the united republic of tanzania

Transcription

THE UNITED REPUBLIC OF TANZANIA
PRIME MINISTER’S OFFICE
Government Roadmap on the
Improvement of the Investment
Climate in Tanzania
Dar es Salaam – JUNE, 2013
ROADMAP FOR IMPROVING THE INVESTMENT AND BUSINESS ENVIRONMENT IN
TANZANIA (STATUS OF IMPLEMENTATION)
On 1st July 2010 the Government made a formal decision for the implementation of the Roadmap for Improving the Investment and Business
Environment in Tanzania. The Roadmap is an expansive program encompassing business related regulatory regime reforms across the
economy. The matrix below presents the status of implementation of Roadmap on the Improvement of the Investment and Business
Environment in Tanzania for the period ending JUNE, 2013.
1.0
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STARTING BUSINESS: MINISTRY OF INDUSTRY AND TRADE
PROCEDURE
MANDATE FOR
COMPLIANCE
PROBLEMS AND
CHALLENGES
GOVERNMENT
DECISION
STATUS
OUTCOME
Short-term
Computerize and deliver
business name clearance
online.
Accept the Task Team’s
recommendation and target to
reduce search time to less
than one hour through on the
spot service from March
2010.
Companies and business names data
capture process has been completed and
search for companies / business names
now available on BRELA’s website. All
names have been uploaded and are being
updated on weekly basis. This is a
continous process.
Taxonomy
of
acceptable
names
also on website.
QUICK WINS REFORMS FOR IMMEDIATE IMPLEMENTATION
1
Company
Name
clearance
applications
Name clearance is
done manually for
names which are not
in the electronic
database
and
electronically for the
names already in the
database.
Implementors: MIT /
BRELA
Direct Banking System:
All of the Company
and Business names
are now available on
the
website
Also the law provides for reservation of (www.brela-tz.org);
business name for 60 days.
about
212,443
customers
have
visited the website
to 31ST MAY 2013.
BRELA has opted to join other
Government institutions to use electronic
banking facility where customers will be
able to pay fees directly to the designated
banks. This arrangement has not started as
1
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PROCEDURE
MANDATE FOR
COMPLIANCE
PROBLEMS AND
CHALLENGES
GOVERNMENT
DECISION
Digitization of Companies
and business names registries:
STATUS
OUTCOME
planned due to delay of permission for
opening new bank accounts from the
Ministry of Finance and updating internet
banking system. the banks expectd NMB
and CRDB;
Digitization of Companies and Business
Names is complete already: for Company
registry: 88,747 files and for Business
Names registry: 186,848 files.
TCCIA have already
begun the process of
registration
of
Business
Names
since
December,
2012. Till now,
TCCIA have helped
to regester about 336
business names.
For the past six
months from March
to June 2013; the
regular registration
baseline assessment
has shown that
registration
of
companies and takes
an average of 3 days
and business names
1 – 3 days.
BRELA has already employed 5 people
who will be involved in the continous
process of updating the system, scanning
and indexing the current files.
Miscellenious
Ammendments:
2
Inspection of
Business
Premises
by
Land
and
Town Planning
Transport
to
inspection sites
should
be
provided by the
government.
Inspection by Land
and Town Planning
Officers contributes
to delays. Lack of
transport
facilities
Town planning inspection
is
important
for
environmental protection
reasons and should be
carried out by respective
Business
Laws
(Miscellenious
Ammendment) Act, 2011 was brought for
Public Hearing during November 2011;
and by April, 2012, the Bill was passed by
Parliament. The Act has involved
amendments of the following acts;
1. Business Names (Registration) Act
(Cap. 213)
2. Companies Act (Cap 212) of 2002
3. Tanzania
Trade
Development
Authority Act (Cap 155)
4. Merchandise Act (Cap 85)
Health and town planning requirement
prior issuance of a business license has
been delinked. This means health officers
and town planning are supposed to inspect
business and make sure that all business
Reduction
of
Procedures
for
obtaining a business
license
2
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PROCEDURE
Officers
Inspection of
Premises
by
Health Officer
MANDATE FOR
COMPLIANCE
PROBLEMS AND
CHALLENGES
for
inspection
officers leads to
delays in the process
and weakens officers
independence
in
decision making
Inspections of
business premises by
Health Officer are
undertaken
GOVERNMENT
DECISION
STATUS
authorities
accordingly.
However, Town Planning
permits should not be
prerequisite to obtaining
Business Licences except
for
specific
regulated
business for environmental
protection purposes.
abide to their mandated laws
For regulated businesses,
town planning inspection
undertaken in advance of
registration and /or regulatory
licensing is important and
should be carried out by
respective
authorities
accordingly.
LGAs to identify sustainable
mechanism
to
ensure
monitoring
of
business
activities with regard to town
planning in
line
with
regulatory
licensing
objectives.
Transport to inspection sites
shall be provided by the
Government
Implementors:
MIT/BRELA, PMO.
TCCIA have already begun the process of
registration of Business Names since
December, 2012. Till now, TCCIA have
helped to regester about 336 business
names.
i.
Health inspection
is important and
should be carried
out by respective
OUTCOME
BRELA has intended to decentralize its
services for initial stages of Business
Names registration and Company
incorporation processes by using TCCIA
officials who are located in various
regions across the country.
Ministry of Industries and Trade (MIT) by
cooperating with Prime Minister’s Office
– Regional Administration and Local
Government (PMO – RALG) has been
Reduction
of
Procedures
for
obtaining
a
business license.
3
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PROCEDURE
MANDATE FOR
COMPLIANCE
PROBLEMS AND
CHALLENGES
GOVERNMENT
DECISION
separately from
inspections by Town
and Land Officers
and contribute to
delays.
authorities
accordingly
in
such a way that it
is delinked from
licensing and is
not a pre-requisite
for
obtaining
Business Licences.
Amendmet
of
Business License
Application form
TFN 211 will be
undertaken.
ii.
For regulated
businesses, health
inspection is a
prerequisite and shall
be carried out by
mandated statutory
authorities
accordingly. For
non-regulated
business it shall be
undertaken as part of
routine government
functions delinked
from the business
licensing and
registration process.
iii.
LGAs to identify
sustainable
mechanism to ensure
STATUS
OUTCOME
able to remove the mandate of inspections
by Health and Town Planning Officers as
a prerequisite of obtaining Business
Licenses. Now health inspection and town
planning for un-regulated businesses is
done separately and outside the business
licensing and registration procedures.
BRELA has intended to decentralize its
services for initial stages of Business
Names registration and Company
incorporation processes by using TCCIA
officials who are located in various
regions across the country. Till now,
TCCIA have helped to regester about 336
business names.
4
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PROCEDURE
MANDATE FOR
COMPLIANCE
PROBLEMS AND
CHALLENGES
GOVERNMENT
DECISION
STATUS
OUTCOME
monitoring of
business activities
with regard to health.
Implementors: MIT / PMORALG & LGAs
3
Apply
and
receive
Business
License from
Regional Trade
Officer
Business
Licensing Act No.
25 of 1972
Inadequate
supplies
of
application licence
books.
Inadequate
and
cumbersome
application forms.
Improve capacity of the
Government Printer or
eliminate the existing
monopoly in printing of
application forms and licence
books
The Task Force recommends
adequate supply and timely
delivery of Licence books to
LGAs
Upload Business Licence
Application Forms on the
Ministry’s website
Business
Licensing Act No.
25 of 1972
(i) Weak
link
between MIT,
Regional
Offices
and
LGAs
and
delays
in
approving
business
licenses by the
Review
of
Business
Activities
Registration Act, 2007, to accommodate
administrative cost for collection of
license fee and the mandate of the
Minister for Finance which was done in
June, 2011. However, the amendments
did not address all required amendments.
In January 2012, the team consisting of
MIT, MoF, PMO-RALG and AGC as
well as PMO worked on the required
amendments. The amended Act has now
been forwarded to the IMTC and
awaiting for the Capinet Secretariet
approval on the rate of lince fees
proposed.
Implementors: PMORALG, MIT
i. Linkage between MIT, i.
Regional Secretariats and
LGAs
should
be
strengthened to ensure
smooth business start-up. ii.
MIT is implementing all industry and
trade sector policies at LGA level in
collaboration with PMO-RALG.
Appointment of Trade Officers to be a
Licensing Authority is underway
ii. MIT should liaise with
all LGAs to make sure
that
applicants for
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PROCEDURE
MANDATE FOR
COMPLIANCE
PROBLEMS AND
CHALLENGES
LGAs
(ii) Resistance to
change
by
District
Councillors (a
feeling
that
they are not
being involved
in the process
of
decisionmaking
in
issuing
business
licences and
loss
of
personal
income)
GOVERNMENT
DECISION
STATUS
OUTCOME
business licences who
meet legal requirements
should be issued with
licences
immediately
followed with reporting
to
the
Licensing
Committee. The Minister
should issue a directive to
authorise Trade Officers
to be a Licensing
Authority in lieu of a
committee (See section 6
(1) Business Licensing
Act)
iii. Create awareness
amongst Councillors and
other LGA officials on
new licensing systems i.e.
implementation of BARA
and National Regulatory
Licensing Policy and
related reforms as part of
introductory measures for
implementation.
Implementors: MIT /
BRELA and PMO-RALG
4
Apply for
Taxpayer
Identification
Number (TIN)
Consolidate application form It was agreed that TRA to issue TIN at
Both TIN and PAYE to include both TIN and BRELA along with incorporation
are applied separately PAYE.
registration certificates: TRA officer will
be physically situated at BRELA who
6
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PROCEDURE
MANDATE FOR
COMPLIANCE
PROBLEMS AND
CHALLENGES
GOVERNMENT
DECISION
STATUS
Implementors: MOF / TRA
would be issuing TIN.
Issuence of TIN along with
companies and business
names certificates.
Taxpayer Identification Number (TIN) is
a unique number for taxpayer regisrtaion
at commencement of business. TIN is not
issued for tax type. Application for TIN is
done online since July, 2010 through
TRA website: www.tra.go.tz/index.php
OUTCOME
TIN and PAYE particulars are in one
form. TIN application forms requests
number of staff employed.
PAYE calculator is available on line, and
tax rates and salary bands are stipulated in
the website.
At the moment due to over generated
numbers of TIN; TRA is using biometric
finger capturing device known as AFIS
(Automatic Finger Sysstem) in order to
clear out the multiplicity of TIN.
5
Apply for VAT
certificate with
TRA
Time spent for VAT
processing/applicatio
n
Reduce the number of days
from four to two days for
VAT application processing.
Implementors: MOF / TRA
Currently TRA takes two (2) working
days to process VAT application.
VAT registration is done online and
number is system generated, can be
obtained in the same day, but getting
certificate takes only 2 days
7
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PROCEDURE
MANDATE FOR
COMPLIANCE
PROBLEMS AND
CHALLENGES
GOVERNMENT
DECISION
STATUS
OUTCOME
MEDIUM-TERM MEASURES (REQUIRES FURTHER ANALYSIS THAT CAN BE ACCOMPLISH WITHIN 6 MONTHS)
6
Filing of an
application for
incorporation
of a Local
company
i. Filing process is Computerization of
done
manually BRELA operations
and offline.
and provision of
online registration
services.
ii. Evidence
Act
does not permit
admissibility of
electronically
generated
documents
iii. Ignorance
of
registration
procedures
to
local investors.
iv.
BRELA contracted MFI Company in
December, 2010 to scan and index BRELA’s
registries paper records with the purpose of
being accessible electronically as well as to
facilitate searching and easy retrieval of file
documents whenever needed. The MFI started
working since May, 2011 and by May 2012;
BRELA has confirmed that all registry backlog
have already been scanned and indexed.
registry: 88,747 files and for Business Names
registry: 186,848 files. BRELA has employed
5 people who will be involved in the continous
process of updating the system, scanning and
indexing the current files.
Cumbersome
administration of
multiple
fees:
registration
fee,
filing fees and
8
S/
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PROCEDURE
MANDATE FOR
COMPLIANCE
PROBLEMS AND
CHALLENGES
stamp duty which
are not uniform and
nonaccommodative to
all stakeholders
GOVERNMENT
DECISION
STATUS
OUTCOME
Amend Evidence
Act to allow use of
electronically
generated
documents to be
admissible in court
of laws.
Amend payment
schedules of the
Companies Act
to
address
administration of
multiple fees.
Encourage use of
professional
services
and
intensify
sensitisation
and
outreach
programme
on
adhererence
to
BRELAS’s
guidance available
on line
Further work is
required on:
(i) Current
applicability
of electronic
9
S/
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PROCEDURE
MANDATE FOR
COMPLIANCE
PROBLEMS AND
CHALLENGES
GOVERNMENT
DECISION
STATUS
OUTCOME
evidence
under the
Evidence Act
i.e. amend
the Act to
provide for
acceptance of
electronic
evidence;
(ii) Amendment
of payment
schedules;
(iii) Timeframe
for
computerizati
on of
BRELA
system and
its impact.
(iv) Unnecessary
use of
professional
Business
Development
Service
providers for
compliance
requirements
leads to costs
and negate
the objective
of low-cost
business start
up
10
S/
N
PROCEDURE
MANDATE FOR
COMPLIANCE
PROBLEMS AND
CHALLENGES
GOVERNMENT
DECISION
procedures.
Consider
alternatives
of providing
business
start-up
support
service
(information)
as part of
BARA
implementati
on
institutional
framework.
Implementors:
MIT / BRELA
BRELA be assisted
to secure suitable
plot with a building
to be rehabilitate
for Front office and
other needs.
Lack of appropriate
office accommodation
for BRELA Front
Offices to deliver
client services
Limited
resources
(personnel
and
Implementors:
material resources)
MIT / BRELA
STATUS

A plot for BRELA building was
acquired in August 2012 at Ada Estate,
Kinondoni; Dar es Salaam.

Transfer of owenership from the seller
to BRELA was done.

Land use change from residential to
public offices; Kinondoni Municipal
Council has accepted the request and
forwarded to the Ministry of Lands for
approval on 2nd February 2012

Procurement of the consultant for
architectural design and construction
supervision for the BRELA building is
OUTCOME
11
S/
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PROCEDURE
MANDATE FOR
COMPLIANCE
PROBLEMS AND
CHALLENGES
GOVERNMENT
DECISION
STATUS
OUTCOME
already complete.

The new offices will consider the “One
Stop Centre”concept as an objective to deliver
efficient and transparent services.
Apply
and
receive
Business
License from
Regional Trade
Officer
Business Licensing
Act No. 25 of 1972
and 64 Sector
Regulatory
Licensing Laws
and corresponding
Regulations
Duplication
of
licenses (regulatory
license and general
business licenses )
Simplification and
harmonization of
65
Sectoral
Regulatory
Licensing
Legislation
and
corresponding
Regulatory
Licenses
and
delinkage
from
business licensing
Implementatoin of
BARA and review
of 64 Regulatory
Licensing statutes
should commence
immediately
subject to the
following
provisions:
i.
First, that
all
bureaucratic
impediments and
administrative
burdens
that
prevail in the
Business Activities
Registration Act,
2007, should be
eliminated
immediately;
ii.
BRELA to
consult
with
MKURABITA
who
are
also
working on a
simplified business
Review of Business Activities Registration
Act, 2007, to accommodate administrative
cost for collection of license fee and the
mandate of the Minister for Finance which
was done in June, 2011. However, the
amendments did not address all required
amendments. In January 2012, the team
consisting of MIT, MoF, PMO-RALG and
AGC as well as PMO worked on the required
amendments. The amended Act has now been
forwarded to the IMTC and awaiting for the
Capinet Secretariet approval on the rate of
lince fees proposed.
The
draft
Ministerial
Order
for
operationalization of BARA was approved by
the Attorney General’s Chambers in June
2011.
12
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PROCEDURE
MANDATE FOR
COMPLIANCE
PROBLEMS AND
CHALLENGES
GOVERNMENT
DECISION
STATUS
OUTCOME
activities
registration system
as an instrument
for
business
formalization for
the purpose of
coordination
of
implementation.
iii.
The
objective of a “one
stop centre” for
business
registration
is
transparency in the
procedures.
To
enhance
transparency, the
construction
of
business registries
should
be
modelled on open
customer
care
services halls /
facilities.
iv.
Review of
the 65 Regulatory
Licenses Statutes
should commence
immediately
so
that
recommendations
for reforms and
requisite changes
13
S/
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PROCEDURE
MANDATE FOR
COMPLIANCE
PROBLEMS AND
CHALLENGES
GOVERNMENT
DECISION
STATUS
OUTCOME
will be submitted
to
Parliament
during
the
March/April, 2011
Session.
7
Filing of an
application for
a registration
of
Foreign
company
Registration process
is done manually.
Implementors:
MIT / BARA;
PMO-RALG
&LGAs; and Sector
Regulatory
Licensing
Authorities
Computerization
of
BRELA’
Registry
operations and
offering services
online. Further
work required be
expedited
in
following areas:
(i) Current
applicability
of electronic
evidence
under the
Evidence
Act;
(ii) Amendment
of payment
schedules;
and
registry: 88,747 files and for Business Names
registry: 186,848 files.
BRELA has already employed 5 people who
will be involved in the continous process of
updating the system, scanning and indexing the
current files.
14
S/
N
PROCEDURE
MANDATE FOR
COMPLIANCE
PROBLEMS AND
CHALLENGES
GOVERNMENT
DECISION
STATUS
OUTCOME
(iii) Timeframe
for
computerizati
on of BRELA
operations.
Implementors:
MIT / BRELA
LONGER-TERM MEASURES: REQUIRES POLICY AND STATUTORY REVIEWS
8
9
Register for
workers
compensation
insurance at the
NIC or other
alternative
insurance
police
Obtain
registration
number at the
NSSF
Long-term
Measure.
NSSF getting
specified
information directly
from BRELA /
NIDA / RITA
Electronic
Databases.
Long term
measure:
NSSF getting
specified
information directly
from BRELA /
NIDA / RITA
electronic
Databases.
Implementors:
MOHA (NIDA) /
MOCLA (RITA);
and MIT (BRELA)
Modernization of civil registries under
BRELA, RITA and NIDA has started.
BRELA contracted MFI company in
December, 2010 to digitize BRELA paper
records. Scanning and Indexing of the paper
records is going on.
15
2.0
S/
N
PROCEDURE
DEALING WITH CONSTRUCTION PERMIT: PRIME MINISTER’S OFFICE, REGIONAL
ADMINISTRATION AND LOCAL GOVERNMENT
COMPLIANCE
MANDATE
BOTTLENECK/P
ROBLEMS
GOVERNMENT
DECISION
STATUS
OUTCOME
QUICK-WIN REFORMS FOR IMMEDIATE IMPLEMENTATION
1
Obtain
Location/site plan
from
MLHHSD/LGAs
Statutory

Centralizati  Prepare enough copies
on of all survey
of survey plans and
plans in MLHHSD
distribute to LGAs

Inadequate
 Decentralization of
accessibility of
survey plans record
survey plans and
keeping at Zonal and
poor record keeping
LGAs
 Digitization of all
survey plans
Implementors:
MLHHSD; PMO-RALG
and LGAs
The MLHHSD prepares two copies for
the LGAs; and it is the responsibility of
each LGA to prepare enough copies
according to their local demand.
The MLHHSD at the moment is
constrained with non-availability of the
printing machine, and hence the ministry
has opted to outsource this service from
outside the country. This has limited the
availability of enough survey plans
copies.
The process of Decentralization of survey
plans is underway by appointing of the
four (4) Zonal Offices located at Mwanza,
Moshi, Dodoma and Mtwara for record
keeping.
In order to grant easy accessibility of all
survey plans, the MLHHSD has opted for
digitizing of all the survey plans. This
will automatically remove the need of the
ministry to print sepia and ammonia
copies for the LGAs and instead all the
survey information will be readily
available for anyone with accessibility.
16
S/
N
PROCEDURE
COMPLIANCE
MANDATE
BOTTLENECK/P
ROBLEMS
GOVERNMENT
DECISION
STATUS
OUTCOME
However, the MLHHSD is working with
the recommendations for amending of the
law that will allow Regional Surveyors to
be empowered to issue “approval” of the
survey plans is on the process.
2.
Obtain certified
copy of the land
rent receipts from
the Internal
Revenue
Authority
N/A
N/A
N/A
3.
Obtain building
permit
Statutory
Statutory
requirements
 council meetings
 Poorly prepared
drawings
 Inadequate
document
submitted
 Limitations in
qualified staff
 me lag in file
movement
Land rent is payable
annually from the time of
issuance of title. This
procedure requires further
analysis to determine
cause for differences
between the Ministry’s
response and the Doing
Business report findings.
Implementors:
MLHHSD; PMO-RALG
and LGAs
i. Senior Tech Officer
be appointed to face
vet documents

A check list
should be prepared to
guide receiving officer

Development
conditions to be
attached to the letter of
offer /
Certificate of
Title

Approval to be
This is no longer applicable since TRA no
longer collects land rent and instead the
responsibility has been shifted to LGAs.
i. All LGAs have appointed a Senior
Officer to face-vet all building plans to
ensure that they meet specifications on
the date of lodging. All sub-standard
maps will be returned to the applicant
on the same day with clarification on
issues to be addressed before resubmission.
ii. All the LGAs have been instructed to
prepare a check list to guide the
process.
17
S/
N
PROCEDURE
COMPLIANCE
MANDATE
BOTTLENECK/P
ROBLEMS
GOVERNMENT
DECISION
granted by technical
personnel

