Determining the Nexus between National Policies and Local Practices in the Promotion of Businesses for Local Economic Development in Tanzania

Abstract

National governments set policies that affect local level development and influence the pace and content of development initiatives. Local economic development (LED) initiatives require a more robust focus on issues that places local government authorities at centre stage. For decades, at the local government authority level, much effort has been seen in the social development arena shadowing efforts to promote local businesses through business development services. National level organs set to promote businesses and to support the business agenda are expected to be the change catalysts and to propagate supportive policies for sustainable local economic development objectives. Nonetheless, the desired integration of efforts between national and local authorities and the civil society is yet to be observed. Additionally, frequent policy changes affecting the balance of power and authority between the national and local level authorities impact less positively local capacity to promote businesses despite the national efforts in infrastructure development. It is observed that better integration of efforts between the different actors, increased capacity of local authorities and implementation of local initiatives to surmount local challenges while working on policy attributed gaps, are necessary for promoting businesses at the local authority level.