Is Africa Ready to Compete With Western Investors?
The WTO is blamed for preaching and spreading the gospel of free market and free trade among its member countries. Tanzania is a member of this organization and has embraced WTO views and ideas. Many scholars have identified unfair trade practices among developed countries to developing countries like Tanzania and many African countries. Some scholars have gone further and blamed developed countries especially western countries for exploiting poor countries instead of improving their economies.
WTO founders expressed the importance of the organization which includes improvement of developing countries' economy. Since the big players in WTO are the developed nations like USA and Europe which have undergone tremendous technological and industrial improvements, high capitals, highly skilled labors as well as advance marketing strategies and technologies and have enjoyed political stability for centuries than most of the developing nations, putting big sharks in the same sea with small fishes; countries like Tanzania have seemed to make lot of sense to developed nations hence to continue amassing wealth and corporate profits by enjoying competitive advantages.
Many scholars and some of us have expressed concerns over investment opportunities over developing nations. For instance, African countries have decided to market and promote investment opportunities more aggressively than ever before by creating suitable environment and wonderful packages to potential foreign investors. Will these practices serve poor economies or worsen the current situations? What are the direct benefits to the ordinary citizens? How will this help developing countries' industries or will it only help eradicate traditional industries completely? Are there any international or local laws and regulations in place to regulate investors practices? Are the developing countries's citizens competent, educated and well prepared to meet fast paced investors' work ethic, corporate and capitalistic cultures and expectations? Are there laws in place to ensure investors hire and train citizens instead of seeking competent labor forces from foreign and neighboring countries? What about the money market situations;
how will local or foregin banks benefit?
Former president of Tanzania, Benjamin Mkapa was concerned of capital flight from his country to foreign banks abroad. Some laws were put in place to ensure money transferred to foreign countries was accounted for and therefore included in Gross National Product (GNP), Gross Domesstic Product (GDP), Gross National Income (GNI), Net National Product (NNP), and Net National Income (NNI). Each measurement of national income in economics is a large topic of its own and I cannot go into more details but in general all of them are important measurements of national income and output.
Although Mkapa achieved some of his goals but not all, Capital Flight is still a concern. With inflation and unstable economic conditions in most developing countries, will potential investor's money stay in local banks and hence provide direct benefit to citizens and the economy? Or the money will leave the country to safe heavens in foreign banks? If that happens, what impact would it pose to the developing economies?
Well, with the concerns above, politicians and economists of the developing countries have identified and measured most of investment promotions and opportunities carefully. They know what works and what is beneficial.
Laws and regulations are being put in place. I think they would rather have investors invest than leave most and abundant resources unexploited and businesses less effective and productive. Of course, there are positive and negative impacts of doing business with foreign investors. I will be addressing the impacts of Kikwete's new Business Ventures in Kikwete and the Economy of Tanzania in the next discussion. Stay tuned!.
President Kikwete of Tanzania and his business missions abroad such as Tanzania Business Mission to USA and his Prime Minister’s Business Mission to Thailand and Vietnam will help bring businesses to Tanzania. It will take us some time before we are able to effectively market and promote our businesses as well as effectively promote our products and investments. It took someone’s commitment to change the world. Kikwete is doing his part as Mkapa did his share. We all learn from others and Kikwete has embraces the idea of exposing Tanzanian Businessmen to the developed world. Well, it is not easy to measure how effective and productive these business missions and trips are, but over time the economy will tell.
I personally think that developing countries still have a long way to go and we as Africans and Tanzanians in particular have a major role to play. Our marketing strategies and business presentations are not as aggressive and convincing as those of the developed nations but at least we have started to learn.
Are we ready to compete with foreign investors? Well, we have to identified our weaknesses, learn as much as we can and we will eventually make corrections and succeed in the business world. But how soon before competition beats us? Well, it has to be very soon otherwise we will lose the battle to foreign investors.
Again, trips like the business missions are some of the strategies. In addition to that, company executives are doing business study tours and seminars with developed nations. Mkapa's legacy prevails as Kikwete does his share in improving Tanzania's economy.
Countries like Tanzania have remained unknown to the world for a long time: where the tallest mountain in Africa, Kilimanjaro is located, River Nile originates in Lake Victoria which is in Tanzania, Precious minerals like gemstone; Tanzanite, Diamond and Gold are in abundance. We cultivate and produce coffee and tea to serve our entire country and the excess coffee can serve four American states as populated as California. Serengeti national park with all its tropical animals belongs here. We have enjoyed political stability since independence in 1961. Many people here in the USA think the entire Africa is on civil wars. No, Tanzania is an independent country, safe and stable country since independence. In addition to that, Tanzanians are so lovely, humble and friendly; good people to hang out with.
With Kikwete's and Lowasa's Business Missions abroad, Tanzania will secure a market place in the world.
