Journal of Social Development in Africa (1990), 52, 61-71 
The Development of Social Policy in 
Tanzania 
FELICIAN S K TUNGARAZA* 
ABSTRACT 
This paper analyses the development of social policy in Tanzania from 1961. It 
establishes two development tendencies: from 1961 to 1967 social policy was 
urbanbasedand oriented to influenceeconomicgrowth; from 1968 onwards it was 
orientedtothebroaderpopulation. Thepaper showsthatthedevelopmentofsocial 
policy in Tanzania has been jointly determined by economics and politics. It 
concludes that the development of social policy is a complex process in which a 
combination of factors interact with each other and that the predominance of any 
one factor in this process varies over time and space. 
Introduction 
Many studies have attempt to account for the development of social policy in a 
country, most of these studies attribute the development of social policy to either 
felevelofea)nomicdevelopmentorrx)UUcalfactors(Zollner,1963;Cutrighi,1965; 
Fenton,1966; Wilensky,1975; Castles and McKinlay,1979). A recent review 
(Weede,1986) of factors in the development of social policy shows that there is still 
little agreement on the factors that determine the development of social policy. 
This is even more evident if country-specific studies are included (eg Bollen and 
Jackman,1985). 
Most of these studies, however, have been conducted in advanced capitalist 
countries, and are void of empirical content that reflect social policy in African 
countries. This paper is intended to reflect the Tanzanian experience and elucidate 
in this context the complexity of the development of social policy. This will be 
done by analysing the development of social policy since 1961, and then examining 
its determinants. 
+ Lecturer in Social Policy, Sociology Department, University of D»r es Salaam, P O Box 35043. 
Dares Silaam, Tanzania.
62 Ftlicia* Turigaraza 
The development of social policy in Tanzania 1961-1986 
The development of Tanzanian social policy shows two qualitatively different 
tendencies in the period between 1961-1986. Inthefirstphase, 1961 to 1967,social 
policy was concentrated on the urban population and oriented to influencing 
economic growth. In the second phase, after 1967, social policy tended increasingly 
to embrace a much broader section of the population. These two tendencies 
quantitatively affected the development of social policy in other respects. 
Table 1 shows that the social policy expenditure quota (defined as the 
proportion of social policy expenditure on Gross Domestic Product) in the 1960s 
moved between 4 and 5%, while in the 1970s and early 1980s rose to over 7%. 
From the data in Table 1 it can also be seen that the real annual growth rate of social 
policy expenditure between 1963 and 1968 was, on average, 5%. In the years from 
1963 to 1967 the growth of social expenditure averaged 4,5% slightly below the 
annual average growth rate of total social policy expenditure. Between 1968 and 
1983 the growth rate was 14,9%, which is remarkably higher than in the previous 
period. Nevertheless, from 1984 to 1986 there was a drastic decline of about 50% 
per annum in social policy expenditure. 
The comparatively moderate performance of social policy expenditure in the 
period before the Arusha Declaration of 1967 is not a surprise since the 
development plans of 1961-64 and 1964-69 stressed categorically the priority 
given to economic growth and capital investment. Social policy measures in this 
period were undertaken mainly to facilitate economic development 
(Tanzania,1964a:viii-xi). Accordingly, most of the social policy measures were 
concentrated on the urban population and geared towards establishing a permanent 
and stable labour force (Tanganyika,1962:121-123; Elkan,1964:390-399; 
Tanzania,1964b:975) as opposed to the migrant worker system of the colonial 
period. Stabilisation of the labour force is aimed at enabling workers to work for 
longer periods, gain more work experience, and lead to increased economic 
efficiency. 
The relatively higher social policy expenditures in the period from 1968 to 1983 
was a consequence of the Arusha Declaration which required the government to 
spread social policy measures to the whole population. As a result health centres 
and dispensaries were established in the rural areas. Furthermore, adult education 
and universal primary education programmes were launched. 
The drastic decline in social policy expenditure in the years 1984-86 reflect the 
economic difficulties which Tanzania faced from theearly 1970s, which intensified 
in the early 1980s. Following these difficulties the government was forced to cut 
down public expenditure, including social policy expenditure after 1983 
(LUO,1985:40).
Social Policy in Tanzania 63 
The graphic representation in Figure 1 shows that the sub-sectors of social 
policy had different development tendencies. In the total period 1963 to 1983, the 
health sector had the highest expansion with an average real growth of 11,7%. The 
second highest expansion was recorded by the education sector, which expanded 
at an annual average of 7,4% in the 1963-86 period. 