Continuous
public awareness

Create one-stop
centre
ii. Preparatory measures
for amending laws
required under this area
should commence
immediately so that
draft amendments and /
or draft bills are
submitted to Parliament
during the March /
April 2011 Session.
Implementors:
MLHHSD; PMORALG; and LGAs
STATUS
OUTCOME
iii. Development conditions are attached
with the letter of offer. However, this is
a big challenge due to the fact that
development conditions keep on
changing over period of time due to
change in usage of the particular place
in each respective LGA.
iv. Each respective LGA has its own time
table for awareness creation. However,
this is a continuous process.
v. The each LGA has been instructed to
establish sub – committee which will
be meetings in every month to approve
building permits in order to fast track
the process.
vi. Each LGA has created one – stop
centre for the purpose of issuance of
building permit under one roof in order
to fast track the underlying processes.
However,
due
to
underlying
challenges, a short term measure was
also adopted where by all the technical
officers who are involved in the
issuance of building permits meet
regularly and undertake the processes
jointly.
vii. PMO-RALG has instructed all LGAs
to include in their annual budgets
18
S/
N
PROCEDURE
COMPLIANCE
MANDATE
BOTTLENECK/P
ROBLEMS
GOVERNMENT
DECISION
STATUS
OUTCOME
adequate funding to finance building
permits processing. This also includes
provision for a regular public education
program/schedule.
viii. PMO-RALG is now
reviewing
building regulations in order to
simplify the processes of issuance of
building permits, as in a fast track
process.
4.
Request and
receive six
separate
inspections (WB
procedures No.
5, 6, 7, 8, 9, &
10):
i. Preconstruction
inspection from
LGA Officers
ii. Excavation
work inspection
iii. Foundation
work inspection
iv. Concrete work
inspection
v. Slab work
inspection
1. Combine step 5, 6, 7,
8, 9 and 10 to be
undertaken by
consultant/contractor
appointed by the
client and submit
report at all stages to
Council Eng.
2. Establish Customer
Care desk at
receiving point and
assign Senior
Technical Officer to
face-vet all
application
documents in all
LGAs and ensure
that:
a. All submissions
for application of
Building Permit
are accompanied
i. Lack of capacity and technical
equipments by the LGAs which
automatically incapacitate the regular
inspection processes.
ii. In order to remedy the above
challenge, LGAs have been instructed
to make use of regulation 138 of the
Local
Government
(Urban
Authorities) (development Control)
which gives the LGAs power to
appoint an inspector (including an
engineer) to inspect the building
processes.
19
S/
N
PROCEDURE
vi. Roof work
inspection
COMPLIANCE
MANDATE
BOTTLENECK/P
ROBLEMS
GOVERNMENT
DECISION
STATUS
OUTCOME
by Town Plan
Drawing (TPD).
Copies of all
TPDs should also
be made available
to the Officials
responsible for
approving
Building Permits;
and
b. Put in place
procedures to
ensure that
regular meetings
of Committees of
Councillors are
planned and are
convened and
held without
failure to
guarantee that
building permits
are issued and
that Councillors
vet the work of
unscrupulous
officials.
3. Development
conditions to be
attached to the letter
of offer and
Certificate of Title
4. Preparatory measures
20
S/
N
5.
PROCEDURE
Combine seven
Doing Business
procedures into
one i.e. “Request
and receive
listed
inspections once
construction is
completed”: Fire
Department
(number 11 and
12); Health
Department
(number 13 and
14); LGAs
Occupancy
Permit (number
15) and LGAs
Final inspection
(number 16); and
Occupancy
COMPLIANCE
MANDATE
Statutory ( combine
World Bank
procedures number
11, 12, 13, 14, 15,
16 and 17)
BOTTLENECK/P
ROBLEMS
Individual
inspection by each
technical staff takes
more time and
inconvenience to
builder/owner
GOVERNMENT
DECISION
for amending laws
required under this
area should
commence
immediately so that
draft amendments and
/ or draft bills are
submitted to
Parliament during the
March / April 2011
Session.
Implementors: PMORALG; LGAs.
i. Administratively
combine the
inspection team with
synchronized report.
Customers should be
notified for every
progress that does not
comply to the
requirements
ii. Combine step
5,6,7,8,9,10 to be
undertaken by
consultant/contractor
appointed by the client
and submit report at
all stages to LGA
Civil Engineer. The
consultant be held
responsible and
accountable for his
STATUS
OUTCOME
i. The lack of specific regulation
“Building Regulation” to supervise
building standards is one of the biggest
bottlenecks. As lack of this regulation
leave room for loop holes whilst
granting of “occupancy permit”.
The PMO RALG is now reviewing the
“Building Regulations”
ii. All LGAs have been instructed to
allocate one office for inspection of
building plans by all Officers involved
in this stage.
iii.
LGAs have been instructed to
ensure that all inspections (before and
during construction) are undertaken by
a single joint team.
21
S/
N
PROCEDURE
COMPLIANCE
MANDATE
BOTTLENECK/P
ROBLEMS
Permit (number
17)”.
GOVERNMENT
DECISION
STATUS
OUTCOME
reports and
consequences thereof.
Change any statutes
involved through
miscellaneous
amendments or the
Finance Bill (if the
former is not
possible).
iii. Place all inspection
technical personnel
under one roof (one
stop centre) to
facilitate single
submission and
verification of
documents at the time
of submission and a
single visit by the
team to the site for
inspection.
Implementors: PMORALG & LGAs
6.
Obtain telephone
connection
NA
NA
Access to land lines no
longer an impediment in
view of availability of
other efficient and costeffective alternatives
Implementors: PMO22
S/
N
PROCEDURE
COMPLIANCE
MANDATE
BOTTLENECK/P
ROBLEMS
GOVERNMENT
DECISION
STATUS
OUTCOME
RALG & LGAs
MEDIUM TERM MEASURES (REQUIRE FURTHER ANALYSIS ON MEDIUM TERM
REFORMS
7.
Obtain
PMO-RALG insists Not Available
The World Bank research
Geological
that this procedures
for Doing Business Report
survey
is a private sector
takes a practical approach
initiative and the
of applying for all the
Municipal
permits for a real
authorities do not
warehouse construction
include it under
case where the
mandatory
Government officials are
requirements for
not aware that the
issuance of
applicant is doing so for
building permits
research purposes. If the
report says it was
introduced in 2009, it must
be because a Government
official somewhere asked
for the survey report. This
procedure requires further
analysis to determine
differences between PMORALG and DB report
2010
Implementors: PMORALG & LGAs
8.
Obtain water and
 Unavailability of Medium & Long term
sewerage
materials due to measures:
connection from
 Training and
cumbersome
DAWASA
procurement
recruitment of more
procedure and
technical staff
lack of funds;
 increase operation
 Vandalism; and
capital
Geological survey is not mandatory for
issuance of building permit. Though
“geological survey” is not mandatory,
however, it is important to be considered
as part of normal building routine
especially when considering huge
complex building structure. Geological
survey measure type of soil condition as
enough prerequisite to ensure the investor
that the structure being put up will have
the required structural strength. The soil
survey is shown parallel with the
designing of the building structure.
Geological survey in this context can be
used interchangeably with “soil survey”.
However, if “soil” mapping is done across
country and the information from the
survey is sold to an investor; will
eliminate the requirement of each
individual investor to carry on his own
survey.
PMO-RALG is insisting to all LGAs to
prepare an integrated Town Planning
initiative which will incorporate utility
service providers such as TANESCO
(Ministry of Energy and Minerals) and
DAWASA (Ministry of Water) while
planning.
23
S/
N
PROCEDURE
COMPLIANCE
MANDATE
BOTTLENECK/P
ROBLEMS
 Inadequate
equipment &
staffing as well
as lack of capital
GOVERNMENT
DECISION


enhanced community
policing
Decentralization of
procurement process
to regional level;
increase operation
capital; enhanced
community policing;
and bulk purchase of
equipment.
STATUS
OUTCOME
This measure will reduce the procedures,
time and cost for investor in obtaining
such services.
Implementors: MoWI
(Ministry of Water and
Irrigation) / DAWASA
LONGER-TERM MEASURES (ONE YEAR OR MORE TIME FRAME) FOR POLICY
AND LEGAL REFORMS
9.
Apply for
electricity
connection
(procedure no.
18);
Receive
electricity
inspection from
TANESCO
(procedure no.
19)
Obtain electricity
connection from
TANESCO
(procedure no.
20)
- Statutory
(combine 18, 19,
20)
Unavailability of
materials due to
cumbersome
procurement
procedure
- Vandalism
- Inadequate
equipment
- Inadequate staff
- Non-availability
of material and
equipment
Review
all
three
procedures
into
one
process based on revisiting
the underlying TANESCO
policy and legal mandate
for compelling customers
to pay for the purchase of
Transformers and Posts
and shifting ownership of
the same directly to
TANESCO.
Review
TANESCO current and
future projected financial
status as part of the
solution.
PMO-RALG insisting to all LGAs to
prepare an integrated Town Planning
initiative which will incorporate utility
service providers such as TANESCO
(Ministry of Energy and Minerals) and
DAWASA (Ministry of Water) while
planning.
This measure will reduce the procedures,
time and cost for investor in obtaining
such services
Implementors: MEM /
24
S/
N
PROCEDURE
COMPLIANCE
MANDATE
BOTTLENECK/P
ROBLEMS
GOVERNMENT
DECISION
STATUS
OUTCOME
TANESCO
25
3.0
S/
N
EMPLOYING WORKERS: MINISTRY OF LABOUR AND EMPLOYMENT
PROCEDURE
MANDATE FOR
COMPLIANCE
PROBLEMS &
CHALLENGES
GOVERNMENT
DECISION
STATUS
OUTCOME
QUICK WINS REFORMS FOR IMMEDIATE IMPLEMENTATION
A.
1.
2.
DIFFICULTY OF HIRING INDEX
Selection of a type Protect employers
of
employment and employees
contract
interest
Statutory, Section
14(1) (b) restrict
fixed term contract
to professional and
managerial cadre
Submission and
processing of
Work / Residence
Permits by
relevant
Authorities
Protection of
citizens in the labour
market
Statutory/
Administrative
Hinders Employers to
employ unskilled
person under
specified period of
tim
i. Amendment of S.14(1)
(b) to reflect social
economic environment
by deleting the word
professional and
managerial cadre.
ii. Section 14(1) be
submitted to Parliament
for amendment under
Miscellaneous
amendments procedures
so as to extend fixed
term contracts to nonprofessional and nonmanagerial cadres.
Implementors: MOLE,
AGC
 Process take a long i. Review of the current
procedures
period
ii. Harmonization of
submission and
 Processes and
determination of work
costs involved in
and residence permit
running tripartite
i. The draft amendment for Section 14
(1) (b) has been prepared discussed
by the Ministry’s Management Team
and
key
Stakeholders.
The
amendment will be submitted to the
Labour Economic and Social Council
(LESCO) for approval before its
submission to the Attorney Generals
Chambers.
i. A number of stakeholders meetings
to discuss pertinent issues with
regard Work/Residency Permits
Procedures including one at the
Permanent Secretaries’ level were
convened in May to November 2010.
26
S/
N
PROCEDURE
MANDATE FOR
COMPLIANCE
PROBLEMS &
CHALLENGES
GOVERNMENT
DECISION
committee
meetings;
process
iii. Work Permit issuance
be an independent
activity under the
 Cumbersome
mandate of MOLE
procedures for
separated from the
payment of
mandate for residence
Residence Permits
permits and other
fees at Tanzania
requirements to
Investment Centre
expedite approval by
(TIC) before
single mandated
transferring the
authority for approval
same to the
(at present Work
Immigration
Permit is part of
Department.
Residence Permit)
iv. Computerization of
work/residence permits
processing
v. Payments of residence
permits fee direct to
Immigration
vi. Expedite enactment of
the proposed National
Employment Act
vii. MOLE, TIC,
IMMIGRATION and
EPZA should meet
regularly to agree on
issues of concerns in
the area of Work and
Residence permits.
The computerization of
work/residence permits
be expedited. The
STATUS
OUTCOME
ii. Reduce the salary gaps between
foreigners and locals having the
same skills. The ministry has
submitted the proposed Sectoral
Minimum Wage.
iii. Existance of Chinese in Kariakoo
inspection conducted and the report
highlighted that, this
issue is
considered both sides according to
the nature of activities undertaken/
reprted by Chinese to Tanzania
should be taken as a challenge to be
resilience and enterprising.
iv. Establishment of a strategy to assist
Tanzanian psychologically to be
commited to work, faithfully and
efficiently. National Employment
Strategy among other
issues
including matter pertaining human
development and emphasizing to be
faithfully and trust worthy. The
implementation of the Strategy is
ongoing.
v. Better Manual file arrangements and
arrangement of Digitization of Work
Permit
information
shelving,
codification completed, a temporary
Data Base designed and software for
analysis installed; whereby the Work
27
S/
N
PROCEDURE
MANDATE FOR
COMPLIANCE
PROBLEMS &
CHALLENGES
GOVERNMENT
DECISION
CEOs of the
IMMIGRATION
Department and TIC
should meet to agree on
suitable modalities for
payment for Residence
Permits that will enable
the Department issue
residence permits
promptly without
delay. In principle, the
Immigration
Department should
receive payment
directly from
applicants.
Implementors: MOLE,
ATE, TUCTA, MOHA
(Immigration Dept), TIC,
EPZA, AGC, TPSF &
TNBC
STATUS
OUTCOME
Permit quarterly reports can be
processed.
vi. Strenghtening of Work Permits
Approval Committee: Additional
members from EPZA/SEZs, BRELA
and Ministry of Industry and Trade.
The
Ministry
requested
the
mentionjed authorities to appoint the
technical members to join the
Comitte. The letter is sent to the
authorities.
vii. Awareness to clients: The Client
Services Charter for the Ministry
launched in October, 2010; Work
Permit Client requirements prepared
and advertised on Government
Notice in 2009 where the days to
process Work Permits should be 14
days maximum.
Awareness and
information dissemination reduces to
number of complaints raised by
clients (from 6-7 every 3 months to
3-4 every 3 months). Number of
pending files/rates of uncompleted
request
dropped
considerably.
Inspections undertaken to some
regions in the country (Arusha,
Tanga, Musoma and Moshi) for the
purpose of collecting data. The
Committe prepared a study for the
purpose of finding possible solutions
28
S/
N
PROCEDURE
MANDATE FOR
COMPLIANCE
PROBLEMS &
CHALLENGES
GOVERNMENT
DECISION
STATUS
OUTCOME
on various work permits issuance
problems emerging in different
sectors of economy.
B.
3.
Fixing hours of
work
C.
4
RIGIDITY OF HOURS INDEX
i. Create
flexibility in
working time
arrangement
ii. Maintaining
workers health
in accordance
with ILO
Conventions
Statutory, S. 17
to 25 of ELRA
The issue of Hours of work has been
addressed adequately under ELRA.
Hence the existing system to continue.
DIFFICULTY OF REDUNDANCY INDEX
Prior consultation
before termination
of employment on
operational
requirements
Protection of
employers and
employees interest
Statutory, S.38
ELRA read
together with
R.43 of
Employment
and Labour
Relations (Code
of Good
Practice) Rules
GN No.42
2007).
Unnecessary disputes
as a result of pressure
with limited time to
negotiate
The issue has been addressed adequately
under S.38 of ELRA read together with
R.43 of Employment and Labour
Relations (Code of Good Practice) Rules
GN No.42 2007). The Ministry planned
to continue conducting a number of
Education and public awareness
Implementors: MOLE,
campaigns to the relevant stakeholders
MOCLA, TNBC and TPSF. so as to reduce unnecessary disputes
Short-term measures
Employers to start
negotiation early as
provided under Regulation
23(6)(7) GN 42 Rules
2007.
29
S/
N
PROCEDURE
MANDATE FOR
COMPLIANCE
PROBLEMS &
CHALLENGES
GOVERNMENT
DECISION
STATUS
OUTCOME
LONGER TERMS MEASURES REQUIRES ONE YEAR OR MORE
5.
Setting of Sectoral
Minimum wage
by
prospective
employer.
The team found that
wage setting is by
observing
criteria
stipulated under S.
37 of LIA, 2004.
DIFFICULTY OF HIRING INDEX
Undertake long term review
with the objective of giving
employers more flexibility
based on international good
practices and approaches
adopted by Tanzania’s
regional competitors.
Implementors: MOLE
A number of studies are expected to be
conducted; the Ministry is working on
the results of one of study which was
conducted 2009
REDUNDANCY COST INDEX
6.
Requirement of
payment of costs
related to
redundancy /
Retrenchment
To compensate the
redundant /
retrenched
employee
Statutory, No
retrenchment
before lapse of 60
days prescribed
period for
arbitration S.38
(3) as amended
by Act No.2 of
2007.
Compensation S.
40 (1) (c) Notice
of termination S.
The requirement that
employers are not
allowed to effect
retrenchment when
the matter has been
referred to arbitration
within 60 days has a
negative effect to
employers.
Long-term Measures
Review relevant provisions
related to redundancy to
address the employers
concerns
Undertake further analysis
with a view to facilitating
higher flexibility to
employers and combine
with education to
employees (e.g. not to
demand golden handshake
in a bankruptcy case)
The Principal Act Cap 366 (Part IV),
Section 38 has been amended by
deleting subsection (3) and substituting
in its place the following provision “...
Where themediation has failed, the
dispute shall be referred for arbitration
which shall be concluded within 60
days during which period no
retrenchment shall take effect and
where the employes are dissatisfied
with the award and are desirous to
precede with revision to the Labour
Court under Section 91(2), the
employer may proceed with their
retrenchment.
Implementors: MOLE,
30
S/
N
PROCEDURE
MANDATE FOR
COMPLIANCE
41 Repatriation
S.43. Leave and
other benefits
S.44
PROBLEMS &
CHALLENGES
GOVERNMENT
DECISION
STATUS
OUTCOME
ATE, TUCTA, AGC,
MOCLA, TNBC and
TPSF
31
4.0 REGISTERING PROPERTY INDICATOR: MINISTRY OF LAND, HOUSING AND HUMAN SETTLEMENTS
DEVELOPMENT
S/
N
PROCEDURE
MANDATE FOR
COMPLIANCE
PROBLEMS /
CHALLENGES
GOVERNMENT
DECISION
STATUS
OUTCOME
QUICK WIN REFORMS FOR IMMEDIATE IMPLEMENTATION
1
Obtaining
official search at
the Title
Registry.
The purpose is to
verifying property
ownership.
 Statutory
requirement.
- Section 97(2) of
The Land
Registration Act
(Cap 334)
 Old system of
records keeping in
the Title Registry.
 Limited space in
the Title Registry
compared to
existing records
and incoming
transactions.
 Lack of modern
record storage
facilities.
 Unconsolidated
records in the Title
Registry.
Short Term
 Consolidation of Title
Registry records and
placement of records for
each title in one single file.


Training of Registry
Officers to improve
service delivery.
MLHHSD headquarters, at
Zonal Offices and at
District level be
modernized with the
objective of improving
record processing /
analysis, storage and
retrieval of data for
efficient service delivery.
Sorting and Consolidation of the Easy retrieval of
Title Registry both at Head office land records: it
and zonal offices was completed.
takes one (1) day
instead of 5 days.
Construction of Customer Service
Centre at the Ministry of Lands is at
its completion stage.
Establishmentof
Land
Registration
and
Land
Information System (ILMIS)
This sub section entails reengineering
land
registration,
improving
land
information
management, establishing a secure
registry for land tittles, establishing
land registries in 15 Districts, and
establishing a mordent efficient
institutional framework.
Sorting and consolidation of
paper records: The sorting and
consolidation work on the manual
records is in its advanced stage.
It has been estimated that there
are 401,163 registered CROs,
99,636 registered RLs and
32
S/
N
PROCEDURE
MANDATE FOR
COMPLIANCE
PROBLEMS /
CHALLENGES
GOVERNMENT
DECISION
Implementors: MLHHSD.
STATUS
OUTCOME
139,721 registered CCROs and
since there are numerous land
records a selective scanning and
computerization will be done on
the Land records.
Design of ILMIS. Design of
ILMIS
includedthree
parts
namely; analysis, designing and
procurement. The consultants to
design Land Registration and
Land Information System (COWI
A/S & ORGUT CONSULTING
AB) have completed the design
work and as of now they have
started to develop the associated
biding document for procurement
of contractors that will implement
the establishment of the system.
2
Obtain
clearance from
the Ministry of
Lands / Local
Government
Authorities on
receipts of
payment for
Land Tax for
ten years.
Revenue generation
 Statutory
requirement.
- Section 41 (2) (a)
of the Land Act
(Cap. 113). One
of the conditions
for granting
approval is to
ensure compliance
with conditions of
right of
occupancy, in
 Property holders’
culture of not
paying taxes.
 Procedure is to
require current
land rent receipt
and there is
deliberate effort to
educate people on
their obligation to
pay taxes.
Short -term measure
 The pre-condition for
transfer of title based on
payment of land tax arrears
is limited to payment of two
years arrears only. To the
extent possible, due taxes
can be recovered from sales
proceeds where transfer is
due to a sales transation.
 Advocates should remind
their clients to clear land
Implientation of the activity require The
operational
further analysis. There some manual
for
unanswered questions.
systematic
adjudication is in
The draft amendements to Land
Registration Act has been completed place and being
by
and will take care the elimination of used
the role of advocates or notaries to stakeholders.
public endorse registration of titles
The beneficiaries
and transfers.
The Ministry has completed the for CCRO are
documentation
of
the
pilot using them for
experience and charting out of the collateral for Bank
loans
33
S/
N
PROCEDURE
MANDATE FOR
COMPLIANCE
PROBLEMS /
CHALLENGES
particular payment
of land rent.
 Regulation 5(2) (a)
of the Land
(Disposition of
Right of
Occupancy)
Regulations, 2001.
GOVERNMENT
DECISION
rent while preparing
transfer documentation.
 Educate applicants for
registration of titles on the
procedures that are
applicable.
Implementors: MLHHSD,
PMO-RALG and LGAs
STATUS
OUTCOME
strategies for scaling up the activities
to the Local Authorities. The pilot
experiences
for
formalization
activities have been gathered and
well documented for improvement of
operating manual.
The
operational
manual
for
systematic adjudication is in place
and being used by stakeholders.
In addition to assistant registrar and
Assistant Commissioners for Land
the Ministry has recently appointed
government surveyors for the five
(5) existing zones. These officers
will be able to approve the survey
plans just at the zonal offices rather
than at the headquarters’ as it used to
be.
3
Obtain a
property tax
clearance from
the Municipality
for the last ten
years.
Build culture of
paying taxes
 Administrative
requirement.


