[{"bbox": [85, 154, 323, 185], "category": "Section-header", "text": "# 2 RATIONALE"}, {"bbox": [85, 217, 234, 243], "category": "Section-header", "text": "## 2.1 Context"}, {"bbox": [98, 266, 399, 289], "category": "Section-header", "text": "### Political and Financial outlook"}, {"bbox": [96, 303, 1134, 648], "category": "Text", "text": "The changes in the political context since 2021 have led to a gradual opening, e.g. in the areas of freedom of expression and association, business environment and multilateralism. Overall, the macroeconomic situation remains stable despite the COVID-19 pandemic. Public debt is sustainable in spite of an increase in the risk of debt distress to \"moderate\". The economy is gradually recovering, but strong growth with sustained poverty reduction will be achievable only if the Government succeeds in promoting private sector development, diversification and foreign direct investments. Among positive signals are the ratification of the African Continental Free Trade Area Agreement and a more open attitude in Tanzania's economic policy. Management of the COVID-19 pandemic has also improved, as shown by the enforcement of some sanitary measures, the roll-out of a vaccination campaign and weekly updates of key data. Formal structured EU-Tanzania Political Dialogue took place on 29 October 2021 in a constructive atmosphere, after a gap of several years. Contacts with the public administration have become easier and, in particular, programming, identification and formulation of Global Europe actions have advanced smoothly. Another positive development is the return of the European Investment Bank to Tanzania, after 5 years of difficult relations with the Government and suspended operations."}, {"bbox": [98, 661, 354, 684], "category": "Section-header", "text": "### Rationale and Assessment"}, {"bbox": [96, 700, 1134, 965], "category": "Text", "text": "The MIP for Tanzania has defined three priority areas: (i) Green deals, (ii) Human Capital and employment and (iii) Governance. The current CF intends to contribute to all priority areas of the MIP and its formulated Team Europe Initiatives. In particular, it will support preparation of actions to be carried out under the MIP that have been formulated in the AAPs 2021 and 2022. It intends to contribute to all priority areas of the MIP and its Team Europe Initiatives. The contracts under the CF will support the EU top initiative of \"Green and Blue Jobs\" in Tanzania and focus in particular on its flagships (Green Cities and Blue Economy, both Team Europe Initiatives) and Enablers (Access to Finance, Gender and Digitalisation). EU investments will thus be fostered and respond to Tanzania priorities (e.g. foreign direct investment, major infrastructures, blue economy) identified in its main development strategic frameworks such as its Vision 2025 and Five Year Development Plan III (2021-2025). Such an approach is deemed coherent and able to provide the maximum impact of the MIP first phase (2021-2024)."}, {"bbox": [85, 992, 340, 1022], "category": "Section-header", "text": "## 2.2 Problem Analysis"}, {"bbox": [96, 1036, 1133, 1112], "category": "Text", "text": "As the MIP is being implemented and its Mid-Term Review is expected as early as 2024, financing of studies, research, technical assistance, conferences, seminars is seen as necessary to address any of the priority areas of the MIP."}, {"bbox": [96, 1128, 1134, 1394], "category": "Text", "text": "The Ministry of Finance and Planning through the Coordination Unit of the EU funded programmes in Tanzania has an important role to play in the MIP implementation, in terms of coordination of the line Ministries, the private sector and the civil society, e.g. in the context of multiple EU-funded budget support operations with Ministries which are new to this financing instrument: President's Office for Regional Administration and Local Governments (Green Cities), Ministry in charge of Gender (Gender \"Breaking the Glass Ceiling\"), Ministry of ICT (Digitalisation), Ministries involved in fisheries, forestry, natural resources, environment, tourism (Blue Economy), together with the Ministry of Finance and Planning itself (Finance for Growth). Additionally, Monitoring, Reporting and Verification is a responsibility of the latter (Division of Planning), critical to ensure the good implementation of, in particular, EU-funded actions and the monitoring of specific indicators such as EU \"spending targets\" on climate change, gender, human development and social inclusion, education and migration."}, {"bbox": [96, 1405, 1133, 1512], "category": "Text", "text": "Eventually, despite EU being one of the major donors in Tanzania, its development cooperation does not receive the visibility that it would deserve. A Strategic Communication and Diplomacy Plan has been established and would need to be implemented with a strong focus on visibility and partnership on the MIP sectors, its interventions and results in specific areas."}, {"bbox": [98, 1527, 306, 1551], "category": "Section-header", "text": "### Stakeholder Analysis"}, {"bbox": [96, 1564, 1133, 1615], "category": "Text", "text": "The key stakeholders expected to benefit from the proposed CF funding instrument include program partners and the end beneficiaries of EU funded contracts."}, {"bbox": [1038, 1681, 1143, 1705], "category": "Page-footer", "text": "Page 4 of 10"}]