Figure 1 
The Development and Structure of Social Policy in 1963-86 
(1963=100) 
63 64 65 66 67 68 69 70 71 72 73 74 75 76 77 78 79 80 81 82 83 84 85 86 
Education ^^ Health #_ll_#.Social Security Housing 
Total 
In the period under consideration, expenditure on the housing sector grew at an 
annual average rate of 6,1%. However, expenditure for social security and social 
welfare (excluding the health sector) increased in the same period at an annual 
average of only 2,4%. This expenditure includes pension benefits to government 
employees (under the Public Pension Scheme), parastatal organisations' employees 
(under the Parastatal Pensions Fund), old age security benefits of the National 
Provident Fund, as well as benefits to dependents. These expenditures also 
include, to a limited extent, the costs for the care of children, old people, 
orphanages and the rehabilitation of disabled persons. 
An analysis of social policy by sector also shows that in the period 1963 to 1967 
the housing sector expanded at a growth rate of 38,4% per annum. The education 
sector followed with an annualaverage growth rate of 7,6%. In contrast to this, the 
expenditure for the health sector stagnated; and the expenditure for social security 
(excluding the health sector) and social welfare remained almost constant These 
differences in the development of individual sectors of social policy can be 
explained by the development strategies pursued in this period. The highest 
increase in expenditure, in the housing sector, is explained by the efforts of the 
government to stabilise the labour force and prolong the duration of its em ploymcnt
The priority accorded to the sectors of health and education is explained by the 
The development of social expenditure in the years from 1984 to 1986 is 
64 
This in turn was intended to raise labour productivity (Tanganyika,1962:l 133). 
Moreover, the great expansion in the housing sector was considered necessary 
because of the tepid increase in the urban population (Stren,1975:22), which in turn 
created a housing shortage and the problem of squatter settlements. The rise of 
these settlements was considered dangerous to the healthy living of the urban 
labour force and therefore not conduicive to rapid economic growth. In addition, 
the growth of expenditure in the housing sector between 1961 and 1967 is 
attributed to increased numbers of expatriates and Tanzanians in the top grades of 
the civil service and parastatal organisations. Insufficient coverage of public 
houses of modem standards created a constant political pressure on the government 
to provide appropriate houses (Coulson,1982:212). 
The comparatively high expenditure in the education sector in the period 1961- 
67 is attributed to the need to overcome the shortage of skilled manpower 
(Tanzania,1964a:viii). The emphasis in the expenditure was on secondary and 
technical education. 
The below average development of expenditure for the health sector, social 
security and social welfare is due to the fact that, in the period under consideration, 
the limited available resources were concentrated, in the main, on the expansion of 
the productive sectors (Kilama,1974:195). 
Between 1968 and 1983, the health sector expandedmore than the other sectors 
of social policy with an annual average growth rate of 17,3%. Second was the 
expenditure in the education sector with an annual average growth rate of 11,1%. 
Almost negligible growth was recorded by the housing sector with an increase rate 
of 4,4% per annum, while the sector of social security (without the health sector) 
and social welfare, after a decline in the years 1968 and 1969, further stagnated. 
development strategies pursued. Since the Arusha Declaration proclaimed 
accessibility to basic education and health facilities by the rural people as among 
its prime objectives, from this time onwards better education and health for the 
majority were seen as necessary prerequisites for long-term high economic growth 
(Tanzania, 1969:2-8). Fighting against disease and ignorance, it was believed, 
would overcome these bottlenecks to higher productivity in the rural areas. 
characterised by a drastic decline in most sectors of social policy. An exception 
here is the expenditure on social security (without the health sector) and social 
welfare, which in this period recorded an annual average growth rate of 10,3%. 
This growth was mainly due to payment of pension benefits and gratuities to more 
than 10000 employees who were declared redundant in the government, parastatals 
and private enterprise in the years from 1982 to 1985, following the intensification 
of the socweconomic crisis (Legum,1986:384; Tanzania,1986:39). Thedeclineof
Social Policy in Tanzania 65 
expenditure in the education, health and housing sectors is attributed to the 
decrease in public expenditure in general and a consequence of the economic 
difficulties faced by Tanzania in the first half of the 1980s. 