Property holders’
culture of not
paying taxes.
Lack of diligence
in the part of
Local Authority
in collecting
property tax.
Short-term measure
The pre-condition for transfer
of title based on payment of
land tax arrears be limited to
payment of two years arrears
only. To the extent possible,
due taxes can be recovered
from sales proceeds where
transfer is due to a sales
transation.
Implientation of the activity require
further analysis. There some
unanswered questions.
Implementors: PMO-RALG
and LGAs
34
S/
N
4(a)
PROCEDURE
Chief
Government
valuer inspects
the property to
determine its
value and
prepare a
Valuation
Report.
Simultaneously
MANDATE FOR
COMPLIANCE
 Administrative
requirement.
(Ministerial Circular
No. 1 of 1969,
Control over the
purchase, sale and
acquisition).
PROBLEMS /
CHALLENGES
 Few Government
Valuers
responsible for
valuing properties
for purposes of
transfers.
 Only Chief
Government
Valuer approves
valuation reports.
 Approval of Town
Planning
Drawings by
Committees of
Councillors takes
long time.
GOVERNMENT
DECISION
STATUS
OUTCOME
i.
Short-term measures
i. Appoint Zonal Government
Valuers (corresponding to
Zonal Asst Commissioners
for
Land
and
Asst
ii.
Registrars of Titles).
Draft proposal to establish
Valuation Department which will
have zonal staff is being
prepared.
Because of lack of
awareness among
implementing staff
and the service
users are not aware
Land Valuation Bill: The of the changes, the
preparation of the bill has been business is as usual.
completed and submitted to the
Attorney General for ratification.
iii. The new legislation which is at
the Attorney General will take
into account of delegation of
responsibilities to Zonal land
offices and appointment of Zonal
Government Valuers.
It has been difficult to impliment
this. The PMO-RALG has put up a
proposal to rectify. PMO - RALG is
ii. Put in place procedures to supposed to coordinate a meeting for
ensure that regular meetings stakeholders to review a proposal
of
Committees
of prepared for review.
Councillors are planned and
are convened and held
without failure to guarantee
that building permits are
issued and that Councillors
vet
the
work
of
unscrupulous officials.
35
S/
N
PROCEDURE
MANDATE FOR
COMPLIANCE
PROBLEMS /
CHALLENGES
GOVERNMENT
DECISION
iii. Chief Government Valuer
to
delegate
the
responsibility for verifying
property valuations to Zonal
Officers
Implementor: MLHHSD
4
(b)
Approval of
Town Planning
Drawings
(TPDs) for new
plots or process
of formalization
of existing
properties.
 Administrative
requirement.
Corresponds with
the monopoly
granted to
Government
Valuer on
verification of
valuations.
 All Town Planning
Drawings have to
be endorsed by a
Committee of
Councillors at the
LGA level before
submission to
Chief Government
Surveyor.
Endorsement does
not take place if
meetings are not
held for any
reason.
 Only the Chief
Government
Surveyor in Dar es
Salaam is
mandated to
Short-term measures
 Chief Government
Surveyor to delegate the
function of approval to
other Registered
Surveyors.


Appoint Zonal
Government Surveyors
(corresponding to Zonal
Asst Commissioners for
Land and Asst Registrars
of Titles).
Chief Government
Surveyor to delegate the
responsibility for
approving TPDs to Zonal
Surveyors.
STATUS
OUTCOME
Agree with TRA to accept
valuation report from Chief
Government Valuer: The Ministry
of Land on 27/05/2011 organised a
joint meeting with TRA to discuss
the issues of abolishment of double
valuation by the two Government
agents. This was discussed vis avis
the new draft Land Valuation Bill.
The bill was thoroughly discussed
and incorporation of all the related
issues was done.
Preparation of Dar es Salaam
Mater Plan: The consultant
(Dod-Mos Cyril) for preparation
of Dar es Salaam Master Plan has
submitted the first draft and the
Ministry has issued a certificated
onthe submission.
The
Zonal
Surveyors
have
been appointed but
yet to be posted to
respective Zones.
Workshop on preparation of
regulation for UrbanPlanning
Act, 2007: The workshop was
conducted in March, 2013. The
comments from the stakeholders
have been submitted to consultant
(University
of
DSM)
for
incorporation of the comments.
36
S/
N
PROCEDURE
MANDATE FOR
COMPLIANCE
PROBLEMS /
CHALLENGES
approve TPDs in
person (no
delegation)
making the
process take an
unduly long time.
5.
Notarization
execution of the
sale agreement
and preparation
of the transfer
deed
6
Obtain approval
for the transfer
Statutory
requirement:
- Contract Law
- Section 39 of
the Land Act
(Cap. 113) read
together with
Regulation 5(2)
(c) of the Land
(Disposition of
Right of
Occupancy)
Regulation,
2011.
 Statutory
requirement.
- Sections 36
through 41 of the
Land Act (Cap
113) read together
with The Land
(Disposition of
Right of
Occupancy)
Regulation 2001.
GOVERNMENT
DECISION
STATUS
OUTCOME
Implementors: MLHHSD
No problems inherent in this
procedures
i. Partial
Short-term measures
modernization of
i.
Issuance of circular to
record keeping in
Land Officers in
the
relation to the required
Commissioner for
procedures in
Lands/Local
transfers.
Government
Registries which
makes retrieval of
ii.
Provide in-house
information
training to the Land
difficult.
Officers with a view
ii. Lack of
of changing their
coordination in
mind-set (with special
land information
emphasis to
Draft amendments to the Land
Registration Act, Registration of
Documents Act and Chattels
Transfer Act. (The draft amendments
will be tabled before the parliament
in June 2011. Currently the technical
working group is finalizing the drafts
amendments.
Improvement of Surveying and
Mapping Infrastructure: There
are still some important activities
that need to be completed on the
network;
these
include
finalization of computation,
training of SMD staff, and
maintenance
of
CORSand
implementation of aerial gravity
survey.
Establishment
of
Mapping
infrastructure
(Geodetic network
is completed by
90%. This will
reduce the cost and
time for survey and
quality
maps
prepared.
The remaining 10%
of
the
work
Aerial gravity survey phase II: involves
Aerial
37
S/
N
PROCEDURE
MANDATE FOR
COMPLIANCE
PROBLEMS /
CHALLENGES
system between
Central
Government and
Local
Government
Authorities.
GOVERNMENT
DECISION
Kinondoni
Municipality).
iii.
Public awareness to
the public on the
process and
requirements for the
registration of
property.
iv.
Establish electronic
GIS-based cadastre
registry linking HQ
with zonal and district
registries
Implementors: MLHHSD;
PMO-RALG & LGAs
STATUS
OUTCOME
The Ministry of land has entered gravity survey.
into contract with contractors
from
Danish
Technical
University (DTU) in March Survey work in
selected
2013. Initial preparation for the
The
implementation is under way. Districts:
survey
work
was
The introduction letters to the
airport authorities has been sent successfully
and landing lights have been undertaken,
ordered. The Aerial gravity whereas a total
survey is expected to start on the of 171 villages
been
third week of May, 2013. The have
surveyed
under
survey will cover North East and
Southern zones of Tanzania. The SAGCOT;
(50),
last phase (phase III) of the Urambo
Bukoba
(20),
survey will be conducted in
Iringa Rural (34),
September, 2013.
Kilolo (24) and
Ulanga (43).
Geodesist: The additional input
by the geodesist will still be Publicawarenes
required beyond his contract s workshop on
period in order to undertake the the
new
following activities: (i) to geodetic
supervise the aerial gravity network:
survey, vertical adjustment and The workshop to
determination of Geoids in create awareness
Tanzania (ii) to finalize the on TAREF (new
adjustment and documentation of geodetic
the new geodetic network network)
has
adjustment (iii)to assist the been scheduled
Survey and mapping department forMay 13th-14th
38
S/
N
PROCEDURE
MANDATE FOR
COMPLIANCE
PROBLEMS /
CHALLENGES
GOVERNMENT
DECISION
STATUS
OUTCOME
in planning for implementation
of (Real Time Kinematic – RTK)
and (iv) to provide training to
SMD staff and facilitate a series
of stakeholders workshops on the
new geodetic network.
Training on the maintenance
of the CORS: The new geodetic
network is soon going to be
operational and the work of the
geodesist will as well come to an
end.
Because of this the
Ministry should be prepared to
have well qualified staff to
operate and maintain the
network. The planed training has
not taken place due logistical
arrangements. It has been
advised to ensure sending the
staff for the training within this
financial year.
7
Obtain a capital
gains tax
clearance
certificate from
the Tanzania
Revenue
Authority
 Statutory
requirement.
- Section 36 of
Income Tax Act
(Cap 332).
i.
Low credibility
of some valuation
reports
(undervaluation)
submitted for
transfer in
assessing Capital
Gains Tax.
ii. Ignorance of the
laws governing
Short-term measures
i.
To establish
coordination between
TRA and Chief
Government Valuer in
relation to undervalued
properties and use the
latters valuation for
taxation purposes. See
recommendation by
, 2013 and all
logistical
arrangements
have been done.
The objective of
this workshop is
to explain to the
stakeholders the
nature,
mechanism and
benefits of the
new
geodetic
network. This is
one
of
the
workshops in a
series
of
workshop
that
are
to
be
conducted
to
stakeholders.
i. The agreement has been reached
by TRA and MLHHSD TRA is
using Chief has dropped own
valuation with effect from 1st
January, 2010. But awareness is
required to enable it work.
ii. Collection
of
data
for
establishing a valuation database
is going on in Dar es salaam
39
S/
N
PROCEDURE
MANDATE FOR
COMPLIANCE
PROBLEMS /
CHALLENGES
payments of tax
on gain on
realization of
assets and
provision of
inadequate
information on
assets being
disposed.
8
The transfer
deed is
delivered to the
Title Registry
for Registration.
 Statutory
requirement.
- Section 41 of the
Land Registration
Act (Cap 334).



Poor record
keeping &
records retrieval
problems in
Title Registry
(dependence on
manual
systems);
Low staff
capacity
Limited
GOVERNMENT
DECISION
Paying Taxes Task.
ii.
To establish valuation
database.
iii.
Base process of
establishing property
values for purposes of
Capital Gains Tax on
the valuation prepared
by Chief Government
Valuer. Hence
eliminate forwith the
procedure of TRA
undertaking own
valuation for Capital
gains tax purposes.
Implementors: MOF/TRA,
MLHHSD
1. Short-term measure
 Consolidation of Title
Registry records.

Provide in-house training
to the Title Registry staff.
STATUS
OUTCOME
iii. The Department for Land
Valuation has established a
research unit to investigate the
market prices for crops, land
value and construction rates in
order to establish standards for
market rates for compensation
and other purposes.
The exercise of data Collection for
establishing a valuation database has
not taken off but we have in place a
write up requesting for funds to
establish the Valuation Data Base.
Sorting and consolidation of
paper records under the
ILMIS:
The
sorting
and
consolidation work on the manual
records is in its advanced stage.
It has been estimated that there
are 401,163 registered CROs,
99,636 registered RLs and
139,721 registered CCROs and
since there are numerous land
40
S/
N
PROCEDURE
MANDATE FOR
COMPLIANCE
PROBLEMS /
CHALLENGES
GOVERNMENT
DECISION
working space
and Registry
space compared
with increasing
number of files.
STATUS
OUTCOME
records a selective scanning and
computerization will be done on
the Land records.
2. Medium Term
Measures:
MLHHSD headquarters, at
Zonal Offices and at District
level be modernized with the
objective of improving record
processing / analysis, storage
and retrieval of data for
efficient service delivery (i.e.
establishment of GIS-based
cadastre land registry linking
HQ with zonal offices and
districts)
ILMIS
includedthree
parts
9
Full processes
of registering
property
Compliance with
existing laws.
Short-term
Reduced to 45 days (from
current 73 days in DB report)
The reduction of numbers of days for
property registration will be the
outcome of a number of land reform
activities including, legal reform,
administrative
reform
and
computerisation and modernization
of registries.
LONGER TERM MEASURES (REQUIRING A MINIMUM OF ONE YEAR)
SUPPLEMENTING THE QUICKWIN INITIATIVES
41
S/
N
1
PROCEDURE
Obtaining official
search at the Title
Registry.
MANDATE FOR
COMPLIANCE
Same as for shortterm measures
PROBLEMS /
CHALLENGES
GOVERNMENT
DECISION
STATUS
Long Terms Measure
(i)
All Land registries at
HQ, at the six Zonal Offices
and in all Districts be
modernized so as to build ICT
capacity for electronic
processing, storage and
retrieval of land records and
information efficiently.
(Computerization of Title
Registry to facilitate easy and
less time consuming
information retrieval)
(ii)
Decentralization and
decongestion of Registry of
Titles office, in Dar es
Salaam.
ILMIS
includedthree
parts
OUTCOME
2
Obtain clearance
from the Ministry
of Lands/Local
government on
payment of Land
Tax for ten years
Same as for
short-term
measures
Long-term Measures
 Improve Land rent
collection by public
awareness campaign and
improve land rent database.
 Expand outreach and
expedite the process of
formalization of informal
urban property and
registration of village land
to improve land information
database and widen tax
base.
Formalization
of
Landed
Property Rights in Unplanned
Urban Settlements
Pilot
programmed
for
formalization
activities
in
Mwanza and Dar es Salaaam
cities slowed down since 2010.
Grater effort was focused on
reviewing past initiatives and
extracting lessons for policy
improvements
and
scaling
up.Under this initiative a
document has been prepared on
The
operational
manual
for
systematic
adjudication is in
place and being
used
by
stakeholders.
The beneficiaries
for CCRO are
using them for
42
S/
N
PROCEDURE
MANDATE FOR
COMPLIANCE
PROBLEMS /
CHALLENGES
GOVERNMENT
DECISION
 Develop strategy to
accomplish the countrywide
by year 2025 in line with
Vision 2025.
Implementor: MLHHSD
STATUS
OUTCOME
decentralization approach to collateral for Bank
enable scaling similar work in loans.
other places. A fund amounting
to Tshs. 78,300 million was set
aside for testing decentralization
approach in Mwanza city
council, this is yet to be
implemented it iswaiting for
approval by the Ministry.The
implementation of the activity is
expected to start by early May,
2013.
Implimentation of Village
Land Act No. 5 of 1999: Under
this activity it was planned to
carryoutvillage land adjudication
and registration in Babati District
and in two districts (Kilombero
and Ulanga) in SAGCOT areas.
This
willinvolve
testing
decentralization
approach
whereby the districts will
implement the activies while the
Ministry will provide technical
advice,
supervision
and
oversight. A proposal to go for
field work has been submitted
for approval by the Ministry and
the work isanticipated to start by
early May, 2013.
43
S/
N
3
PROCEDURE
Obtain a property
tax clearance
from the
Municipality for
past ten years.
MANDATE FOR
COMPLIANCE
PROBLEMS /
CHALLENGES
Same as for
short-term
measures
GOVERNMENT
DECISION
STATUS
Long-term Measures
 Improve property tax
collection.
 Improve public awareness
on their obligation to pay
taxes.
Public awareness is ongoing.
Brochures of importance of title
deed, payment of land rent are in
under way produced and
disseminated to customers. Since
July 2010, 10 airtimes through radio
and television; 30 times in news
papers
OUTCOME
44
S/
N
4
PROCEDURE
A government
valuer inspects
the property to
determine its
value and
prepare a
Valuation Report
MANDATE FOR
COMPLIANCE
PROBLEMS /
CHALLENGES
GOVERNMENT
DECISION
Long-term Measures
 Enactment of the
Valuation Act which will
remove the role of Chief
Government Valuer to
approve valuations for
transfer. The Act is in
preparation of cabinet
paper.

STATUS
OUTCOME
i. Land valuation Bill: The
preparation of the bill has been
completed and submitted to
Attorney General for ratification
ii. Proposal to establish a fully
fleged department has been
approved, preparation to employ
is underway.
Employ more Government
Valuers especially in Local
Government Authorities.
45
S/
N
5
6
PROCEDURE
Obtain approval
for the transfer
Obtain a capital
gains tax
clearance
certificate from
the Tanzania
Revenue
Authority
MANDATE FOR
COMPLIANCE
PROBLEMS /
CHALLENGES
Same as for
short-term
measures
Same as for
short-term
measures
GOVERNMENT
DECISION
STATUS
Long –term measures
 Computerization of Land
Information System to
facilitate easy and less time
consuming information
retrieval.
Consolidation of document has been
done, procurement of a company to
scan and computerise is on going

