1 TPSF PRESENTATION TO THE DPG/PSD-Trade Group Presented by: Godfrey Simbeye Executive Director 2 Highlights of Presentation SECTION 1: Introducing TPSF- History, Governance, Mandate/ roles SECTION 2: TPSF role in Business and Investment reforms Advocacy in Tanzania - Successes of some selected Advocacy Engagements executed by TPSF SECTION 3: TPSF role in supporting Tanzanian MSMEs –Sharing results of BDG, CCP and MGP, and institutional home for entrepreneurship programmes SECTION 4: TPSF New image- Transformation process, one voice and sustainability 3 SECTION 1: Introducing TPSFa focal & apex body for Private Sector organisations and Business Associations History • Established in 1998 as a Company limited by Guarantee- a Not for profit • Representing business associations and corporate members Governance • 12 Member Board of Directors • Five committees – executive, fin, admin & audit, programmes, policy & advocacy and membership services Mandate/ roles • to promote private sector-led social and economic development in Tanzania; EABC focal point for EAC Private Sector • providing member organisations with services they value, by understanding and representing their common interests, protect investors and by engaging in effective advocacy with the Government. 4 SECTION 2: TPSF Core function: Business and Investment reforms Advocacy in Tanzania Our strategies Working with others to influence change • Partnerships with member and Non member PSOs • Collaborations with MDAs and the Parliament • Tapping into Development partners forums to influence change- e.g. role of DPG- PSD/ Trade Focus aligned to evidence based advocacy • Carrying out surveys and research on key issues • Making use of BEST AC resources Leveraging existing dialogue structures • TNBC • Role in Business Environment road Map • Role in various task force (Fiscal Reform, Roadmap, Trade Facilitation, NTB’s, PPP, PDS, Business Environment) Common voice for private sector • TPSF new strategic focus (later in the slides) • TPSF new governing structure (all inclusive) 5 Some of the challenges/obstacles facing Tanzania’s PSOs No clear dialogue structures at sector levels and LGA’s Lack of effective engagement through MDAs Lack of engagements through regional and international platforms (visibility) Lack of Private Sector coalition/synergy and the spirit of working together/collectively (competition vs complement) Limited information flow and networking Engagement with oversight bodies such as the Parliament has been a missed opportunity 6 Cont…some of the challenges/obstacles facing Tanzania’s PSOs Evidence based research for effective policy advocacy is non-existence by most PSO’s – capacity challenges Nature of the Private Sector Organizations ( Business Association versus Private Sector Associations) 7 TPSF advocacy / dialogue forums Dialogue platforms/ structures with MDAs • Trade Facilitation: National Monitoring Committee on NTBs, National Trade Facilitation Committee, TTFA – Central Corridor • Task Force and Think Tank for Fiscal Reform – MoFEA • PPP secretariat; PSD Policy Task Force – PMO • TRA – Stakeholder’s Forum (TPSF stand in as a secretary) • Planning Commission – Task force for engaging the Private Sector in filling the electricity gap • Agricultural Sector Development Task Force – MoAC • Task Force on Improvement of the Tourism Sector in Tanzania (sector dialogue) Regional programmes • Trade and Investment Committee of EABC • Direct engagement with the EAC through Partner States windows in the Expert Meetings, Permanent Secretaries Meetings and Council of Ministers • Tripartite Negotiations – EAC, SADC and COMESA • Engagement with the Regional Integration Fiscal reform studies and reviews to provide input for the formulation of the Government Budget Parliament & Others • Speaker’s Forum Established (MoU underway) • Link established with Clerk of National Assembly & Planning Unit • Participation in different Parliamentary forums (several standing committees, public hearings on energy, finance and economic affairs, trade and industries, the leadership committee of the parliament, constitutional review) • Collaborations through Business action Against Corruption (BAAC) • Developed a pilot project for the private sector to monitor the Roadmap for Improving Business Environment (pilot focus with two task forces) 8 Specific examples of policy analysis and advocacy successes Tax policy reforms • Budget analysis and strategic engagement with Tax Task Force & Think Tank, based on finalised National Tax Review Study (conducted every year) • case of 2010/11 :PS-friendly budget: re-instatement of the deemed capital goods exemption and the horticulture airfreight-VAT • + various VAT, income tax and customs duties revisions • Fiscal Reforms Proposals and Budget Opinions are prepared annually (you are all invited to our Breakfast meeting on 12th April 2012 at 7:30 – Hyatt Kilimanjaro Dar es Salaam PPP & TNCR • Stakeholders’ consultations and engagements for improvements in the Public Private Partnership