Determinants of social policy development in Tanzania 1961-86 
(i) The level of development of the economy 
Despite possessing many natural resources such as forests, minerals and arable 
land, Tanzania's utilisation of these resources is still at a rudimentary level, ie their 
contribution to the Gross Domestic Product is still insignificant (Bossert, 1985:90). 
This limited utilisation of the natural resources has more or less contributed to 
the low development of the economy. For example, between 1961 and 1967 the 
Gross Domestic Product of Tanzania grew at a real annual average rate of 5,3%. 
In the period between 1968 and 1978 the Gross Domestic Product increased at an 
averageof only 4,6% perannum. This growth rate was below that of the previous 
phase (1961-67) as well as that of other African countries in the same period, which 
was approximately 6% per annum (Bossert,1986:96). Among other reasons for the 
low growth rate was the effect of the villagisation programme, which led to the 
displacement of peasants from their farms and hence the temporary neglect of 
agriculture, drought conditions, crop diseases and the collapse of prices of some 
cash crops which led to a reduction in the production of cash crops (Bank of 
Tanzania,1981:93). In the industrial sector, the increase in oil prices in 1973^41ed 
to a shortage of foreign exchange, and a consequent reduction in the importation 
of key industrial inputs such as machines, fuels, raw materials and spare parts. 
These factors and the low efficiency of parastatal organisations led to a strong 
decline in productivity in industry (Tanzania, 1976:2). 
Generally, economic development was unfavourable in the years from 1979 to 
1986. In this period the average real growth of the Gross Domestic Product was 
1,2% per year. In view of a population growth rate of 3,4% per annum, this meant 
a substantial decline in the per capita incomes of the people. Reasons for the 
unfavourable economic development included the persistent shortage of foreign 
currency, import restrictions following the second round of increased oil prices in 
1979 as well as the war with Uganda in the same year. The deterioration in the 
terms of trade in the world market from the late 1970s also negatively affected the 
foreign exchange earning capacity of Tanzania. The poor weather conditions in 
most parts of the country from 1979 to 1981 also hampered agricultural production 
and necessitated considerable importation of food (ILO,1985:4-13). 
What were the effects of this economic development on social policy 
development? If the development of real per capita incomes is compared with tne 
development of social expenditure per capita (see Figure 2), only a moderate
$ Felicuin Tungaraza 
ssociaiion between the two variables can be established. In the period 1961 to 
967 social expenditure was fluctuating but, when compared with income 
icvclopmcnt, rose remarkably rapidly. From 1978 there was a gradual decline in 
icr capita incomes which was later followed by a drastic cutting down in social 
xpenditure from 1983. 
Figure 2 
The Development of Incomes and Social Expenditures Per Capita in 
Tanzania 1961-86 
(1963=100) 
50 
61 62 63 64 65 66 67 68 69 70 71 72 73 74 75 76 77 78 79 80 81 82 83 84 85 86 
Social expenditure per capita t > t , per capita income ^ % 
Source: Tungaraza,1988:189 
These findings can be explained by the different development strategies 
pursuedby the government before and after the Arusha Declaration. Between 1961 
and 1967 the main preoccupation of the government was to lay the foundations for 
a more rapid growth of the economy. For this reason, for example, over 60% of 
the total £24 million in the Development Plan 1961 -64 was set aside for investment 
in the economic sector, while social expenditure accounted for only 20% 
(Tanzania,1964a:13). After 1967, the government was increasingly concerned 
with the improvement of the basic material conditions of the masses. Accordingly, 
many social policy measures, particularly in the rural areas, were identified. The 
idea behind this new development strategy was that the improvement of the living 
conditions of people, particularly in relation to health, education and housing, was 
necessary to eliminate the bottlenecks which hinder economic development 
However, economic growth remained low after 1967 and especially from 1979 
(Tanzania,1969:l-8). 
Another factor was the flow of financial resources from foreign countries, the 
volume rose from 1% of the Gross Domestic Product in 1961 to over 10,5% in 
1979/80, and even further to 16% in 1986 (Bank of Tanzania,1981:197; 
Havnevik,1988:123-125). The influence of external finance on the development
Social Policy in Tanzania 67 
of social expenditure can be seen clearly in the health, education and housing 
sectors. In the health sector,forexample,between 1973 and 1982, the Scandinavian 
countries funded the construction of 400 dispensaries, rural health centres, and 
health education and nutrition development. In the years 1982 and 1983 the 
respective share of donations to the health sector amounted to 6% and 9% of the 
total health budget (Kahama, 1986:49). 
The education sector also received a substantial amount of foreign financing. 