The shortlisting of a firm to instal
Land Information system is ongoing.
Computer interface
between Business
Registration and Licensing
Authority, Registration of
Birth and Death, Registrar
of Societies, Immigration,
Registry of Titles e.t.c in
order to obtain information
which the client is required
to provide.
Implementor: MLHHSD
Long-term measures
 Enhancing taxpayers’
education on Capital Gain
taxation in order to
minimize delays.
Capital Gain Tax should
be abolished and replaced
by another mechanism of
tax collection.
OUTCOME
RFP from 4 bidders are being
evaluated.
The public awareness is ongoing
46
S/
N
7
PROCEDURE
The transfer deed
is delivered to the
Title Registry for
Registration.
MANDATE FOR
COMPLIANCE
PROBLEMS /
CHALLENGES
Same as for
short-term
measures
GOVERNMENT
DECISION
Long-term measure
i.
Computerization
Registry of Titles.
ii.
iii.
iv.
8
Full processes of
registering
property
Same as for
short-term
measures
STATUS
OUTCOME
Initial preparation of
of computarization work is ongoing.
Request for Proposal from 4 bidders
Decentralization
of are being evaluated.
Registry of Titles
office in Dar es i. Inhouse discussion is going on
Salaam into three zone
within the Ministry on
offices i.e. Kinondoni,
possibilities of acquiring
Ilala and Temeke
buildings that can be used for
including Coast and
registries in those selected
Morogoro Regions.
municipalities and Regions
ii. Negotiation is going on Between
Ministry of Finance and
Construction of new
MLHHSD on a Building that to
building
to
be Constucted to ccommodate
accommodate Registry
the Land Registry.
of Titles offices
iii. At shortlisting stage.
Consultancy for Need
Assessment
for
Registry of Titles
completed in January,
2010
and
best
practices in Front
Office service delivery
being introduced.
Long-term
Reduced to 14 days
Implement reforms
recommended by Messrs
RFP from 4 bidders are being
evaluated.
The procurement of a contractor to
renovate the front desk office is in
advanced stage.
Implimetation of all of the above
activities will finaly reduce the
process of registering property
into 14 days.
The final process
of
registering
property
has
been
reduced
47
S/
N
PROCEDURE
MANDATE FOR
COMPLIANCE
PROBLEMS /
CHALLENGES
GOVERNMENT
DECISION
Swedesurvey.
Implementor: MLHHSD
STATUS
OUTCOME
from 14 days to
9 days.
48
MINISTRY OF FINANCE
5.0
S/
N
PAYING TAXES
PROCEDURES
COMPLIANCE
MANDATE
PROBLEMS
& CHALLENGES
GOVERNMENT
DECISION
STATUS
OUTCOME
QUICK WIN REFORMS FOR IMMEDIATE IMPLEMENTATION
DISPOSAL OF INVESTMENT ASSET (CAPITAL GAIN TAX) 10% OF THE CAPITAL
GAIN
1
Disposal of
Investment Asset &
Payment of Capital
Gains Taxes (10%
of gain).
Taxpayer submits to
TRA Sales
agreement and
valuation report to
TRA for assessment
of Capital Gains
Taxation
Administrative
processes
i) TRA verifies the Sales
and valuation reports and
establishes the capital
gains (i.e. market value at
the time of sale minus the
total cost incurred in
acquisition of the asset)
and computes tax and
issues tax assessment.
ii) Issuance of clearance
certificate made upon
receipt
of
payment
directly through Bank.
The challenge lies in the
duration of valuation,
payment and issuance of
tax clearance certificate.
(i)
TRA to accept TRA has noted that there is no need for
value as per Chief changes in any section of the Income
Government
valuer Tax (2004)as sections 35, 36 and 37
report;
have broader perspective in terms of
their application in tax assessments,
(ii)
TRA to issue hence a need to accommodate the
an operational circular Income Tax provisions in the proposed
to accept value as per law on Valuation.
the Chief Government
Value report;
TRA has noted that valuation reports
should be strengthened to professional
standards so as to ensure that values
reflect the actual economic values of
properties in the market.
Values lower than economic market
will lead to loss of Government
revenues in terms of capital Gains Tax.
(iii) The total tax
burden and taxation
rates should be
analysed with the
objective of reducing
TRA is using
Chief
Govt.
Valuer’s reports to
assess
capital
gains tax as the
basis for market
value and has
dropped
own
valuation
with
effect from 1st
January, 2010
Analysis of tax burden and taxation
rates so as to reduce rates and widen tax
base will involve capacity building on
Regulatory Impact Assessment (RIA)
and Cost Benefit Analysis. Measures
for capacity building on RIA have been
49
S/
N
PROCEDURES
COMPLIANCE
MANDATE
PROBLEMS
& CHALLENGES
GOVERNMENT
DECISION
the applicable rates
simultaneous with
implementation of
measures to stimulate
formalization of
economic activities as
instruments for
widening the tax base;
and
(iv) The
implementation of the
National Identification
project (ID) be
expedited as a tool for
widening the tax base.
STATUS
OUTCOME
initiated
National Identification
Authority(NIDA)
i.
NIDA has concluded National ID
Tender and finally the Government
has entered a contract with
Malaysian company called IRIS
BEHARD CORPORATION.
iii. NIDA has already started reliasing
the National Identification; TRA
staffs have received their ID.
iv. Establishment of National Data
Centre and Disaster Recovery Sites
are still in progress.
Implementors: MOF /
TRA/ NIDA
2.
Corporate
Tax
(30% of Taxable
Income): Taxpayer
files
provisional
return of income
within 3 months of
the
start
of
accounting year.
Income Tax Act
2004
requirement.
Administrative
processes
Self Assessment tax.
i) The provisional return
is filled and submitted
once for each accounting
year of income.
ii) Taxpayer fills in
payment forms, pays
directly and submit copy
v. The Government has allocated sites
for constraction of identification
and registration centres in all
districts with exception of Rombo
district. Efforts of acquiring
premises in these districts are on
going.
i. Enhance
Current status: Income Tax Cap.332.
electronic return (General Electronic Filing and
filling
of Payment) Regulations, 2009:
provisional
returns
General Electronic Filing and Payment
Regulations for Income Tax Act 2004,
ii. Enhance
Government Notice No. 243 has been
electronic
issued requiring tax payers to submit .
50
S/
N
PROCEDURES
COMPLIANCE
MANDATE
PROBLEMS
& CHALLENGES
of payment to TRA.
iii)- Six months after
accounting
period,
taxpayer files a final tax
return and make final
payment
to
TRA.
(Income Tax Act 2004
requirement).
The challenge is to
reduce the number of
payments from 4 if
possible.
GOVERNMENT
DECISION
payment
to
reduce
current
payment time of
6
hours
per
payment to 4
hours
3.
Labor and Skills Administrative
Development Levy mandate
(6%
of
total
emoluments
(salaries) charged
OUTCOME
Currently TRA has reduced duration of
payments, through developed software
that has interface its Tax Administration
iii. Implement
e- Systems (Asycuda, ITAX) with all
filling and e- Commercial Banks.
payment interface
with other Banks Payments of taxes can now be made
to reduce duration through all commersal banks for any
amount payable.
of payments.
Implementor:
MOF/TRA
Verification
of
self assessment
Statutory (Legal)
Process.
STATUS
return of incomes and provisional return
electronical
TRA has implemented the use of
mobile phones for tax payments
whereby currently Vodacom M Pesa
and NMB Mobile are in use for the
payment of property rate and individual
income taxes.
Payment of taxes through other mobile
phone operators is at emplemetation
stages.
TRA
to
finalize Already implemented, assessments are
assessments
within currently finalized within three (3)
three years unless there years.
is fraud.
TRA within three years
after submission of final
return, TRA examining
the returns and issue
assessment (Income Tax
Act 2004 requirement)
Implementor:
MOF/TRA
Payment directly made to Enhance
electronic
Bank on monthly basis payment transfer and
and proof of payments return filling to reduce
submitted to TRA later.
current payment time of
4 hours per payment to
TRA has proposed to amend S.14
(1)/21(1) of the Vocational Education
and Training (VETA) Act, Cap. 82 to
incorporate eletronic return filing and
payment. Respective Regulations shall
51
S/
N
PROCEDURES
on
salary
monthly basis.
COMPLIANCE
MANDATE
on
PROBLEMS
GOVERNMENT
& CHALLENGES
DECISION
STATUS
Challenge is the number 2 hours
be made to ease operationalization of
of payments involved.
the law.
The contribution of this
levy to total tax burden
and its effectiveness in
the development of
appropriate skills for
economic
transformation may be
an issue for further
review and analysis.
OUTCOME
Implementor:
MOF/TRA
4.
Social Security
Contribution
(NSSF) at 10% of
Gross Salary.
Administrative
processes
5.
Payment of Sales VAT 2001 Act
Tax (VAT) at 18%. and related
Administrative
processes.
Statutory process
requires tax
policy decision
by Govt
Taxpayer prepares the
contribution and pays
direct to bank then,
submit the return to
NSSF with 12 annual
payments. Why include
payment of gratuities and
pension into taxation
while this is income
accruing fully to the
employee.
i. Taxpayer prepares
VAT Return forms
(VAT 201and 201A)
ii. If there are payments
to be made, make
directly payments
through Banks.
iii. Taxpayer then
submits the bank slip
and copy of VAT
Enhance
electronic Gratuities are taxable under Section 7
payment transfer
(2) (a), whereas retirement contributions
and retirement payments are taxable
under Section 7 (2) (d) of the Income
Implementor:
MOF/TRA
tax Act, Cap. 332.
i. Capturing of
information
electronically and
enhance electronic
return filling to
reduce current
payment time of 4
hours per payment
to 2 hours.
ii. Enhance electronic
General Electronic Filing and Payment
Regulations for Value Added Tax and
Excise Tax, Government Notice No.
242 and 241 respectively have been
issued.
The GNs have been issued directing
VAT registered traders and those who
charge and collect excise duty to make
payments and submit VAT/Excise
More than 80% of
Large Taxpayers
are filling VAT
returns
electronically, and
more than 4000
taxpayers
from
Domestic Revenue
Department
are
filling their VAT
52
S/
N
PROCEDURES
COMPLIANCE
MANDATE
PROBLEMS
GOVERNMENT
& CHALLENGES
DECISION
returns to TRA
payments/transfer
physically or
/interface between
electronically.
TRA systems and
iv. If no payments,
Banks
Taxpayer required to iii. Need to consider
submit VAT return
reduction of VAT
indicating nil
return filing and
payment
payment from 12 to
6 times
Implementor: TRA
STATUS
returns/documents through electronic
system.
OUTCOME
returns
electronically.
TRA has reduced duration of payments,
through developed software that has
interfaced its Tax Administration
Systems (Asycuda, ITAX) with all
Commersal Banks.
A WEB based
return e-filling
system has been
developed to assist
taxpayers to file
VAT return
electronical.
Payments of taxes can now be made
through all commersal banks for any
amount payable.
TRA has implemented the use of
and NMB Mobile are in use for the
payment of property rate and individual
income taxes.
6.
Annual Road
License (Note
exceeding Shs
150,000/= per
annum
Administrative
processes
The challenge is the time
involved in underlying
activities
 Inspection of forms
and approval.
 Face vetting and
stamps
 Confirmation
of
payment and capture
data into system
 Issue motor vehicle
licence
Payment of taxes through other mobile
phone operators is at emplemetation
stages.
TRA with effect from 19th September
2008 issued a circular to its regional
offices not to demand a copy of the
valid insurance cover note/ certificate of
road worthiness during re-licensing of
the motor vehicle.
*** As a result, it takes one day for
one to obtain an annual road license.
i. Vehicle inspection
report
and
insurance
requirements
shouldn’t
be
prerequisite.
ii. Basis for renewal
should
be
registration number
only.
Task Force under MOHA is progressing
iii. Underlying
with discussions on the proposals
activites
1 to 4 among others to review/amend item b
TRA is no longer
demanding a copy
of valid insurance
cover
note/
certificate of road
worthiness during
re-licensing of the
motor vehicle.
53
S/
N
7.
PROCEDURES
Payment of Import
Duty /Fuel Levy
(TShs 392/= per
litre)
COMPLIANCE
MANDATE
Administrative
processes
PROBLEMS
& CHALLENGES
i. Declarant Creates and
submit electronically
TANSAD* to CSC*
based on the APAD*
issued by Customs
and generates
assessment note.
ii. Declarant pay
Duties/Taxes to Bank
iii. Declarant submit
payment receipt to
the cashier for
payment striking into
ASYCUDA++
system
iv. Declarant email
scanned document
attached to the
TANSAD to CSC
through ASY-SCAN.
v. Section Supervisor
via ASYSCAN
receives a list of
TANSADs paid.
vi. If yellow, TANSAD
re routed for
GOVERNMENT
DECISION
process be done by
the same officer.
TRA to issue an
operational circular
to all staff to
implement the new
process
Implementor:
MOF/TRA
Address challenge by
implementing the
custom modernisation
and facility strategy
through:
i.
Roll out of
ASYCUDA++
with
ASYSCAN to
all border
posts
STATUS
and c under Regulation 21 of Road
Traffic (Motor Vehicles Registration)
Regulations, 2001 (made under the
Road Traffic Act No 30 of 1973).
1. TRA was in a process of acquiring
and introduce a new Customs
clearance system which will be linked
to the single window system expected
to be established under Port
Community System. Post evaluation
of the tender on procurement of new
Customs automated system is under
way and it is the selection of the
successful bidder is on the final stages.
The tender was awarded to successful
bidders KCINGLE CUPIA and
KTNET of South Korea.The Vendors
have developed a prototype of the
system.TRA experts from various
disciplines visited South Korea to
review the prototype to identify the
uncovered areas.The team confidently
concluded that almost all requirements
have been captured .This stage pave the
way for actual design and development
of the system stage.
2. Procurement of cargo and
OUTCOME
The
overall
records
show
that there is an
improvement on
cargo clearance
across seaports,
airports and land
border stations
as compared to
the
Time
Release Study
baseline
conducted
in
2009.
The clearance time
from arrival of the
cargo to removal
for the quarter
ending June 2013
is 9 days at DSM
54
S/
N
PROCEDURES
COMPLIANCE
MANDATE
PROBLEMS
& CHALLENGES
Documentary checks,
If confirm, TANSAD
rerouted for GREEN
for Direct Release/
Scanning/physical. If
does not CONFORM,
Query notification
raised. If declarant is
satisfied with the
proposed
amendments accepts
Query Notification
form.
GOVERNMENT
DECISION
STATUS
Risk Management systems:
a) Business
Processing
Reengineering on both Cargo and Risk
Management systems completed on
February 2012. Development of
system
prototype
has
been
completed. 11 Custom staffs are
undergoing training in Korea on the
operation of the system.
3.
ii.
Establish one
stop centres
for all
agencies
involved in
goods
clearance.
Regional Authorities Digital
Data Exchange (RADDEX)
system is being upgraded and
the system was expected to be
in operation in September
2012.
The system has further been
rolled out at stations of
Rusumo, Kabanga, Bukoba,
Mtukula, Iringa, Chake Chake
and transit stations of Malawi
Cargo Centre (MCC)-Mbeya
and Makambaku. ASYSCAN
has been rolled out in all major
entry points covering 99% of
international trade transactions
of the country
Regional Authorities Digital Data
Exchange (RADDEX) system is being
upgraded and to improve clearance and
exchange of information between the
Revenue Authorities.
OUTCOME
port being an
improvement from
10 days and 15
days recorded
from quarter
ending June 2012
and a baseline
Time Release
Study conducted
in 2009
respectively.
At the Julius
Nyerere
International
Airport (JNIA),
the cargo
clearance time is 3
days being an
improvement from
4 days and 7 days
reported in the
quarter ending
June 2013 and a
baseline Time
Release Study
conducted in 2009
respectively.
Average cargo
clearance time
across land border
stations is 1 day
being the same as
recorded during
the quarter ending
55
S/
N
PROCEDURES
COMPLIANCE
MANDATE
PROBLEMS
& CHALLENGES
GOVERNMENT
DECISION
STATUS
Final testing of the developed system
commenced in 17th September 2012
which included resolving the setbacks
encountered during the initial test. The
testing of the system is expected to end
in October 2012.
OUTCOME
June 2013 and
improved from 2
days recorded by
TRS baseline
study conducted in
2009.
Training of the users is expected to
commence in October 2012 followed
by system implementation scheduled to
commence at the end of November
2012.
a). Construction work at Mutukula &
Holili Horohoro and Sirari started in
August
2011and
foundation
construction completed in November
2011. The construction completion
dates have been rescheduled to
December 2012 from earlier June 2012.
a) Bilateral Agreement for the
construction
of
OSBP
at
Kabanga/Kobero was signed by the
Ministers of Finance from Tanzania
and Burundi in October 2011.
Topographical Surveys and concept
design on the new site have been
done by an outsourced consultant.
Cadastral and Valuation Surveys
excises which will lead to a
Certificate
of
Title
and
compensation processes are in
56
S/
N
PROCEDURES
COMPLIANCE
MANDATE
PROBLEMS
& CHALLENGES
GOVERNMENT
DECISION
STATUS
progress
b) The construction of Rusumo OSBP
was expected to begin in July 2012
with expected completion date of
November 2014.
c) Site clearance and excavation in
preparation for the construction of
OSBP in Namanga began at the end
of February 2012 and the
construction of the OSBP is
expected to be completed early
2013
OUTCOME
1.1.1
d) World Bank has shown interest to
finance the establishment of OSBP
at Kasumulu. Preparation and
signing of Bilateral Agreement
between Tanzania and Malawi is in
progress
Tanzania Revenue Authority (Customs
and Excise Department) has extended
working hours to 24 hours in the
operating gates of the Dar es Salaam
port weekdays and up to 13 hours on
Saturdays. The negotiation on the
harmonization and extension of
working hours in other remaining
operations
activities
with
other
stakeholders is one of the agendas of the
Port Improvement Committee.
Government of Japan through JICA has
57
S/
N
PROCEDURES
COMPLIANCE
MANDATE
PROBLEMS
& CHALLENGES
GOVERNMENT
DECISION
iii.
Harmonize the
working days /
hours of agency
involved in
goods clearance.
iv. Review and
improve valuation
skills of TISCAN
/TRA staffs
STATUS
granted Technical Assistance for the
Capacity building for smooth operation
of RUSUMO OSBP.The JICA mission
visited Tanzania in May; 2013Iand met
all the stakeholders involved in
clearance of goods at Rusumo.
Implementation e-payment system
ASY-BANK system was upgraded to
version 2.0 to address security concerns
raised by banks. Three (3) banks
namely Diamond Trust Bank, Eco-Bank
and Exim Bank have successfully tested
system interface with TRA.
Asy-bank rolled out to EXIM Bank,
Diamond Trust Bank, Bank M, Citi
Bank and Standard Chartered Bank in
February 2012.
OUTCOME
The clearance time
from arrival of the
cargo to removal
for the quarter
ending September
2012 is 9 days at
DSM port being
an improvement
from 10 days and
15 days recorded
from quarter
ending June 2012
and a baseline
Time Release
Study conducted
in 2009
respectively.
At the Julius
CRDB, Barclays and NBC finalized Nyerere
testing phase in March 2012.
International
Airport (JNIA),
Tanzania Revenue Authority is in the the cargo
final stages of building Import Export clearance time is 3
Data Base which will be used for days being an
valuation
of
international
trade improvement from
transactions. Through training are been 4 days and 7 days
carried out to all staff expected to use reported in the
the system. The system is in use since quarter ending
December 2010.
June 2012 and a
baseline Time
1.Procurement and Implementation Release Study
of
Electronic Cargo Tracking conducted in 2009
respectively.
System(ECTS):
58
S/
N
PROCEDURES
COMPLIANCE
MANDATE
PROBLEMS
& CHALLENGES
GOVERNMENT
DECISION
STATUS
OUTCOME
Techno Brain awarded the tender in
July 2011; System procured and is
being customised; 5 vendors were
appointed in November 2011 to supply
e-seals and accessories (hardware);
Integration process of software and
hardware as well as testing is underway.
Average
cargo
clearance
time
across land border
stations is 1 day
being the same as
recorded during
the quarter ending
June 2012 and
The pilot implementation of ECTS improved from 2
commenced on 12th March 2012 and it days recorded by
is being monitored. It is expected to be TRS
baseline
fully operational on 1st July 2012.
study conducted in
2009.
The final ECTS Tanzania tender
document has been submitted to the
World Bank for no objection in August
2010. M/s Tecno Brain was awarded a
tender for developing the system.
Familiarization meeting between CED
management and the system developer
was conducted on 21st June 2011
Electronic fencing of the designated
routes was carried out by the
consultant.
Implementation
of The system was developed and tested
CDPO (Central Data
from March 2012 to June 2012
Processing
Office)
successfully.
System
The full operation (live running) of
the system is expected to commence
in October 2012
59
S/
N
PROCEDURES
COMPLIANCE
MANDATE
PROBLEMS
& CHALLENGES
GOVERNMENT
DECISION
STATUS
OUTCOME
Regular and formal Forums between
TAFFA Governing Council and
Customs Management established and
Its members meet on quarterly and
annual basis.
TRA
has
established
an
“electronic cargo
tracking system”
for
monitoring
transit cargoes.
Radio, TV programs, seminars and
brochures are used to Sensitization
stakeholders on Import and Export
Procedures.
The EAC Customs Management Act
(2004) Part 3 clause 24(1) has been
amended to require submission of
manifest to be 24 hours before arrival
of the ship.
Number of auctions for un-cleared
goods at the entry points particularly in
Dar Es Salaam Port has been increased
to twice a week compared to once a
week as done previously in to create
space at the port by removing un
cleared consignment on time.
8.
Payment of
Property Taxes (at
rate of 0.15% of
Property Value)
Statutory
i.LGAs estimates the
requirements and
value of the property
administrative
ii.Municipal
procedures
Councils/TRA
issue
demand notices (to the
property
owner)
indicating
the
chargeable tax.
iii.Payment is made direct
to Bank. Those who do
i.
Base property
taxation on
valuation
exercises
undertaken by
government
valuers and
LGA/TRA to
interface with
Land Registry.
Currently DSM LGAs have engaged From 01/07/2011,
Consultant firms to undertake property TRA is in the use
of M-Pesa (mobile
valuationexercise.
phone)
for
payment
of
TRA has implementing the use of
property
rate
taxes
and
individual
income tax and
and NMB Mobile are in use for the whereby currently
payment of property rate and individual NMB Mobile are
60
S/
N
PROCEDURES
COMPLIANCE
MANDATE
PROBLEMS
& CHALLENGES
not have TIN have to
apply for registration
for TIN.
GOVERNMENT
DECISION
STATUS
income tax.
ii.
Implement epayments.
As part of Sensitization programs; three
(3) Tax education programs for Ward
Secretaries were conducted as at 31st
December, 2011. Six (6) advertisements
in TVs, Radio and Magazines/News
papers were done.
OUTCOME
in use for the
payment
of
property rate and
individual income
tax
Payments of taxes
can now be made
through
all
commersal banks
for any amount
payable.
Valuation of Properties for taxation
purpose is based on market value. TRA
has
Amendment of the law has not passed
implemented the
use of mobile
phones for tax
payments whereby
currently
Vodacom M Pesa
and NMB Mobile
iii.
Enhance Tax
are in use for the
education
payment
of
property rate and
Implementors: MOF /
individual income
TRA; and MLHHSD
taxes.
Payment of taxes
through
other
mobile
phone
operators is at
emplementation
stages.
9.
Payment of City
Services Tax (at
rate of 0.30% of
turnover)
Statutory (Legal)
Process and
related
administrative
Provisional
Demand
Notice is prepared on
quarterly basis and sent to
taxpayer.
Taxpayers
Harmonise collection
with
Provisional
Corporate tax payment
and
implement
e-
This requires amendment of LGAs ByLaws. The task of reviewing the bylaws governing the City Services tax
collection is under the LGA and Not
61
S/
N
PROCEDURES
COMPLIANCE
MANDATE
procedures
PROBLEMS
GOVERNMENT
& CHALLENGES
DECISION
STATUS
make payment by check / payments
and
tax MOF nor TRA
cash; and receipts are payers education
issued to paper.
Implementor:
MOF/TRA
OUTCOME
62
MINISTRY OF HOME AFFAIRS
6.0 TRADING ACROSS BORDERS
S/N
PROCEDURE
MANDATE FOR
COMPLIANCE &
ACTIVITIES
PROBLEMS
&
CHALLENGES
GOVERNMENT
DECISION
EXPORT PROCEDURES
1.
Exporter apart
from securing all
the
necessary
permits, submits
the
following
docs
i. Packing list
of
the
consignment,
with
specification
ii. Export
invoice
issued
by
exporter
to
the buyer
iii. A
contract
between
CF&A
to
process
exportation
iv. Shipping
Order issued
by shipping
agent
v. single bill of
i. Handing over
i) Customs System QUICKWIN MEASURES
docs to CF&A
failure
i. Improve ASSYSCAN
ii. Collect
ii) Unreliable
system
shipping order
power supply
ii. Improve power supply
from shipping
iii) Delays caused
iii. Improve port clearance
agent
by port
efficiency
iii. Lodge docs to
congestion
iv. Speed up expansion of
customs online
Kurasini Terminal
 Mismatch
iv. Customs
v. Allow general cargo
between
physical
areas to handle
completion
verification of
containers
of
docs and
documentat vi. Maximize utilization of
consignment
licensed ICDs and CFS
ion and
v. Customs issue
vii.
Continue awareness
loading
release order
program for the
consignme
vi. Process port
developed system among
nt into
charges and pay
the stakeholders
respective
vii. Loading of
viii. To establish new Tanga
booked
consignment
ship
Port (Mwambani) and
and collect B/L
 Inadequate
New Mbegani Port
loading and
(Bagamoyo) and
It takes 5 working
offloading
Expansion of Mtwara
days to complete
working
Port
the process
tools
ix. Speed up development
of compatible ICT
iv) Presence of ICT
STATUS
1.
TRA is in a process of
acquiring and introduce a new
Customs clearance system which
will be linked to the single window
system expected to be established
under Port Community System.
TRA is in the process of acquisition of
an Automated Cargo Management and
Integrated Risk Management systems
which will improve the risk
management on cargo clearance and
management of the goods at the entry
points.
Development of these systems was
accomplished in September 2012. The
Team of experts from Korea is
conducting the training of users from
September 2012 to November 2012.
The system is expected to be ready
installed and working by the end of
November 2012.
The establishment of Port Users
Community ICT Platform for
computerization of TPA operations
OUTCOME
Harmonized
Cargo Clearence
Procedures – a
guide elaborating
manual clearance
of cargo through
the
Tanzania’s
border has been
prepared
and
verified
since
September, 2012.
Similarly,
the
Harmonised
Guide
to
Clearence
of
Cargo at the One
Stop Centre at the
Port of Dar es
Salaam has also
been completed
and verified with
the
help
of
63
S/N
PROCEDURE
entry
MANDATE FOR
COMPLIANCE &
ACTIVITIES
PROBLEMS
&
CHALLENGES
systems that are
not compatible
in institutions
responsible for
export
v) Poor
Accessibility
infrastructure to
and from Port
GOVERNMENT
DECISION
systems
MEDIUM
TERM
MEASURES
i.
ICT systems used by
secondary
service
providers like clearing
and forwarding agents
should be compatible
with those by TRA.
ii.
Computerization of TPA
operations
that
are
manual at present should
be
compatible
and
interface with TRA.
iii.
To maximize utilization
of ICDs and CFS the
ICDs should be allowed
to store and hold exports
and imports while cargo
clearance processes are
ongoing so as to reduce
problem
of
overcongestion of the Port.
iv.
Tanzania
Ports
Authorities,
Tanzania
Revenue Authority and
Internal
Container
Depots should work
together on the issue of
compatibility of their
electronic systems
 to bring about smooth
STATUS
currently provided through manual
processes; will enable TPA, TRA,
ICDs
and
Custom
Agencies
(Clearing and Forwarding Agents) to
work together through compatible
electronic systems to bring about
smooth data interchange that is
necessary to improve and expedite
operations in the ports.
OUTCOME
USAID Compete.
TPA submitted Tender documents for
procurement of the port community s
ystem in April 2010. The documents
were put on hold pending recruitment of
project implementation team. The team
was successfully recruited and started
work on the project in November
2010.Three staff recruited were: the
project Team manager, Principal
Business Analyst, and ICT Specialist.
Following their recruitment, the Tender
documents were re – submitted in the
same month of November 2010.
2.
Procurement of cargo and Risk
Management systems:
Harmonized
b) Business Processing Re-engineering Cargo Clearence
on both Cargo and Risk Management
Procedures – a
systems completed on February
guide elaborating
2012. Development of system
manual clearance
prototype is underway
of cargo through
64
S/N
PROCEDURE
MANDATE FOR
COMPLIANCE &
ACTIVITIES
PROBLEMS
&
CHALLENGES
GOVERNMENT
DECISION
data exchange that is
necessary to improve
and
expedite
operations.
 Review further the
medium
term
recommendations of
the Task Team with
a
view
to
undertaking
more
detailed analysis and
coming up with
concrete
recommendations
for implementation.
 Improve railway and
road transport to and
from ports to various
ICDs.
2.
Documents
1. Single bill of
entry attached
with above 5
docs (Invoice,
B/L etc)
1.
Inspection
of genuineness of
the documents
 Examine and
verify tariff
classification
 Examine Permits
i) Export license
mentioned in
DB 2010 report
as requirement
in export
process is not
Implementors: TRA;
MoID/TPA; ICDs and All
OGDs (Other Government
Departments involved in the
Port).
Short term Measures
i) World Bank to be advised
to amend 2011 report and
omit this document ( as
part of consultation of
doing business 2011
research team)
STATUS
OUTCOME
3. Regional Authorities Digital Data
Exchange(RADDEX) system is
being upgraded and expected to
be in operation be end of March
2012.
the
Tanzania’s
border has been
prepared
and
verified
since
September, 2012.
4. Implementation One Stop
Border Post Management.
a) The construction works of OSBP
at Horohoro, Holili, Sirari and
Mutukula are on progress and
expected to be completed in
December 2012.
b) Bilateral Agreement for the
construction of OSBP at
Kabanga/Kobero was signed by
the Ministers of Finance from
Tanzania and Burundi in
October 2011.
Similarly,
the
Harmonised
Guide
to
Clearence
of
Cargo at the One
Stop Centre at the
Port of Dar es
Salaam has also
been completed
and verified with
the help of the
USAID Compete.
c) JICA supported 4 vehicles, 2
motorcycles, 1 boat for the joint
patrol operation to be
administered at Kabanga,
Namanga and Lake Victoria in
Feb-March 2012.
d) Action plan for the preparation
of Bilateral Agreement between
Tanzania and Malawi
government on implementation
65
S/N
PROCEDURE
MANDATE FOR
COMPLIANCE &
ACTIVITIES
of goods
 Examine Packing
list,
 Examine and
verify value of
goods
2. Physical
inspection of
consignment by
Customer officer,
Agriculture
Officer, TFDA,
TBS,
Government
Chemists Agency
, National
Security (TISS),
Export agent, etc
and issue release
order
2 working days
3.
Documents
(i) Shipping
order
(ii)Declaration
and
Disposal
Order
(D&DO)
1.
Documents
Check and
verification
 Check customs
documents and
other permits
 Check shipping
documents
 Check packaging
according to
PROBLEMS
&
CHALLENGES
applicable
ii) Other
Government
Departments
(OGDs)
involved in
export process
operating from
different and
scattered
premises
iii) Customs
System
failure/unreliabl
e power supply
i. All
documentation
processes are
manually
processed by
TPA leading to
delays
ii. Frequent port
congestion
GOVERNMENT
DECISION
ii) To establish single window
for all OGDs dealing with
export process
iii) Improve ASSYSCAN
system
Quickwin Measures
Establish single window
location for all “Other
Government Departments OGDs” involved in
verification of documents and
inspection of consignment to
expedite the process. Ministry
of Infrastructure consider
provision of suitable premises
for this purpose.
Implementors: TRA;
MoID/TPA; All OGDs (Other
Government Departments
involved in the Port.
SHORT TERM
MEASURES
i. TPA to embark on
automation and link to Other
(OGDs)
ii. Improve /acquire enough
working equipment
(Loading/offloading cranes
etc)
STATUS
OUTCOME
of OSBP at Kasumulu-Songwe
border prepared in March 2012.
5. Implementation e-payment
system
ASY-BANK system was upgraded to
version 2.0 to address security
concerns raised by banks. Three (3)
banks namely Diamond Trust Bank,
Eco-Bank and Exim Bank have
successfully tested system interface
with TRA.
Asy-bank rolled out to EXIM Bank,
Diamond Trust Bank, Bank M, Citi
Bank and Standard Chartered Bank
in February 2012.
CRDB, Barclays and NBC finalized
testing phase in March 2012.
6. Procurement and
Implementation of Electronic
Cargo Tracking
System(ECTS):
Techno Brain awarded the tender in
July 2011; System procured and is
being customised;5 vendors were
appointed in November 2011 to
supply e-seals and accessories
66
S/N
PROCEDURE
(iii) Single bill
of entry
(iv) Release
order
MANDATE FOR
COMPLIANCE &
ACTIVITIES
PROBLEMS
&
CHALLENGES
International
Maritime
Organization
(IMO)
Regulations
2. Check port dues
paid
3. Loading
consignment
into ship
Total 1 working
day
GOVERNMENT
DECISION
Quickwin Measures
(hardware); Integration process of
software and hardware as well as
testing is underway.
Computerisation of TPA
operations and linkage of their
systems with OGDs (Other
Govt Departments) to
facilitate Electronic Data
Interchange
The pilot implementation of ECTS
commenced on 12th March 2012 and it
is being monitored. It is expected to
be fully operational on 1st July 2012.
Implementors: TRA;
MoID/TPA; All OGDs (Other
involved in the Port.
IMPORT PROCEDURES
3.
Documents
 Invoice
 Gate pass
 WES
(Identify
consignments
stored at the
port for long
time for being
auctioned by
customs)
 Planning meeting
(announcement of
arriving ships)
 Outer anchorage
 Tallying process
against the
manifest
 Transfer
consignment to
storage area
 Sign VIR by
shipping agent
i) Many
consignment are
not released
within 7 days
free storage
period
ii)
Time to
lodged manifest
as stipulated in
the law (within
24 hours ) after
docking is too
short
STATUS
Short-term measures
i. Sensitize customers on
importance of clearing
goods in time (seven
days)
ii. Increase of penalties who
delays to clear their
consignment within 7 days
of free storage
Medium-term measures
i. Establishment of an
Electronic link (ASYSCAN) between key
players (TRA, TPA, TBS,
Currently TRA has introduced a new
system PAD (Pre Arrival Declaration) in
place of ASYSCAN. The new system
allows importers to lodge their
importation documents remotely
provided the internet facility is available.
The system has eliminated the double
lodgement of documents between
TISCAN and Customs.
In addressing the system downtime
TRA has acquired a backup link to
support the system and increased the
bandwith to accommodate needs of the
system users.
General Cargo System: TPA had
appointed SGS to work on the
Manifest. SGS however requested for a
period of six months to work on the
manifest which TPA considered too
long. TPA advertised the tender and
only one bidder responded. TPA is in
the process of evaluating the tender
OUTCOME
24
hrs
operations
at
the Port of Dar
es
Salam,
enhanced.
67
S/N
PROCEDURE
MANDATE FOR
COMPLIANCE &
ACTIVITIES
PROBLEMS
&
CHALLENGES
iii)
WES,
consuming space
at the port.
GOVERNMENT
DECISION
TFDA etc )
ii. Fast track the
establishment of port
community system to be
used by major port
players)
Long-term measures
Review of Customs
Management Act (2004)
part 3 clause 24(1) on time
for submitting manifest by
shipping agents (24 hrs after
ship arrival). Shipping line
to be required to release
manifest at least 72 hours
prior docking.
Short term measures
i. TRA to remove un-cleared
consignments in time to
create space.
ii. TPA to submit WES to
TRA in time;
Quickwin Measures
i. Establish single window
location for all “Other
Government Departments OGDs” involved in
verification of documents
and inspection of
STATUS
OUTCOME
document and evaluation report is
expected in the second week of April.
TPA has already identified the area for
construction of Bandari House which
will accommodate all the stakeholders
in the Port (combining inspection by
OGDs on basis of one-stop shop
services).
Pre – Qualification Notice for the main
Contractors and Security sub –
Contractors were put in the Newspaper
on 15th March 2011 due to the long
period
taken
since
the
1st
Prequalification notice in June 2008
and the change in the building height
from 30 to 35 storeys, the the main
contarctors and sub contractors have
been requested to confirm and updates
their previous submitted information.
TPA is in the process of evaluating the
tender document.
iii) TRA is in a process of acquiring
and introduces a new Customs
clearance system which will be linked
to the single window system expected
to be established under Port
Community system. Currently TRA
has introduced a new system PAD (Pre
Arrival Declaration) in place of
68
S/N
PROCEDURE
MANDATE FOR
COMPLIANCE &
ACTIVITIES
PROBLEMS
&
CHALLENGES
GOVERNMENT
DECISION
consignment to expedite
the process. Ministry of
Infrastructure consider
provision of suitable
premises for this purpose.
STATUS
ASYSCAN. The new system allows
importers to lodge their importation
documents remotely provided the
internet facility is available.
OUTCOME
24
hrs
operations at
the Port of Dar
es
Salam,
enhanced.
ii. Sensitization of Customers Actual implementation of ECTS
on Import and Export started on 01st July, 2012. Currently
Procedures
the system has been rolled out to
Medium Term Measure
Work on interface and
compatibility
of
electronic systems at
TRA, TPA, TBS, TFDA
and Other Government
Departments (OGDs)
Implementors: TRA
(Tanzania Revenue Authority)
and TPA (Tanzania Ports
Authority).
three transit routes namely: Dar es
Salaam – Kasumulu, Dar es Salaam
– Kabanga and Dar es Salaam –
Rusumo.
POLICY AND ADMINISTRATIVE
IMPROVEMENTS:
The EAC Customs Management Act
(2004) Part 3 clause 24(1) has been
amended to require submission of
manifest to be 24 hours before arrival
of the ship.
Regular and formal Forums between
TAFFA Governing Council and
Customs Management established and
Its members meet on quarterly and
annual basis.
Number of auctions for un-cleared
69
S/N
PROCEDURE
MANDATE FOR
COMPLIANCE &
ACTIVITIES
PROBLEMS
&
CHALLENGES
GOVERNMENT
DECISION
STATUS
OUTCOME
goods at the entry points particularly in
Dar Es Salaam Port has been increased
to twice a week compared to once a
week as done previously in to create
space at the port by removing
uncleared consignment on time.
Feasibility study on Kisarawe freight
stations;
Adding 2 more gates in each side for
both entry and exit of transit cargo
trucks.
ONE STOP CENTRE
The Government through the
Tanzania Ports Authority (TPA) has
introduced “One Stop centre” service
delivery concept at the ports, starting
with the Port of Dar es Salaam since
February, 2012, by accommodating
six (6) MDAs Officers for a start of
“One
Stop
Centre’s
manual
operations” through the funding from
USAID Compete in support of trade
facilitation.
The six (6) MDAs located at the Stop
includes; TRA, TBS, TFDA,
Ministry of Health and Social
70
S/N
PROCEDURE
MANDATE FOR
COMPLIANCE &
ACTIVITIES
PROBLEMS
&
CHALLENGES
GOVERNMENT
DECISION
STATUS
OUTCOME
Welfare; Ministry of Agriculture;
Ministry of Tourism; Ministry of
Livestock Development.
The One Stop Centre (OSC) at the
Dar es Salaam Port was officialy
launched on the 26th of July, 2012,
by the Minister for Investment and
Empowerement under the Prime
Minister’s Office, Hon. Dr. Mary
M. Nagu.
This is however a very initial stage of
the “One Stop Centre” concept which
is operating under a manual basis in
the short run, before having an
interfaced
electronic
services
delivery based on establishment of a
Ports Community System.
AWARENESS CREATION
Radio, TV progranms, seminars and
bronchures are used to Sensitization
stakehoklders on Import and Export
Procedures.
PARKING YARD AT KURASINI
FOR CARGO TRUCKS
The Tanzania Ports Authority (TPA)
will enjoy the privilidge extended by
the Temeke Municipality for the
development of a parking yard at an
71
S/N
PROCEDURE
MANDATE FOR
COMPLIANCE &
ACTIVITIES
PROBLEMS
&
CHALLENGES
GOVERNMENT
DECISION
STATUS
OUTCOME
area of apprx. 7 ha. at the Kurasini,
Shimo la Udongo. The said parking
yard will ease up heavy congestion
caused by cargo trucks that are
entering or exiting the Port, for
custom services. The Temeke
Municpality will receive funds from
the Tanzania Investment Bank (TIB)
for laying out the construction works
and compesenting the former Shimo
la Udongo’s residence.
4
Documents
i. Check Tariff
classification
 Single Bill of
ii. Ascertainvalue
Entry and
&issue
attachments
assessment note
(if the value is
(1 day)
above USD
iii. Payment of
2,500-CVR,
taxes through
Bill of
BanksSubject
Lading,
payment docs to
invoices,
risk profiling
packing list);
system
Below USD
(Instantly)
2,500 and
exempted goods iv. Physical
verification or
does not need
scanning for
CVR; Permits
risky goods or
for restricted
direct release for
goods (TFDA,
non risk goods
TBS, Chief
(1 day).
Chemists)
v. Issue release
i.
Physical
verification and
risk assessment
is time
consuming
ii.
Lodging
same documents
to different
institutions/auth
orities is time
consuming and
costly
iii.
Import
Licenses used in
assessment as
requirement are
not applicable in
importation
instead the
Business
Short term measures
i.
Enhance Compliant
Traders Scheme to
motivate other traders;
ii.
Establish single
window for all
institutions
responsible for
verification and
permits at the port and
at boarders;
iii.
Create awareness on
port clearance
processes among
institutions
responsible for service
delivery;
iv.
World Bank to be
advised to eliminate
import license
requirement; and
i. The scheme has been expanded to
include transporters in the
scheme.
Propcesses are underway to
migrate to Authorised Economic
Operators (AEO) under EACWCO Modernization programme.
The EAC has successfully launched
the WCO-EAC AEO pilot with 13
operators. The programme
was
officially launched on the 18th
April, 2013 in Dar by the
Permanent Secretary for the
Ministry of East Africa Community.
In the Regional pilot programme,
Tanzania has two companies
namely BAKHRESSA and SUPER
STAR TRANSPORT, the Border
posts selected for piloting on
Tanzania are, Rusumo, kabanga
24
hrs
operations at
the Port of Dar
es
Salam,
enhanced.
72
S/N
PROCEDURE
MANDATE FOR
COMPLIANCE &
ACTIVITIES
order term
solution
PROBLEMS
&
CHALLENGES
License which is
issued once for
life.
GOVERNMENT
DECISION
v.
vi.
Certificate of Origin is
not necessary.Can be
removed from the
requirement.
Computerisation of
TPA operations and
linkage of their
systems with OGDs
(Other Govt
Departments) to
facilitate Electronic
Data Interchange.
STATUS
and Dar port.
OUTCOME
24
hrs
operations at
the Port of Dar
es
Salam,
enhanced.
Implementors: TRA; TPA;
All OGDs; and Shipping
Company/Agencies; Clearing
and Forwarding
Companies.
5.
Documents
 Letter of
contract
between
Agent and
Importer
 Bill of Lading
 Invoice
 Packing List
iv. Submission of 1. Short
–term
 Delay
of
shipping
transferring
document to
money to TRA
clearing Agent
by the Financial
For consignment
Institutions.
valued above
Cheque takes up
USD 2,500),
to 3 days.
v. Lodging of
 Manual
document to
operations at
TISCAN
TPA.
electronically for
2. Immediate
measures

