Inflation remains at 4.1%

By Timothy Kitundu
The inflation rate for March did not change compared to February, reveals the National Consumer Price Index (NCPI) of Mid April 2005, released by the National Bureau of Statistics (NBS).
The inflation rate for March was 4.1 per cent.
The price index shows that March’s inflation rate as measured on a month to month basis, is February and March went down by 0.5 per cent whereas the overall index decreased from 114.0 in February to 113.4 in March 2005.
Some prices for food and non-food items went down. Rice, maize grain, maize flour, cassava, potatoes, cooking bananas, beans, cow peas and groundnuts, vegetables, fruits and fish all became cheaper.
Non-food items saw prices decrease were clothing, footwear, chairs, tables, face creams, cough syrup, school notebooks and uniforms, wrist watches and cell phones.
However, prices of beer, tea (green label), mineral water, bottled drink (squash), water buckets, dry cleaning, radios and audio cassettes, petrol, bus and taxi fares went up.
On a year to year basis, the index increased to 113.4 percentage points during March from 108.9 percentage points as at March 2004, recording an inflation rate of 4.1 per cent.
Fuel, power and water, the most important utility items measured on a yearly basis, showed an increase from 105.1 points in March last year to 115.0 in March 2005, an increase of 9.4 per cent.

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Twiga Bancorp’s profits slightly down

By Timothy Kitundu
Twiga Bancorp has realized a net profit of Tsh. 363.3 million for the year ending 31 December, 2004 recording a slight decrease compared to 2003 when it recorded a net profit of Tsh. 491.9 million.
According to a published income statement for the year ending December 2004, profit before taxation in 2004 was Tsh. 595.1 while profit before taxation recorded in 2003 stood at Tsh. 689.1 million.
The decrease in net profit for the year 2004 can be attributed to the drop in profit before tax and an increase in total taxes charged in 2004 which amounted to Tsh. 230.7 million, compared to taxes charged in 2003 which amounted to Tsh. 197.2 million.
2004 saw the bank’s total assets leap to Tsh. 16.34 billion compared to total assets amounting to Tsh. 13.3 recorded in 2003, similarly the bank’s cash and balances with the Bank of Tanzania increased from Tsh. 2.47 billion in 2003 to Tsh. 4.45 billion in 2004.
In terms of total liabilities, the bank recorded an increase. In 2003 total liabilities reflected Tsh. 11.5 billion while in the year 2004 they reflected Tsh. 14.2 billion.
The bank’s liabilities that are part of deposits indicated that total deposits increased from Tsh. 11.3 billion in 2003 to Tsh. 13.9 billion recorded in 2004. Other liabilities (other than deposits) increased from Tsh. 240.4 million in 2003 to Tsh. 332.7 million in 2004.
The bank’s net interest income slightly decreased, recording Tsh. 601.1 million in 2004 but Tsh. 646.6 million in 2003.
The decrease in interest income can be attributed to the increase in interest expense which recorded Tsh. 262.4 million compared to Tsh. 216.3 million in 2003.
Net credit to bad and doubtful debts greatly descended in 2004 to record Tsh. 67.7 million, compared to Tsh. 867.3 million in 2003.
During 2004, the bank’s fees, commissions and other incomes doubled to record Tsh. 1.67 billion compared to Tsh. 888.9 million recorded in 2003. However, foreign currency dealings and translation gains decrease in 2004 to Tsh. 472.5 million compared to Tsh. 573.9 in 2003.

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Japanese rice to Tanzania

By Angela Mazula
The government of Japan has donated Yen 300 million (Tsh 3.3 billion) to the Tanzanian government to combat food insecurity.
Speaking during yesterday’ signing ceremony, Katsuya Ikeda Ambassador of Japan to Tanzania said Japan will provide rice as food grant to alleviate food shortage and support basic human needs.
Ikeda added that agricultural-led development is the key for poverty reduction and sustainable development for Tanzania. The country’s food insecurity derives mainly from low production of major crops caused by unpredictable weather, lack of technology and insufficient infrastructure.
Speaking at the same occasion Permanent Secretary in the Ministy of Finance, Gray Mgonja said the grant will be allocated to the rice purchase.

