DPG Working Groups
The development partner group for private sector development and trade was formally established in 2007, in order to build a coordinated development partner response to the Government’s Joint Assistance Strategy for Tanzania (JAST), within the overarching framework of the MKUKUTA.
Over the years the Government of Tanzania has embraced the concept of private sector development as an engine for growth, and has designed a number of policies geared towards the creation of an enabling business environment and a robust private sector that will lead to sustainable and broad based economic growth.
Development partners recognise the importance of PSD in generating sustainable growth and poverty reduction and are committed to supporting implementation of these policy initiatives. An important element of this is working for more effective donor harmonisation and coordination and to have a solid structure for dialogue with GoT. To this end a PSD/Trade group of the Development Partners Group (DPG) Tanzania has been established within the terms of reference of the main DPG.
Currently, PSD/Trade-DPG is chaired by DANIDA and co-chaired by UNIDO. Other members of the Group are: CIDA, DFID, EU Delegation, Netherlands, Switzerland, SIDA, USAID, ILO and the World Bank.
The main purpose of the PSD/Trade-DPG is to promote coherence and consistency in development assistance to Private Sector Development, Trade and financial sector, and the coordinate Development Partners’ support in these areas.
The PSD/Trade-DPG has the following functions:
· Strengthen the effectiveness of development assistance through a policy dialogue with GoT on core reforms and on the future direction of private sector development, financial sector and trade, taking account of the evolution of regional economic integration. Through this role the PSD/Trade-DPG links up to the main GoT led dialogue groups which include:
o Facilitate internal coherency in policy dialogue, consistent and predictable technical and financial support to private sector development, financial sector and trade related issues.
o Promote information sharing and dialogue among PSD/Trade-DPG partners on PSD, financial sector and trade related issues and enhance coordination, harmonisation, effectiveness, and impact of partners’ assistance.
o Ensure that information on trade and enterprise-related needs and supply side constraints, is fed effectively into other fora, especially relevant sector working groups (agriculture, education, public financial management etc.).
· In line with the above, support linkages between PSD, financial sector and Trade related interventions and key national processes (budget, PER/MTEF, PRSP, PRBS, PMS) and the use of national systems for programming, financing and review as set out in the DPG ToR.
· Undertake or facilitates studies in consultation with the GoT counterparts and in support of government efforts