Expedite money
transfer or clearance
through BOT electronically.

Expedite development
of single window where all
other Government
Departments can operate in
one ro
 Commercial Banks have improved
their services of transferring money
to the Central Bank. The problem
has been eliminated.
 The EAC Customs Management
Act (2004) Part 3 clause 24(1) has
been amended to require
submission of manifest to be 24
hours before arrival of the ship.
73
S/N
PROCEDURE
MANDATE FOR
COMPLIANCE &
ACTIVITIES
PROBLEMS
&
CHALLENGES
establishing IDF
 Multiple
(Get IDF
verification of
Number) (1 day)
Manifest and
 Getting TZDAR
Gate passes
Registration
Number (1 day)3.  Inaccurate
 Getting PCVR
information and
from TISCAN
data submitted
and return the
to World Bank
document to
Researchers by
Agent
people/institutio
electronically (1
ns without
day)
updated
information on
 Stamp return to
Trading Across
TISCAN
Boarders
 Issue CVR by
4. Short –term
TISCAN
( 1 day)
(At least 4 working
days)
vi. Lodge CVR and
other documents
to customs (Letter
of contract with
Agent, Bill of
Lading, Invoice,5.
Packing List)
vii.
Assess the
consignment (2
days)
viii.
Make
payment through
Implementors:
BOT;
TRA;
GOVERNMENT
DECISION

Improve process for
manifest and gate pass
verification by reducing
number of verification
offices.
Long-term measures
 Review of Customs
Management Act (2004)
part 3 clause 24(1) on time
for submitting manifest by
shipping agents (24 hrs
after ship arrival) and it is
proposed that Shipping line
to be required to release
manifest at least 72 hours
prior docking.
measures