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Most establishments owned by private sector

By Timothy Kitundu
The Central Register of Establishments (CRE) announced that last year the private sector owned slightly more than 58 per cent of the number of establishments in the social and economic sector in the country.
The release from CRE says, however, among the public owned establishments, Local Government had 69 per cent, Central Government 23 per cent, and Parastatal Organisations had 8 per cent.
The distribution of establishments shows that Dar es Salaam Region has most establishments (33.1 per cent), followed by Tanga Region with 6.6 per cent and Arusha Region with 6.5 per cent.
Kagera Region had 6.4 per cent, Mwanza Region 6.2 per cent and Morogoro Region 5.5 per cent. Each of the remaining 15 regions owned less than 5 per cent of the country’s total.
Looking at establishments with regard to main industry, the education sector had the highest number of establishments accounting for 28 per cent followed by whole sale and retail trade with 15 per cent, hotels and restaurants 12 per cent, public administration and social security 11 per cent. The remaining sectors including agriculture accounted for 34 per cent.

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Computer company targets Tanzanian managers

By Express Reporter
A famous computer company has launched new products aimed at managers in Tanzania wanting to improve their Information Technology (IT) skills.
It is Hewlett Packard (HP) that has introduced new products and solutions from its imaging and printing group.
Speaking in Dar es Salaam on Tuesday, David Ndungu, HP Marketing Manager for East Africa said that the newly introduced products include digital cameras and printers, commercial colour laserjet printers, business inkjet printers, wireless digital projectors and large format printers.
“Over the past few years, HP products have gained popularity in Tanzania making it the second largest market in the African Region and we are consolidating our position as the choice provider of technology products for commercial as well as for personal use,” he added.
The HP range of products in the country are sold and supported through a select chain of resellers who are part of the HP Business Partner Programme.

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Non-state actors’ role reinforced

By Timothy Kitundu
The role of Non-State Actors is to be strengthened, particularly as regards policy dialogue following an invitation from the Ministry of Finance and the European Union to NSAs to consult their constituencies and make suggestions and recommendations on the proposed programme.
In a workshop that was held early this year NSAs were provided with incentives to develop a new programme to strengthen them in the development processes. Now the Ministry of Finance and the EU, argue that NSAs should have a greater role to play.
According to Neema Kambona, EC – Delegation Tanzania Press and Information officer, the workshop allowed NSAs to reflect on their levels of engagement in development and in policy dialogue. Their strengths and weaknesses were identified.
Speaking through a press statement issued Monday, Kambona said that apart from identifying areas of need and potential useful initiatives, a core group known as NSA Task Force Group (NSA TFG) was formed.
“The aim of this task force group was to act as an interface between the Ministry of Finance and EU, and NSAs at large throughout the drafting phase of the NSA Support Programme,” she said.
She said the first and biggest task of the NSA TFG is to ensure that NSAs throughout the country are consulted on the draft programme, and that they actually contribute to the designing of the NSA Support Programme.
The broad involvement of NSAs in the preparation of the support programme, she said, aims at designing relevant and useful activities, and an overall programme that will be owned by NSAs.
“The Ministry of Finance and the EC have been authorized by the mandated group to communicate with all NSAs to consult with their respective constituents on the proposed first draft of NSAs Support Programme,” she said.

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TZ tobacco of high standards

By Joshua Mshana, recently in Tabora
Tobacco which is produced in Tanzania is of high quality and has the potential to compete in the international markets; this, according to Ally Abeid, a tobacco farmer in Tabora.
This is also confirmed by Brazilian agronomists. “Tobacco produced in Tanzania is of the same standards as tobacco grown in countries like Brazil. Agricultural experts from Brazil have confirmed that Tanzanian tobacco is of high quality. It has orange colour which is the best,” said Enio Carlos Signoz, an agronomist from Brazil.
Tobacco, the centre of tobacco production in Tanzania, benefits greatly from the crop. The Association of Tanzania Tobacco Traders (ATTT) has got foreign and local experts who advice farmers on how to keep farms and increase the quality of tobacco.
Farmers were expecting good harvests this year, but drought tarnished the harvests. This year, production will not be as good as last year.

