based on safety concerns identified by the European Union Aviation Safety Agency (EASA), which also led to the denial of Air Tanzania’s application for a Third Country Operator (TCO) authorisation.
The Commission did not go into the specifics of the safety infringement but industry experts suggest it is possible that the airline could have flown its Airbus A220 well past its scheduled major checks, thus violating the airworthiness directives.
“The decision to include Air Tanzania in the EU Air Safety List underscores our unwavering commitment to ensuring the highest safety standards for passengers in Europe and worldwide,” said Apostolos Tzitzikostas, EU Commissioner for Sustainable Transport and Tourism.
“We strongly urge Air Tanzania to take swift and decisive action to address these safety issues. I have offered the Commission’s assistance to the Tanzanian authorities in enhancing Air Tanzania’s safety performance and achieving full compliance with international aviation standards.”
Air Tanzania has a mixed fleet of modern aircraft types including Boeing 787s, 737 Max jets, and Airbus A220s.
It has been flying the B787 Dreamliner to European destinations like Frankfurt in Germany and Athens in Greece and was looking to add London to its growing list with the A220.
But the ban not only scuppers the London dream but also has seen immediate ripple effect, with several airports – including regional like Kigali and continental – locking out Air Tanzania.
Tanzania operates KLM alongside the national carrier.
The European Commission said Air Tanzania may be permitted to exercise traffic rights by using wet-leased aircraft of an air carrier which is not subject to an operating ban, provided that the relevant safety standards are complied with.
A wet lease is where an airline pays to use an aircraft with a crew, fuel, and insurance all provided by the leasing company at a fee.
Two more to the list
The EU Air Safety List, maintained to ensure passenger safety, is updated periodically based on recommendations from the EU Air Safety Committee.
The latest revision, which followed a meeting of aviation safety experts in Brussels from November 19 to 21, 2024, now includes 129 airlines.
Of these, 100 are certified in 15 states where aviation oversight is deemed insufficient, and 29 are individual airlines with significant safety deficiencies.
Alongside Air Tanzania, other banned carriers include Air Zimbabwe (Zimbabwe), Avior Airlines (Venezuela), and Iran Aseman Airlines (Iran).
Commenting on the broader implications of the list, Tzitzikostas stated, “Our priority remains the safety of every traveler who relies on air transport. We urge all affected airlines to take these bans seriously and work collaboratively with international bodies to resolve the identified issues.”
In a positive development, Pakistan International Airlines (PIA) has been cleared to resume operations in the EU following a four-year suspension. The ban, which began in 2020, was lifted after substantial improvements in safety performance and oversight by PIA and the Pakistan Civil Aviation Authority (PCAA).
“Since the TCO Authorisation was suspended, PIA and PCAA have made remarkable progress in enhancing safety standards,” noted Tzitzikostas. “This demonstrates that safety issues can be resolved through determination and cooperation.”
Another Pakistani airline, Airblue Limited, has also received EASA’s TCO authorisation.
Decisions to include or exclude airlines from the EU Air Safety List are based on rigorous evaluations of international safety standards, particularly those established by the International Civil Aviation Organization (ICAO).
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The process involves thorough review and consultation among EU Member State aviation safety experts, with oversight from the European Commission and support from EASA.
“Where an airline currently on the list believes it complies with the required safety standards, it can request a reassessment,” explained Tzitzikostas. “Our goal is not to penalize but to ensure safety compliance globally.”
Airlines listed on the EU Air Safety List face significant challenges to their international operations, as the bans highlight shortcomings in safety oversight by their home regulatory authorities.
For Air Tanzania, this inclusion signals an urgent need for reform within Tanzania’s aviation sector to address these deficiencies and align with global standards.
The path forward will require immediate and sustained efforts to rectify safety concerns and regain access to one of the world’s most critical aviation markets.
Source: allafrica.com
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