We recommend that
Tanzania Freight
Forwarders Association
(TAFFA) get registered
with WB – Doing Business
as partners for more
accurate information in this
area
Quick WinMeasures
 Consultations between
TAFFA and World Bank
research team regarding
procedures involved in
documentation and the
duration involved to be
STATUS
OUTCOME
The Government through the
Tanzania Ports Authority (TPA) has
introduced “One top centre” service
delivery concept at the ports, starting
with the Port of Dar es Salaam since
February, 2012, by accommodating
six (6) MDAs Officers for a start of
“One
Stop
Centre’s
manual
operations” through the funding from
USAID Compete in support of trade
facilitation.
The six (6) MDAs located at the Stop
includes; TRA, TBS, TFDA,
Ministry of Health and Social
Welfare; Ministry of Agriculture;
Ministry of Tourism; Ministry of
Livestock Development.
This is however a very initial stage of
the “One Stop Centre” concept which
is operating under a manual basis in
the short run, before having an
interfaced
electronic
services
delivery based on establishment of a
Ports Community System.
The One Stop Centre (OSC) at the
Dar es Salaam Port was officialy
launched on the 26th of July, 2012,
by the Minister for Investment and
74
S/N
PROCEDURE
MANDATE FOR
COMPLIANCE &
ACTIVITIES
PROBLEMS
&
CHALLENGES
Bank Transfer for
amount above
Tshs. 5 million. (2
to 3 days)
ix. TRA issue
electronic notice
for physical
verification of the
consignment (1
day)
x. Handover bill of
lading to shipping
agent and get
delivery order
after payment of
charges
xi. Issuance of
release order by
customs
xii.
Lodge
Release Order,
Delivery order,
Customs
assessment from
customs and
shipping agent to
TPA and fill in
D&DO to get
TPA charge
invoice (1 day)
TPA;
Immigration
Department;
OGDs; TAFFA;
and
Commercial
Banks.
Some
of
procedures
GOVERNMENT
DECISION
undertaken as part of data
collection and analysis for
Doing Business 2011
report. For instance,
Import Licenses are no
longer an issue while they
feature in the Doing
Business report.
 TPA and its
stakeholders should work
together to harmonize and
reduce the multiplicity of
Gate passes and move
towards a single gate pass
to improve operations and
reduce time involved in
processing gate passes.
 Establish single
window for the operations
of all OGDs
STATUS
OUTCOME
Empowerement under the Prime
Minister’s Office, Hon. Dr. Mary
M. Nagu (MP).
the
are
75
S/N
PROCEDURE
MANDATE FOR
COMPLIANCE &
ACTIVITIES
PROBLEMS
&
CHALLENGES
GOVERNMENT
DECISION
STATUS
OUTCOME
STATUS
OUTCOME
simultaneous
and
the whole processe
can be accomplished
in 5 days if importer
complies fully.
S/N
PROCEDURE
MANDATE FOR
COMPLIENCE &
ACTIVITIES
PROBLEMS &
CHALLENGES
GOVERNMENT
DECISION
INLAND TRANSPORT
6.
Transport inland
(Multimodal
Transport
Capacity)
 Few truckers for
transportation of
consignments
 Presence of many
road blocks
 Many
weigh
bridges
i.
That all (permanent) Exercise of eliminating permanent
roadblocks
be blocks has started. Along Dar es
eliminated across the Salaam – Rusumo Road the
country
with roadblocks has been reduced from 50
immediate effect with blocks to 15 blocks. The remaining
the exception of blocks are:
roadblocks located at
weighbridge stations  Dar es Salaam – Uhasibu
and border posts; and  Coast – Kibaha (weighbridge)
and Misugusugu
76
S/N
PROCEDURE
MANDATE FOR
COMPLIENCE &
ACTIVITIES
PROBLEMS &
CHALLENGES
GOVERNMENT
DECISION
ii. That the Chairman of
the
Permanent
Secretaries
Task
Force, the Permanent
Secretary for the
Ministry of Home
Affairs
and
the
Commissioner
of
Police,
Traffic
Department, Should
embark on a joint tour
of: the Dar es Salaam
to Rusumo highway;
the Dar es Salaam to
Tunduma high; etc
etc with a view to
satisfying themselves
on the prevailing
status
of
mobile
roadblocks and for
informed
implementation
of
this directive
ii.
iii.
iv.
Improve central
railway line and road
transport to various
ICD outside Dar es
Salaam.
Replace mechanical
weighbridges with
electronic
weighbridges
Road Humps:
STATUS







OUTCOME
Morogoro: Mikese and Mkundi
(weighbridge)
Dodoma: Nala ( weighbridge) and
Kibaigwa (Police Checkpoint)
Singida: Njuki (weighbridge) and
Misigiri(Police Checkpoint)
Tabora: Igunga and Nzega (Police
Checkpoints)
Shinyanga: Mwendakulima
(weighbridge) and
Isaka (Police Checkpoint)
Kagera: Nyakahula (weighbridge)
and Lumasi (Police Checkpoint)
The Guardian News Paper, August,
3rd, 2012 issued an advertisement
that says “The Tanzania Police Force
has informed all the stakeholders
involved in transportation of goods
from the main Port of Dar es Salaam
usind the Dar es Salaam – Rusumo
Highway that it has now reduced the
number of check points along the
Highways.
Please inform if you have been
stopped outside the Checkpoints
listed and send an SMS or Please
Call: 0656 111 444, 0173 631 780
and 0732 928 723”
In this regard, the idea is to put
minimum of 2 police checkpoints in
every Region along the Highway for
77
S/N
PROCEDURE
MANDATE FOR
COMPLIENCE &
ACTIVITIES
PROBLEMS &
CHALLENGES
GOVERNMENT
DECISION
standardize
construction design
and number to
minimize car
damage.
v. At border entry/exit
points where TRA,
Immigration and
Police are stationed,
it is important to
appoint an official to
be in-charge of the
station to ensure
efficient operations
vi. Review of
SUMATRA Act on
controlling and
handling of Shipping
Line and Shipping
Agents
MEDIUM TERM
i. Noted the multiplicity
of road blocks (more
14 between Dar and
Dodoma and as many
as 39 stops between
Dar and Tunduma).
ii. All cargo and vehicle
inspections to be
located at Weigh
Bridge Stations and
Border Posts only and
all Departments place
STATUS
OUTCOME
both entrence and exit.
In the meantime the Tanzania Police
Force has been communicating wit
the CCTTFA (Central Corridor
Transit
Transpot
Facilitation
Agency) at the level of conducting a
feasibility study to further reduce the
15 check points above stipulated to
three (3) to be located at Vigwaza,
Kondoa and Nyakanazi.
Procurement processes had already
begun and communication devices
which alredy have been procured to
assist the Police Force is as follows;
 Redio for exchanging of
communication;
 Data query system/server;
 Blackberry mobile phones to
be used as a device to query
data from tracks information
and directly from the
database;
 some computers to
operationalize the system
The idea is to put all cargo and
vehicle inspection at weighbridge
stations and Border Posts only and all
Departments place their personnel for
various mandatory inspections.
This needs a legal backing (TRA,
78
S/N
PROCEDURE
MANDATE FOR
COMPLIENCE &
ACTIVITIES
PROBLEMS &
CHALLENGES
GOVERNMENT
DECISION
STATUS
their personnel for
various mandatory
inspections in those
stations.
iii. Vehicle parking yards
at Weigh Bridge
stations to be
expanded to reduce
congestion resulting
from trucks from
queues at Weigh
Bridges
iv. Weigh Bridges to
ensure that screens that
show the weight to
truck drivers and other
stakeholders are
revived to improve
transparency in
operations.
Measures to reduce the
number of road bumps be
undertaken to facilitate
smooth traffic flow on
highways.
Police/Traffic, Road safety etc), and
it will be taken care in Road Safety
Act. Police is also working on the
permanent and temporary roadblocks
which are according to the police
regulations and which being misused
by Police on duty. The exercise of
eliminating permanent road blocks
has started. By 30th June, 2010, only
16 permanent blocks are remaining.
OUTCOME
The Ministry of Home Affairs has
obtained financial support from
Investment Climate Facility (ICF)
towards improving the current
conditions of roadblocks. Preparatory
measures for implementing this
project have already started.
Implementors: MoID /
TANROADS; MOHA /
Immigration Dept /
POLICE;
SUMATRA, TPA; and
TRA.
79
S/
N
NAME OF THE
OSBP
ACTIVITY/
OUTPUT
IMPLIMENTING
AGENT
REMARKS/
CHALLENGES
IMPLIMENTATION STATUS
ONE STOP BORDE POSTS (OSBPs)
1.
TUNDUMA/
NAKONDE
Prepare
design
concept
and
detailed
works
plans (drawings),
carry
out
environmental
impact study and
supervise
construction.
TRA / TMEA
The problem of Trucks
congestion at the border in
Tanzania’s side is caused by
lack of adequate parking at
Nakonde in Zambia side. Some
trucks have been cleared on
Tanzania side but have to wait
for permission to enter
Zambia.
It is likely that the funds
allocated for this project will
not cover construction of staff
houses. This issue needs to be
raised
to
TMEA
for
confirmation.
i. Valuation has been completed and approved by
the Government Valuer
ii. Compensation to affected residents at Tunduma
OSBP area, Chapwa area that is earmarked for
residential Houses andMpemba; the area
earmarked for truck parking have been done
save for two persons who raised disputes on
their compensation figures.
iii. Selection of the Consultant to undertake
Design and Supervision is expected to
complete before end ofMay,2013.
Status to date
i. The Evaluation report for the Combined
Financial and Technical Proposal has been
submitted to TMEA for approval and the
Consultant is expected to be on board before
end of May, 2013.
ii. A total of TSh 1,417,783,596/=was set aside
for compensation to affected residents out of
which TSh. 1,170,797,860/= waspaid and the
remaining
balance
was
disputed.
Compensation was done in January, 2013.
Construction Works are expected to start in
December, 2013
80
S/
N
2.
NAME OF THE
OSBP
KABANGA /
KOBERO
ACTIVITY/
IMPLIMENTING
OUTPUT
AGENT
Work with MDAs to TRA
address
pre
construction issues
and provide TA to
coordinating MDAs
REMARKS/
CHALLENGES
Kabanga OSBP requires a
reliable water and Power
Supply Sources.
OSBP designed and
constructed, and
equipment and ICT
systems installed at
KABANGA/KOBE
RO
Integrated Border
Management (IBM)
systems
implemented at
KABANGA
i)
Bilateral agreement signed by the two Finance
Ministers.
ii) Construction site has been identified at Nzaza
Area;
Prepare
design
concept and detailed
works
plans(drawings),carr
y out environmental
impact study and
supervise
construction
OUTPUT:
iii) Concept design and Cadastral Survey has been
completed.
iv) Valuation report for compensation of affected
residents have been approved by the
Government Chief Valuer and certified by
Kagera Regional and Ngara District
Commissioners.
i. Trainings on procedures and
ICT
Connectivity
and
Integration
for
Kobero/Kabanga OSBP staff
were done in November,
2012.
Status to date
A total of TSh. 1,035,032,120/22 was paid in
compensation to affected residents. The
compensation exercise went smoothly without
dispute and was done in February, 2013.
ii. Interim OSBP operations at
Kobero/Kabanga on pilot i. GMP Consulting Engineers have been engaged
by TMEA for the Design and supervision of
basis are expected to start by
OSBP Infrastructures.
end of June, 2013.
Staff from Border Agencies ii. The stakeholder’s workshop approved final
design and tendering was done in October,
who will relocate from
2012.
Kabanga to Kobero and
Kobero to Kabanga have been iii. Drawings for OSBP were approved by Local
Council and Building Permit was obtained.
identified.
81
S/
N
3.
NAME OF THE
OSBP
HOLILI/
TAVETA
ACTIVITY/
OUTPUT
ACTIVITIES:
Carry
out
construction
of
infrastructure
facilities and staff
housing
as
per
construction contract
and purchase and
install
baggage
scanners, equipment
and
computer
networks
OUTPUT:
OSBP designed and
constructed, and
equipment and ICT
HOLILI/TAVETA
IMPLIMENTING
AGENT
TRA/TMEA
REMARKS/
CHALLENGES
i. Main building at 97% of completion
ii. Road, inspection sheds and parking yard are at
80% and 90% completion. Overall progress is at
90% of completion.
iii. TMEA granted approval of additional funds for
construction of a Chain link fence for the OSBP
control zone. A contract addendum has been
issued to the contractor for the works.
iv. TMEAprocessed procurement and supply of
furniture, computer and ICT networks. These are
due for delivery , installation and commissioning
in May 2013
v. Expected completion date as per approved
extension is expected to be 2nd May, 2013
Integrated Border
Management system
(IMB) installed at
HOLILI
OSBP – Main building as of August, 2012.
82
S/
N
NAME OF THE
OSBP
ACTIVITY/
OUTPUT
IMPLIMENTING
AGENT
REMARKS/
CHALLENGES
OSBP – Verification Shed for cargo trucks
inspection
TRA has already started the process for
acquisition of Baggage Scanners through TRA
Tender Board, and when the vendor is obtained,
will request TMEA to grant No Objection and
also finance the procurement.
4
MUTUKULA
/MUTUKULA
ACTIVITIES:
TRA/TMEA/
Carry
out IMMIGRATION
construction
of
infrastructure
and
install
baggage
scanners, equipment
and
computer
networks
Organize
and
i.
The works are delayed i. Main Building is at 90% of completion.
because
of late
site
handover, also problem in ii. Road, Inspection shed and Park Yard works are
harmonization of road
at 60%, 40% and 30 %
of completion
works with Uganda.
respectively.
ii.
Prefabricated offices were
iii. Start of civil works was delayed while waiting
supplied in August, 2012.
for the supply of prefabricated containers to
accommodate both TRA and Immigration
Resolution
of
Land
iii.
83
S/
N
NAME OF THE
OSBP
ACTIVITY/
OUTPUT
support
IBM
activities
IMPLIMENTING
AGENT
REMARKS/
CHALLENGES
Disputes and Compensation
process took long to
complete.
offices before demolition of the existing old
building in order to pave way for OSBP site.
Overall progress is at 70 % of completion.
OUTPUT:
OSBP designed and
constructed,
and
equipment and ICT
MUTUKULA/MUT
UKULA
5.
SIRARI/
ISIBANIA
Integrated
Border
Management
system(IMB)
ACTIVITIES
TRA/TMEA
Carry
out
construction
of
infrastructure (main
building, inspection
shed, road works,
parking areas, data
works,
security
posts,
security
systems,
cooling
systems, water and
sewerage
systems
etc).
OUPUT:
Border
agencies
improves efficiency
of cross border
processing
at
SIRARI/ISIBANIA
iv.
iv. TMEA will supply furniture and ICT
The Minister of Finance
Equipment’s.
wrote a letter to Minister of
Energy requesting him to v. Reliable power supply from TANESCO is still
see possibility of using
a challenge
electric
power
from
Uganda.
vi. The revised completion date for the whole
project is 30th May , 2013

The works are delayed
because of problem in
harmonization of road works
with Kenya.

Late approvals for
demolishen of TANROAD
and Police Infrastructures
i. Main building is at 90%.
ii. Road works, inspection shed and park yard are
at
at 65%, 50% and 30% of completion
respectively. Overall progress is at 75 % of
completion.
iii. The World Bank may supply furniture,
computer and ICT Infrastructures.
iv. Training on IBM and Procures may be done
with Support of TMEA/IDA.
Revised completion date for the whole project
is expected to be 30th April,2013

The works are delayed because of problem
in harmonization of road works with Kenya.

Late approvals for demolishen of
TANROAD and Police Infrastructures
84
S/
N
6.
NAME OF THE
ACTIVITY/
IMPLIMENTING
OSBP
OUTPUT
AGENT
HOROHORO/LU ACTIVITIES:
TRA/TMEA
Carry
out
NGALUNGA
construction
of
infrastructure (main
building, inspection
shed, road works,
parking areas, data
works,
security
posts,
security
systems,
cooling
systems, water and
sewerage
systems
etc).
OUTPUT:
7
RUSUMO
/RUSUMO
Border
agencies
improves efficiency
of cross border
processing
at
HOROHORO/LUN
GALUNGA
ACTIVITIES:
TANROADS
ACTIVITIES:
Detailed engineering
design
and
subsequent
Construction of a
new two lane bridge
and construction of
OSBP, the project
will also involves
construction of car
parks,
administration
REMARKS/
CHALLENGES
The works are delayed because
of problem in:
i. Harmonization of
works with Kenya,
i.
The works are delayed because of late site
handover, also problem in harmonization
of road works with Uganda .
ii.
Prefabricated offices were supplied in
August, 2012.
iii.
Resolution of Land
Compensation process
complete.
iv.
The Minister of Finance wrote a letter to
Minister of Energy requesting him to see
possibility of using electric power from
Uganda
road
ii. Awaited demolitions of
residential
houses
and
uncompleted design and
build arrangement for the
warehouse by contractor/
consultant
Tanga
Regional
commissioner’s
office
through Mkinga District is
taking initiative to identify
and develop a reliable
source of water supply to
Horohoro.
1. The project does not
include residential houses
for OSBP staff;
2. Lack of sustainable power;
3. Lack of sustainable office
facilities;
4. Lack of housing facilities
for
government
departments;
Disputes and
took long to
The works contract was signed on 2nd March, 2012
between Tanroads and M/S Daiho Cororation of
Japan.
Mobilzation: 100% complete; Contractor’s camp
established in Rwanda Side.
OSBP: 1% Complete
Contractor has started site clearance for buildings
and roads within the premises
Bridge Works: 0% Complete
Relocation and Land Acquisition
85
S/
N
NAME OF THE
OSBP
ACTIVITY/
OUTPUT
building,
verification
storage/truck
terminal,
control
sheds, guardhouse,
public toilets and
generator rooms
OUTPUT:
New
Rusumo
Bridge and One stop
Border Posts(OSBP)
at the border of
Tanzania
and
Rwanda
IMPLIMENTING
AGENT
REMARKS/
CHALLENGES
Compensation of additional area and relocation of
utilities in progress.
on the 2nd November, 2011, TANROADS entered
into a contract with M/s Consortium Chodai Co.;
Ltd. and Nippon Koei., Ltd for the Supervision
and the Construction of Rusumo International
Bridge and One Stop Border Post facilities for a
total contruct of amount of Japanese Yen Ninety
Nine Million Three Hundred Thousands only
(JPY 99,300,000).
The Works Contract was signed on the 2nd of
March, 2012 between TANROADS and M/S
Daiho Corporation of Japan. The Contractor’s
revised programme of Works indicates
commencement of works in July, 2012 and
completion of construction works on November,
2014. The contract has olready started clearance
works in Rwanda and Tanzania, with progress
about 1%.
i. Rusumo Bridge:
Length: 80m, Width: 10.5m; Road: 2
lanes, Side Walk of 1.5 m both
sides,;Paving: asphalt concrete;
ii. New Road between border facilities:
Total length: approx. 2,000m, standard
width: 8.5m ; Paving: concrete
iii. OSBP facilities with:
Administration building; verification
storage, control shed, guard house, Car
Park for Large Vehicles, Equipemnts,
PCs
and
peripheral
equipments,
86
S/
N
8.
NAME OF THE
OSBP
NAMANGA
/NAMANGA.
ACTIVITY/
OUTPUT
ACTIVITIES:
Construction of
OSBP, the project
will also involves
construction of car
parks,
administration
building,
verification
storage/truck
terminal, control
sheds, guardhouse,
public toilets and
generator rooms
IMPLIMENTING
AGENT
TANROADS
REMARKS/
CHALLENGES
The project does not include
residential houses for OSBP
staff.
Emergency Generator, Forklift, Internal
Telephone System.
The contractor has acquired the land and
mobilization of plant and equipments stands at
80%.
To date work progress stands as follows:
(i) Tempory Building is 98% completion
(ii) Main building is 15% completion
(iii) Approach Roads, and parking yard are at 35%
completion
(iv) Financial progress
OUTPUT:
OSBP at Namanga
border between
Tanzania and
Kenya.
87
S/
N
NAME OF THE
OSBP
ACTIVITY/
OUTPUT
IMPLIMENTING
AGENT
REMARKS/
CHALLENGES
JOINT BORDER COMMITTEES (JBCs)
Establishement of
Joint
Border
Committees
across all the
Tanzanian
Borders.
 Reduce delays in The Ministry of
time and costs spent Industry and Trade
in doing business;
 Joint approach USAID Compete
in operations and
focus
trade
facilitating issues
by
stakeholders
working at the
border;
Challenges: Availability of
funds to establish and sustain
Joint Border Committees in
all borders in Tanzania.
The Ministry of Industry and Trade in
collaboration with USAID Compete and other
stakeholders established six Joint Border
Committees namely Kasumulo (Tanzania/Malawi);
Tunduma (Tanzania/Zambia); Namanga (Tanzania/
Kenya); Rusumo (Tanzania/Rwanda); Kabanga
(Tanzania/Burundi); and Mutukula (Tanzania/
Uganda) with a purpose of improving cross border
trade.

Needs assessment has been conducted at
Rusumo, Kabanga, Kasumulu, Tunduma,
Mutukula and Namanga JBCs to determine the
actual needs required to improve the trade
across border.