If you ever visit Africa, please visit Tanzania.
Mungu Ibariki Tanzania.
Mtanzania, Jacob Kashimba
WTO founders expressed the importance of the organization which includes improvement of developing countries' economy. Since the big players in WTO are the developed nations like USA and Europe which have undergone tremendous technological and industrial improvements, high capitals, highly skilled labors as well as advance marketing strategies and technologies and have enjoyed political stability for centuries than most of the developing nations, putting big sharks in the same sea with small fishes; countries like Tanzania have seemed to make lot of sense to developed nations hence to continue amassing wealth and corporate profits by enjoying competitive advantages.
Many scholars and some of us have expressed concerns over investment opportunities over developing nations. For instance, African countries have decided to market and promote investment opportunities more aggressively than ever before by creating suitable environment and wonderful packages to potential foreign investors. Will these practices serve poor economies or worsen the current situations? What are the direct benefits to the ordinary citizens? How will this help developing countries' industries or will it only help eradicate traditional industries completely? Are there any international or local laws and regulations in place to regulate investors practices? Are the developing countries's citizens competent, educated and well prepared to meet fast paced investors' work ethic, corporate and capitalistic cultures and expectations? Are there laws in place to ensure investors hire and train citizens instead of seeking competent labor forces from foreign and neighboring countries? What about the money market situations;
how will local or foregin banks benefit?
Former president of Tanzania, Benjamin Mkapa was concerned of capital flight from his country to foreign banks abroad. Some laws were put in place to ensure money transferred to foreign countries was accounted for and therefore included in Gross National Product (GNP), Gross Domesstic Product (GDP), Gross National Income (GNI), Net National Product (NNP), and Net National Income (NNI). Each measurement of national income in economics is a large topic of its own and I cannot go into more details but in general all of them are important measurements of national income and output.
Although Mkapa achieved some of his goals but not all, Capital Flight is still a concern. With inflation and unstable economic conditions in most developing countries, will potential investor's money stay in local banks and hence provide direct benefit to citizens and the economy? Or the money will leave the country to safe heavens in foreign banks? If that happens, what impact would it pose to the developing economies?
Well, with the concerns above, politicians and economists of the developing countries have identified and measured most of investment promotions and opportunities carefully. They know what works and what is beneficial.
Laws and regulations are being put in place. I think they would rather have investors invest than leave most and abundant resources unexploited and businesses less effective and productive. Of course, there are positive and negative impacts of doing business with foreign investors. I will be addressing the impacts of Kikwete's new Business Ventures in Kikwete and the Economy of Tanzania in the next discussion. Stay tuned!.
President Kikwete of Tanzania and his business missions abroad such as Tanzania Business Mission to USA and his Prime Minister’s Business Mission to Thailand and Vietnam will help bring businesses to Tanzania. It will take us some time before we are able to effectively market and promote our businesses as well as effectively promote our products and investments. It took someone’s commitment to change the world. Kikwete is doing his part as Mkapa did his share. We all learn from others and Kikwete has embraces the idea of exposing Tanzanian Businessmen to the developed world. Well, it is not easy to measure how effective and productive these business missions and trips are, but over time the economy will tell.
I personally think that developing countries still have a long way to go and we as Africans and Tanzanians in particular have a major role to play. Our marketing strategies and business presentations are not as aggressive and convincing as those of the developed nations but at least we have started to learn.
Are we ready to compete with foreign investors? Well, we have to identified our weaknesses, learn as much as we can and we will eventually make corrections and succeed in the business world. But how soon before competition beats us? Well, it has to be very soon otherwise we will lose the battle to foreign investors.
Again, trips like the business missions are some of the strategies. In addition to that, company executives are doing business study tours and seminars with developed nations. Mkapa's legacy prevails as Kikwete does his share in improving Tanzania's economy.
Countries like Tanzania have remained unknown to the world for a long time: where the tallest mountain in Africa, Kilimanjaro is located, River Nile originates in Lake Victoria which is in Tanzania, Precious minerals like gemstone; Tanzanite, Diamond and Gold are in abundance. We cultivate and produce coffee and tea to serve our entire country and the excess coffee can serve four American states as populated as California. Serengeti national park with all its tropical animals belongs here. We have enjoyed political stability since independence in 1961. Many people here in the USA think the entire Africa is on civil wars. No, Tanzania is an independent country, safe and stable country since independence. In addition to that, Tanzanians are so lovely, humble and friendly; good people to hang out with.
With Kikwete's and Lowasa's Business Missions abroad, Tanzania will secure a market place in the world.
If you ever visit Africa, please visit Tanzania.
Mungu Ibariki Tanzania.
Mtanzania, Jacob Kashimba
posted by TANZANIA AND THE WORLD ECONOMY | 7:45 PM
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