Bill Supplement, Development of Regulations as well as PPP strategy. • Private Sector Active participation in the PPP-Public Hearing • Member of the PPP Secretariat responsible for developing the PPP Regulations, Strategy and Guidelines • TNCR • Attendance to 3 competitiveness training sessions • Extensive data collection and analysis for the National Competitiveness Report • Failed to launch TNCR BUT two committees were formed to take the initiative forward (Steering Committee and Technical Committee to spearhead the TNCR 2012) 9 Specific examples of policy analysis and advocacy successes Infrastructure, energy and mining Regional Integration • Rapid Response Advocacy/Addressing Power Challenges in Tanzania (switched on the fuel generators during power crisis for short term solution, lower decision of EWURA following request by TANESCO to a range between 25% - 40%) • Annual Policy Dialogue on Energy, Infrastructure and Mining (Sept 2011; Summary report in the pack) • Special Committee to deal with Energy & Infrastructure established • Promotion of investment in Energy (negotiations with RTP underway; organize seminar with AfDB to offer Opportunity for Developmental Projects including Energy • Initiate and organize in collaboration with Ministry of Transport for the Revival of the National Airline (thanks for the support from DFID) • Provided platform for the South African successful Railway Operators to provide technical support to the revival of the Railway System. • Involvement in the preparation and review of the Integrated Industrial Development Strategy (IIDS) and the TZ Growth Strategy – hence developing a new programme for the private Sector to take charge of the IIDS and the growth strategy • Support in pushing forward the implementation of the Construction Industry Policy • Preparation and review of the EAC's draft Industrial Policy and Strategy, and the new EAC Development Strategy • Involvement in the Development of the Dialogue framework - EAC • Representation in the EAC Common Market Sensitization Programmes • Involvement in the National Monitoring Committee on Non Trade Barriers, Trade Facilitation Committees, SPS Committee, AntiDumping • TIC under EABC • Harmonization of Policies – issues like SPS, Review of SQMT Act • Negotiations on EPA 10 Specific examples of policy analysis and advocacy successes Public Governance • Highlighting the consequences of unpredictable policies • Poor Public expenditure management impairs Private Sector Development in terms of increasing cost of doing business and investment TNBC • RBC’s and DBC’s • IIRT’s and LIRT’s • Kilimo Kwanza/SAGCOT 11 Independent Assessment/Monitoring & Evaluate Roadmap (KRA 10 – Private Sector Facilitation) Sensitization and awareness programs to the wider coverage of the Private Sector on the Roadmap for Transforming Business and Investment Climate To carry out independent national business environment assessments in Tanzania To conduct independent national assessments of investment climate to identify obstacles that affect firm competitiveness, incentives to grow and invest. To conduct quarterly reviews and studies on barriers to trade with specific attention on Non Tariff Barriers. 12 Cont … Independent Assessment/Monitor & Evaluate Implementation of the Roadmap (KRA 10) To undertake capacity building training sessions on collecting, analyzing and reporting business and investment data to Private Sector Organizations To collaborate with the Private Sector Development and Investment Division in developing better performance indicators and agreeing on reporting requirements To develop and implement advocacy strategies on regulatory framework to issues emanated from the Monitoring and Evaluation feedback of the Programme To develop and implement communication plan to ensure that all stakeholders (public and private) are aware of the development attained by the Private Sector in matters around regulatory and business environment To organize stakeholders forums for debates and interactive dialogues on effective and efficient response advocacy on bureaucratic and ineffective facilitation in doing business To collect, analyze views and/or complaints from Private Sector Organizations and other stakeholders through the discussion forum KRA of the TPSF web portal 13 TPSF communication strategy Review of TPSF`s Communication strategy (based on stakeholder analysis) Development and distribution of TPSF newsletter and e-News Snapshot Launch of Tanzania Business Focus Magazine (3rd Issue underway) Establish TPSF Radio and TV SMS service Presence on television and radio - through interviews and interactive programmes Regular coverage of TPSF events in the most important newspapers Production of a TPSF-documentary Development of a 2-way communication platform 14 SECTION 3: TPSF role in supporting Tanzanian MSMEs – Sharing results of the following entrepreneurship programmes BDG, CCP, MGP and others BDG CCP MGP Others 15 BDG- Business Development Gateway Objectives Results/ Impact so far- 3.5. years