Benchmarking and process flow mapping
conducted
 Joint
mobilization
and
Pooling
of
resources; and

Manual for Goods and Cargo Clearance by
Institutions working at the border with the
spirit of reducing costs and time spent
prepared.
 Close
cooperation

National Strategy for Management, operations
and administration of borders in Tanzania
completed.
88
 Facilitate
process, procedures
of movement and
trading
across
borders
in
Tanzania;
and
S/
N
NAME OF THE
OSBP
ACTIVITY/
OUTPUT
collaboration
among
various
regulatory agencies
IMPLIMENTING
AGENT
REMARKS/
CHALLENGES
WAY FORWARD

Preparation of a simple popular and Swahili
versions of the harmonised manual for Goods
and Cargo Clearance;

Development of JBCs in other borders namely
Sirari, Holili and Horohoro;

Establishment of MIT facilitation committee
on co-ordinating daily JBCs activities; and

Facilitate JBCs legal and regulatory framework
and its institutionalization
89
7.0 GETTING CREDIT INDICATOR: BANK OF TANZANIA
S/
N
PROCEDURE
COMPLIANCE
MANDATE
PROBLEMS /
CHALLENGES
GOVERNMENT
DECISION
STATUS
OUTCOME
QUICKWIN REFORMS FOR IMMEDIATE IMPLEMENTATION
1.
Provision
of Secure the interests  Inadequate/
Collateral
Collateral
for of lenders in the
Borrowers
do not have
commercial
event of borrowers
requisite
assets to
lending
business failure
pledge as collaterals.
This makes it difficult
to
access
loan
facilities since banks
need to be assured of
recovery in the event
of default.
 Credit worthiness.
Lack of titles and
problems associated
with legal certainty of
ownership of land
effectively
prevent
borrowers from using
land
and
landed
property holdings as
valid collateral
i. Establishment of
electronic land
registries at
districts and
village levels and
formalization of
the land holding
(BEST &
MKURABITA)
will enable
beneficiaries to
use land as
collateral in
accessing credit.
Capacity
Building
to
Local
Government
Authorities
in
formalised Districts and Vallages to
Build Land Registries with a view of
developing them to electronic land
registries.
MKURABITA have
reported that 7,757
plots surveyed in
Hananasif, Njombe,
Morogoro, Arusha,
Tunduma,
Kinondoni,
Iringa
So far MKURABITA has carried out and Babati.
land formalization in 45 districts of 824 Certificate of
Tanzania Mainland and 164 Villages Right of Occupancy
have been formalised.
prepared and issued
to the land owners
1,071,500,000 Tz.
Shillings obtained
from
different
financial institutions
as loans through
Certificate of Right
of Occupancy of
land owners
The objective of establishing a
secured Electronic Registry through
enactment of a proposed “Movable
Property Securities Register Bill”
is to grant statutory provision for all
On the 10th June,
2013, the Prime
Minister’s
Office
wrote a letter to the
Governor of the
90
S/
N
PROCEDURE
COMPLIANCE
MANDATE
PROBLEMS /
CHALLENGES
GOVERNMENT
DECISION
STATUS
OUTCOME
the financial institutions in the
country to accept movable properties
or assets as collateral and hence
increase credit worthiness and ease
accessibility of loans by borrowers
as one of the means of generating
capital. And hence thus eliminating
the problems associated with the
legal certainty of ownership of land
and landed property holdings as
valid collateral.
BOT to expedite the
process of enacting
the
proposed
“Movable Property
Securities Register
Bill”, by considering
the Ministry of
Finance as a key
agent to the process.
USAID
had
facilitated
the
preparation of the proposed Bill
under the BOT. However, the
Ministry of Finance, which has
statutory mandate over formulation
of financial related policies and
regulation, was not involved in the
preparion of the proposed Bill and
hence did not have the capacity to
present the matter to the Cabinet.
The Bill was thus shelved for further
action under the BOT supervision.
On the 10th June,
2013, the Prime
Minister’s
Office
has written a letter
to the Governor of
the BOT to expedite
the
process
of
enacting
the
proposed Bill, by
considering
the
Ministry of Finance
as a key agent to the
process.
ii. Establishment of a
secured Electronic
Registry including
requisite legal
framework be
expedited. A
decision on the
Tanzania host
institution for this
registry is required
early so that BOT
can work jointly
with this
institution.
91
S/
N
PROCEDURE
COMPLIANCE
MANDATE
PROBLEMS /
CHALLENGES
GOVERNMENT
DECISION
STATUS
OUTCOME
Pilot programmed for formalization
activities in Mwanza and Dar es
Salaaam cities slowed down since
2010. Grater effort was focused on
reviewing past initiatives and
extracting lessons for policy
improvements and scaling up.Under
this initiative a document has been
prepared
on
decentralization
approach to enable scaling similar
work in other places. A fund
amounting to Tshs. 78,300 million
was
set
aside
for
testing
decentralization
approach
in
Mwanza city council, this is yet to be
implemented it iswaiting for
approval by the Ministry.The
implementation of the activity is
expected to start by early May, 2013.
Workshop
on
preparation
of
regulation
for
UrbanPlanning Act,
2007: The workshop
was
conducted
inMarch, 2013. The
comments from the
stakeholders
have
been submitted to
consultant
(University of DSM)
for incorporation of
the comments.
The Ministry of Lands has
completed the documentation of the
pilot experience and charting out of
the strategies for scaling up the
activities to the Local Authorities.
The pilot experiences from for
formalization activities from Bababti
and Bariadi have been gathered and
well documented for improvement of
operating manual. . The operational
The beneficiaries
for CCRO are
using them for
collateral for Bank
loans.
92
S/
N
PROCEDURE
COMPLIANCE
MANDATE
PROBLEMS /
CHALLENGES
GOVERNMENT
DECISION
STATUS
OUTCOME
iii. Expedite process
of formalization of
informal urban
property and use
of Certificates of
Rights of
Occupancy and
Residential Letters
as collateral.
LGAs in Dar es
Salaam should
continue with the
exercise of issuing
Residential Letters
to informal
property owners in
areas where the
necessary
preparatory work
has been
completed.
manual for systematic adjudication is
in place and being used by
stakeholders
This is being implemented by the
Ministry
of
Science
and
Technology.
iv. Develop a strategy
for rolling out the
issuance of
Certificates of
Customary Rights
of Occupancy
based on emerging
93
S/
N
PROCEDURE
COMPLIANCE
MANDATE
PROBLEMS /
CHALLENGES
GOVERNMENT
DECISION
STATUS
OUTCOME
BOT team is working with a
consultant contracted by FSDP to set
up a National Financial Education
Secretariat (FES) which will be
coordinating the implementation of
the Framework
This is a year exercise. However,
Improve
personal
financial
management
by
better
informed
choices on day-today life and long-
experience from
pilots in Babati,
Bariadi,
Namtumbo and
Manyoni to the
rest of the country
by year 2025 in
line with Vision
2025.
v. The
implementation of
the project on
’postal code and
residential
addresses’
be
expedited as a tool
for contributing to
the widening of
the tax base.
Implementors:
MOF; BOT
2
Requirement of
Business Plans
and Bankable
project
documents to
support loan
Lack of Bankable
Project Proposal
 Most borrowers do
not submit
bankable project
proposal to banks
and hence fail to
get access to credit.
 Most borrowers
i. Approve and
implement the
Financial Literacy
Strategy once it is
completed.
94
S/
N
PROCEDURE
COMPLIANCE
MANDATE
PROBLEMS /
CHALLENGES
GOVERNMENT
DECISION
STATUS
OUTCOME
applications
3.
Bureaucratic
Need to improve
and inefficient competition
in
financial
Banking sector
systems
and
operations
in
banking sector
especially from
rural areas lack
financial
knowledge hence
do not utilize
banking facilities
 Low competition
between banks
limits pressure for
low cost operations
and sources of
funds. Also limits
opportunities for
accessing low cost
financial resources.
some sector-wide initiatives are
going on such the 1st National
Implementors: MOF Financial Education Fair – ABC of
financial services was conducted in
& BOT
DSM, Oct 2012 and similar zonal
fairs will start in 2013. This is done
in collaboration with Nuebrand –
Event Management.
i. BOT
BOT is implementing the 2nd
implementing Generation Financial Sector Reforms.
measures to
reduce lending BOT maintains its tight monetary
rates. As at
policy stance.
September
2009, Weighted Licensed banks reached 52 with
Average Yield
branch network of 548 across the
(WAY) for
country from 48 (plus Tanzania
Treasury Bills
Mortgage Refinance Company –
(TBs) was 4.8
TMRC) banks with a total of 521
percent.
branch network by March 2012.
ii. BOT continues
- Tanzania Investment Bank (TIB)
to license new
banks and non- was launched as a development
finance institution in November
bank financial
institutions (39 2010 and agricultural window
in place todate). commenced operations on the same
date as a transitional measure before
launching of Tanzania Agricultural
Development Bank (TADB), in
which at the moment is awaiting the
recruitment of the Board of Directors
(Presidential appointment) and key
term planning and
risk management.
TADB
was
incorporated
on
the 26th Septmebr,
2012.
TADB
was
incorporated
on
the 26th Septmebr,
2012.
95
S/
N
PROCEDURE
COMPLIANCE
MANDATE
PROBLEMS /
CHALLENGES
GOVERNMENT
DECISION
STATUS
OUTCOME
iii.
Efforts to
enhance
availability of
loans to
commercial
banks through
reducing Bank
and Lombard
Rates continue.
The
government has
reduced
borrowing from
the banking
sector to give
room to private
sector access to
credit.
staffs. Positions advertised in the
newspaper; according to the stutus of
2013.
- The consultant's report and
recommendations on the
establishment of TADB was
reviewed and adopted by the IIC on
27th April 2011. The
recommendations of IIC submitted
to the Ministry of Finance for
consideration.
BOT has produced a Rural Financial
Sector Strategy. The Government
decision was to re-write the
Consultant draft strategy for full
ownership. The Government draft
strategy is now ready and is being
reviewed.
BOT has improved payment systems
by introducing TISS.
ECGS:
- Capital increased to TZS 53.74
billion from initial capital
contribution of TZS 26.81 billion;
LONG-TERM
i. Establishment of
- Outstanding guarantees TZS
increased to TZS 269.67 billion from
The Scheme aims at
promoting SME by
facilitating access to
finance
through
provision of credit
guarantees.
However, the SMECGS ceased its
operations
since
2008. Following reconstitution of CGS
Guidance
96
S/
N
PROCEDURE
COMPLIANCE
MANDATE
PROBLEMS /
CHALLENGES
GOVERNMENT
DECISION
STATUS
OUTCOME
an agricultural
loan window at
Tanzania
Investment Bank
ii. Strengthen
existing Credit
Guarantee
schemes
iii. Increase
competition
between
commercial
banks with a view
to reducing the
wide spread
between
savings/deposit
rates and
commercial
lending rates.
Implementors: MOF;
BOT and TIB
TZS 251.21 billion in May 2012;
- Government's Contingent
Liability increased from TZS 237.65
billion in May 2012 to TZS 246.90
billion in September 2012;
Committee, issuing
of
SME-CGS
guarantees
are
expected
to
commence during
2011/12
financial
year
- Claims against guarantees remain
at TZS 5.04 billion
- Amount recovered after Claims
Payment is TZS 407.12 million.
SME-CGS
- Capital increased from initial
capital contribution of TZS 5.50
billion to TZS 6.97 billion;
- Outstanding guarantees amounted
to TZS 575.0 million.


CHALLENGES:
No guidelines
for SME – CGS
operation
Low awareness
among
the
public on the
existence,
objective
and
operation of the
Scheme.
Total value of guarantees issued
since inception amounted at TZS
3.14 billion.
Note:
SME-CGS ceased its operations
since 2008. Following reconstitution of CGS Guidance
Committee, issuing of SME-CGS
guarantees are expected to
commence during 2011/12 financial
year.
97
S/
N
PROCEDURE
COMPLIANCE
MANDATE
PROBLEMS /
CHALLENGES
GOVERNMENT
DECISION
STATUS
OUTCOME
In addition, CGS Advisor for
transformation of CGS operations
into an independent institution
completed the assignment on 31st
March 2011. Advisor's
recommendations are being reviewed
internally by BOT before forwarded
to the Government for consideration.
4.
MEDIUM TERM MEASURES REQUIRING FURTHER ANALYSIS PRIOR TO
IMPLEMENTATION WITHIN SIX MONTHS
Lack of reliable
Lack
of
reliable BOT to establish a
credit
credit
information Credit Reference
information
system and weak Databank (CRD)
while Credit
system & weak
creditor rights
Reference Bureaux are
creditor rights
being established by
private operators.
Expedite gazetting of
regulations for Credit
Reference Bureaux.
Implementors:
MOF; BOT
Both Regulations appeared int he
CHALLENGES
Government Gazette of 14th May
 Inadequate
2010 with the following Reference
capacity within
Numbers
the Bank
- Credit Reference Databank GN
177
 Lack of Unique
- Credit Reference Bureaux GN 178
Identifier of
Borrowers
Credit Reference Databank
The Credit Reference Databank  Low awareness
(CRD) was launched by the Bank of
among the
public
Tanzania Management in October
2012
 Low capacity in
the small banks
Credit Reference Bureau
Measures to
M/s Dun & Bradstreet Credit Bureau
Mitigate
these
Tanzania Limited has been licensed
Cahllenges:
in October 2012 to operate a credit
 Training
for
staff
98
S/
N
PROCEDURE
COMPLIANCE
MANDATE
PROBLEMS /
CHALLENGES
GOVERNMENT
DECISION
STATUS
OUTCOME
reference bureau in Tanzania
Objective behind Credit Reference
System


National IDs
Undertake
public
awareness
campaign
Provide
skills
and
IT
investments
support
Credit Reference System enables 
credit information sharing among
lenders, hence reduces information
asymmetries between lenders and
borrowers, facilitates increased
access to credit, reduce default rates,
lower cost of credit and improves
borrowers
responsibility
and
behavior.
Upto June, 2013,
the total number of
Upto June, 2013, the total number 37
banks
has
of 37 banks has submitted their submitted
their
customers’ information to the customers’
Databank.
information to the
Databank.
5.
Provision
of
information on
business
integrity
and
reliability
of
borrowers
Lack of Business
track records
BOT
commissioning
consultancy for
establishment of
Credit Reference
Databank. Bidders
short-listed and are
submitting
Technical /
financial proposals
Same
recommendations
as for establishment
99
S/
N
PROCEDURE
COMPLIANCE
MANDATE
PROBLEMS /
CHALLENGES
GOVERNMENT
DECISION
STATUS
OUTCOME
of Credit Reference
Databank and
Credit Reference
Bureaux.
Implementors:
MOF; BOT
100
S/
N
PROCEDURE
COMPLIANCE
MANDATE
PROBLEMS /
CHALLENGES
GOVERNMENT
DECISION
STATUS
OUTCOME
BOT in collaboration with CMSA
devising ways of encouraging local
companies listing on the Dar es
Salaam Stock Exchange.
Efforts are in place
for
establishment
Commodity
Exchange Markets
6.
Variety
financial
instruments
available
investors
of
to
Weak and narrow
Capital Market
i. Introducing new
financial
instruments every
now and then
ii. BOT in
collaboration
with CMSA
devising ways of
encouraginglocal
companies listing
on the Dar es
Salaam Stock
Exchange
iii. Undertake a
review of the
indicator on
“Protecting
Investor” and
address
weaknesses that
may hamper
interest in trading
in shares of
wholly privately
owned companies
when listed at
DSE.
Implementors:
MOF; BOT and
CMSA (Capital
Markets and
Securities Authority)
BOT and CMSA work jointly in
order to develop the domestic capital
and securities markets.
Organized a workshop on National
Bond Development Committee
Recommended the need to deepen
the domestic capital and money
market instruments (e.g. debentures
as risk hedging instruments)
(i) Continue with the process of
establishing Municipal Bond
Markets
Phase I on establishing Feasibility
and Recommending Policy Options
for Municipal Bonds Market in
Tanzania is complete.
Phase II on establishing Legal And
Operational
Framework
for
Municipal
Bonds
Market
in
Tanzania is on-going.
Efforts are in place for establishment
Commodity Exchange Markets
101
S/
N
PROCEDURE
COMPLIANCE
MANDATE
PROBLEMS /
CHALLENGES
GOVERNMENT
DECISION
STATUS
OUTCOME
7.
Adequacy
Interest
margins
of Encourage savings Wide
Spread
rate and investments
between deposit and
lending rates
i.
Proceed with
measures to
reduce the
wide spread
between
deposit and
lending rates.
Implementors:
MOF; BOT



CHALLENGES:
Bank rate remained stable at
12% in Sept 2012 since May
High risk premium
2012
associated
with
Lombard rate declined from existing information
high
20.19% in May 2012 to 10.41% gap;
administrative costs,
in Sept 2012
weaknesses in the
Overall Treasury Bills rate legal framework and
declined from 14.37% in May insufficient financial
records.
2012 to 12.93% in Sept 2012

Overall Lending rate slightly
rose to 15.55% in Sept 2012
from 15.15% in May 2012

Overall Time Deposit rate rose
from 8.03% in May 2012 to
8.25% in Sept 2012
102
MINISTRY OF CONSTITUTION AND LEGAL AFFAIRS
8.0
S/N
ENFORCING CONTRACTS INDICATOR
PROCEDURE
MANDATE FOR
COMPLIANCE
PROBLEMS
& CHALLENGES
GOVERNMENT
DECISION
STATUS
OUTCOME
QUICKWIN MEASURES FOR IMMEDIATE IMPLEMENTATION
Attorney General’s Chambers: Procedures related to Advisory Services for Government
4.8.1
contracts
1
Mandatory
AG’s
Advisory services on
Government
Contracts
and
litigations involving
the Government
Providing legal
advice in accordance
with the Constitution
of the United
Republic of
Tanzania.
i. Delays on providing
legal opinion due to
inadequate staff. Staffs
are occupied with other
demanding duties.
ii.Some Government
Provide legal opinion
Institutions do submit
on tender contracts
contracts which do not
from all Government
abide to standard format
institutions
as
of the Public
stipulated in the
Procurement Act 2004
Public Procurement
Act of 2004
iii.
Large contracts
requires a long time to
Article 59 (3) of the
work on them, they are
Constitution
normally discussed by a
mandates the AG as a
Government Negotiating
principal legal
Team
advisor for the
Government, as a
iv.
Inclusion of tax
Cabinet Minister and
exemptions in the
an ex-officio Member
contracts without the
of Parliament.
permission of the
Treasury
Dept of Civil &
i. Immediate:

Strengthen
capacity by increasing
number of State
Attorneys providing
legal opinion on
contracts.
Measures to increase number of
State Attorneys on Civil and
International law division has been
initiated by getting permit from
POSM office to recruit more State
Attorneys from the current number
of 22 to 56 by the year 2012.
Division split started from 1st July,
2011. Two new divisions created.
Division
for
Litigation
and
Arbitration; and Division for
Contract and Treaties. Staffing of
the two divisions is yet to be
finalized, only Divisional in charge
appointed.

Legal officers in
Govt
offices
be
appointed as state
attorneys
to
take
charge of providing
legal
opinion
on
One training sessions conducted on
contracts.
managing
uranium
contracts
involving key stakeholders as part
of capacity building under UNDP

Train staff on Support
negotiating skills and
provide
modern
working tools. UNDP One vehicle as well as few items
is supporting AGC in procured under UNDP support to
enhance advisory services delivery.
103
S/N
PROCEDURE
MANDATE FOR
COMPLIANCE
International Law is
responsible for
providing legal
opinion on
agreements,
contracts, treaties,
international
conventions etc.
Also provides
expertise and services
in the
preparation of
contracts and
business
memorandum
PROBLEMS
& CHALLENGES
GOVERNMENT
DECISION
STATUS
OUTCOME
capacity building.

Enhance advisory
services
delivery
through
Capacity building for
AG Chambers through
recruitment
and
training and provision
of equipment.
ii. Short-term measures The reminder has been issued.
The office of the AG’s
Chamber will issue a
reminder
to
the
implementers to insist on The directive has been followed.
the use of standard
formats
and
timely
submission
of
the
contracts
i) The Land Act No.4 of 1999 has