For example, about 70% of the capital expenditure budget of the Ministry of 
Education from 1972 to 1981 was contributed by bilateral donors 
(Kahama, 1986:188). In the housing sector, foreign financing played a considerable 
role. For example, of the total Tshs 204 million set aside for the housing sector in 
the Development Plan 1964-69, about Tshs 1 million was contributed by foreign 
donors. In 1974, foreign donors contributed about 22% of the total Tshs 88 million 
planned in the housing budget (Stren,1979:190-195). 
(ii) The influence of political factors 
The influence of political factors on the development of social policy in Tanzania 
can be understood better if the political system of Tanzania, the readiness of 
political institutions to solve social policy problems, and the role of pressure groups 
arc examined. 
After the attainmentof independence in 1961,one of the objectives of the ruling 
party, TANU, was to create a democratic society. However, the realisation of this 
objective became questionable following the introduction of the Republican 
Constitution in 1962 when the President of the Republic was given strong 
executive powers. According to this constitution, the President of the Republic not 
only had a dominant influence on the government and administration but could also 
issue policies and directives and detain people dangerous to the state. 
The realisation of democratic norms was further curtailed by the proclamation 
of a one-party political system by the ruling party in 1965. With this proclamation 
the National Executive Committee of TANU was given a similar status to that of 
Parliament. After the Arusha Declaration the party was accorded dominance over 
Parliament in the decision-making process. This dominant position was further 
strengthened in 1975 when the supremacy of the party was legally recognised. 
Despite the limited democratic influence on politics, and the authoritative 
control of the government and public administration by a small group of party 
officials, party and political leaders have always shown a willingness to solve 
social policy problems. For example, during the drawing up of the Three-Year 
Economic DevelopmentPlan in 1961 .Nyerere as thePrime Minister and Chairperson 
of the ruling party, requested planners to allocate more funds to the Tight against 
poverty, ignorance and disease in the country (Hughes,1969:83).
68 FtlicUut Tungaraza 
This readiness of the political institutions to solve social policy problems is also 
indicated in the 1962 constitution of TANU, which states that the prime objectives 
of the party include: (i) to ensure a decent standard of living for all Tanzanian 
citizens, (ii) to achieve human equality and (iii) to overcome poverty, diseases and 
ignorance (Tordoff,1967:236). It is also shown in programmes to move rural 
dwellers into Ujamaa villages, and the expansion of social infrastructure in rural 
areas, particularly schools, health facilities and water supplies. Through these 
strategies it was expected that social policy objectives such as equality, democracy, 
human rights and dignity would be improved (Liser,1985:200). 
In addition to this readiness, pressure groups have also played an important part 
in influencingthegovernmenttoimplementsocialpolicyprogrammes. Immediately 
after independence, the working class, through the trade unions, called strikes and 
industrial stoppages demanding higher wages and better working conditions. 
These labour conflicts continued into the 1970s (Jackson,1979; Mihyo.1981). 
Trade union leaders also opposed some of the policies of TANU and its 
government. Some of the workers' claims were acknowledged by the government 
in the form of legislation on wages, severance allowances, pensions and security 
of employment (Bienefeld,1979). 
In the rural areas there were widespread discontent among the peasantry. This 
was due, among other factors, to the appalling conditions of life of the peasants 
(Coulson,1979). Similarly, student struggles in the 1960s and 1970s against poor 
education facilities and living conditions in the country made it necessary for the 
government to reexamine the living situation of the masses as whole. Indeed, these 
pressures hastened the government's need to improve the social and economic 
conditions of the people by introducing social policy measures. 
Clearly, the readiness to solve social policy problems in Tanzanian politics was 
greater after the Arusha Declaration than in the years before. This explains why 
social expenditure after 1967 increased more rapidly than in the period before it 
(although the performance of the economy before 1967 was relatively better). The 
continuing influence of political factors on social policy is shown by the fact that, 
even after the far reaching economic crisis of 1979 onwards and the low performance 
of the economy up to 1983, great efforts were made to maintain the level of social 
expenditure. In 1983 social expenditure was finally drastically reduced (ILO.1985). 
The Tanzanian experience demonstrates quite clearly that political factors have 
been working hand in hand with economic factors in influencing the development 
of social policy. 