in 120 districts countrywide Way forward • Strengthening the entrepreneurial culture in Tanzania by providing entrepreneurs with business skills and facilitating linkages with finance and business development services. • 8,000 SMEs trained , 5,700 winners awarded SEED grants, TZs 20 bn disbursed in seed grants in 3 years , 42% women owned enterprises supported , 40% youth owned enterprises supported, 52% women in business plan top winners, 85% formalised businesses, 40% created new employments, 73% paid tax for the first time, 84.9% acquire new working equipment, 8.5% increase revenue, 50 businesses accessed additional bank loans • BDG shift focus to promote innovative and competitive enterprises • Seeking support for extension through Tanzania Entrepreneurship and Competitiveness Centre (TECC) 16 CCP- Cluster Competitiveness Programme Objectives Results/ Impact so far Way forward • To improve the competitiveness of the Tanzanian economy in selected industry clusters- Horticulture, Tourism and Food processing • Cluster strategies and value chains developed, Developed the TZ Horticulture National Strategy – approved by parliamentary session in August, 2011, over 4000 trained and assisted to comply with int’nal standards, Support 17 value chains and 50 initiatives, supported 4 universities to have improved curricula, incubator facilities and int’nal standards, initiated process for Tanzania National Competitiveness Report (TNCR). • CCP impact assessment in April/ May 2012. Transition of CCP after Cardo contract expires in 30th April 2012. • Seeking support to extend and scale up support to selected CCP initiatives through TECC 17 MGP- matching Grants Programme Objectives Results/ Impact so far Way forward • TBDS: aimed at improving the competitiveness of private firms within Tanzania, both in export markets and also in a domestic market increasingly open to foreign competition • TIAS: aimed at developing services (i.e. Training courses, diplomas and degrees) provided by technical training institutions & vocational schools. • TBDS: Total approvals 910 , Actual claim $4,864,177.42, # of companies applied for Matching Grants 1085, employment 10,304, turnover total $175,586,061.11, No of Companies with Training408, No of Individuals trained 16,784 • TIAS: New courses created 50, student intake (3 years) 9,240, TIAS Cost per course (3 yrs) $ 66,666.67 (per student $ 1,o82.25). Median fee per course created $ 2,150.00 • To conduct end of project assessment • To be under TECC but strictly focus on building synergy with other programmes under TECC (sectoral focus or export focus or competitiveness focus) 18 SECTION 4: Transformation of TPSF One Voice and new Governance Structure We all accept that we need A common voice, one apex body, reform (TPSF) Need to form a task force incl the previous task force and add: CEO Round Table, Tanzania Law Society, Agricultural Council of Tanzania, Business Association for Disabled, Tanzania Bankers Association, Insurance Association and Association of Tanzania Employers 19 Cont...SECTION 4: Transformation of TPSF 3 key Issues/challenges Sustainability (financial, operational and institutional) Image issues (with our members & public; Government and DPs) Change Management (during transition, after new structure) 20 Challenge TPSF as the apex organization need to be the an oversight body (pressure group, watch dog) of all the initiatives for developing the private sector in Tanzania. It is a ‘wish’ which requires both financial and human resources Case of agreed policy reforms at the TNBC Policy Action Matrix Evidence based research for effective policy advocacy is non-existence by most PSO’s – capacity challenges Protection of investors (Political Interferences) 21 Focus of TPSF in next 1 year Business Environment reforms • Advocacy through the Road map process- KRA 10 • Advocacy through other dialogue forums with PMO, MIT and MDAs Infrastructure • Energy, Port and Railways (focus on promotion of investment – both local and foreign) • Identify opportunities through TMEA Governance • Business Action Against Corruption (BAAC) initiative • Public Sector accountability and change of mindset Support MSME development • Dealing with outdated policies with no Act to supplement efficient implementation • Advocacy for implementation for National Economic Empowerment Policy • Establishment of TECC Partnership in PPP arrangements and Addressing Land Issues • Partnerships through SAGCOT etc • Land reforms Capacity building of TPSF and Member PSOs to be sustainable • Institutional strengthening and addressing human and financial capacity gaps 22 Tanzania Private Sector Foundation Plot No 1288 Mwaya Road Msasani Peninsula P O Box 11313 Dar Es Salaam Tel: +255 22 2601913/1938 Fax: +255 22 2602751/2818 Web: www.tpsftz.org Email: [email protected] TPSF Contacts •Godfrey Simbeye • [email protected] •Louis Accaro • [email protected] •Edward Furaha • [email protected] •Adam Gahhu • [email protected]
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