Government
been amended. The Written
institutions to stick to
Laws
(Miscellaneous
the Chief Secretary’s
Amendment) Act, No. 2 of 2010,
directive to avoid
part XIII.All Land disputes can
including
tax
now be filed at the High Court.
exemption
in
the
Judges of the High Court have
contracts
without
jurisdiction to determine land
consulting
the
Disputes.
Treasury
Implementors: AGC
104
S/N
PROCEDURE
MANDATE FOR
COMPLIANCE
PROBLEMS
& CHALLENGES
4.8.2
Procedures related to Land Disputes and Contracts
1
i. Lack of simplified
Legal procedures
i. High court
procedures for Land
i. Determination of
Registry Rules
Court
land cases based
1984 (GN 63 of
on general Civil
2001)
ii. Use of general Civil
Procedure Code
Procedure Code with
Cap 33 and Land
ii.Civil procedure
prolonged preliminary
Dispute (Courts)
code Cap 33
procedure in filing
Act No. 2/2002
pleadings hinders
iii.
Land Dispute
speed disposal in Land
ii. Land cases have
(Court) Act No. 2
Court making it
to be determined
/2002
difficult to meet the
within 14 months.
targeted speed of
However not all
disposal
filed cases are
determined
iii. Enactment of the
within prescribed
Mortgage Financial
time due to
(special provision) Act
excessive work
2008. Act No.
load compared to
17/2008 and give
number of judges
Jurisdiction to Land
Court instead of
iii. Some
Commercial Court
Commercial
cases (mortgages)
are filed in the
Land Division of
the High Court
i. Execution of
decree is done by
Court Brokers
GOVERNMENT
DECISION
STATUS
OUTCOME
i. Amendment of Land ii) Commercial Court has powers to
determine mortgage matters.
Act No.4 of 1999
section 167 and
village Act No 5 of
1999 with focus of
Comprehensive Review of
shifting
mandate iii)
the
Civil Justice
System
from the High Court
presented by the Consultant as
Land Division to the
per the terms of reference
High Court.
contained in the contract signed
ii. Amend Law to oust
between the LRCT and the
Land
Court
LSEW in September, 2009.
Jurisdiction and give
Consequently, the LRCT has not
power
to
approved the said Report since
Commercial Court to
the same was not in the accepted
determine mortgages
standards and the Consultant did
Matter
not adhere to the Terms of
 Court
Brokers
Reference. The LRCT sent the
non compliance
comments for improvement to
with the Law in
the LSEW for them to improve
execution
the said Draft Report. However,
 Procedures
of
the LSEW declined to improve
appointment of
the Draft Report and instead,
Court Brokers be
they have decided to exonerate
improved
themselves from this assignment
 Disciplining non
on the ground that, the contract
complying Court
has expired and as thus they
Brokers
cannot continue with the project.
 Increase
The LRCT has gone a step
supervision
to
further by looking for another
Court Brokers
consultant (local) through a
Single Source Selection Method.
iii. Expedite review
The Technical and financial
of
the
Civil
proposal has been evaluated and
Justice
System
105
S/N
PROCEDURE
MANDATE FOR
COMPLIANCE
PROBLEMS
& CHALLENGES
GOVERNMENT
DECISION
through
expediting
the
amendment
of
the 9 laws and 4
regulations
(including
the
Civil Procedure
Code)
that
provide
guidelines
for
civil
litigation
cases
and
judgement
enforcement,
including Court
Brokers Act.
2.
ii. Cumbersome
Legal
technicalities
hinders fast
disposal of cases
iii. The use of
English Language
as media of
communication
hinders fast
disposal of cases
Implementors:
JUDICIARY;
AGC;
MOCLA;
LRCT;
MLHHSD; PMO-RALG
/ LGAs.
Simplification
of
procedures
be
undertaken as part of
process of reforming the
Civil Justice System.
STATUS
OUTCOME
such proposals were sent to the
World Bank for no objection.The
World Bank has not issued a No
Objection for the Single Source
Selection as requested. However,
it has been directed that, the
assignment should be planned
for 2011/2012 activities and the
assignment to be carried out
under Individual Consultancies.
The LRCT prepared the Terms
of Reference for the said
consultancies and request for No
Objection has been approved by
the World Bank (23/12/2011).
Procurement process for the
consultancies is in the process
expected to be finalized in
Januaty, 2012.
Judiciaryhas completed evaluation
of Expression of Interest for
inviting an individual consultant to
develop Electronic Court Case
Management
System
(CMS)
Software
that
will
help
Judiciary
Use Swahili as media of
communication in land better use, manage, consolidate,
cases to simplify process share, and protect case information.
for stakeholders.
The Evaluation report prepared is
Implementors:
waiting for approval from the
Judiciary;
MOCLA;
LRCT
106
S/N
3.
4.
PROCEDURE
Administrative
procedures
i.
No specific
binding guidelines
on time for
admission of
plaint, assignment
of cases to trial
judge, issuing of
summons to the
defendant, service
summons to the
defendant, order of
application for
execution
ii.
Appeal takes
long time in the
Court of Appeal
affecting speed of
disposal in Land
cases
iii.
Transcriptio
n of case
proceedings takes
long time
No chain of
command among
High Court – Land
Division, District
MANDATE FOR
COMPLIANCE
Various directives
from Court
administrations
- Chie Justice
- Judge In charges
- Registrar
PROBLEMS
& CHALLENGES
i.
Transfer of trained
staff
ii. Lack of resources for
improving capacity of
staff
iii. Time of dispose of
appeals from Land
Court
iv. Lengthy trial due to
lack of modern
technology
GOVERNMENT
DECISION
i.
STATUS
OUTCOME
Avoid
unnecessary Judiciary Tender Board.
transfer of experience
staff from Land Court
budget Draft Regulations known as
“Commercial Court (Procedure)
Rules 2011” has already been
iii. Fast
tracking
of prepared; and was put on table for
appeals from Land
discussion on the meeting held on
Court
06/09/2011. It is expected to be
taken to the Hon. Attorney General
iv. Put in place modern for further discussions.
Case
Management
System to increase
the
capacity
of
transcribers
ii. Increase
ceiling
v. Put in place modern
recording instruments
LONGTERM
MEASURES
Accept
Task
Force
recommendations as part
of long term measures.
Various directive
from different
institutions, namely:
- Judiciary
 Lack of unified
disciplinary machinery
between District Land
and Housing Tribunals
Implementors:
Judiciary;
MOCLA;
LRCT
Disciplinary authority to
be vested with Judiciary
Service Commission
107
S/N
PROCEDURE
Land and Housing
Tribunals and Ward
Tribunals
4.8.3
MANDATE FOR
COMPLIANCE
- MLHHSD
- MRALG
PROBLEMS
& CHALLENGES
GOVERNMENT
DECISION
and Ward Tribunals
Chairpersons
 Judges, Registrars,
Advocates, Chairpersons
of District land and
Housing Tribunals and
Ward Tribunal need to
receive specialized
training in Case
Management and
Alternative Dispute
Resolution skill and
Land Law specialization
to increase their capacity
on Land Matter
Review the structure and
role of Land and Housing
Tribunals vis a vis the
High Court.
i. Lack of special and
simplified procedures
for Commercial Court
ii.Use of general Civil
Procedure Code with
prolonged preliminary
procedure in filing
pleadings hinders speed
disposal in Commercial
Court making it
difficult to meet the
targeted speed of
disposal
iii.
Ousting of
Commercial Court
Jurisdiction in
mortgages by the
Enactment of the
Mortgage Financing
i. Amendment of law to
give the Commercial
Court jurisdiction to
determine mortgage
matters
 To gazette the new
Company
(Insolvency) Rules
2003.
 Build capacity of
Court brokers.
STATUS
OUTCOME
Implementors:
JUDICIARY;
PMORALG
/
LGAs;
MLHHSD; TLS; Judicial
Service Commission.
JUDICIARY
Legal Procedures
i.
Determinatio
n of cases of
Commercial nature
still uses general
Civil Procedures
Code Cap 33
ii.
Commercial
Court determines
commercial cases
within 14 months.
Not all commercial
cases are filed in
this Court
iii.
Lack of
access to
Commercial Court
Having in place the
rules and procedures
for efficient guidance
of Court processes
High court Registry
Rules 1984 (GN 23
1985) as revoked by
GN 96/2005
Civil procedure Code
– Cap 33
Modernization of the operations of
Court
Registries
through
development of an Electronic Case
Management
System
and
streamlining of the manual case
flow system currently in place.
Digital Court recording equipments
have already installed. Moreover
the capacity for transcribers needs
to be enhanced, even though there
ii. Disciplining
non is still a need for employing new
complying
court transcribers. 2 out of 5 transcribers
brokers
have able to attended training
during the FY 2010/11.
iii. Increase supervision
to court brokers
(vii)50 Judicial Officers(Judges,
108
S/N
PROCEDURE
MANDATE FOR
COMPLIANCE
by creditors for
matters involving
mortgages
(special provision) Act,
2008. Act No. 17/2008
iv.
Use of outdated
insolvency rules which
contributes to delay in
closing business
v. Court Broker’s non
Compliance with the
Law in execution.
iv.
Legal
technicalities
hinders fast
disposal of cases.
2
Administrative
Procedures
i.
No specific
binding guidelines
for time in
Admission of
plaint, Assignment
of cases to trial
judge, issuing of
summons to the
defendant, Service
of Summons to the
defendant,
Assignment of
cases after
PROBLEMS
& CHALLENGES
Various directives
from court
administration
i. Lack of resources for
improving capacity of
staff
ii. Transfer of trained staff
iii. Lengthy trials due to
lack of modern
technology
iv. Time to dispose off
appeals from
commercial court
v. Lack of Commercial
Court Client’s Charter
GOVERNMENT
DECISION
STATUS
iv. Enhancing budgetary
allocation for the
Judiciary to facilitate
more expeditious case
processing in all
divisions of the High
Court. Consolidate
v. Commercial cases in
the
Commercial
Court.
vi. Appointment of more
judges and enhance
their capacity through
training
vii.
Introduce a small
claims
commercial
cases stream in the
Magistrates
Courts
starting with a Pilot
scheme in Dar.
i. Increase budget
ceiling
Registers, State Attorneys and
Private Advocates were Trained on
ADR Training of Trainers Course
ii. Allow retention of
some of collected
revenue over the
budget.
iii. Avoid unnecessary
transfer
of
experienced
staff
from com court
iv. Modernization
through:
OUTCOME
A stakeholder meeting was held on
the 02/03/2011 for introduction of a
small claims
commercial cases
stream in the Magistrates Courts
starting with a Pilot scheme in Dar
es
Salaam.
The
meeting
recommended on the undertaking of
the “diagnostic study”. Funds for
implemention have been allocated
on the current FY 2011/12.
i. Review and revision of the case
flow management system has
already been initiated under the
auspices of the Senior Legal
Advisor for LSRP and CDR and
is financed by the LSRP
Program/BEST
i. Procurement for the development
of
an
Electronic
Case
Management system has taken
off with the drafting of TORs in
June, 2010 to be submitted to
the World Bank for No
Objection before the end of
109
S/N
PROCEDURE
mediation failed,
Order of
Application for
execution; Number
of appearances to
court etc.
ii.
Appeal take
long in the Court of
Appeal hence
affecting speed in
commercial justice.
MANDATE FOR
COMPLIANCE
PROBLEMS
& CHALLENGES
in place to set time limit
for administrative steps
vi. Lack of specialization
to Judicial officers and
members of the Bar:
GOVERNMENT
DECISION
 Introducing electronic
case
management
system
 Increase capacity of
transcribers
 Instalrecording
equipments
STATUS
OUTCOME
January 2011.
The budgetary constraints hinder
implementation of the introduction
of the electronic case management
system.
v. Fast track appeals
from
Commercial
Court
vi. Prepare the charter
iii.
Transcriptio
n of case
proceedings takes
long time
vii.
Judges,
Registrars
and
Advocates to receive
specialized training in
case management and
ADR
skills
and
commercial
law
specialization
to
enable them handle
commercial disputes.
Implementors:
JUDICIARY /
Commercial Court
110
STATUS
4.8.4
1
Hearing of
appeals on
Labour
Disputes
referred
from the
CMA
OUTCOME
LABOUR DIVISION OF THE HIGH COURT
Currently it takes
an average of 6
months to finish a
labour disputes
brought
before
the
Labour
Division of the
High Court. Plans
are to reduce this
to 3 months.
 Original
adjudication of
Labour and
Employment
disputes and
applications
between
Employee(s)
and
Employer(s)
within the
pecuniary
jurisdiction of
High Court.
 Adjudication
over
applications,
appeals,
revisions,
referrals/referen
ces from all
Labour
i) Few number of
Judges, there are two
judges at present;
ii) Few zonal offices;
the Labour Division
have three zonal
offices at Arusha,
Mbeya and Dodoma.
iii) Inadequate funds
due to low budget
ceiling constrains the
Labour Court from
clearing an
increasing backlog
of cases . The Court
cannot effectively
conduct sessions in
Zonal offices in
Arusha, Mbeya and
Dodoma and visit
other regions.
iv) Lack of Electronic
case management
necessary to simplify
the recording &
typing of
proceedings and
judgments which
leads to delay on
issuing of ruling
judgements.
v) Investors and
i) At least two more judges and one
Deputy Registrar be appointed.
ii) Establishment of three more zonal
offices in Tabora, Iringa and Mwanza.
Proposal possible in eleven regions
where CMA operates – services sent
closer to clients.
iii)
Train CMA members to enhance
their capacity on discharging their
duties and thus avoid unreasonable
revisions brought before the Labour
Division of the High Court.
iv) Budget ceiling for the Labour Court be
increased to enable it fulfill its
responsibilities efficiently. Judges and
Registrar be enabled to conduct
sessions in regions with case backlogs
from CMA.
v) The Court Of Appeal to hasten
implementation of centralized Case
Management System.
QUICKWIN
i) One Judge and one Deputy
Registrar has been appointed
ii) Labour Divisions have been
created in all 21 zones(All
regions
in
Tanzania
Mainland)Labour Court Rules,
2007 has been amended to allow
labour disputes to be filed at any
High Court Centres in Tanzania
through GN 209,Published on
11/06/2010.Labour
Court(Labour Divisions)Zonal
Centers
establishment
Rules,2010 made by the Chief
Justice.
iii)
CMA members trained in
Morogoro early September, 2010
iv) Preparation of Labour Court
manuals is in progress. Stake
holders will have access on
them. Education on the Labour
laws and dispute resolution
through TV.
Appoint one more judge for the Labour
Court to replace one who has just retired.
Implementors: JUDICIARY / Labor
Court; TLS
111
STATUS
4.8.4
OUTCOME
LABOUR DIVISION OF THE HIGH COURT
Institutions
/organs
established
under Labour
Laws.
 Review &
interpret its
own judgments
/ decrees.
 To execute
awards and
specified
decisions and
lawful orders of
Labour
Institutions and
its own
judgments/decr
ees
employees are
ignorant of labour
laws.
112
9.0
PROTECTING INVESTORS: MINISTRY OF FINANCE
S/
PROCEDURE
COMPLIANCE
N
MANDATE
MEDIUM-TERM MEASURES
1,
Need to protect The
Capital
small
Markets
and
vulnerable
Securities
Act,
investors
in 1994
and
its
public
and Various
private
Regulations and
companies
the
Companies
(listed at DSE Act, 2002 and its
as well as those regulations.
which are not
listed)
from
potential losses
due to “selfdealing”
by
members of the
Board
of
Directors.
PROBLEMS /
CHALLENGE
GOVERNMENT DECISION
STATUS
OUTCOME
There are no adequate Undertake review of IFC advisory on
safeguards for small Protecting Investors and provide
investors who invest at requisite advice on way forward.
the stock exchange to The issues involved are:
protect themselves from
the dangers of conflict of i. Require shareholder’s approval
interest due to the
of related-party transactions.
phenomenon of “selfCurrently, the Companies Act
dealing”. The law calls
requires the Board of Directors,
for the Directors of a
approval
of
related-party
listed company to make
transactions. However, in order
best efforts in observing
to better protect minority
the
interest
of
investors, large related-party
shareholders
they
transactions (.e.g. above 5% of
represent.
However,
the assets of the company) could
there is no specific
be approved by the shareholders
provision
for
meeting.
shareholders to take ii. Increase disclosure obligations in
legal action against
the annual report in case of
Directors who abuse
related-party
transactions.
their influence on the
Annual reports should include
Board
to
promote
detailed information on relatedtransactions between the
party transactions, in order to
listed company and the
provide additional means of
Director’s
personal
information for shareholders.
companies
that
are iii. Request
an
independent
prejudicial
to
the
assessment of the transaction to
interests of shareholders
be made by an independent
of the list company (i.e.
auditor before approval;
self-dealing).
iv. Include requirement for directors
to pay damages in the case of
prejudicial
related
party
113
S/
N
PROCEDURE
COMPLIANCE
MANDATE
PROBLEMS /
CHALLENGE
GOVERNMENT DECISION
v.
STATUS
OUTCOME
transactions;
Allow shareholders access to any
documents of the company, as
the current law does not allow
access to internal corporate
documents if they suspect
misdoings by Directors (with
exptions for Corporate secrets).
Analyse the legal framework of the
Capital Markets and Securities
Authority as provided for under the
Capital Markets and Securities Act,
1994 and its various Regulations and
the Companies Act, 2002, regarding
coverage of the six aspects of
improvement with a view to
safeguarding the interests of small
investors in companies that are listed
/ to be listed in future at DSE from
the conflict of interest arising from
“self-dealing” from the six
perspectives listed above.
Implementors: MOF; BOT;
CMSA; and BRELA.
114
10.0
S/N
PROCEDURE
CLOSING BUSINESS: MINISTRY OF INDUSTRY AND TRADE
MANDATE FOR
COMPLIANCE
PROBLEMS/
CHALLENGE
GOVERNMENT
DECISIONS
STATUS
Medium-term measures (procedures for which reforms requires further analysis that can be accomplish within 6 months)
1
Striking
a Company Act No. 12 Total time taken (i) Government Printers Insolvency Regulations for the Companies
Company off the of 2002
to
strike
a
should
be Act Cap 212 of 2002: A draft Ministerial
register
(local
company off the
strengthened
to Order was submitted to Attorney General for
company)
register is six and
publish the gazette further action pror Ministers order.
half
months.
and circulate on time
Normally it takes (ii) Prioritise printing of RITA expects to commission a consultant to
longer than due to:
Government gazette work on a new Insolvency Act that will
to enable circulation accomplish the assignment prior closure of
 Difficulties in
on time
the project in June, 2012.
securing space
(iii)
Government
to
look
on
the
for an alternative Insolvency Rules of the Company Act 2002
Government
circulation media and has been gazetted since 03 February 2012,
Gazette; and
amend
the
law and are ready for usage.
 Delays
in
accordingly
BANKRUPTCY AND INSOLVENCY
printing
the
ACT, 2012
Government
Undertake
review
to
gazette.
identify and implement
The Government of the United Republic of
measures for
Tanzania is committed to have a better
strengthening the
environment of closing business. However,
operations of government there are serious challenges to the Insolvency
printers and legal
practice in Tanzania and its implementation
possibility of using the
by the practitioners, whereby the principles
electronic media for
set out in the Laws and Regulations do not
Gazetting
clearly guide the Stakeholders to do away
with stumbling block in business enterprises.
Implementors: AGC;
Some of the challenges include the lengthy
PMO
of time taken to close a business,
management issues and scatteredness of the
OUTCOME
The Bankruptcy
and Insolvency
Act, 2012, has
been taken to
the Ministry of
Consitution and
Legal Affairs –
where the Bill
will be taken to
the
AG
Chambers
for
further action.
115
S/N
PROCEDURE
MANDATE FOR
COMPLIANCE
PROBLEMS/
CHALLENGE
GOVERNMENT
DECISIONS
Preparation of the
Insolvency Law:
STATUS
OUTCOME
laws dealing with insolvency issues. The
issue of qualification and experience of
insolvency practitioners is also among the
challenges that need to be addressed under
the new law.
Under most of the laws governing insolvency
are not kept in line with global business
changes,
Regional
and
international
standards and thus need to be reviewed to
address emerging trends at global level. The
review will also take into account
harmonization process of commercial law
under East African Community.
The key objectives of the proposed Bill
include;
i)
Rationalizing (amending, repealing
and consolidating) laws relating to
receiverships,
insolvency,
provisional
supervision, winding up and individual
bankruptcy, provides for corporate and
individual
insolvency,
provides
for
rehabilitation of insolvent debtor etc
ii)
creating a unified insolvency law
covering both corporate and individual
insolvency provisions for winding up
removed from Companies Act and placed in
new Bill;
iii)
repealing and replacing Bankruptcy
Act and Deeds of Arrangement Act.
iv)
enhance insolvency regime and
reduce time, transactions costs and disputes
associated with insolvency procedures and
improve
outcome
of
insolvency
proceedings,
v)
establishing clear and predictable
116
S/N
PROCEDURE
MANDATE FOR
COMPLIANCE
PROBLEMS/
CHALLENGE
GOVERNMENT
DECISIONS
STATUS
OUTCOME
processes
vi)
simplifying
bankruptcy
and
insolvency procedures
vii)
introducing concept of business
rescue;
viii) regulating
qualified/regulated
insolvency
practitioners
to
manage
companies and debtors’ property during
administration and winding up;
ix)
make it easier to close a business and
result in significant improvement of
Tanzania’s ranking in this indicator;
x)
introducing and defines who is an
insolvency practitioner
xi)
setting out qualifications, functions,
and conditions where a person may act as an
insolvency practitioner; registration by the
official receiver
The consultant had to revise the following
Tanzanian legislations that regulates
insolvency which scattered across various
instituonal frameworks such as:
1)
The Bankruptcy Act, CAP. 25
[R.E.2002]
2)
The Companies’ Act CAP 212
[R.E.2002]
3)
The Law of Contract Act, CAP. 345
[R.E.2002]
4)
The Business Activities Registration
Act, No. 12 of 2007
5)
Insurance Act, CAP. 394 [R.E.2002]
6)
The
Banking
and
Financial
Institutions Act, CAP. 342 [R.E.2002]
7)
The Public Corporations Act, CAP.
117
S/N
PROCEDURE
MANDATE FOR
COMPLIANCE
PROBLEMS/
CHALLENGE
GOVERNMENT
DECISIONS
STATUS
OUTCOME
257 [R.E.2002]
8)
The Cooperative Societies Act, CAP.
211 [R.E.2002]
9)
The Deeds of Arrangement Act,
CAP. 26 [R.E.2002]
10)
The Trustees Incorporation Act- Cap
318 [R.E.2002]
11)
The Public Trustee (Powers and
Functions) Act, Cap 138-[R.E.2002]
2
Voluntary
Winding up
Company Act No. 12 The time and costs
of 2002
for
voluntary
winding
up
depends on the
capability
of
liquidator
and
members solving
disputes that may
arise
in
the
process.
Reluctance/
to
follow
the
procedures
and
ignorance of the
same contributes
to delays.
 Adoption
of
international
best
practise objective and
procedures in business
winding up
 Awareness
and
training on insolvency
and
winding
up
matters based on best
practice
Undertake review to
identify and implement
appropriate reform
activities. This includes
adoption of Alternative
Dispute Resolution to
resolve commercial
dispute and reform of the
Civil Justice System to
improve the standard of
services in enforcement
of Court Orders including
Liquidation measures by
Court Brokers.
118
S/N
3
PROCEDURE
Winding up by
Court Order
MANDATE FOR
COMPLIANCE
PROBLEMS/
CHALLENGE
GOVERNMENT
DECISIONS
Implementor:
MIT/BRELA
 Winding up matters
should be resolved by
High
Court
Commercial Division
and not other divisions
of the High Court for
the
purposes
of
speeding up the process
Company Act No. 12 Doing
business
of 2002
report
2010
indicates that the
process takes up to
3 years.
 Companies Act
No. 12 of 2002
has
no
provision
for
winding up of a  There
should
be
foreign
capacity
building
companies
including tailor made
courses in academic
 Outdated
institutions
to
Winding
up
practitioners
and
rules of 1929
stakeholders
adopted from
UK in use.
 The process of business
entry and exit should be
 Outdated Civil
incorporated into the
Procedures
existing trade policy
rules
for
enforcement of  Need for harmonization
Court
and consolidation of
Judgements
legislations
dealing
with winding up of
Winding by Court
business
Order has no  Undertaking a review
specific time (Not
to identify the need for
less than two
establishment
of
years).
Regulator for winding
up of businesses.
STATUS
OUTCOME
Review of the Civil Justicesystem including
all laws an d regulations related to business
winding up has been commissioned and is
ongoig under the coordination of the Law
Reform of Tanzania. A draft report should
be available for stakeholder’s consultations
in August, 2010
119
S/N
PROCEDURE
MANDATE FOR
COMPLIANCE
PROBLEMS/
CHALLENGE
GOVERNMENT
DECISIONS
STATUS
OUTCOME
Undertake review to
identify measures for
improving
the
Civil
Justice system laws &
regulations to improve
winding up by Court
procedures so as to
reduce time from more
than 3 years and improve
recovered funds to more
than
current
20
% compared to Uganda
with more than 40% &
Botswana with 60%
recovery.
Implementors:
MOCLA;
BRELA;
RITA; LRCT
PRIME MINISTER’S OFFICE,
DAR ES SALAAM,
JUNE, 2013
120
121

the united republic of tanzania

Transcription

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