Conclusion 
It seems clear that economics is a necessary but not sufficient condition for the 
development of social policy. Equally necessary are the political factors. As the 
case of Tanzania has demonstrated, both economic and political factors have been
Social Policy in Tanzania 69 
responsible for thedevelopment of social policy since Independence. Although the 
level of economic development had only a moderate influence on the development 
of social policy, foreign resources have had a considerable influence since 1961. 
The role of politics has been of great importance, especially after the Arusha 
Declaration. However, the importance of politics in the development of social 
policy was subordinated to the economic reality, particularly after 1983 when the 
economic crisis intensified. Consequently social policy development stagnated. 
From the Tanzanian experience, therefore, several lessons aboutthe development 
of social policy can be learnt Foremost, the development of social policy is 
determined by a constellation of interdependent factors (economic, political and 
social) which simultaneously affect each other, and the final result depends on the 
weight each factor has at a particular time. Secondly, the relative significance of 
each factor varies from time to time as well as for different geographical 
environments. Thirdly, any attempt to build up a precise theoretical explanation 
of the determinants of social policy in Third World countries should be located in 
the analysis of a cumulative sequence of interrelated factors and should particularly 
take into consideration: (i) the relationship of the economies of the developing 
countries to the world market, and (ii) the influence of international agencies and 
donor countries on social policy, in the sense of financial assistance, advice and 
expertise in the various sectors of social policy. 
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Table 1 
The Structure of Social Expenditure in Tanzania 1963-86 
Year GDP Total Education Health Social Housing 
Social Exp Security 
1961 4952 
1962 5403 
5741 1963 
1964 6054 
6253 1965 
1966 6514 
6777 1967 
1968 7128 
7259 1969 
1970 7680 
8001 1971 
1972 8539 
8800 1973 
1974 
1975 
9020 
9553 
1976 10163 
1977 11053 
1978 11697 
1979 11674 
1980 12085 
1981 11719 
1982 11494 
1983 11671 
1984 11963 
1985 12238 
1986 12703 
57(1.0) 228 (4,0) 
268 (4,4) 
303 (4,9) 
299(4,6) 
132 (23) 
169 (2,8) 
178 (2,9) 
176 (2,7) 
182(2,7) 
196 (2,7) 
310(4,6) 
320(4,5) 
55 (0,9) 
64(1.0) 
63(1.0) 
63 (0.9) 
74(1.0) 
75(1.0) 310(43) 
381 (5,0) 
275 (3,4) 452(5,7) 
449 (53) 
194 (2,7) 
242(3.2) 99(1.3) 
124(1.5) 
122(1.4) 
139(1.6) 284 (3.2) 457 (5,2) 
534(5,9) 307 (3.4) 
656 (6,9) 
166(1.8) 
380(4.0) 214 (2,2) 
607 (6,0) 366 (3.6) 184(1.8) 
746 (6,2) 
703 (6,0) 
579 (53) 374 (3,4) 194(1.8) 
721 (6,2) 453 (3.9) 229(2.0) 
735 (63) 470(4.0) 220(1.9) 
213 (1,8) 
202(1,7) 
475 (4,0) 
443 (3,8) 
232 (2.0) 822(7,1) 
852(73) 
534(4.6) 
416 (4,9) 221 (1.9) 
206(1,7) 595 (5,0) 
500(4.1) 
301 (2^>) 
277(23) 
509(4,0) 
162(1.3) 
163 (1.3) 288(23) 
13(0.2) 
20 (0.3) 
34 (0.5) 
33 (0.5) 
38 (0.6) 
26 (0.4) 
24 (0.4) 
27 (0.4) 
27 (0.4) 
26 (0.4) 
11(0.2) 
8(0.1) 
42 (0.6) 
33 (0.5) 
37 (0.5) 
44 (0.6) 
28 (0.3) 
25 (0.3) 
8(0.1) 
10(0.1) 
10(0.1) 
9(0.1) 
11(0.1) 
11(0.1) 
10(0.1) 
7(0.1) 
8(0.1) 
50 (0.6) 
51 (0.5) 
48(0.5) 
32 (03) 
30(0.3) 
34(0.3) 12(0.1) 
15(0.1) 
11(0.1) 
12(0.1) 
43 (0.4) 
47 (0.4) 
44(0.1) 
47 (0.4) 
40(03) 
22 (0.2) 
18(0.1) 
14 (0.1) 
48 (0.4) 
40 (0.3) 
40 (0.3) 
Mlo Tsb in Prices of 1966 (in % GDP) 
Source: Tungaraza, 1988:137 
71 Social Policy in Tanzania