Tanzania has put in place policies and strategies on poverty reduction. These include the Poverty Reduction Strategy (PRS) which was finalized in year 2000 and The National Strategy for Growth and Reduction of Poverty (NSGRP/MKUKUTA) implemented since 2005. These strategies have enabled the government to make some achievements in reducing poverty particularly in respect to non-income issues such as in education and water. However, income poverty is still widespread both in rural and urban areas. TASAF II is an important intervention at community level within the national framework for Poverty Reduction with the aim of achieving the Millennium Development Goals.
Project Development Objective
The Project Development Objective of TASAF II is to improve access of beneficiary households to enhanced socio-economic services and income generating opportunities.
TASAF II project comprise two major components as described below:
(i) National Village Fund (NVF)
The National Village Fund Component creates rules for communities to: (a) access resources that can stimulate economic activities and allow poor households to increase their incomes; (b) reduce vulnerability by empowering them with more instruments for insuring against the risks they face; and (c) improve access and use of social services. Thus, the Project provides a multi-sectoral response to the needs of communities whose actions will better prepare them to take advantage of market-created opportunities as well as utilize resources made available from the Government. The National Village Fund finances sub-projects coming out of a community-driven development approach at the community level where there will be a Mfuko wa Kijiji/Shehia/Mtaa managed by a Village Council/Shehia Advisory Council/Mtaa. All sub projects will be managed by Community Management Committees (CMCs) democratically elected by beneficiaries. The CMCs will report to the Village Council/Shehia Advisory Council/Mtaa Committee. The NVF also provide opportunities for other projects and funding sources to utilize NVF principles and processes to finance their community based components. The target groups under the NVF are: the service poor communities who lack basic social services; able-bodied individuals in food insecure households and households with vulnerable individuals (e.g. orphans, disabled, elderly, widows/widowers, and those infected or affected by HIV/AIDS).
(ii) Capacity Enhancement (CE)
Under this component, communities and sectors (represented at Ward and District/Municipal levels) will be capacitated to undertake activities that assist Tanzania meet its targets as laid out in the NSGRP (in health, education, water and sanitation, savings mobilization, incomes for the poor, tackling vulnerability and increasing access to the market by the poor) by mobilizing both informal and formal mechanisms for responding to shocks. This component will provide resources for community mobilization as well as the monitoring and evaluation of activities financed from the NVF component. It will also support individuals interested in the formation of voluntary savings groups and respond to operational areas where various agencies need capacity to support Village Governments (communities and village councils) implement sub projects. Capacity Enhancement component’s resources will also support the institutional development of implementing agencies at the national, regional, district, ward, village and community levels. Target beneficiaries under CE are agencies (public and private) that supports communities to make the best use of resources made available under the NVF and poor individuals participating in groups savings and taking advantage of investment opportunities created by various private-public partnerships.
Ring Fencing Facility
TASAF has put in place a ring fencing arrangement whereby other Projects, Development partners and Institutions could transfer their funds to communities for implementation of sub projects using TASAF approach. Currently, the following Projects have used this arrangement: Marine and Coastal Environmental Management Project (MACEMP); Tanzania Forestry Conservation Management Project under the Participatory Forest Management component (TFCMP- PFM); Community AIDS Response Fund (CARF) component of Zanzibar AIDS Commission (ZAC) and Tanzania AIDS Commission (TACAIDS) and Organization of Petroleum Exporting Countries Fund for International Development(OFID). Subprojects from these Projects follow the TASAF rules of access and implementation.