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DORICAS donates 300m/-

By Beldina Nyakeke, Musoma
Buhemba Agricultural and Consultancy Centre (BRAC) expects to get a donation of Tsh. 300 million from a Dutch assistance agency DORICAS for various development undertakings.
BRAC Manager, Ezekiel Kabwe said this recently at a Board of Directors sitting, held in the Centre’s Conference Hall. Kabwe said his centre had signed an agreement of five years with DORICAS.
The agency has already constructed a processing plant at the centre.
The agreement was signed on behalf of BRAC by the Anglican Church of Mara Diocese and DORICAS International Aid and will span between July 2004 and June 2009. The agreement aims at sponsoring the training of farmers receiving consultancy at the centre.
Buhemba Agricultural and Consultancy centre is among the various projects which are conducted by the Anglican Church, Mara Diocese,where they provide training and consultancy in agriculture.

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Maasai women undergo poverty alleviation training

By Kim Aidan, Morogoro
Women of the Maasai community engaging in pastoralism have been offered education on poverty alleviation.
In 18 Maasai villages in Morogoro Municipality, Mvomero District, various development projects have been established; this according to Mary Nkongolo, chairperson of solidarity women group in Morogoro, in an interview with The Express on Tuesday.
She said that a total of 105 pastoralists have benefited from the initiative which is exclusively for Maasai women within the pastoral community.
“A total of 18 villages have benefited in the said training. And the exercise has been extended to other villages in Morogoro Region,” she said.
According to Nkongolo, Maasai pastoralists, degrade the environment by keeping large number of livestock confined in a small area.
The training has focused on finding solutions to that problem. One solution, she argues, is for pastoralist to sell part of their livestock and buy shares which she said would help them fight poverty.

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Expert discussions needed to fight corruption

By Angela Mazula
Transparency International (TI) has urged all sectors in society to be fight corruption.
Speaking in Dar es Salaam at the Anti-Corruption Stakeholders’ Meeting held this week, Wilson Kitima, on behalf of Professor Rwekaza Mkandala Chairman of TI, said that reducing corruption needs discussions with experts and competent people.
“To our credit, TI Tanzania was among the first national chapters in the movement to put national integrity systems into perspectives. Through the initiatives a number of national integrity workshops were held in the 1990s that led to enactment of codes of conducts for a number of institutions in the country,” he said.
The Prevention of Corruption Bureau (PCB) Director of Investigation, Edward Hoseah said that translating political will into an institutional framework will need the commitment to attack both perceived and actual corruption by the top political leadership of the country.

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Kenya Commercial Bank on right track

By Business Reporter
Kenya Commercial Bank Tanzania Limited has halved its loss it incurred in 2003; from Tsh. 575.5 million to Tsh. 252.8 million after taxation.
According to the bank’s income statement for the year ending December 31 2004, the Bank’s loss before taxation stood at Tsh. 308.4 million in 2004 compared to Tsh. 831.2 million in 2003.
The Bank’s reduced loss for this year could have been attributed by the leap in the Bank’s net interest income for 2004 which stood at Tsh. 1.06 billion compared to that recorded in 2003 which was Tsh. 497.2.
The Bank recorded an increased interest income of Tsh. 1.2 billion in 2004 compared to Tsh. 793.2 million in 2003, while interest expenses slightly decreased in 2004 recording Tsh. 147.5 million compared to Tsh. 296 million in 2003.
Similarly, the Bank’s total assets increased in 2004 to Tsh. 19.3 billion from Tsh. 16.4 billion, while cash and balances with the Bank of Tanzania also increased to Tsh. 3.7 billion in 2004 compared to Tsh. 2.64 billion in 2003.
The bank’s fees, commission and other income increased to Tsh. 665.8 million in 2004 compared to Tsh. 401.6 in 2003. Foreign currency dealings and translation gains leaped to Tsh. 367 million from Tsh. 66.1 million in 2003.
Total liabilities increased from Tsh. 11.07 billion in 2003 to Tsh. 14.2 billion in 2004. Total deposits increased to Tsh. 13.96 billion compared to Tsh. 10.08 billion recorded in 2003. The liabilities decreased in 2004 to Tsh. 247 .7 million compared to Tsh. 990.62 million recorded in 2003.
The Bank’s investment in government securities increased in 2004 to Tsh. 2.98 billion compared to Tsh. 2.69 billion recorded in 2003. The loans and advances leaped to Tsh. 7.91 billion in 2004 compared to Tsh. 3.92 billion recorded in 2003.

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